Viacom Discloses Terms Of Dauman's Golden Parachute

Philippe Daumann

Philippe Dauman will leave his post as Viacom chairman-CEO next month with a $46 million check in hand as part of a severance package estimated to be worth about $72 million.

Accoridng to Variety, Dauman will also be eligible for a 2016 bonus of up to $20 million, under the terms of the settlement disclosed Tuesday morning in a Securities and Exchange Commission filing by Viacom, the media conglom that Dauman has led for the past 10 years.

The filing also confirms that new Viacom board member Thomas May, chairman of Massachusetts-based Eversource Energy, has already been elected to serve as non-executive chairman following Dauman’s exit on Sept. 13. Dauman’s role as CEO will be filled by his longtime lieutenant, former Viacom COO Thomas Dooley, through at least Sept. 30, which marks the end of Viacom’s fiscal year.

The deal calls for Dauman to receive a severance payment of $58 million, most of which will be payable upon his exit. The remaining $11.6 million will be paid out over the next 29 months. The ousted CEO also gets to keep his health care package for two years, while Viacom will fund outside office space for him and the salary and benefits for his executive assistant for three more years.

On Monday, Viacom disclosed that as part of the settlement agreement it had accelerated the vesting of 300,000 shares, at a value of about $12.85 million, that Dauman was entitled to as part of a stock award he received in January 2015.