|
 |
Internet
Edition, November 22, 2000, Page 1 |
|
KAMBER
GROUP WINS $1M D.C. LOTTERY
The Kamber Group has picked up the D.C. Lottery account,
according to Vic Kamber, its CEO.
He credits the firm's "one-stop-shop" philosophy
as the reason it won the $1M PR/ad account. That combines
TKG's PA expertise with a strong in-house creative/design
department.
TKG will be responsible for creating point-of-sale, transit
displays and radio/TV commercials.
Kamber said 20 firms were invited to pitch the account.
Earle Palmer Brown, Adams Assocs., HR Comms., Sosa &
Co. and Gallagher & Gallagher were among the seven that
decided to compete.
LH&A
TO DO CONNECTICUT TRAVEL PR
Lou Hammond & Assocs. is expected to win a $460,000
tourism PR contract to promote Connecticut as a year-round
destination.
The state's Office of Tourism has been directed to enter
into negotiations with LH&A to handle national PR services.
Barbara Cieplak, assistant director of COT, said it is expected
that LH&A will be signed to the 21-month contract, which
will take effect in December.
LH&A will work with the Office of Tourism to develop
a strategic PR plan to gain national exposure and implement
it in coordination with the state's marketing and advertising
efforts.
The firm will replace Patrice Tanaka & Co., which was
subcontracted to handle PR last June after Hartford-based
O'Neal & Prelle went out of business.
LH&A was one of about 12 PR firms that submitted bids
in response to the Office of Tourism's invitation for proposals
last Aug. 4. Bidders were to provide a proposal that outlined
a strategic approach to PR, rather than present a specific
campaign.
Weber
Shandwick plans to re-launch its Powell Tate brand on
Jan. 1 under co-founders Jody Powell and Shelia Tate, who
now head Shandwick PA in Washington, D.C. PT "disappeared"
following Shandwick's acquisition of Cassidy Cos. a year
ago.
PT had ranked No. 7 in Washington with 1998 fees of $15.6
million. The Cassidy acquisition propelled Shandwick PA
into the No. 1 slot in D.C. with 1999 fees of $69.4 million.
That compared to $43.2 million for Burson-Marsteller and
$27.3 million for No. 3 Hill and Knowlton. PT is to return
as a unit of Cassidy Cos. which is headed by Gerald Cassidy.
PUBLICIS DIALOG ACQUIRES GELTZER &
CO.
Publicis Dialog has acquired Geltzer & Co., a New York
firm noted for its consumer electronics work.
The move bolsters PD's presence in the nation's media and
financial capital, according to Andy Hopson, PD's COO.
G&C's 25 staffers will move from the firm's Ave. of
the Americas headquarters into PD's Park Ave. South office
by mid-December.
PD's Art Stevens will oversee the combined 100-member staff.
Howard and Sheila Simon Geltzer, chairman and president
of G&C, are to become managing partners at PD.
G&C helped Sony launch its Walkman and Motorola its
family of wireless messaging devices. Other clients include
Toshiba, Litton Industries, Sunbeam and Danka Business Products.
Publicis says its No. 1 in health
Publicis Groupe has folded its various health units into
Nelson Communications, which it acquired last week, to claim
the No.1 position in the medical communications category
with more than $1 billion in annual billings, according
to CEO Maurice Levy. NC revenues were $135 million last
year, says Kathy Cripps, who heads NC's Sciens Worldwide
PR unit.
The new entity--called Nelson Communications Worldwide--consists
of NC, Publicis Wellcare, Saat-chi & Saatchi Healthcare
and Healthcare Resources Group, which is led by Klemtner
Healthcare. Publicis claims NCW surpasses WPP Group's CommonHealth
unit as the biggest health communications firm.
Tom Moore, who was CEO of NC, will head the combined group,
while NC founder Wayne Nelson becomes chairman emeritus.
Former
White House press secretary Mike McCurry has been named
CEO of Grassroots.com. He replaces co-founder Craig Johnson.
Grassroots. com markets software and technology tools to
help groups use the Internet to mobilize support for their
cause. It's "citizen activism" section connects
visitors with groups involved with various social issues.
Ketchum
is handling PR for the 45th anniversary of the Montgomery
Bus Boycott, which will be held on Dec. 1 in Montgomery,
Ala. The year-long boycott spurred the Supeme Court to end
racial segregation and helped usher in the civil rights
movement.
The PR firm has developed a website, and is helping to arrange
a civil rights forum at Harvard.
|
|
Internet
Edition, November 22, 2000, Page 2 |
|
AUTHORS
GUILD SUES DATABASES
The Authors Guild and 10 authors have filed a federal class
action lawsuit against nine of the leading electronic database
providers.
Letty Cottin Pogrebin, president of the Guild, said the
suit claims the databases have infringed the rights of more
than 15,000 freelance journalists by making their works
available to subscribers for substantial fees without the
authors' permission or recompense.
"We are seeking damages for past copyright infringement
for all the members of the class and injunctive and declaratory
relief from further infringement," said Pogrebin, who
noted it is the first lawsuit the Guild has brought in its
88-year history.
She said the suit charges that The Dialog Corp., Reed Elsevier,
Dow Jones Reuters Business Interactive, Bell and Howell,
Thomson Corp., Northern Light Technology, EBSCO Industries,
Content Commerce and MediaStream have infringed the rights
of freelance journalists by storing, licensing and reselling
freelance articles without proper authority.
Authors can look at the Guild's website (www. authorsguild.org)
to view a list of periodicals that appear in some of the
leading databases, and ascertain whether an article they
have written is affected.
The U.S. Supreme Court recently agreed to decide whether
publishers can include the work of freelancers in electronic
databases without their permission.
GAY
MEDIA COMPANIES MERGE
Planet Out and Online Partners, which specialize in the
homosexual market, are merging.
Planet Out has several websites that focus on gay web users
and publishes three magazines-The Advocate, a news magazine
published every other week: Out, a monthly fashion and lifestyle
magazine, and HIV+ magazine.
Online owns the Gay.com website and syndicates content and
services to about 3,000 affiliates.
The two companies, which will operate under the name PlanetOut
Partners, will create a company that reaches an estimated
3.5 million homosexuals, according to Lowell Selvin, who
is CEO of Online.
PUBLICIS'
LEVY TO BE HONORED BY UJA
Publicis Groupe CEO Maurice Levy is to receive the Marketing
Communications Group of UJA-Federation of New York's "Global
Leadership Award" during a gala at New York's Pierre
Hotel on Dec. 5.
Bob Bloom, Publicis U.S. chairman; Kevin Roberts, Saatchi
& Saatchi Worldwide CEO, and Hal Riney, head of Publicis
& Hal Riney are among honorary chairs for the event.
UJA-Federation also will honor Andrea Alstrup, Johnson &
Johnson's VP-corporate advertising, and Robert Wehling,
Procter & Gamble's global marketing officer.
Tickets cost $750. Black tie is optional.
COKE PLANS CREATIVE OUTPOST IN N.Y.
Coca-Cola is setting up a "think tank" in New
York next year to spot trends that may impact its beverage
business.
That could include developments in communications, marketing,
entertainment, culture, packaging, and government issues.
The group will have at least 15 people, and will report
to CEO Douglas Daft. Staffers may come from within and outside
Coke.
The Big Apple site was chosen because Coke considers the
city a capital of creativity.
Burson-Marsteller, Cohn & Wolfe, Ketchum and Ogilvy
PR Worldwide are some of the top PR firms that work for
Coke.
When asked why a PR firm couldn't be used for trend-spotting,
Rob Baskin, a Coke spokesperson, said the new office's mandate
goes beyond PR.
The office will probe specific issues in great detail, he
said.
Coke has not put out a press release about the think tank.
Beverage Digest, a trade newsletter, broke the story.
The Wall Street Journal on Nov. 6 carried a front page piece
about how Pepsi has been outflanking Coke of late.
While Coke has been preoccupied with a management restructuring
and a series of lawsuits, Pepsi has been on the move building
its business.
FIRST-CLASS
LETTER WILL COST 34 CENTS
The cost of mailing a first-class press release will increase
by a penny, to 34 cents, and the U.S. Postal Service's charges
for priority mail will jump substantially under a plan approved
Nov. 13.
The increases, which likely will take effect Jan. 7, were
approved by the Postal Rate Commission, an independent government
board that evaluates U.S. Postal Service requests for price
increases.
The PRC rejected a USPS proposal for big rate reductions
for heavy ad mail. The USPS, which filed its rate proposal
in January, had asked the PRC to significantly increase
the discount for heavy advertising mail.
Proposals that were accepted by the PRC include a one-cent
increase for a first-class stamp and an increase of less
than 10 percent for periodicals.
The five-member commission denied the Postal Service's request
to raise the price for additional ounces of the first-class
mail from 22 to 23 cents. Instead, the rate commission decreased
the price of a second ounce to 21 cents, which means the
cost of a two-ounce letter remains the same-55 cents-and
the price of a three-ounce letter decreases by a penny.
About 15 percent of first-class mail weighs more than one
ounce.
The price of the Post Office's priority mail, currently
priced at $3.20 for the first two pounds, will be $3.50
for the first pound and $3.95 for two pounds. Postcards
will still cost 20 cents to send.
|
|
Internet
Edition, November 22, 2000, Page 3 |
|
MEDIA NEWS/JERRY
WALKER |
|
JOURNALISTS
OBJECT TO PR `CALL BACKS.'
Publicists were urged by four journalists at a Publicity
Club of N.Y. meeting Nov. 14 to stop badgering them with
follow-up calls after they have pitched them stories.
Eva DiLallo, senior producer at CNN, and one of the four
panelists, pleaded with publicists to curtail their "call
backs" at a "Meet the Media" luncheon, which
was attended by 90 people.
Three print editors on the panel sided with DiLallo. They
were: Lisa Lee Freeman, senior editor, Working Woman; David
Morrow, artcles editor of SmartMoney, and Duff McDonald,
executive editor, Red Herring.
Peter Himler, who is EVP/media relations at Burson-Marsteller,
moderated the panel.
Biggest PR Dislike
DiLallo, who joined CNN in 1995 and has worked as a writer,
guest booker, line producer and field producer before being
promoted to senior producer of "Your Money" in
1998, said call backs are her biggest PR dislike.
"I need story ideas and your help a lot," said
DiLallo, who politely instructed the publicists to "state
your name, give a brief description of your story idea,
and wait for me to call you back."
DiLallo recalled her worse call back experience with a publicist.
She came to work with a swollen lip, which made it painful
for her to talk. She said the publicist kept calling her
about a story she had pitched.
Finally, she had to tell her to stop calling. "I was
in tears it hurt me so much to get the words out,"
said DiLallo.
Prefers E-mail
Freeman, who oversees the features well at Working Woman--including
the magazine's annual career management and personal finance
packages as well as the annual rankings of the top 25 companies
for executive woman and the "Working Woman 500"
list of the largest women-owned businesses in the U.S.--said
she prefers to get all pitches and press releases by e-mail.
She usually throws out pitches that are delivered via the
Post Office but she reads and files most of her e-mail missives.
Freeman is especially interested in getting "solution-oriented"
story ideas, which appeal to women.
She also likes publicists to pitch her experts and to mail
her the expert's business card.
Freeman said her biggest turn off is when a publicist pitches
her a story without an angle to it.
Morrow, who rejoined SmartMoney in March as articles editor,
likes gossip about people and to get pitches from publicists
who sound excited and knowledgeable about the product or
story idea they are pitching.
He also tends to pursue "unusual" stories. He
likes to get pitches in the morning and the first of the
month. Morrow, who works three months in advance, is currently
working on the February issue.
McDonald, who oversees all investment coverage for Red Herring
magazine on the company's website (redherring.com), loves
e-mail. "Feel free to fire away every five minutes
if you want," said McDonald, who is based in New York.
McDonald, who pointed out he only covers technology and
Internet companies, said he objects to getting "grenade
e-mails" from publicists.
He explained that is when he gets a phone call from a publicist
at the same time he gets an e-mail from them. "Don't
do that; I will call back if interested," said McDonald,
who does not mind getting phone calls unlike some of the
magazine's "older hands who get rude" with publicists
whenever they get a phone call.
PLACEMENT TIPS ___________________________
Hal Lancaster, a longtime columnist for The Wall
Street Journal, now writes a twice-monthly career guidance
column exclusively for CareerJournal.com, which is owned
by Dow Jones.
Geri
Richter Campbell was hired by Mademoiselle as
special projects editor and to book celebrities for cover
stories.
Mandi Norwood, who is editor-in-chief of Mademoiselle,
said a recently conducted research study had confirmed famous
people covers help boost newsstand sales.
Jauretsi Saizarbitora, who was previously special
projects editor at Details, has succeeded Campbell as entertainment
editor of Jane magazine.
Tina
Johnson was promoted from articles editor to articles
director at Teen People, where she will now oversee
the department's regular editorial features including "Investigation,"
"Real Inspiration," and "Success Story."
Dana White has joined TP as senior articles editor
working under Johnson. White had been executive editor of
Skiing magazine, and founder of Snowboard Life in
1996.
TP, a pop culture magazine, was started in January
1998 with a guaranteed circulation of 500,000, TP increases
the guarantee to 1.6 million with its February 2001 issue.
"AskAnyDoctor,"
a new service from HealthNewsDigest.com, lets people ask
a doctor a question via e-mail, and get an answer by e-mail
free of charge. This new service is in addition to "HealthBookReviews"
and "HealthHumanResources."
HealthNewsDigest, which is based in New York, is
currently syndicated to 1,500 websites, with daily feeds
to Latin America and the United Kingdom.
FINANCIAL
NEWS COVERAGE IS PRAISED
Diana B. Henriques, a financial writer at The New York Times,
writes in the Nov./Dec. issue of Columbia Journalism Review,
that the "twenty-year boom in business news has produced
a financial press corps of unparalleled depth and breadth."
She said there are more than 12,000 business journalists
working in the top 50 newspaper markets and at national
business publications, up from 4,200 in 1988.
Henriques said technology is "empowering us to do more,
better, faster."
She predicts the next big business story will be the "grass
roots movements rise to challenge corporate power."
She also believes Congress will grow testy over medicine
prices, media violence, and unsafe tires.
MEDIA
BRIEFS ___________________________
Gruner & Jahr and Rosie O'Donnell, the TV talk
show host, will publish Rosie's McCall's magazine, starting
in the spring.
O'Donnell will be editorial director of the magazine, and
her production company, Kidro Production, will share the
cost of producing the publication.
The
New York Times Co. has agreed to close by the end of
the month a joint newsroom with TheStreet.com,
an online financial news service.
The Times owns a 5.7% stake in TheStreet.com, which also
laid off about 20% of its work force.
Richard Meislin, editor-in-chief of N.Y. Times Digital,
said the joint newsroom was no longer justified. He said
the Times believes it can continue to provide breaking business
news on the Times' website by working with the staff of
the Times business section.
Jack Lynch, who was editor of the joint newsroom, will be
in charge of the collaboration with the paper's business
reporters.
ABC
News has dropped Matt Drudge's Sunday radio show, which
is number 1 in New York in its 10:00 p.m. time slot.
ABC's owned-and-operated stations want to continue the show
without the network's sponsorship. The controversial Internet
columnist, who runs the "The Drudge Report," has
been hosting the two-hour radio show since July 1999. His
show has been picked up in 135 markets, including nine of
the top 10.
An ABC spokesperson said Drudge's show was axed due to poor
performance, not because of its host's negative comments
about ABC or its parent company, The Walt Disney Co.
Bloomberg
News and WGN-TV have debuted "On the Money"
live from the Chicago Stock Exchange. The 90-second report
featuring BN reporter Anupy Singla airs twice each morning,
prior to and after the financial markets open on the "WGN
Morning News" in addition to the "WGN News at
Noon."
(Media
news continued on next page)
|
|
Internet
Edition, November 22, 2000, Page 4 |
|
MEDIA NEWS/JERRY
WALKER |
|
PEOPLE
________________________________
Mary Alice Kellogg, 52, a freelance travel and food
writer and New York editor for the Delta Shuttle Sheet,
an inflight magazine, and David Currier, 64, executive editor
of Parade magazine, were married Nov. 11. The couple
met 21 years ago at Parade.
Lynn
Leahey, previously editor-in-chief of Soap Opera
Digest, was named editor-in-chief of Soap Opera Weekly,
replacing Mimi Torchin, who left.
Erik
Ipsen, 49, was promoted to deputy managing editor of
Crain's New York Business, a new position. Ipsen,
who was assistant managing editor, will continue to oversee
the special reports and weekly columns on small business.
Bernard
Shaw, 60, chief anchorman for most major stories during
CNN's 20-year history, plans to retire next February.
Walter
Isaacson, who is Time's top editor, was promoted
to editorial director of Time Inc.
Jim Kelly, the deputy editor of Time magazine, will succeed
Isaacson as managing editor of the newsweekly.
Joy
Philbin will host Home & Garden TV's "At Home
With...," recurrent series of celebrity home tours.
She will also host several primetime specials for the network.
WSJ
DROPS REGIONAL SECTIONS
The Wall Street Journal has closed down six regional
weekly news sections which covered Texas, Florida, California,
the Southeast, New England and the Pacific Northwest.
Paul Steiger, managing editor of the WSJ, has notified the
34 reporters and editors, who worked for the regional sections,
that their jobs will end on Dec. 31.
SPAYD NAMED TOP EDITOR
Liz Spayd, 42, was promoted to assistant managing editor
for national news at The Washington Post. She succeeds
Jackson Diehl, who was named deputy editor of the editorial
page.
Spayd joined the Post in 1988 as national business editor
from The Detroit News, where she was business editor.
VETERAN BUSINESS JOURNALIST JOINS H&K
Jeff Mangum, who has 20 years of experience covering business
as a reporter and editor, has joined Hill and Knowlton's
New York office as a managing director and media trainer
in the firm's media group, which is headed by Pat Wechsler.
Mangum was previously a senior writer at The Journal News
in Westchester, N.Y., and held positions with The Tampa
Times, Clearwater Sun and Tampa Tribune, and wrote for USA
Today and Gannett News Service.
PR
PAYS LOW $$ VS. OTHER FIELDS
New York magazine's annual salary survey found that
PR pros are ill-paid compared to many other occupations.
Starting salaries in the crowded field seldom get over $30,000
and few PR pros ever make six figures, the magazine said.
It quotes New York PR entrepreneur Lizzie Grubman as saying
that she gets 100 resumes a week from newcomers to PR and
that "PR is just not a tremendous moneymaker...you
have to own the business to make money."
Grubman, 29, was featured in a cover story in the January
1998 New York as part of a new female clique that supposedly
is wielding power in the city's PR circles.
Her entertainment-oriented firm, Lizzie Grubman PR, employs
30 and handles entertainment, beauty, restaurant and corporate
PR.
Rainmakers Get More $$
New York says those who bring in business can earn $45-$55K
and after five years might get up to the $75K level. The
best money is in financial PR where pay can be $150-$300K
and can reach $l million if complicated proxy fights are
involved.
Wall Street careerists with an MBA can make $250K in the
second year and lawyers start out at $125K in a big firm.
Starting
MBAs can expect to earn $71K. The current Newspaper Guild
salary for a New York reporter with three years' experience
is $70,720. New York Post staffers are not in the Guild.
Maureen Dowd, New York Times columnist, gets $350K
according to the magazine, while executive editor Joseph
Lelyveld gets $500K. "20/20" anchor Barbara Walters
gets $10M and Sue Simmons, WNBC co-anchor, $1.7M. New
York Post writer Keith Kelly was said to make $85K but
he said that was an inaccurate report.
|
|
Internet
Edition, November 22, 2000, Page 7 |
|
WALL
ST. BAFFLES PRESS, SAYS SPORKIN
Stanley Sporkin, the much-feared head of enforcement at
the Securities & Exchange Commission from 1961-81, said
complicated financial instruments such as derivatives are
befuddling today's crop of financial reporters.
He feels there is improper manipulation of such instruments
but that reporters are having a hard time getting through
a wall of secrecy and complexity put up by lawyers and Ph.D.'s
in accounting.
Sporkin, who addressed 150 financial journalists Nov. 14
at a seminar of the Columbia Grad School of Journalism,
also referred to "swaps single stock futures"
and similar "esoteric" investment products.
[In this type of future, the holder of a block of stock
that can't be sold for a year or two can set up an entity
that trades it for other stock or cash while giving up any
chance for price appreciation; brokers said there are many
types of derivatives and that new ones are being created
each day.]
Sporkin's speech was titled, "Where Have You Gone Jerry
Landauer?" in honor of the investigative reporter for
the Wall Street Journal who died in 1981 at the age of 49.
The SEC prosecuted 65 cases of overseas bribery by U.S.
companies and Landauer wrote about many of them, said Sporkin.
Reporters often supplied the SEC with tips although the
SEC couldn't reciprocate, he said. The reporters, working
without subpoena power, were as effective in unearthing
wrongdoing as the SEC's lawyers, said Sporkin.
He called for more pay and more training of financial reporters,
saying too many of them have been lured to Wall Street or
TV. Also praised was Seymour Hirsch of the New York Times.
Today's reporters should know about such "legends,"
said Sporkin.
The talk, at the Columbia Club (which moved in with the
Princeton Club in 1998), was sponsored by the Knight-Bagehot
Fellowship program at the Columbia J-School. Each year up
to ten recipients get full tuition and a $35K stipend to
study finance.
Sporkin is now with the Washington, D.C., law firm of Weil,
Gotshal & Manges.
BLOOMBERG
RAPS JOURNALISTS
Michael Bloomberg, founder of the Bloomberg financial and
other news services, said journalists should be "ashamed"
of themselves for concentrating too much on the entertainment
aspect of news while failing to dig deep enough on many
topics. "The in-depth analysis is just not there,"
he told 150 members of the Deadline Club Nov. 15 at its
Hall of Fame luncheon in Sardi's.
Bloomberg also said journalists should not withhold results
of exit polls just because voting might be affected in other
voting time zones. Withholding information for any reason
puts journalism "on a slippery slope" with no
end in sight, he said.
Bloomberg and four other journalists were inducted into
the Hall of Fame of the Club-Ed Bradley of "60 Minutes";
Irene Cornell, CBS Radio; Osborn Elliott, formerly of Newsweek,
and columnist Liz Smith, who said journalism is "addictive."
MID-U.S.
TO BUSH, CITIES TO GORE
White, Christian, pro-life, pro-gun, small-town mid-America
went for George Bush in the recent election while the more
"sophisticated" big-city, anti-gun, pro-health
reform and pro-choicers went to Al Gore, GOP political strategist
and pollster Bill McInturff told 150 at the annual dinner
of the Institute for PR in New York Nov. 15.
McInturff, who helped create the "Harry and Louise"
commercials that battled Federal healthcare proposals and
who worked for Senator John McCain's presidential campaign,
said people will forget the current battle over who won
the election if it's resolved before too long. A protracted
battle, he said, could have a "terrible" effect
on the nation.
He favors keeping the Electoral College because it "provides
stability." The dinner was at the Grand Hyatt and was
presided over by Ward White, chair of the Institute.
|
|
Internet
Edition, November 22, 2000, Page 8 |
|
PR
OPINION/ITEMS
|
Financial
journalists were whipped last week by three sources-famed
SEC enforcer Stanley Sporkin, Bloomberg's founder Michael
Bloomberg, and New York Times columnist Floyd Norris.
Sporkin said today's financial writers don't match yesterday's
in investigative ability and zeal.
Bloomberg said journalists ought to be "ashamed"
of themselves for producing too much entertainment and not
enough probing stories.
Norris, who often blasts vested interests in his column,
said journalists need more education in financial subjects.
He spoke on the same Columbia J-School program as Sporkin.
Sporkin admitted that anyone with the smarts to understand
and write about current complicated financial instruments
such as derivatives and "swaps single stock futures"
(private deals in which "locked up" stock is traded
for instant cash or other stock) probably could make far
more money on Wall Street than in journalism. He castigated
the lawyers and accounting Ph.D.'s who plant and nurture
impenetrable thickets of rules and regulations.
Sporkin, a CPA, notes it takes him 40 hours to do his income
tax and wonders what the cost to the country is in time
and money spent by individuals and businesses on such chores.
Lest anyone think derivatives are of little concern to the
average person, they were the downfall in 1998 of Long-Term
Capital ($100 billion in assets). That fiasco threatened
the U.S. and world economies and the Fed and big banks had
to come to the rescue.
The
scandal of investor relations is that the obfuscators,
with all their power and money, are winning. The new Fair
Disclosure (FD) rules of the SEC are a move to restore some
balance. IR pros, who have been dealing almost exclusively
with the friendly Wall Street analysts, almost never talk
to the press, which gets an inferior grade of information
from the PR side (when there is one). NIRI, the spokesperson
of IR, unsuccessfully urged delaying the implementation
of FD until Dec. 29. Typical of what goes on in financial
documents is a paragraph in the recent 10K of Omnicom. It
states that OMC owns 36% of Agency.com and that as of 12/31/99,
that stock was worth $944 million. But the paragraph fails
to give the number of shares OMC owns or what the price
was on 12/31/99. Without one of those, the current value
cannot be obtained (it's 18.5 million shares; the price
on 12/31/99 was $51, and the current value is about $170M).
Similarly, Interpublic describes details of 56 acquisitions
in 1999 in its 10K except for the names of the companies
acquired. This catch-me-if-you-can game is played endlessly
in financial documents.
The New York Financial Writers' Assn., well aware of
this battle, has a four-hour workshop for reporters
on Saturday, Dec. 2, at the American Institute of CPAs.
The title is, "Leapin' Lizards! How Do I Read This
Financial Statement?"
But this is like chickens studying in the den of the wolves.
The CPAs crafted the tangle of rules that makes the tracking
of money earned and spent far more complicated than it needs
to be. Balance sheets, etc., could be explained via accompanying
texts if the CPAs and their employers wanted to do this.
No one should have to go to school on a Saturday to learn
how to read a balance sheet.
While
on the subject of the NYFWA, the group staged its annual
"Financial Follies" at the Marriott Marquis
Nov. 17. Like "Saturday Night Live," the "Follies"
has not been funny for 15 years. It's been dominated too
long by musical director Jerry Goldstein and features too
many dance and endless song routines by what appears to
be a cast recruited from a high-priced cruise ship. No one
over 40 should be allowed on stage in the future. The one
routine that started to be funny had Yasir and Mrs. Arafat
approaching Hillary Clinton. The sold-out crowd of 1,250
(at $300 a head) started to tither in expectation of something
truly outrageous. But the couple drifted away without doing
anything.
The appointment of Lou Hammond & Assocs. to handle
PR for the State of Connecticut ends a five-year attempt
at "integrated marketing" by the state. The
previous agency of O'Neal & Prelle did mostly advertising
and almost no PR, state sources tell us. A succession of
PR people worked on the account at O&P to little effect
and the ad people who ran the agency (which went out of
business) did not do well with the press, we are told. That
about sums up "integrated marketing," which was
mostly advertising and little, if any, PR. Clients should
watch out for this scam. Connecticut needs PR since it cannot
afford a big ad campaign. The PR must take account of the
bad publicity the state is getting over the protracted court
battle to prevent non-residents from using Greenwich beach,
which is the one nearest to New York (a major target of
the state's tourism PR). Enlightened and generous residents
of Greenwich, who appear to be a tiny minority, want to
let anyone on this island park and beach as long as they
get there by foot or bicycle. Another PR debacle for Connecticut
is the 25-year-old attempt to solve the murder of Martha
Moxley. Greenwich police, accused of poor work after this
murder, were uncooperative and even nasty to author Mark
Fuhrman when he gathered materials that got the case reopened.
|
|
|