Edition, October 17, 2001, Page 1
SAUDI ARABIA HIRES B-M AFTER
Saudi Arabia hired Burson-Marsteller
for PR and to place ads three days following the attacks
on the World Trade Center and Pentagon.
The firm also provides
"issues counseling and crisis management" services,
according to the Sept. 14 agreement signed by His Royal
Highness Prince Bandar bin Sultan and Craig Veith, chairman
of B-M's media practice in Washington, D.C.
Veith said B-M has placed
ads for the Saudis in The New York Times expressing
support for the U.S. in its time of crisis.
B-M's open-ended contract
continues until either party gives ninety-day notice of
its wish to terminate.
The Saudis must approve
of B-M's work in advance. They also must give approval for
budgets in excess of $5,000.
Saudi Arabia, home of
at least 5,000 U.S. troops and a growing Islamic fundamentalist
movement, walks a fine line in President Bush's war on terror.
The New York Times ran
a story on Oct. 11 critical of Saudi Arabia for its failure
to cooperate with the U.S. in the investigation of the hijacking
suspects responsible for the terror attacks. At least six
of them obtained U.S. visas in Saudi Arabia.
Saudi Arabia, despite
U.S. requests, also has not frozen the assets of groups
linked to Osama bin Laden.
C&W ADVISES GREECE ON
Clark & Weinstock
has a $35,000 a-month contract to provide public policy
analysis to the Greek Embassy in Washington, D.C.
Former Congressman Vin
Weber and Vic Fazio spearhead that drive at the Omnicom
They will approach Members of Congress and Administration
officials on matters such as Athens' ability to host the
The Athens 2004 press
office issued a statement on Oct. 7, saying the city is
capable of organizing "unique Games" and plans
to "offer a great service to the Olympic Movement in
these hours of ordeal for the entire planet."
Security worries for
the athletes has been a major concern. That concern has
been heightened by the Sept. 11 attacks in the U.S. and
subsequent U.S./U.K. bombing of Afghanistan.
A majority of Greeks,
according to a poll, oppose the U.S. response to the terror.
C&W's six-month contract
began on Sept. 1.
DUPONT GIVES KETCHUM $$ PR
DuPont has named Ketchum
agency of record for its apparel and textile sciences group,
a multi-million dollar PR account.
Rowland, Edelman PR Worldwide
and a number of "boutique" firms had serviced
Ketchum will promote DuPont core brands, such as Lycra,
CoolMax and Cordura to mills, brand houses and retailers.
Carol Gee, global brand
manager for DuPont ATS, cited Ketchum's "successful
track record of providing strategic counsel and creative
development" in announcing the selection of the New
Barri Rafferty, director
of global brand marketing, and Annabelle Freeman, VP at
Ketchum, will handle the DuPont business.
HEADLINE GRP. GETS $2B
The Headline Group has picked up Atlantic Station, the $2
billion redevelopment project that will open in mid-town
Atlanta by 2003. Ketchum, 360, Sawyer Riley Compton and
Manning, Selvage and Lee also pitched.
The residential, commercial and entertainment complex
sits on the former Atlantic Steel plant. It is the largest
brownfield industrial clean-up project in the Southeast.
James Jacoby, president of AS, said THG was selected after
a "very thorough search" and called PR "an
integral part of our marketing program."
He expects AS to be a model for "live, work and play"
projects throughout the U.S.
Claudia Gaines Patton, CEO of THG, said that since her
office overlooks the construction site, she was determined
to win the account.
has tapped Stanford University's chief administrative officer
for the School of Humanities and Sciences, Edwin Callahan,
as the firm's first COO. Allan Kelly, CEO, noted the firm's
willingness to experiment and recruit "talented people
outside the confines of the PR industry" for its COO
Worldwide dropped 45 employees and closed its Boston
and Austin offices. Edelman Boston SVP Ephraim Cohen is
shifting to New York, while Austin head Deborah Wood-Pope
will move to the Dallas office...Manning,Selvage
& Lee chopped 28 staffers from its payroll in
New York, Atlanta, Los Angeles, Chicago and Detroit.
Edition, October 17, 2001, Page 2
O'REILLY ATTACKS CF'S LUTNICK
Bill O'Reilly, host of
Fox TV's "The O'Reilly Factor," attacked Cantor
Fitzgerald's chairman Howard Lutnick during two programs
last week, along with other organizations which have promised
to help families affected by the Sept. 11 attacks on the
World Trade Center, Pentagon and the Pennsylvania air crash.
O'Reilly said that Lutnick
does not need a new PR firm, as reported by columnist Cindy
Adams. All he needs to do is to come on this show to explain
why he has not given any financial assistance to families
of employees who were killed in the attack on the WTC, said
Adams had reported (Oct.
9) that Lutnick was looking for a new firm to replace Edelman
Up Health Tabs
Lutnick, on Oct. 10,
said that CF will contribute 25 percent of its profits,
that would otherwise be distributed to CF partners, to the
families of employees lost in the WTC attacks.
He said the first use
of those funds is to pay for ten years of healthcare for
the families of victims, which he estimates will cost $70
He also announced a plan
to expedite the distribution of year-end bonus and commission
payments to the families. CF said those payments would be
made no later than Thanksgiving Day (Nov. 22).
CF, which lost 700 of
its 1,000 employees, has received donations totaling $2
million, according to O'Reilly. Lynda Fiori, the wife of
a deceased employee of CF, said on O'Reilly's show that
she recently got a check for $5,000 from Cantor Fitzgerald
in addition to checks from the American Red Cross and a
Fiori, a mother of two
young children, said on an earlier program that she had
not heard or gotten any financial assistance from the firm.
O'Reilly has taken credit for the response.
CS&A PITCHES BIN LADEN
Craig Shirley & Assocs. is the firm behind the many
media appearances for Yossef Bodansky, author of "Bin
Laden: The Man Who Declared War on America."
Following the Sept. 11 terror attacks, Diana Banister, VP
at CS&A, pitched Bodansky's availability as a resource
on bin Laden.
CS&A lined up spots for the author on "Good Morning
America," "Hardball with Chris Matthews,"
"The O'Reilly Factor," "48 Hours," "Dateline
NBC," and CNN.
The Alexandria-based firm did so as a public service,
according to Craig Shirley. The firm handled the publication
of the book in 1999, but was no longer working for Prima
CS&A promoted Bodansky on a pro bono basis because
Shirley felt it was important that Americans know about
the suspected mastermind behind the terrorist attacks.
The book received five stars from the last three reviewers
on Amazon.com, though one reviewer noted that "hindsight
Bodansky's book was released as a paperback on Sept. 21.
PRIMEDIA SHOPS BACON'S
Primedia, which publishes New York, Folio,
Modern Bride and Seventeen magazines, is said
to be shopping Bacon's Information unit in an effort to
raise cash to pay down its debt.
Spokesperson Whit Clay, of Sloane & Co., would not
comment about whether Primedia was interested in selling
the venerable press monitoring and media directory publisher.
Bacon's CEO Stephen Newman told this NL that there have
been a number of Primedia properties that have been rumored
to be headed for the auction block since the company announced
plans in July to sell $250 million in non-core assets.
Bacon's has had a "challenging year," according
to Newman. He said the press monitoring business has been
"difficult" in the aftermath of the dot-com wipeout.
Orders for the directories have been strong, he added.
Newman expects sales to dip five-to-six percent this year.
Profits will also be down in that range.
Newman noted that business pretty much came to a standstill
following the attacks on the World Trade Center and Pentagon.
Bacon's Clipping Bureau was founded in 1932. Bacon's introduced
its newspaper/magazine directory in 1952, and its radio/TV/cable
book in 1986.
Primedia had $1.7 billion in annual revenues last year.
It lost $225 million on $872 million in the first-half of
The company's stock trades at $1.90, way off from its
$16.50 52-week high.
WORLD BANK PROTESTERS ARE
Many in the anti-globalization crowd that have made The
World Bank a key target of their protests are misguided
about the role the bank plays in economic development, according
to a panel discussion Oct. 10 at the National Press Club
sponsored by the Washington, D.C., chapter of PRSA.
In addressing the issue of recent protests, Caroline Anstey,
chief of media relations for the Bank, reminded those in
attendance that the Bank is run by 183 member countries.
"We are just civil servants owned by member countries.
Protesters would probably be better off addressing the leadership
of their own countries," explained Anstey.
Alec Dubro, media director for Foreign Policy in Focus,
agreed with Anstey saying, "Criticizing the Bank is
akin to blaming AAA for car accidents."
Dubro does feel though that the Seattle riots and other
protests served to bring attention to the Bank it had never
Edition, October 17, 2001, Page 3
PR PRO USES TECHNOLOGY
TO FIX 'ERRORS'
communications director Steve Gaut is putting wireless technology
to use to help catch and fix "errors" during the
news cycle, according to CommCore Consulting Group, Washington,
past few years, wireless companies and Wall St. have combined
to tout the ability to instantly inform investors about
stock price changes. This allows the mobile investor to
monitor the markets when not sitting in front of a PC.
the same concept to stay on top of breaking news stories,
Gaut has been able to change the way a story is printed
from a first wire service draft to the way it finally appears
in a newspaper.
it works. Delphi subscribes to two web-based news gathering
services, Dow Jones Interactive and News Edge. Gaut requests
each service to inform him via e-mail each time a story
mentions Delphi in the headline or text.
of sending the summaries to the desktop PC e-mail account,
the information-up to 200 words-is sent to an e-mail capable
pager. The pager has an interface with Gaut's PDA.
Internet has given media relations professionals new capabilities.
In the old days-two or three years ago-when a story was
filed by a wire service reporter, normally you didn't see
the copy until it was picked up by the newspapers,"
according to Gaut.
gets first notice of a wire service piece there's still
time-if necessary-to get on top of the news report. "If
there is an issue with the story, I can call the reporter
and discuss it, provide additional facts and talk through
is that AP and Reuters reporters normally complete a second
or third version of a story, adding details, late information,
"and sometimes my comments and corrections."
take is the version that usually gets picked up by the news
editor at a newspaper and by websites that update at fixed
versus real time intervals.
NEW YORK TARGETS
magazine is broadening its coverage to target readers in
the suburbs, according to Caroline Miller, who is editor
of the weekly magazine.
30% of its readers now live outside of Manhattan. "Suddenly
New York looks bigger," she told the fall luncheon
of the Healthcare PR and Marketing Society of Greater New
York that was held at the Hudson Hotel Oct. 2.
readers are particularly interested in preventative and
homeopathic medicine. So she is open to story pitches from
PR people who represent these type of services, or information
on hospitals with these types of programs for use in upcoming
articles. Miller's direct number is 212/508-0590.
president of Mark Allen & Co., said PR pros have to
be careful about publicizing themselves if they work for
someone who loves the media spotlight and wants them out
Pasetsky, whose New York-based PR firm focuses exclusively
on executive publicity, advises PR pros who find themselves
in this situation to "select a completely new topic
"Think of a topic that will help advance your career
as well as one that you find interesting," Pasetsky
said in the first of a series of reports entitled: "Secrets
to Getting Press Without Pissing off Your Boss."
The Leesburg (Va.)
Today, a weekly newspaper, has published the
first issue of Loudoun Magazine.
The target audience includes members of the county chamber
Magazine employees work in a downtown Leesburg office
building owned by Amendment 1, the publisher. Gail Waldron
is editor, at 703/771-2076.
an Alexandria, Va.-based marketing/PR firm, aired its first
"Technology Insider" radio show on Oct. 7 at 10
The show will air over the Internet (www.technologyinsider.net)
and TalkOne Network, a new talk network.
The live, call-in program will discuss current and emerging
technologies with guests who are technology experts.
the Arts," a new radio show produced by managing
editor Beatrice Black for WHYY in Philadelphia, is a new
outlet for business stories that don't often get told.
It can be heard on more than 290 public radio stations,
is featured on "Marketplace," and on "Marketplace
Morning Report" on many stations.
The show covers stories that can be found in the studios,
workshops, museums and stages of artists and performers.
A recent story on "The Nutcracker," for example,
focused on the almost mandatory need for a performance of
the ballet as a cash cow that many dance companies simply
can't afford to forego.
Black searches out and considers stories from all sources
and locations. She can be contacted at 215/351-0539 or at
a former reporter and foreign correspondent for UPI, Business
Week, U.S. News & World Report and Business
2.0, is reviewing new business books for The New
His reviews will appear in a column, called "Book
Value" that will run monthly in the Sunday business
section of the Times. He can be reached at [email protected].
news continued on next page)
Edition, October 17, 2001, Page 4
MEDIA IS TARGETED BY ANTHRAX
Reports of several new
cases of anthrax exposures has caused several news organizations,
including The Associated Press, CBS, and ABC, to temporarily
shut down their mail rooms.
The anthrax scare began
Oct. 4 when it was confirmed that Bob Stevens, a photo editor
who worked for the tabloid newspaper the Sun in Boca
Raton, Fla., had contracted the fatal bacteria and died.
Since then, seven other
employees of American Media have tested positive for exposure
and are being treated with antibiotics. The bacteria ia
believed to have been sent in a letter to AM's offices.
American Media publishes
the Sun, National Enquirer, Star, Globe,
Examiner and Weekly World News.
In New York, Erin O'Connor,
38, an assistant to NBC News anchor Tom Brokaw, was diagnosed
with a form of anthrax. O'Connor opened an envelope containing
a brown granular substance on Sept. 18 or 25. The letter,
which was postmarked Sept. 18, was mailed to Brokaw from
The New York Times was locked down for a short time
on Oct. 12 after Judith Miller, a reporter there, got a
letter containing an unidentified powder, which was tested
and found to be non-threatening.
Silicon Alley Reporter,
a magazine started in 1996 to cover New York's new
media entrepreneurs, has published its last issue. It is
a victim of the technology advertising decline.
Jason Calacanis, 30,
who owned it, plans to start a magazine about venture capital
investment called Venture Reporter beginning in December.
Travels magazine was closed by Ziff Davis Media,
which started the magazine a year ago as an online version
of the Expedia.com
travel website. The closing was attributed to economic problems,
made worse by the Sept. 11 attacks.
Victoria's Secret Fashion Show, which has been held
by the retailer for the past six years as a media event,
will be an ABC-TV primetime special.
The nationally broadcast
one-hour special will take place on Nov. 13 in New York's
The show, which will
revolve around a holiday theme, will feature top models,
and will include musical performances, comedy sketches,
interviews, model profiles and behind-the-scenes segments.
Joel Gallen of Tenth
Planet Productions is the producer.
Limbaugh, syndicated radio talk show host, is going
Limbaugh told his national
radio audience that he has experienced severe hearing loss.
"I cannot communicate with people," he said. "I
can occasionally talk to people in person, one-on-one, but
I cannot hear radio, TV or music."
Limbaugh, who is undergoing
treatment, said he has no desire to retire.
Gaming Business, a monthly magazine, was named
the official publication of the National Indian Gaming Assn.,
a non-profit organization of 168 Indian Nations, whose tribes
are engaged in gaming enterprises.
NIGA will advise on editorial
calendars and content with the magazine and write an every-issue
column on topics, issues and regulations that are paramount
The magazine is published
by GEM Communications, which is based in Las Vegas.
Developer's Journal will become Windows Developer's
Magazine, starting with the November issue. WDM is located
in Lawrence, Kans.
John Dorsey, who was previously senior editor at Dr.
Dobb's Journal, was named executive editor of WDM. Both
magazines are published by CMP Media.
will begin delivering general news and Washington,
D.C., news on Oct. 29 during cut-ins on the financial news
cable channel CNBC.
CNBC has added a ticker
at the bottom of the screen for reporting general news updates.
As part of its commitment
to Washington coverage, CNBC produced a four-part special
last week called "CNBC's Capital Report with Ron Insana."
During each half-hour show, Insana interviewed members of
Congress and other political leaders about the effects of
the nation's war against violent Islamic fundamentalists.
37, was named editor of Atlanta (Ga.) Tribune: The Magazine.
national economics correspondent for The Dallas Morning
News, was elected president of the National Lesbian
and Gay Journalists Assn. Other new officers elected are:
Marshall McPeek, a meteorologist, Cleveland-VP for broadcast;
Karen Balis, Newsday, Huntington, N.Y.-treasurer, and Marcus
Mabry, Newsweek, New York-nat'l secretary.
33, an owner of The Prague Post, an English-language
newspaper in the Czech Republic, and Jerome
Leshne, 43, were married Sept. 8 in New York. Frankenburg
is a former executive at Wall Street Journal Online, and
Leshne, until July, was VP-investor relations for Dow Jones.
Time magazine's Brazil correspondent, has written a
play, "When Elvis Met Che in Denver," which is
scheduled to open in New York next year.
Edition, October 17, 2001, Page 7
LOSS FOR FISCAL 2001
Assn. of Business Communicators, despite efforts to boost
income and cut costs, is projecting a loss for the year
ending Sept. 30.
for 2000 was $1 million and the loss for 1999 was $400,000.
It has stopped publishing its annual directory of members
although listings of members are available to members only
on the IABC website.
IABC president, said IABC continues to face "a challenging
situation in managing cash flow." Membership remains
at about 13,000 but "at this time of the year we have
limited revenue from non-dues income" and still have
"bills to pay," she said in a letter to members.
for 2002 is based on 80% renewal rate and 3,200 new members.
is expected from small conferences and seminars at the local
level. Marketing will concentrate on the local level because
of the "anticipated reluctance of people to travel,"
costs are being cut by $200,000 via eliminating contract
and temporary employees and restructuring employee benefits.
World, IABC's magazine, is now published every other
month. The Gold Quill awards program is being "reshaped"
and five new knowledge manuals are being produced.
CMP CLOSES TELE.COM
CMP, Manhasset, N.Y., a unit of United Business Media,
has closed the magazine Tele.com and its related
website. Tele.com came out twice a month in most
months (publishing 22 issues a year).
The high-tech magazine concentrated on "strategic
context for service providers." The Oct. 15 issue is
its last. It had a circulation of 79,000 and was acquired
about two years ago from McGraw-Hill, which founded it in
Tele.com won numerous awards and had executive-level
readership but there wasn't enough anticipated growth in
ad revenues to support its continued publication, said UBM.
Reports about the closing of the magazine and website
were posted on the UBM bulletin board hosted by Yahoo! The
board has a steady stream of rumors and opinions about CMP
CMP in September confirmed it had closed HDI (high-density
interconnect) magazine and was suspending HDI Expo set for
Sept. 24-27 in Phoenix.
Three security analyst firms gave negative reports on UBM
earlier this month, citing a decline in show attendance
in the wake of Sept. 11 and a continued decline in advertising.
Morgan Stanley said UBM is hurt by "a lack of visibility."
The firm has no general PR or IR representation in the U.S.,
where about 75% of its business is now located.
Kekst and Co., New York, works for UBM but only in relation
to its proposed purchase of Medialink, which Medialink continues
REP. McKINNEY RAPS GIULIANI
Rep. Cynthia McKinney, (D-Ga.) criticized New York Mayor
Rudolph Giuliani for turning down a $10 million gift to
victims of the World Trade Center tragedy because the giver,
a billionaire Saudi businessman, linked the gift to criticism
Giuliani rejected the $10M check that was given to him
by Prince Alwaleed bin Talal Oct. 11 because Alwaleed, in
a press release issued later the same day, called on the
U.S. to "re-examine its policy in the Middle East and
adopt a more balanced stance toward the Palestinian cause."
Alwaleed further said, "Our Palestinian brethren
continue to be slaughtered at the hands of Israelis while
the world turns the other cheek." The prince condemned
terrorism but added: "At the same time we are with
the Palestinians and their cause. We will not accept labeling
Palestinians as terrorists."
Giuliana at first accepted the check but reversed himself
upon learning of the Alwaleed statement.
He said the prince was effectively blaming the U.S. for
provoking the attack. "Not only are those statements
wrong, they are part of the problem," said Giuliani.
He called the prince's statements "highly irresponsible"
Alwaleed is the world's sixth wealthiest person according
to Forbes, with a fortune of $20.3 billion.
His investments in the U.S. total $12B and include half
of the Plaza Hotel and portions of AOL Time Warner, Citigroup,
News Corp. and Saks Fifth Ave.
In later statements, Alwaleed refused to back down on
his position, saying, "My stand goes in line with the
stand of my country and government, as well as the stand
of every Arab and Muslim."
He also added: "I understand that freedom of speech
is something paramount in America." He said, "We
must address some of the issues that led to such a criminal
He told CNN Oct. 11 that the U.S. should reconsider its
"blind" support of Israel.
Apologizes to Alwaleed
Rep. McKinney, in a letter published Oct. 15 in the Atlanta
Journal-Constitution, apologized to Alwaleed for Giuliani's
refusal of the $10M gift.
She said the mayor should recognize the prince's "right
to speak and make observations about a part of the world
that he knows so well."
Said McKinney: "Many have long been concerned about
reports by Amnesty International that reveal a pattern of
excessive and often lethal force by Israeli forces in situations
where Palestinian demonstrators were unarmed and posed no
threat of death or serious injury to the forces or to others."
McKinney quoted Senator Robert Kennedy as saying in 1968:
"America is a great nation and a strong people. Any
who seek to comfort rather than to speak plainly, reassure
rather than instruct, promise satisfaction rather than reveal
frustration-they deny that greatness and drain that strength."
Edition, October 17, 2001, Page 8
is the Bush White House so afraid of Al Jazeera,
the satellite TV service that carries the diatribes of Osama
bin Laden and his lieutenants in the Al Qaeda terror network?
Secretary of State Colin Powell has urged the Gov't of Qatar
to "tone down" Al Jazeera. White House National
Security Adviser Condoleezza Rice begged U.S. TV networks
not to run full unedited videotapes of bin Laden and his
gang. She frets there may be "encoded" messages
in the speeches intended for "sleepers" in this
country to awaken and stage acts of carnage. Rice also worries
the talks will incite people to attack Americans and U.S.
targets. The networks shamefully caved to the White House
wishes. The Internet provides an easy way for terrorists
to communicate with each other. The murderers who attacked
America kept in touch with each other using computers in
public libraries. Bin Laden could simply post his speeches
on the `Net and be guaranteed a global audience.
There should be more
Al Jazeeras in the Arab TV world, one that is dominated
by tightly controlled TV networks that bore people to death
with the comings and goings of various corrupt government
officials. Those channels are also effective tools at crushing
dissent. Bush should use the clout of Al Jazeera--which
has 35 million viewers in the Arab world, including 150,000
people who receive it by cable or dish in the U.S.--to debate
The New York Times,
on Oct. 12, reported that "western values" prevail
at the all-news network. Chief Editor Ibrahim Helal told
the Times: "We learned free speech in America.
How can you ask us to hinder it? If we interfere between
information and our audience, it is the start of our end."
Al Jazeera also has featured Powell and former Israeli Prime
Minister Ehud Barak on its programs.
Laden, the PR master. The Bush team is dead wrong
in peddling the spin that bin Laden is not target No. 1
in its "War on Terror." The cult status that bin
Laden enjoys among millions of Muslims will grow if he continues
to stand up to and fight the "American Crusaders."
Take a look at Saddam Hussein's popularity rankings among
The barbaric attacks
on Sept. 11-from a PR standpoint-were masterworks painted
by bin Laden. They required meticulous planning and precise
execution to achieve the goal of hitting the symbols of
American financial and military might.
The images of the magnificent
World Trade Center Towers collapsing into a fiery heaps
rank as the all-time "special event" in the annals
The runner-up is the collapse
of a wall of the Pentagon.
And talk about media
relations! Bin Laden responded to the attacks on Afghanistan
an hour after the bombings started.
half of PR people believe the PR business has become less
relevant in the aftermath of the attacks on the World
Trade Center and Pentagon, according to a poll conducted
by "O'Dwyer's PR Daily," this NL's website. That's
a shocking statistic from a group of people which has been
indoctrinated about the importance of PR. Forty-seven percent
of the 323 people who responded to the poll believe PR is
less relevant. We have attended numerous meetings over the
years dealing with topics such as PR pros deserving seats
at the "management table," and how PR is invaluable
during a crisis. The Council of PR Firms' chief Jack Bergen
and PRSA's Kathy Lewton have valiantly tried to rally the
troops. Bergen will tell anyone that PR pros are needed
now more than ever before. Lewton has stuck with plans to
hold her group's annual conference this month partly to
show that communicators are needed during times like this.
Atlanta Conference (Oct. 27-30) will have an important impact
on the Society's profitability according to Lewton.
PRSA reported that revenues in the first half rose 9.4%
to $4,541,069, reflecting a higher dues rate. The Society
had $1,111,115 in cash and investments as of June 30, off
$163,542 from the $1,274,697 it had on Dec. 31, 2000. It
reduced its accounts payable from $1,034,507 on Dec. 31
to $338,197, a difference of $696,310.
meanwhile, were reduced from $560,725 on Dec. 31 to $207,348
as PRSA either collected money due to it or wrote off the
receivables. Current assets fell from $1,964,257 as of Dec.
31 to $1,358,605.
Lewton said working capital
"remains strong" at $28,793. It was $116,634 in
January. The financial report included an extraordinary
charge of $28,752 to recognize unreimbursed expense advances
to the Kids in a Drug Free Society Foundation.
The Society is $150,000
ahead of projections despite a malaise in advertising and
seminar registrations, said Lewton.
11 hurt U.K.'s Incepta. Executive chairman David
Wright said the attacks on the U.S. cost his firm 2.5 million
pounds in lost business. He cannot rule out more job cuts
by the end of the year. The consequences of the terror on
America "will have a direct impact and add to our cautiousness"
regarding the outlook for the rest of the year, said Wright,
in releasing Incepta's first-half financials last week.
On a brighter note, Wright said the gloomy outlook is "partly
offset by the benefits gained from the early action we took
on our cost base." That includes axing 160 workers.
Citigate Cunningham, Citigate Dewe Rogerson and Citigate
Sard Verbinnen are Incepta's U.S. units.