Clear Channel Outdoor Holdings (CCO)

Analysis

In 2008, Messrs. Meyer, Sisson, and Bevan received stock options for 151,069, 81,107, and 55,000 shares of common stock, respectively, under the Stock Incentive Plan.

The amount of Mr. Meyer’s stock option award was primarily based upon (a) the market pay data of the Media Peers, (b) Mr. Meyer’s general performance, including his performance relative to the previously cited four qualitatively evaluated initiatives, (c) internal pay equity relative to other key employees of Clear Channel Outdoor, and (d) the value of equity awards granted in prior years.

As discussed above, the Committee aims to set Mr. Meyer’s long-term incentive compensation between the 50^th and 75^th percentile of the Media Peers. Mr. Meyer’s long-term incentive compensation in 2008 fell between the 50^th and 75^th percentile of the Media Peers. Mr. Meyer’s 2008 total compensation (the sum of base salary, annual incentive bonus, and long-term incentive compensation) fell between the 25^th and 50^th percentile of the Media Peers. The Committee deems Mr. Meyer’s 2008 total cash compensation appropriate in light of the negative year-over-year growth in 2008 OIBDAN.

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The amount of Messrs. Sisson’s and Bevan’s stock option award was primarily based upon internal pay equity relative to other key employees of Clear Channel Outdoor (including the share amount and value of equity awards granted in prior years).

As described above, the Committee considered internal pay equity when determining the amount of stock options to grant to Messrs. Meyer, Sisson, and Bevan. However, the Committee did so broadly and does not have a specific policy, or seek to follow established guidelines or formulas, to maintain a particular ratio of long-term incentive compensation among the named executive officers or other executives of Clear Channel Outdoor.