CBS Corp. Reduces Redstone’s Salary

NEW YORK, March 13: CBS Corporation has reduced executive
chairman Sumner Redstone’s salary from $1.75 million to $1 million, and his
deferred compensation, presently $1.3 million per year, will be eliminated.

In addition, Redstone’s target cash bonus under CBS's
short-term incentive plan will be reduced from $6.1 million to $3.5 million per
year. Redstone will receive an annual award of stock options having a
grant-date value of $3 million. He will also receive an annual award of
performance share units (PSU's) with a target value of $3 million.

CBS said the new compensation structure is tied more toward
shareholder returns and less on cash salary and bonuses. The majority of
Redstone's total compensation will now be determined directly by the
performance of CBS Corporation's stock, and returns to its shareholders. The
agreement with CBS Corporation closely mirrors Redstone's recently revised
employment package with Viacom Inc., where he is also executive chairman.

"The pay-for-performance model is one I have long
championed, as it more closely aligns executive compensation with the returns
the company generates for its shareholders," said Redstone. "I want
to thank the Board and the Compensation Committee for making this prudent
decision, and for the counsel they have provided CBS Corporation throughout the
past year."