exv10w19



 






Exhibit 10.19




ARBITRON INC.




Schedule of 2004 Bonuses and 2005 Bonus Parameters

for Named Executive Officers




2004 Bonuses for Named Executive Officers




     On January 27, 2005, the Compensation and Human Resources Committee (the “Committee”) of the
Board of Directors of Arbitron Inc. (the “Company”) met and made certain determinations that affect
the bonuses for executive officers for 2004.



     The Committee previously established certain parameters for determining bonuses for executive
officers for 2004. These parameters included achievement of various objective and subjective
Company performance goals, as well as individual performance goals in certain circumstances. The
bonus determinations for Mr. Steve Morris, the Company’s chief executive officer, and Mr. Bill
Walsh, the Company’s chief financial officer, were established based on the Committee’s review and
determination of the Company’s 2004 performance in comparison to the goals established by the
Committee. Bonuses for Mr. Owen Charlebois and Ms. Janice Giannini, two of the Company’s other
named executive officers, were established based on an assessment of their individual performance
and the determination by the Committee of the Company’s performance based on the goals previously
established by the Committee. As a result of the Committee’s review and determination, the
following executive officers will be entitled to a bonus for 2004 in the amounts set forth below:



	 	 	 
	Name and Principal Position	 	2004 Bonus
	Stephen B. Morris
	 	 
	President and Chief Executive Officer.

	 	77% of 2004 base salary
	Owen Charlebois
	 	 
	President of U.S. Media Services.

	 	51% of 2004 base salary
	William J. Walsh
	 	 
	Executive Vice President of Finance and Planning and
	 	 
	Chief Financial Officer.

	 	44% of 2004 base salary
	Janice Giannini
	 	 
	Executive Vice President and Chief Information Officer

	 	37% of 2004 base salary






The bonus for Mr. Pierre Bouvard, the Company’s other named executive officer in 2004, has not
yet been determined.



2005 Bonus Parameters for Named Executive Officers




     On February 23, 2005, the Compensation and Human Resources Committee (the “Committee”) of the
Board of Directors of Arbitron Inc. (the “Company”) met and approved the establishment of certain
parameters for determining bonuses for executive officers for 2005,



 









 




which would be payable in early 2006.




     The Committee set various objective and subjective Company goals in terms of earnings per
share, revenue and implementation of certain non-financial initiatives, with certain weightings
attributable to achievement of each of these goals. The Committee then established various criteria
for achieving “threshold”, “target” and “superior” performance in relation to these goals. Under
the bonus arrangements currently in place, each executive officer’s bonus can be weighted to take
into account achievement of both Company goals and individual goals. As a general matter, the bulk
of an executive officer’s bonus for 2005 will be determined as a result of achievement of Company
goals, with the remaining portion based on achievement of individual goals, except in the case of
Mr. Steve Morris, the Company’s President and Chief Executive Officer, and Bill Walsh, the
Company’s Executive Vice President, Finance and Planning and Chief Financial Officer, whose bonuses
will be determined entirely on the basis of achievement of Company goals.



     Taking into account the foregoing, the Committee established a “target” bonus for each
executive officer, expressed as a percentage of base salary. The target bonuses for the executive
officers who are expected to be “named executive officers” in 2005 are set forth below:



	 	 	 
	Name and Principal Position	 	2005 Target Bonus
	Stephen B. Morris
	 	 
	President and Chief Executive Officer.

	 	75% of 2005 base salary
	Owen Charlebois
	 	 
	President of U.S. Media Services.

	 	50% of 2005 base salary
	Pierre C. Bouvard
	 	 
	President of
International/New Ventures.

	 	40% of 2005 base salary
	William J. Walsh
	 	 
	Executive Vice President of Finance and Planning and
	 	 
	Chief Financial Officer.

	 	40% of 2005 base salary
	Scott Henry
	 	 
	Executive Vice President and Chief Information Officer

	 	40% of 2005 base salary






     In addition, the Committee approved a supplementary bonus opportunity based on
achievement of certain additional non-financial goals in 2005. Under this opportunity, executive
officers may be eligible to receive an additional bonus equal to up to 100% of their “target” bonus
if these non-financial goals are achieved.



     The Committee has the discretion to award bonuses in excess of the percentages set forth
above.