• The New York Times Co. has reached a "tentative agreement" with its union to impose a 5 percent pay cut on employees through the end of the year. [NYP]
• Disney's ABC is joining Fox and NBC and taking a stake in Hulu. [AdAge]
• As expected, Time Warner said it may spin off AOL. But it may end up selling it, too. Either way, Gerald Levin, Dick Parsons and Steve Case will still be responsible for the worst merger in American corporate history. [NYT]
• Viacom reported that first quarter profit dropped 34 percent amid falling revenue at both its film and TV networks businesses. [AP]
• Related: Viacom boss Sumner Redstone is as senile as ever. At the Milken conference in Beverly Hills, he said he wouldn't comment on his competitors before lashing out at Ted Turner, Rupert Murdoch, and Jay Leno. [THR]

News from the Sex and the City front, a new Disney comedy sounds annoying (and already done), swine flu does its worst damage yet, and another actor picks up a trident.

In your hopeful Tuesday media column: Portfolio.com hires(!) people, NYT op-ed-speak translated, Philly papers make an offer you can refuse, and journalists in peril:

• Hachette is cutting salaries and asking staff to work overtime. Fun! [Gawker]
• Amazon is blaming an "embarrassing and ham-fisted cataloging error" for the dropping the sales rankings of thousands of gay and lesbian books. [AFP]
• Bravo has picked up four new shows, including one produced by Sarah Jessica Parker and another by Demi Moore and Ashton Kutcher. [THR, THR]
• NBC's Boston affiliate, WHDH, has backed down from its threat to skip Jay Leno's new 10pm show when it debuts this fall. [B&C]
• Marriott will no longer automatically provide guests with a free copy of USA Today or the Journal. You're gonna have to ask for it from now on. [E&P]

• All those layoffs at Forbes yesterday? They continue today, sadly. [NYP]
• Times executive editor Bill Keller has a few words for Marc Bowden, who wrote the Vanity Fair piece about Arthur Sulzberger Jr. Also? He thinks VF should really beef up its factchecking department. [Romenesko]
• The biggest media company in America? That would be Disney. [BN]
• Nine of the top 10 cable news programs belong to Fox News. [HP]
• The winners of the 2008 Peabody Awards were announced today. [AP]
• Wanda Sykes is getting her own talk show. [B&C]
• Video from Bill O'Reilly's chat with David Letterman last night. [MM]
• Guiding Light is done. The final episode airs Sept. 18. [THR]

• Jon Stewart ripped Jim Cramer apart once again on his show last night. And now Cramer is planning to appear on The Daily Show on Thursday. [Gawker]
• William Morris and Endeavor are said to be in merger talks. [NYT]
• Time Inc. chief Ann Moore says the company is thinking about turning Time.com and People.com subscription-based sites. [Folio]
• For its part, Disney is launching a new "portal." It's 1999 all over again! [WSJ]
• Former NBC prez Katherine Pope is said to be in talks with News Corp. president Peter Chernin about joining his new production firm. [THR]
• Is liberal talk radio host Ed Schultz destined for a gig with MSNBC? [NYO]
• Needless to say, the Daily News is taking issue with the list suggesting the paper is likely to go out of business in the near future. [Crains]
• The plug has been pulled on David Alan Grier's Comedy Central series, Chocolate News. Let's all take a moment to mourn, okay? [NYT]

Apple's got the iPhone. Google's got Android. Even Amazon has the Kindle. After flirting several times with the ooohs-and-aaaahs gadget business, Intel convened a brain trust last week to work on their own mobile phone.

The Age of the Easily Expensed Job-Perk (Assistant: "You want me to submit a receipt that says, 'Lunch with hooker Ratner?'" Agent: "Yeah, that's fine. Throw 'er in there with the rest...") are long over.

Disney and DreamWorks today sent out official confirmation of their shotgun wedding, issuing a release around town raising more questions about its relationship than it answers.

• Magazine newsstand sales tumbled during the second half of 2008. [NYT]
• The Grammys were seen by an estimated 19.1 million people last night. [AP]
• The Times reports on the Times's recent troubles, conveniently concluding the paper's "positioned itself well to ride out another year of recession." [NYT]
• Steve Brill has a few thoughts on how the Times can save itself. [Poynter]
• Not surprisingly, SI is milking every last dollar out if its swimsuit issue. [WSJ]
• Following the news last week that Universal and DreamWorks were parting ways, Disney announced today it would distribute DreamWorks's films. [THR]
• Jim Cramer's ratings are up; his stock picks are as lousy as ever. [Barron's]
• A Queens hairstylist is suing the Daily News after the paper accidentally identified her as "Manhattan Madam" Kristin Davis. Twice. [Regret the Error]

If you still don't agree that Isla Fisher might be cursed, we've got publicity-stunt proof just in from the Garden State.

Disney-ABC TV president Anne Sweeney sent out one of those stomach-dropping memos today, informing employees that 400 would be let go—from every division, and running all the way up the flagpole. It's after the jump.

• ABC is reportedly thinking about giving Jimmy Kimmel the Nightline slot, putting him in competition with Conan when he takes over for Leno. [NYT]
• ABC News is cutting 35; Disney-ABC TV is dismissing 300. [TVN, THR]
• Congressional Quarterly is for sale. [WSJ]
• The Washington Post is dropping Book World as a Sunday section. [WP]
• AOL is laying off around 700 employees, or 10% of its work force. [WSJ]
• Ex-MTV prez Christina Norman will run Oprah's new TV network. [THR]

As we predicted last month, Fox has stepped up to take the reins of the Narnia franchise steered into a costly anthropomorphic wall by Disney. Here's the scoop from Variety (including what they got wrong):

ABC might move Jimmy Kimmel Live to compete with Conan O'Brien's Tonight Show, the New York Times is reporting. ABC is pissed about the story. But it gives Kimmel reason to smile.

• Dark days at the Times: The newspaper's in "advanced discussions" to sell a "substantial portion" of its Renzo Piano-designed headquarters. [NYT]
• Disney is merging its ABC TV network with ABC Studios. [WSJ]
• WNET-Thirteen is cutting budgets and laying off staff. [NYO]
• In Style publisher Lynette Harrison Brubaker is leaving the company. [WWD]
• Katie Couric will go primetime next Wednesday. [NYT]
• The final inauguration ratings are in. [AdAge]
• Is Condé Nast just publishing the same story in its various magazines? [FB]
• The Tribune Co. has sold off the Cubs for $900 million. [Chicago Trib]

In your Monday live-from-the-Chinatown-bus media column: Broke newspapers, Disney saved by Monkees, and Conde Nast's desperate peanut butter restrictions:

While Steve Jobs' famed "reality distortion field" transformed, despite all odds, computers, music, movies and cell phones, it is his own body which has proven resistant to his formidable power to reshape the world.

For years, the likes of Hannah Montana and the Jonas Bros. have ruled the kiddie icon market. No more. Soon, heterosexual boys will have their own channel full of crappy Disney tween characters from hell.

Disney announced today that it will not continue filming the Chronicles of Narnia series, prematurely snuffing an enormous franchise that the studio had clearly positioned as its Harry Potter. Here's why we're not surprised.