NEW YORK -- Former Viacom CEO Tom Freston's departure from his office Thursday brought crowds of chanting and weeping onlookers to the company's lobby, even as the entertainment company disclosed the glittering compensation packages for the new leadership duo that replaces him.

Workers were alerted to Freston's departure Thursday afternoon through an e-mail chain, a Viacom employee said. About 2,500 employees packed the hallways and lobby at 1515 Broadway, according to an MTV spokesman.

They loudly applauded and cheered as Freston made his way from the elevator to his car, with many in tears and others hugging him.

Philippe Dauman, the new Viacom Inc. president and CEO, will be getting a $2 million annual salary, subject to an annual review, and is eligible for a cash bonus that has a target of sum of $7 million but will depend on the achievement of "one or more" performance objectives, according to a filing Thursday with the U.S. Securities and Exchange Commission.

His maximum bonus will be twice his target bonus, and his employment contract runs through Dec. 31, 2011, Viacom said in the filing. For the current year, Dauman will get a pro rata portion of his target bonus without a need to show that performance targets were met, the firm said.

Viacom will today grant to Dauman stock options with an aggregate value of $12 million, according to the SEC document. "Mr. Dauman's options will vest and become exercisable on the six-month anniversary of his commencement of employment and will have a term of eight years," it stated.

In addition, starting next year, Dauman will receive annual long-term incentive awards with a target value of $12 million, with 50% consisting of stock options to purchase Class B shares and 50% being performance share units. "All such stock options will have an exercise price equal to the fair market value of the Class B shares on the date of grant and will vest in 25% installments on the first four anniversaries of the date of grant," Viacom said.

Dauman said Tuesday that he has agreed to invest $5 million in Viacom stock. The regulatory filing said this figure is a minimum investment target, and all investments will come in Class B shares within three months of Sept. 5. "Viacom will award Mr. Dauman restricted share units on a 2-to-1 basis for each Class B share purchased, up to a maximum investment by Mr. Dauman of $5 million," it said.

Under his employment package, Dauman also will receive term life insurance in the amount of $8 million.

Dauman and his right-hand man Thomas Dooley, who Tuesday was named senior executive vp and chief administrative officer, will constitute a "two-member office of the president that will supervise and review operations, planning and strategy for Viacom and its subsidiaries," Thursday's SEC filing indicated.

Dooley will get an annual salary of $1.6 million with a $5.6 million target bonus. His option grants have a value of $9.6 million, according to the Viacom filing.

Dooley has agreed to invest at least $4 million in Viacom Class B shares, with a matching deal in place for his investments as for Dauman's. His term life insurance amounts to $6.4 million.

Dauman and Dooley will remain on the Viacom board, according to Thursday's filing.

Alex Woodson in New York and Andrew Wallenstein in Los Angeles contributed to this report.