ABC News anchor George Stephanopoulos is reportedly “apoplectic” and “humiliated” by the network’s decision to pay $16 million to settle a defamation lawsuit filed by President-elect Donald Trump. Stephanopoulos, who had claimed that Trump raped E. Jean Carroll during an interview with Republican lawmaker Nancy Mace, was especially upset about being forced to apologize, according to a source familiar with the matter, the New York Post reported.
Another source told The Post that “George is defiant,” while a third source said Stephanopoulos “is a very guarded person. His circle of trust is so small, and a lot of them don’t work [at ABC anymore].” The first insider also revealed that the host of This Week had recently signed a contract extension with Disney-owned ABC News, although the source did not disclose the terms of the deal.
The former President Bill Clinton aide has kept a low profile since the settlement was announced. The settlement included a $15 million donation to a presidential foundation and museum for Trump and another $1 million for his attorney fees. He has deactivated his X account, which had more than 2.3 million followers. The first source told The Post that some ABC News staffers expressed frustration with management for maintaining tight control over coverage of the settlement. It was “front page news everywhere yet ABC doesn’t report on itself,” the source lamented.
Three sources told The Post that morale is down after a series of layoffs in all departments. The Trump settlement “is another gut punch,” one of the people said. “It’s sheer level embarrassment. People are furious.” The settlement was announced a day after a judge ruled that Stephanopoulos and Trump must sit for depositions in the case, which were scheduled for this week. “This wasn’t a news division decision, it was a company decision,” one of the sources speculated, adding: “They likely didn’t want to go through discovery, when you search all the documents and all the emails and find everything that’s said, and turn it over to the other side.”
A knowledgeable source told The Post that the network’s insurance will cover the $16 million payout. The network and Stephanopoulos released a joint statement on Saturday. “ABC News and George Stephanopoulos regret statements regarding President Donald J. Trump made during an interview by George Stephanopoulos with Rep. Nancy Mace on ABC’s ‘This Week’ on March 10, 2024,” the statement said.
In a sign that Disney is seeking a reset with the president-elect, Debra O’Connell, who oversees ABC News, visited Mar-a-Lago to meet with Trump, according to Puck News. Industry insiders speculated that Disney CEO Bob Iger wanted to resolve the legal matter before Trump took office, fearing it could impact other departments in the company’s portfolio that are subject to government regulation.
The Post added: “Iger is also said to be mindful of the reputational damage that Disney absorbed from its years-long, protracted fight with Florida Gov. Ron DeSantis over the ‘Don’t Say Gay’ legislation that the Mouse House publicly lobbied against — to no avail. The Disney boss may also wish to alter the perception that ABC News has an ax to grind with the incoming president — particularly given the fact that one of his top deputies, Disney Entertainment co-chair Dana Walden, has maintained a decades-long friendship with Vice President Kamala Harris.”