(Recasts paragraphs 1 to 4, adds deal agreement between

Skydance and Paramount)

July 8 (Reuters) -

Skydance Media and Paramount Global ( PARAA ) have agreed to

a merger, the companies announced late on Sunday, marking the

end of an era for the Redstone media empire which was launched

as a chain of movie theaters by Shari Redstone's family in 1936.

Originally named the Northeast Theater Corporation, it

later morphed into National Amusements, which eventually became

one of the largest media companies in the United States, with

Paramount Pictures, CBS and Viacom under its umbrella.

Paramount and Skydance agreed to a two-step process in

which Skydance and its deal partners will acquire National

Amusements, which holds the Redstone family's controlling stake

in Paramount, for $2.4 billion in cash.

After the National Amusements acquisition, Skydance will

merge with Paramount, offering shareholders $4.5 billion in cash

or stock, and add $1.5 billion to Paramount's balance sheet.

Here are the key events leading up to the deal: