Simplify the following text for a Grade 7 native English-speaking person.
Original: On December 11 , 2005 , The Paramount Motion Pictures Group announced that it had purchased DreamWorks SKG ( which was co-founded by former Paramount executive Jeffrey Katzenberg ) in a deal worth $ 1.6 billion .
Simplified: On December 11 , 2005 , Paramount said it had purchased DreamWorks SKG in a deal worth $ 1.6 billion .