Dauman, speaking at a PaineWebber conference, said an IPO for 10 to 20 per cent of the unit could still come in the first quarter, but the timing will depend in part on market conditions.

Asked about overall fourth quarter performance, Dauman declined to provide details except to say, ``We feel good about the fourth quarter.'' He said same-store comparisons at Blockbuster were strong in the period, adding that even stronger results were possible since the Christmas holiday was still to come.

Dauman added that Viacom expects blockbuster's cash flow to be in the ``strong double digits'' in 1999, while growth in rental sales should also be in the double digits.

On the issue of Viacom's struggling mini-TV network, UPN, Dauman said Viacom remains 100 per cent behind it. ``We are committed to it forthe long term,'' he said.

UPN has had a poor ratings showing, and recently there have been several affiliate defections.

Asked if the company saw any cable networks it was interested in buying, Dauman said, ``We don't see any opportunities out there.''

Earlier this year Viacom chairman Sumner Redstone said he would like to buy a cable channel.