Sec Form 4 Filing - SCHWARTZ WILLIAM @ VIACOM INC - 2005-12-31

Insider filing report for Changes in Beneficial Ownership
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FORM 4
Check this box if no longer subject to Section 16. Form 4 or Form 5 obligations may continue. See Instruction 1(b).
UNITED STATES SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
STATEMENT OF CHANGES IN BENEFICIAL OWNERSHIP
Filed pursuant to Section 16(a) of the Securities Exchange Act of 1934, Section 17(a) of the Public Utility Holding Company Act of 1935 or Section 30(h) of the Investment Company Act of 1940
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1. Name and Address of Reporting Person
SCHWARTZ WILLIAM
2. Issuer Name and Ticker or Trading Symbol
VIACOM INC [ VIA, VIAB]
5. Relationship of Reporting Person(s) to Issuer
(Check all applicable)
X __ Director _____ 10% Owner
_____ Officer (give title below) _____ Other (specify below)
(Last) (First) (Middle)
1515 BROADWAY
3. Date of Earliest Transaction (MM/DD/YY)
12/31/2005
(Street)
NEW YORK, NY10036
4. If Amendment, Date Original Filed (MM/DD/YY)
6. Individual or Joint/Group Filing (Check Applicable Line)
__ X __ Form filed by One Reporting Person
_____ Form filed by More than One Reporting Person
(City) (State) (Zip)
Table I - Non-Derivative Securities Acquired, Disposed of, or Beneficially Owned
1.Title of Security
(Instr. 3)
2. Transaction Date (MM/DD/YY) 2A. Deemed Execution Date, if any (MM/DD/YY) 3. Transaction Code
(Instr. 8)
4. Securities Acquired (A) or Disposed of (D)
(Instr. 3, 4 and 5)
5. Amount of Securities Beneficially Owned Following Reported Transaction(s)
(Instr. 3 and 4)
6. Ownership Form: Direct (D) or Indirect (I)
(Instr. 4)
7. Nature of Indirect Beneficial Ownership
(Instr. 4)
Code V Amount (A) or (D) Price
Class B common stock 12/31/2005 D 9,000 D 0 D
Table II - Derivative Securities Acquired, Disposed of, or Beneficially Owned
( e.g. , puts, calls, warrants, options, convertible securities)
1. Title of Derivative Security
(Instr. 3)
2. Conversion or Exercise Price of Derivative Security 3. Transaction Date (MM/DD/YY) 3A. Deemed Execution Date, if any (MM/DD/YY) 4. Transaction Code
(Instr. 8)
5. Number of Derivative Securities Acquired (A) or Disposed of (D)
(Instr. 3, 4, and 5)
6. Date Exercisable and Expiration Date
(MM/DD/YY)
7. Title and Amount of Underlying Securities
(Instr. 3 and 4)
8. Price of Derivative Security
(Instr. 5)
9. Number of Derivative Securities Beneficially Owned Following Reported Transaction(s)
(Instr. 4)
10. Ownership Form of Derivative Security: Direct (D) or Indirect (I)
(Instr. 4)
11. Nature of Indirect Beneficial Ownership
(Instr. 4)
Code V (A) (D) Date Exercisable Expiration Date Title Amount or Number of Shares
Director Stock Option (right to buy) $ 34.25 12/31/2005 D 3,000 08/01/1999 08/01/2008 Class B common stock 3,000 ( 2 ) 0 D
Director Stock Option (right to buy) $ 41.9375 12/31/2005 D 3,000 08/01/2000 08/01/2009 Class B common stock 3,000 ( 2 ) 0 D
Director Stock Option (right to buy) $ 70 12/31/2005 D 3,000 08/01/2001 08/01/2010 Class B common stock 3,000 ( 2 ) 0 D
Director Stock Option (right to buy) $ 55.2 12/31/2005 D 3,000 01/31/2002 01/31/2011 Class B common stock 3,000 ( 2 ) 0 D
Director Stock Option (right to buy) $ 39.99 12/31/2005 D 3,000 01/31/2003 01/31/2012 Class B common stock 3,000 ( 2 ) 0 D
Director Stock Option (right to buy) $ 38.55 12/31/2005 D 3,000 01/31/2004 01/31/2013 Class B common stock 3,000 ( 2 ) 0 D
Director Stock Option (right to buy) $ 40.3 12/31/2005 D 4,000 ( 3 ) 01/31/2014 Class B common stock 4,000 ( 2 ) 0 D
Director Stock Option (right to buy) $ 37.34 12/31/2005 D 4,000 ( 4 ) 01/31/2015 Class B common stock 4,000 ( 2 ) 0 D
Phantom Class A Common Stock Units ( 5 ) 12/31/2005 D 21,645 ( 5 ) ( 5 ) Class A common stock 21,645 ( 6 ) 0 D
Phantom Class B Common Stock Units ( 5 ) 12/31/2005 D 21,969 ( 5 ) ( 5 ) Class B common stock 21,969 ( 6 ) 0 D
Restricted Share Units ( 7 ) ( 8 ) 12/31/2005 D 1,563 05/26/2006( 8 ) ( 8 ) Class B common stock 1,563 ( 9 ) 0 D
Reporting Owners
Reporting Owner Name / Address Relationships
Director 10% Owner Officer Other
SCHWARTZ WILLIAM
1515 BROADWAY
NEW YORK, NY10036
X
Signatures
By: /s/ Michael D. Fricklas, Attorney-in-Fact 01/04/2006
Signature of Reporting Person Date
Explanation of Responses:
( 1 )Disposed of pursuant to a merger between Viacom Inc. and Viacom Merger Sub Inc. (the Merger), in exchange for 0.5 shares of CBS Corporation Class B common stock and 0.5 shares of New Viacom Corp. (New Viacom) Class B common stock for each share of Viacom Class B common stock, with cash in lieu of any fractional shares of CBS Corporation Class B common stock and New Viacom Class B common stock. On January 3, 2006, the first business day following the effective time of the Merger, the opening price of CBS Corporation Class B common stock on the New York Stock Exchange was $25.60 per share and the opening price of New Viacom Class B common stock on the New York Stock Exchange was $41.12 per share. Viacom Inc. changed its name to CBS Corporation upon completion of the Merger.
( 2 )In the Merger, each grant of stock options to buy Viacom Class B common stock was converted into a number of stock options to buy New Viacom Class B common stock determined by multiplying the number of outstanding stock options included in the grant before the Merger by 0.792802. The per share exercise price of the converted stock options was determined by dividing the pre-Merger exercise price by 0.792802.
( 3 )These options vest in three equal annual installments beginning on January 31, 2005.
( 4 )These options vest in three equal annual installments beginning on January 31, 2006.
( 5 )Phantom Common Stock Units are paid out after the Director's retirement from the Board and are settled in cash. Each Phantom Class A Common Stock Unit was the economic equivalent of one share of Viacom Class A common stock and each Phantom Class B Common Stock Unit was the economic equivalent of one share of Viacom Class B common stock.
( 6 )In the Merger, each Viacom Phantom Class A Common Stock Unit was deemed to be exchanged for 0.5 CBS Corporation Phantom Class A Common Stock Units and 0.5 New Viacom Corp. (New Viacom) Phantom Class A Common Stock Units; and each Viacom Phantom Class B Common Stock Unit was deemed to be exchanged for 0.5 CBS Corporation Phantom Class B Common Stock Units and 0.5 New Viacom Phantom Class B Common Stock Units. On January 3, 2006, the first business day following the effective time of the Merger, the opening price of CBS Corporation Class A common stock on the New York Stock Exchange was $25.60 per share, the opening price of CBS Corporation Class B common stock on the New York Stock Exchange was $25.60 per share, the opening price of New Viacom Class A common stock on the New York Stock Exchange was $40.00 per share and the opening price of New Viacom Class B common stock on the New York Stock Exchange was $41.12 per share.
( 7 )Granted under the Viacom Inc. 2005 RSU Plan for Outside Directors.
( 8 )Each Restricted Share Unit was the economic equivalent of one share of Viacom Class B common stock. The Restricted Share Units will vest on May 26, 2006 and will be settled by delivery of a corresponding number of shares upon vesting, as described in the following footnote, unless the Reporting Person has elected to defer settlement.
( 9 )In the Merger, each grant of Restricted Share Units of Viacom Class B common stock was converted into a number of Restricted Share Units of New Viacom Class B common stock determined by multiplying the number of restricted share units included in the grant before the Merger by 0.792802.

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