San Francisco - ZVUE, an operator of entertainment sites and maker of portable media players, announced on Tuesday that it has restructured its agreements with Eric Bauman, whose eBaumsWorld.com site the company acquired for $52.5 million last year.

Under the new terms, Bauman has agreed to reduce the immediate payout owed him from $1.25 million to $1.05 million, and the obligation owed him from $417,000 per quarter to $250,000, with an additional $150,000 payable over five months.

The maximum potential payout on the deal has been raised from $27.5 million to $32.7 million, and the earnout period extended to 2012.

ZVUE also said it has put its PopSauce network of websites under Bauman's direction in Rochester, N.Y., and will discontinue its San Francisco and overseas Web operations.

Additionally, the company said it received $1 million in new financing from its chief technology officer for ZVUE Products, its portable media player business.

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