December 2, 2002 | Advertising Age |S-12 AdAgeSPECIALREPORT SALARY SURVEY

TOP EXECUTIVE COMPENSATION FOR MAJOR MARKETERS, AGENCIES, AND NON-PROFIT ORGANIZATIONS TOTAL 2001 % 2001 2001 2001 TOTAL 2001 % 2001 2001 2001 Food EXECUTIVE, TITLE, & AGE COMPENSATION* CHG SALARY BONUS ALL OTHER EXECUTIVE, TITLE, & AGE COMPENSATION* CHG SALARY BONUS ALL OTHER Campbell Soup Co. Douglas R. Conant, Pres/CEO, 51 $3,237 86.6 $942 $1,987 $309 WPP Group Martin S. Sorrell, Group chief exec, WPP Group, 57 $3,623 35.9 $1,223 $1,875 $525 ConAgra Foods Bruce C. Rohde, Chmn/Pres/CEO, 53 5,970 508.2 950 2,969 2,051 WPP Group Michael J. Dolan, CEO Young & Rubicam, 55 1,632 696.1 800 800 32 General Mills Stephen W. Sanger, Chmn/CEO, 56 6,090 33.1 784 941 4,364 WPP Group Peter A. Schweitzer, Pres/CEO, J. Walter Thompson Co. 62 1,453 41.5 733 325 395 H.J. Heinz Co. William R. Johnson, Chmn/Pres/CEO, 53 5,199 13.1 1,050 368 0 WPP Group Shelly Lazarus, Chmn/CEO, Ogilvy & Mather Worldwide, 55 2,125 -79.2 850 775 500 Kellogg Co. Carlos M. Gutierrez, Chmn/Pres/CEO, 48 3,242 242.9 888 1,278 0 Philip Morris Cos.10 Louis C. Camilleri, Chmn/CEO, 47 3,132 -46.1 985 1,465 682 MEDIA COMPANIES Sara Lee Corp. C. Steven McMillan, Pres/CEO, 55 3,597 0.0 1,000 1,305 1,292 Broadcast Personal care General Electric Co.14 Jeffery R. Immelt, Chmn/CEO, 46 45,690 NA 3,325 10,000 32,365 71 9,206 21.5 4,357 3,000 1,849 Colgate-Palmolive Co. Reuben Mark, Chmn/CEO, 63 11,401 -6.7 1,462 3,475 6,463 News Corp. K. Rupert Murdoch, Chmn/CEO, 51 10,259 602.6 800 0 9,459 Estee Lauder Cos. Fred H. Langhammer, Pres/CEO, 58 8,984 -23.4 2,000 1,500 5,484 Univision Communications Ray Rodriguez, Pres/COO, 58 15,389 -9.9 3,300 12,000 89 Gillette Co. James M. Kilts, Chmn/CEO, 54 2,788 NA 948 1,250 590 Viacom Mel Karmazin, Pres/COO, 78 15,601 -9.0 3,300 12,000 301 Kimberly-Clark Corp. Wayne R. Sanders, Chmn/CEO, 54 14,768 340.7 950 0 13,818 Viacom Sumner Redstone, Chmn/CEO, 59 1,004 -98.6 1,000 0 4 Procter & Gamble Co. A.G. Lafley, Chmn/Pres/CEO, 55 8,908 229.7 1,370 2,250 5,288 Walt Disney Co. Michael D. Eisner, Chmn/CEO, 54 2,009 -36.5 998 749 262 Unilever Antony Burgmans, Chmn Unilever NV, 55 3,064 -18.1 932 1,060 1,072 Young Broadcasting Vincent J. Young, Chmn/CEO, Unilever Niall FitzGerald, Chmn Unilever PLC, 56 3,006 47.4 1,211 1,378 417 Cable Restaurants AOL Time Warner15 Richard D. Parsons, CEO, 53 28,203 282.5 1,000 0 27,203 43 128,292 75.7 1,000 0 127,292 Darden Restaurants Joe R. Lee, Chmn/CEO, 61 5,426 8.9 775 1,086 3,565 AOL Time Warner Stephen M. Case, Chmn, 61 7,108 124.6 1,600 0 5,508 McDonald’s Corp. Jack Greenberg, Chmn/CEO, 59 5,632 10.8 1,375 1,200 3,058 Cablevision Systems Corp. James L. Dolan, Pres/CEO, 42 4,831 -53.5 1,103 1,654 2,075 Wendy’s International John T. Schuessler, Chmn/Pres/CEO, 51 3,352 65.2 790 1,717 845 Comcast Corp. Brian L. Roberts, Pres, 59 1,534 -50.1 993 535 6 Yum Brands David C. Novak, Chmn/Pres/CEO, 49 5,257 119.4 946 1,283 3,029 Cox Communications James O. Robbins, Pres/CEO, EchoStar Communications Corp. Charles W. Ergen, Chmn/CEO, 49 2,163 -79.0 250 750 1,163 Retail Magazines Best Buy Co. Richard M. Schulze, Chmn/CEO/founder, 61 11,380 -44.0 1,050 1,702 8,628 60 2,704 1.2 900 1,157 648 Circuit City Stores W. Alan McCollough, Pres/CEO, 52 1,995 64.4 950 1,045 0 Martha Stewart Living Omnimedia Martha Stewart, Chmn/CEO, 53 2,953 -22.8 967 660 1,326 Dillard’s William Dillard II, CEO, 57 867 -1.0 710 0 157 McGraw-Hill Cos. Harold W. McGraw III, Chmn/Pres/CEO, 61 1,877 0.6 725 375 777 Federated Dept. Stores James M. Zimmerman, Chmn/CEO, 58 1,777 -41.4 1,250 450 77 Meredith Corp. William T. Kerr, Chmn/CEO, 50 1,444 24.9 600 50 794 Home Depot Robert L. Nardelli, Chmn/Pres/CEO, 53 23,109 -25.0 1,529 5,000 16,581 Penton Media Thomas L. Kemp, CEO, 49 957 -27.8 600 347 10 J.C. Penney Corp. Allen Questrom, Chmn/CEO, 62 3,454 -79.1 1,308 1,897 248 Playboy Enterprises Christie Hefner, Chmn/CEO, 47 1,259 -37.4 1,248 0 10 Kmart Corp.11 James B. Adamson, Chmn/CEO, 55 2,443 -16.4 1,099 1,281 63 Primedia Thomas S. Rogers, Chmn/CEO, 58 1,755 -22.8 750 725 280 Lowe’s Cos. Robert L. Tillman, Chmn/CEO, 58 20,687 NA 935 1,916 17,836 Reader’s Digest Assn. Thomas O. Ryder, Chmn/CEO, 52 1,652 -1.8 1,168 454 29 May Department Stores Co. Eugene S. Kahn, Pres/CEO, 52 1,774 -15.5 1,371 190 213 Reed Elsevier Crispin H. Davis, Chief executive, Office Depot Bruce Nelson, Chmn/CEO, 57 3,120 9.1 1,000 1,000 1,120 Newspaper Sears, Roebuck & Co. Alan J. Lacy, Chmn/CEO, 48 2,253 30.1 900 673 680 50 1,141 -43.4 889 0 252 Target Corp. Robert J. Ulrich, Chmn/CEO, 58 16,071 166.5 1,415 3,700 10,955 A. H. Belo Corp. Robert W. Decherd, Chmn/Pres/CEO, 59 2,969 -12.0 922 260 1,788 Wal-Mart Stores H. Lee Scott, Pres/CEO, 53 11,056 23.9 1,123 1,785 8,148 Dow Jones & Co. Peter R. Kann, Chmn/CEO, E.W. Scripps Co. Kenneth W. Lowe, Pres/CEO, 51 5,651 45.2 800 0 4,851 Soft drinks Gannett Co. Douglas H. McCorkindale, Chmn/Pres/CEO, 62 11,294 52.0 1,600 1,850 7,844 51 2,710 74.8 950 138 1,622 Coca-Cola Co. Douglas N. Daft, Chmn/CEO, 58 55,122 -39.9 1,500 3,500 50,122 Journal Register Co. Robert M. Jelenic, Chmn/Pres/CEO, 61 3,801 14.2 936 0 2,865 PepsiCo Roger A. Enrico, Vice chmn, 57 4,933 -42.7 0 4,500 433 Knight-Ridder P. Anthony Ridder, Chmn/CEO, 60 5,590 187.2 205 950 4,435 PepsiCo Steven S. Reinemund, Chmn/CEO, 53 5,509 35.7 985 3,500 1,024 Lee Enterprises Richard D. Gottlieb, Chmn/CEO, McClatchy Newspapers Gary B. Pruitt, Chmn/Pres/CEO, 44 1,926 59.2 825 300 801 Telecommunications Media General J. Stewart Bryan III, Chmn/CEO, 63 4,512 265.8 875 0 3,637 Alltel Corp. Joe T. Ford, Chmn/CEO, 64 3,598 -39.1 1,000 1,250 1,348 New York Times Co. Arthur O. Sulzberger Jr., Chmn, 50 3,264 -6.9 920 0 2,344 AT&T Corp. C. Michael Armstrong, Chmn/CEO, 63 9,589 40.3 1,800 2,214 5,575 New York Times Co. Russell T. Lewis, Pres/CEO, 54 4,240 17.7 920 0 3,320 AT&T Wireless John D. Zeglis, Chmn/Pres/CEO, 54 3,459 -55.4 1,103 1,246 1,110 Pulitzer Co. Robert C. Woodworth, Pres/CEO, 54 2,342 1.1 679 273 1,390 BellSouth Corp. F. Duane Ackerman, Chmn/Pres/CEO, 59 3,276 -35.9 1,300 1,702 274 Tribune Co. John W. Madigan, Chmn/CEO, 64 2,967 -45.7 977 0 1,990 Nextel Communications Timothy M. Donahue, Pres/CEO, 53 1,309 -95.9 511 696 102 Washington Post Co. Donald E. Graham, Chmn/CEO, 56 809 38.6 400 0 409 SBC Communications Edward E. Whiteacre Jr., Chmn/CEO, 60 25,048 -33.8 2,067 3,800 19,182 Sprint Corp. William T. Esrey, Chmn/CEO, 62 1,523 -97.5 1,075 213 235 NON-PROFIT ORGANIZATIONS Verizon Communications Charles R. Lee, Chmn/Co-CEO, 62 21,759 102.8 1,750 2,844 17,165 Non-profit Verizon Communications Ivan G. Seidenberg, Pres/Co-CEO, 55 13,489 39.1 1,500 2,438 9,552 Advertising Council Peggy Conlon, Pres/CEO, 51 360 34.6 339 0 21 WorldCom12 Bernard J. Ebbers, Pres/CEO, 60 1,048 -90.5 1,000 0 48 Advertising Research Foundation James Spaeth, Pres/CEO, 54 348 30.6 333 0 15 WorldCom Bert C. Roberts Jr., Chmn, 59 1,132 -95.4 1,050 0 82 American Advertising Federation Wallace Snyder, Pres, 61 250 -4.4 231 0 19 Toys American Assn. of Advertising Agencies O. Burtch Drake, Pres, 62 641 24.6 603 0 38 American Business Media Gordon T. Hughes, Pres, 62 454 63.3 349 0 105 53 1,102 -34.9 1,006 0 97 Hasbro Alan G. Hassenfeld, Chmn/CEO, American Legacy Foundation Cheryl Healton, Pres/CEO, 49 345 169.5 247 0 98 47 2,183 -82.8 1,250 803 130 Mattel Robert A. Eckert, Chmn/CEO, American Marketing Association Dennis Dunlap, CEO, NA 284 NA 284 0 0 Audit Bureau of Circulations Michael J. Lavery, Pres/Mg dir, 52 427 13.6 409 0 18 AGENCIES BPAI Glenn Hansen, Pres/CEO, 44 323 24.9 303 0 20 Ad Agency Cable & Telecomm. Assn. for Marketing Char A. Beales, Pres/CEO, NA 507 14.4 493 0 14 Cordiant Communications Group Charles Scott, Chmn, 53 792 114.4 288 0 503 Cabletelevision Advertising Bureau Joseph W. Ostrow, Pres, 70 475 0.0 420 0 55 Cordiant Communications Group13 Michael Bungey, CEO, 62 1,446 -26.5 942 0 504 Cellular Telecomm. & Internet Assn. Thomas E. Wheeler, Pres, 56 1,278 20.6 918 0 360 Grey Global Group Edward H. Meyer, Chmn/CEO, 74 4,665 0.0 2,900 450 1,315 Food Marketing Institute Timothy Hammonds, Pres, 58 893 10.4 588 0 305 Interpublic Group of Cos. Frank B. Lowe, Chmn, Lowe Group, 61 4,798 48.9 1,000 100 3,698 International Advertising Assn.16 Richard M. Corner, Exec dir, NA 222 6.7 186 0 36 Interpublic Group of Cos. James R. Heekin III, Chmn, McCann, 57 5,490 59.1 920 400 4,170 Motion Picture Assn. of America Jack Valenti, Pres/CEO, 80 1,169 9.8 1,110 0 59 Interpublic Group of Cos. John J. Dooner Jr., Chmn/Pres/CEO, 54 3,382 -80.9 1,250 500 1,632 National Assn. of Broadcasters Edward O. Fritts, Pres/CEO, 61 459 -43.8 390 0 69 Omnicom Group Allen Rosenshine, Chmn/CEO, BBDO Worldwide, 64 6,770 -45.8 985 1,100 4,685 National Assn. of TV Program Execs Bruce Johansen, Pres/CEO, 61 608 18.1 540 0 68 Omnicom Group John D. Wren, Pres/CEO, 49 2,190 -29.3 875 1,300 15 National Cable & Telecomm. Assn. Robert Sachs, Pres/CEO, 53 1,091 NA 1,081 0 10 Omnicom Group Keith L. Reinhard, Chmn/CEO, DDB Worldwide, 68 13,628 -1.8 925 1,100 11,603 Outdoor Advertising Assn. of America Nancy J. Fletcher, Pres, 48 456 -7.1 426 0 30

Notes to executive salaries 2001 from James E. Goodwin after Mr. Goodwin was let go. Mr. retirement of Charles A. Heimbold. named Michael D. Capellas the new CEO in mid-November. *Total compensation (in thousands) includes salary, bonus, and Tilton’s current year compensation is annualized for 2002 and 9. William C. Weldon became chairman/CEO of Johnson & 13. Cordiant CEO Michael Bungey retires March 2003 and will be “all other”, a combination of various forms of payment in the based on his contract. His prior-year numbers are what he drew Johnson in April 2002, replacing Ralph S. Larsen, who retired. replaced by David Hearn, CEO of Bates Worldwide. in 2001 from ChevronTexaco Corp. where he was vice chairman. proxy statement: long-term incentive payouts, realized gains Mr. Weldon was vice chairman. 14. Jeffery R. Immelt became chairman/CEO of General Electric from the sale of stock options, and columns variously labeled 5. William Clay Ford Jr. became chairman/CEO at Ford Motor Co. Co. in January 2001, replacing Jack Welch who retired. “other” annual compensation and “all other” compensation. 10. Salary for Philip Morris Cos.’ Chairman/CEO Louis C. Camilleri in October 2001 at the retirement of Jacques Nasser, former 15. Richard D. Parsons became CEO in early 2002 after the president/CEO. was for his position as senior VP/CFO in 2001, prior to his elec- 1. AMR’s Donald J. Carty waived his base salary from Oct. 1 to tion as CEO in April 2002 and chairman in August at the retire- retirement of former CEO Gerald M. Levin. Mr. Parsons had been Dec. 31 as did several other top AMR execs. 6. Hershey’s Richard H. Lenny added to his president/CEO posi- ment of then Chairman Geoffrey C. Bible. co-chief operating officer. 2. Salary for Delta Air Lines’ Lee F. Mullin in 2000 was for six tion the title of chairman at the retirement in March 2002 of 16. Richard M. Corner, executive director, carried the top salary Kenneth L. Wolfe. 11. James. B. Adamson replaced Charles Conaway as months. He also waived his salary from Oct. 1 to Dec. 31, 2001. chairman/CEO of Kmart Corp. when Mr. Conaway was terminated at the International Advertising Association in 2001, during the 3. Southwest Airlines’ Frank F. Parker replaced Herbert D. 7. IMB Corp. Chairman Louis V. Gerstner Jr., relinquished his CEO ti- in March 2002. Mr. Adamson’s pay is from his former employer, time of transition between the retirement of Norman Vale and Kelleher as CEO in June 2001. He waived his salary from tle in early 2002 to Samuel J. Palmisano, then president/COO, and Advantica Restaurant Group, where he was chairman/CEO. the hiring of Wally O'Brien as director general. Oct. 1 to Dec. 1. He previously was VP-general counsel. will leave IBM this year to become chairman of Carlyle Group. 12. Bernard J. Ebbers resigned as president/CEO of Worldcom in Total compensation among non-profits is the most recent filing 4. UAL’s Glenn Tilton became chairman/CEO in September 2002, 8. Bristol-Myers Squibb’s Chairman/CEO Peter R. Dolan became April 2002, and was replaced temporarily by the company’s Vice from the IRS. Few non-profit execs receive bonuses. “All Other” replacing interim CEO John W. Creighton who took over in late CEO in May 2001 and chairman in September 2001 at the Chairman John Sidgmore. Mr. Sidgmore led the search team that generally includes benefits, expenses and other allowances.