FOR IMMEDIATE RELEASE CONTACT: Corporate Communications 214/854-3190   VIACOM AGREES TO SELL BLOCKBUSTER MUSIC® TO WHEREHOUSE ENTERTAINMENT, INC. FOR $115 MILLION Sale Includes 378 Music Retail Stores Across The U.S. New York, NY, August 11, 1998 -- Viacom Inc. (Amex: VIA and VIAB) announced today that it has signed a definitive agreement to sell Blockbuster Music, part of its Blockbuster Entertainment Group, to Wherehouse Entertainment, Inc. for $115 million in cash. Subject to customary conditions, the transaction includes 378 Blockbuster Music retail stores across the United States and is expected to close in the fourth quarter. Blockbuster Music generated $590 million in revenue and $1.9 million in EBITDA in the year ended December 31, 1997, excluding unallocated overhead and the effect of a charge taken in 1997. Sumner M. Redstone, Chairman and Chief Executive Officer of Viacom Inc., said, "We are extremely pleased with this transaction, which is another step in Blockbuster's revitalization and will enhance its ability to focus on what it does best while at the same time further reducing Viacom's debt. In addition, we believe our music business will be better served as part of Wherehouse Entertainment, Inc., which is an experienced retailer dedicated to the music business." Viacom Inc. is one of the world's largest entertainment and publishing companies and is a leading force in nearly every segment of the international media marketplace. The operations of Viacom include Blockbuster, MTV Networks, Paramount Pictures, Paramount Television, Paramount Parks, Showtime Networks, Simon & Schuster, 18 television stations, and movie screens in 12 countries. Viacom also owns approximately 80% of Spelling Entertainment Group, as well as a half-interest in Comedy Central and UPN. National Amusements, Inc., a closely held corporation which operates approximately 1,200 screens in the U.S., the U.K. and South America, is the parent company of Viacom. More information about Viacom is available at the Company's Web site located at http://www.viacom.com. ### |  Current Releases   |  Archives   |   BLOCKBUSTER name, design and related marks are trademarks of Blockbuster Entertainment Inc. © 1998 Blockbuster Entertainment Inc. All rights reserved.