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Paramount Cuts Ties With Tom Cruise

It's Tom Cruise vs. Sumner Redstone in a case of I quit-you're fired at Hollywood's highest level. On one side is the chairman of Viacom, Inc., which owns Paramount Pictures. On the other is the industry's biggest and most bankable star, whose last seven films have each generated over $100 million.

Redstone said Tuesday that Paramount would end its long relationship with Cruise/Wagner Productions, Cruise's company with producing partner Paula Wagner. Redstone says that Cruise's "recent conduct has not been acceptable to Paramount."

But Wagner says that they stopped negotiating with Paramount over a week ago and took any contract-renewal deal off the table.

"As much as we like him personally," Redstone said, "we thought it was wrong to renew his deal." He then cited Cruise's "recent conduct" as the reason.

In the past year or so, Cruise couch-hopped on Oprah Winfrey's talk show while proclaiming his love for Katie Holmes (photosKatie Holmes photos), criticized the use of antidepressants and claimed that postpartum depression doesn't exist. He also got into an angry exchange with Matt Lauer on the "Today" show while defending his opinions.

With "War of the Worlds" and "Mission: Impossible 3," Cruise helped earn nearly $1 billion for Paramount this year alone.

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