Oct. 18 (Bloomberg) -- Viacom Inc. plans to pay $84.8 million to former Chief Executive Officer Tom Freston, ousted by Chairman Sumner Redstone last month after less than a year in the top job.

Freston will receive $58.9 million in severance, the New York-based media company said in a regulatory filing today. He also will get $7.4 million in deferred compensation, $5.7 million in a retirement-fund payout and $9.8 million in stock.

The agreement with Freston, who built MTV Networks for Viacom, compares with entertainment-industry figures including Michael Ovitz and Jeffrey Katzenberg, who left Michael Eisner's Walt Disney Co., said executive recruiter John Challenger. Ovitz got $140 million and Katzenberg in 1999 settled a $580 million lawsuit with Disney for an undisclosed amount.

``Because of his connections in the industry, they may very well have said, `We don't want him mad at us,''' Challenger, who is chief executive of Chicago-based Challenger Gray & Christmas, said in an interview. ``$80 million goes a long way to ensure your loyalty and to make sure you stay on message.''

Freston, 60, agreed to let Viacom delay the start of payments for six months, rather than the 30 days called for in his employment contract. He also will be paid $1 million a year as a consultant until 2009.

``It's an advisory contract, and he'll help with the transition,'' Viacom spokesman Carl Folta said in an interview. ``If he doesn't get another job or chooses to terminate the contract, the maximum he could get is $3 million over three years.''

The company will pay Freston half his severance in a lump sum in March, with the rest over three years. During that time he will receive company-provided insurance. Freston also will get 90,141 shares of Viacom at a cost of about $10 million to the company, according to the filing.

Redstone, 83, removed Freston after he failed to boost the company's stock price, which fell 10 percent between Viacom's split from CBS Corp. at the start of the year and when Freston was replaced Sept. 5 after working for Redstone for more than 20 years.

In 2005, Viacom paid Freston $22.7 million, including $5.31 million in salary, a $13 million bonus and restricted stock grants worth $4.3 million. The company is paying his replacement, Philippe Dauman at least $21 million a year, including a $2 million salary, a bonus of at least $7 million and options worth $12 million.

Viacom shares rose 11 cents to $38.90 at 4 p.m. in New York Stock Exchange composite trading. They have fallen 5.5 percent this year. The company reported in August that second-quarter net income rose 24 percent to $437.3 million.

To contact the reporter on this story: Andy Fixmer in Los Angeles at afixmer@bloomberg.net.

Last Updated: October 18, 2006 16:02 EDT