CBS Corporation Delivers Q4 Profit

NEW YORK, February 27: CBS Corporation has reported a
fourth-quarter profit of $335 million, versus last year’s loss of $9.1 billion,
while full-year profit rose to $1.7 billion from a $7.1 billion loss for 2005.

"CBS' first year out of the gate was a great one,"
said Sumner Redstone, the executive chairman of CBS Corporation. "Our
strong performance in the fourth quarter and full year of 2006 is the result of
strategic vision and operational excellence. Leslie [Moonves, the president and
CEO of CBS Corporation] and his team are building our existing businesses to
capitalize on the digital revolution and to position CBS for continued success
well into the future."

Moonves added: "CBS' fourth quarter results capped off
a strong first year as a stand-alone company. Strong fourth quarter operating
results at Television, Outdoor and Publishing helped us surpass our key
financial targets for the year. Looking forward, we will continue to focus on
running our core operations effectively; reshaping our portfolio into
better-margin, higher-growth businesses; using the interactive opportunity to
deepen and broaden our relationship with audiences; and receiving compensation
for our content through retransmission consent agreements and new interactive
platforms. I am confident that the Company is well positioned to deliver
long-term growth, strong cash flow, and increased value for our
shareholders."

For the fourth quarter, revenues rose 2 percent to $3.9
billion. Television revenues grew by 3 percent to $2.6 billion, with an
operating income of $487.1 million, a 24 percent gain. The division,
encompassing broadcast and cable TV, production and distribution, saw TV
license fees rise by 45 percent, principally due to the second-cycle cable sale
of Star Trek: Voyager. Affiliate
revenues increased 9 percent due to rate increases and subscriber growth at
Showtime and the inclusion of CSTV Networks, acquired in January 2006.
Advertising revenues increased slightly as higher political advertising sales
at the television stations were primarily offset by lower revenues from the
absence of UPN, which in September was merged with The WB to create The CW.
Home entertainment revenues decreased 61 percent.

For the year, revenues were up just 1 percent to $14.3
billion, with TV revenues up 2 percent to $9.5 billion. Operating income for
the TV segment rose 8 percent to $1.8 billion. Television license fees
increased 26 percent primarily due to CSI: Miami, Frasier, Star
Trek: Voyager and Without A Trace. Affiliate revenues increased 8 percent, but ad
revenues fell 11 percent and home entertainment revenues were down 68 percent,
principally due to the switch from self-distribution in 2005 to third-party
distribution in 2006.