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Internet Edition, January 2, 2002, Page 1


The Philippines has awarded Burson-Marsteller an $800,000 one-year contract to restore investor confidence in the country that has been knocked due to its own war on terror.

B-M, which has been advising Saudi Arabia, says its job is to "enhance the sovereign credit rating and strengthen perceptions of the international business community that the Philippines is an attractive location for foreign direct investment."

The program includes media relations, spokesperson training and the development of economic materials.

B-M's Richard Mintz, chair of its U.S. PA practice, coordinates his shop's activities with Ariel Abadilla, Philippines' Charge d'Affairs.

The Philippines has emerged as a key U.S. ally following the Sept. 11 terror attacks on the World Trade Center and the Pentagon.

The U.S. plans to dispatch a fleet of military helicopters to the Philippines this month for attacks on members of the Abu Sayyaf Muslim terror group that has links to Osama bin Laden's Al Qaeda network.

Philippines President Gloria Arroyo has been granted millions of dollars in American support, and her country received rifles, mortars and military trucks from the U.S. in late December.

SAP Taps B-M

SAP A.G., the fourth largest software company in the world, also named B-M as its PR agency.

After a transition period of about two months, B-M will replace Waggener Edstrom, Bellevue, Wash., which has been handling SAP America.

B-M's assignment started Jan. 1.

Heidi Sinclair, who heads B-M's technology practice in Los Angeles, was named global client leader of the SAP account.

Sinclair, who has visited SAP's headquarters in Walldorf, Germany, several times, said it was a "really big win" for B-M, but she could not reveal the size of the budget.

She said SAP, which currently uses several PR firms, had decided to put all of its PR under B-M.


Maytag's Amana division has named Carmichael Lynch Spong to do PR for its brand of refrigerators and microwave oven products.

Minneapolis-based CLS won after a shootout with several Midwest firms.

A separate review for an ad agency continues.


Connecticut is using Noonan/Russo Communications to position it as a high-tech "hot spot" in the league with California's Silicon Valley and Massachusetts' Route 128.

"The campaign marks our initial foray into the economic development area," Tony Russo said. The firm won the business after a "tough pitch," he added.

The account, according to Russo, bills in the $1 million range, and is handled by Rene Connelly, VP.

Connecticut Gov. John Rowland on Dec. 18 announced the campaign will focus on the information technology and biotechnology sectors of the economy.

Officials say IT is the fastest growing part of the state's economy, and note that $3 billion is spent there annually for bioscience R&D.

The PR program will include input from top executives with facilities in Connecticut, such as Michael Fleisher, CEO of Gartner Inc, the IT research firm that is based in Stamford.

It plans to play up the state's business-friendly government, skilled workforce and strategic location between Boston and New York.


Edelman PR Worldwide has beat out Cohn & Wolfe and Manning, Selvage & Lee for Michelin North America's estimated $1 million PR account, Lynn Mann, PR manager for Michelin, told this NL.

The France-based tire maker has used Edelman for past projects.

Mann said Leslie Dach, vice chairman and GM of Edelman's Washington, D.C., office, will oversee the account.

Michelin NA is based in Greenville, S.C. It employs 26,500 of the company's 128,000 work force.

U.S. Army has added The Caraway Group and Walls Comms., both African American firms based in Washington, D.C., to its roster to handle PR for its "Army of One" campaign. Manning, Selvage & Lee heads PR for the campaign for the Army's Recruiting Command...U.K.-based Haymarket, publisher of PR Week, pulled the plug on Media Business after a two-year run. CEO Michael Heseltine said Dec. 17 was MB's last issue. The magazine had 14 staffers, and was "relaunched" in October...E. James White Comms., Herndon, Va., was tapped to handle a $2 million ad/PR campaign to pitch the Shenandoah Valley as a short trip, low-cost vacation spot on the East Coast.

Internet Edition, January 2, 2002, Page 2


The American Institute of Certified Public Accountants is in a major rift with some of the biggest state societies of CPAs, including those in New York, California and Florida, over a proposed "global credential" for CPAs.

The credential has the title, "International Interdisciplinary Strategic Business Professional" or IISBP. Results of a vote by 340,000 members of the AICPA on the issue will be announced Jan. 3.

It would not replace existing credentials like the CPA but would "complement such credentials" and give CPAs the opportunity to enhance their value to their clients and employers, says the AICPA.

Applicants would be subject to "a rigorous qualification process" which would "evaluate their ability to integrate knowledge from multiple business disciplines and to apply this knowledge to provide strategic business insight."

CPA organizations would provide online learning opportunities and connect credential holders to "a unique network of elite professionals around the globe," says the Global Business Credential website,

The New York State Society of CPAs is strongly against the new credential, saying there is no provision in the AICPA charter for it to create a separate credential. The new credential is unnecessary because CPAs "are already providing numerous nontraditional services to the public and have already gained market permission to offer these services."

It says a new credential will allow millions of non-CPAs to compete with CPAs in offering non- attest services. It also says the debate is "divisive" to the profession and will diminish the public's perception of the breadth of services offered by CPAs.


The Washington Convention Center Authority has tapped Porter Novelli and the Walker Marchant Group for a one-year, $400,000 contract to promote the 2.3 million-square-foot facility set to open in 2003. The contract has three optional renewal years.

About 40 firms attended a "pre-proposal" conference on Sept. 13, according to WCC PA director Tony Robinson.

GM/CEO of the WCC, Lewis Dawley, said in a statement that the final selection included proposals from 19 firms and presentations by seven finalists.
He noted the two firms' "deep roots in Washington" as a deciding factor, along with their experience in hospitality marketing.

Robert Gould, senior partner/GM of PN's Washington, D.C., office, called the center "the newest monument in our city of monuments."
The WCC Authority said the center could attract 2.5 million visitors a year, and generate more than $1.4 billion a year for the local economy.

WMG's team includes SVP Leslie Doggett, former deputy undersecretary for tourism at the Dept. of Commerce and director, tourism for New YorkCity.


Weber Shandwick cut more than 20 staffers in its Boston-area technology practice last month. Jamie Parker, president of the unit which includes Miller Shandwick and The Weber Group, could not be reached for comment about the cuts. Tony Sapienza, who was president of Miller/Shandwick Technologies, left the firm in August.

Weber Shandwick, on Oct. 18, announced the formation of a New England PR "powerhouse with 175 staffers and $25 million in revenues" via the combination of BSMG Worldwide and Weber Shandwick.

Micho Spring, who had headed BSMG/Boston, was named New England chairman. Spring, the former deputy mayor of Boston, promised the firm would grow by building on its heritage in PA, technology and consumer marketing.


James Brosnahan, the lawyer who is representing John Walker--the American captured with the Taliban--and his family, is using PR to blunt negative views of his client by recasting him as a nice guy who was brainwashed to avoid a charge of treason.

Brosnahan has not consulted outside PR advice but Judy Burgin, an attorney and marketing manager for Brosnahan's firm, Morrison & Foerster, said she is helping to send out press releases. She reports to Carl Whitaker, chief marketing officer.

Burgin says the firm has no plans to hire outside PR counsel.

Her role has raised some concern because she is the wife of Dave Burgin, editor-in-chief of The San Francisco Examiner, which has been calling Walker "the Frisco Kid" and has been attacking Walker's family.

She was asked by The San Francisco Chronicle if there was a conflict of interest, and if she played favorites with her husband. "In fact, we never talk," she told Chronicle reporter Rob Morse.


The National Oceanic and Atmospheric Administration is looking for help to promote the 10th anniversary of the Monterey Bay Nat'l Marine Sanctuary.

The sanctuary is the nation's largest protected offshore area. Consisting of 276 miles of shoreline and 5,322 square miles of ocean, the MBNMS features North America's most extensive kelp forest.

The PR job requires planning and hosting four "volunteer appreciation" days and other events.
NOAA wants a media outreach campaign, as well as radio/TV commercials. The contractor will also develop a quarterly newsletter for public outreach.

The Commerce Dept. unit expects the winning vendor will be headquartered near the Monterey, Calif., area.

The contract is worth about $100,000.
Responses are due Jan. 11. Randall Brown has details at 206/526-6226.

Internet Edition, January 2, 2002, Page 3


Schneider & Assocs., Boston, said the tragedies that occurred on Sept. 11 have "clearly impacted the practice of PR."

"As counselors, it is our responsibility to recognize the current economic and political climate and determine how that affects what we propose to our clients," the agency said in its December employee newsletter.

"Clearly, the world has changed and so has the editorial policy at print, broadcast and Internet outlets," the agency said. "We cannot expect editors to seriously consider stories that seem irrelevant based on the gravity of current events. S&A recognizes that it is our responsibility to use good judgment. . . to provide appropriate news," the newsletter said.

At a recent Publicity Club of New England meeting, which was organized by Sarah Whitmore, an A/E at S&A, a panel of assignment managing editors from four Boston TV stations offered some placement tips based on the changes that have occurred in the newsroom since Sept. 11.

Their key points were:

-News stations are still looking for stories that are meaningful and human-interest related.
-Companies that can connect what they are doing to the news of the day will receive coverage (i.e. "Mailroom security at major coporations").
-Because of the anthrax scare, newsrooms are no longer accepting food.
-Stories are taking longer to get placed as "hard news" takes precedence. Persistence is key.
-Always pitch stories and people that can deliver quickly once approved.
-Be aware of the news of the day, be realistic, and be tasteful.
-Reporters want to illustrate how the news is impacting consumers and business by using personal examples.


Bradman Nyman Cafarelli, a Los Angeles PR firm which handles PR for S&S, a Diageo subsidiary, was involved in getting a product placement for Johnnie Walker Blue scotch on a recent segment of NBC's hit show "The West Wing."

Not only was the brand featured, but a key character endorsed the product, which is unusual. The placement cost S&S nothing.

In the segment, Leo McGarry, who is President Bartlett's chief of staff, muses, "Good scotch sits in a charcoal barrel for 12 years. Very good scotch gets smoked for 29 years. Johnnie Walker 60-year-old scotch."

S&S has gotten product placements on other top-rated TV shows, including "The Sopranos" (Hennessy) and "Friends" (Dom Perignon).

NBC recently announced it was lifting the ban on hard liquor commercials.


The New York Post's media reporter, Keith Kelly, told Patrick Phillips of, that PR people can make his work easier by calling with important news, not the newest associate editor.

"Call with news that has some intrigue or money angle or some element of clash with the competition," says Kelly, who confesses he is not trying to be "well liked; I'm trying to break stories."

Esssence has begun a year-long series on the challenges of being young, black and female.

Editor-in-chief Diane Weathers said the series will deliver "a hard look at the pressures many girls face and offer an action plan complete with tips, strategies and resources that can help us do a better job of giving them the support they need."

For the first report, Linda Villarosa, a freelance health reporter, moderated a panel of experts.'s columnist, Timothy Noah, who writes "chatterbox," believes The Wall Street Journal's editorial page is becoming a "kinder, gentler place" under Paul Gigot, who replaced Robert Bartley as editorial page editor in September.

Noah points to Gigot's Dec. 10 column in the Journal in which he dismissed Tom DeLay as a candidate for House Majority Leader, now held by Dick Armey, who is retiring.

Noah, who worked with Gigot in the Journal's Washington bureau for six years, said Gigot, "though very conservative, is a rigorous reporter whose analytic style is much more judicious than Bartley's, which is to shoot first and ask questions later, or possibly not ask them at all."


Eight more newspapers have begun carrying The Wall Street Journal Sunday personal finance news package. The WSJ-branded pages now appear in the Sunday business sections of 53 papers with a combined circulation of 9.4 million. Journal reporters write the stories exclusively for the package, which is transmitted to partner papers over the Internet.

Newsday, which expects about 50 employees to accept buyouts, may fold "Plugged In," a weekly technology section. Features in the Wednesday sectionwill appear in Tuesday's "Health & Discovery" section. has been put up for sale by Jim Lichtenstein, a former Chicago TV executive, who created the site in 1999 as a way for the news media to find information quickly. became a subscription- only site in September.

Lichtenstein said his hope is to find a company that can turn AE into a free site again.

(Media news continued on next page)

Internet Edition, January 2, 2002, Page 4


Margaret Roach was promoted to editor-in-chief of Martha Stewart Living Omnimedia, putting her in charge of all editorial content for the company.

Roach, who will keep the title of executive VP, will oversee editorial for all magazines including Martha Stewart Living, Martha Stewart Weddings, Martha Stewart Baby, Martha Stewart Kids and all special issue magazines, all books; newspaper columns; radio shows and all Internet properties including

Douglas Brenner, who is editor of MarthaStewart Living magazine, will report to Roach, who for many years was the magazine's gardening editor.


Luce Online News (, a website run by Luce clipping service, has added a column on media relations.

The monthly column, which will also appear in Luce's Information Bulletin, will be written by Mitchell Friedman, who teaches PR classes at Golden Gate Univ., in San Francisco, and other schools.

Friedman said his column will address challenges typically faced by PR pros, such as what makes news; identifying interested media; assessing how to communicate with media contacts; and media follow up and interview techniques.


Eric Mink is leaving The New York Daily News, where he has been a TV reviewer for several years.

Paul Anger, 52, was named editor of The Des Moines Register. He has been news editor in Knight-Ridder's bureau in Washington, D.C., since October.

Jacqueline Thomas stepped down last week as editorial page editor of The Baltimore Sun.

John Rockwell, editor of the Sunday "Arts & Leisure" section in The New York Times, is giving up the position to return to writing.

Eileen Naughton, 43, previously VP of investor relations for AOL Time Warner, was named president of Time magazine, replacing E. Bruce Hallett, who was appointed president of Sports Illustrated.

Jeffrey Stevenson, 41, who runs VSA Communications Partners, which owns Phillips Business Information, publisher of PR News, was named co-chief executive of Veronis Suhler, a bank which acts as an advisor in media acquisitions. The firm's name was changed to Veronis Suhler Stevenson.

Michael Oricchio was named managing editor of The New York Times Syndicate.

Sid Goldberg, 70, who is retiring as head of United Feature Syndicate and Newspaper Enterprise Assn., will join his wife Lucianne's literary agency.


Anthony Birritteri, senior editor of New Jersey Business, offered these examples of things PR pros should never say when pitching news people:

-"I just faxed you a press release. When is it going to run?"
-"It's really great. It's a photo of someone donating a giant check."
-"It's a passport photo taken 10 years ago, but really, it's good."
-"Besides talking with the president, also sitting in on the meeting will be the senior VP, executive VP, VP, senior manager, manager and janitor."
-"How much does it cost to get this press release in your publication?"

Birritteri was one of a dozen news people who spoke at the annual "Meet the Press" luncheon that was held Dec. 12 at the Marriott Hotel in Somerset, N.J. The meeting was co-sponsored by PRSA/N.J. and the Society of Professional Journalists.

Here are some more tips offered by the other panelists:

-Todd McDermott, WCBS-TV anchor, said stations are more likely to consider covering something if publicists can maximize the number of people who will be impacted by the story and if it touches someone some way emotionally or financially.

Publicists should make sure people recommended as sources are prepared for an interview. He recalled an interview with someone who replied to his first question: "Sorry, don't speak much English."

-Marcus Solis, a reporter with WABC-TV in New Jersey, said getting background information from publicists is appreciated.

-Rose Marie Arden, a field producer for CNN in New York, said PR pros will find an easier sell on the weekend when news tends to be slow. Since fewer news staffers are at work, getting advance notice on weekend stories is helpful, said Arden.

-Julie Busby, editor of The Philadelphia Inquirer's New Jersey edition, gave these tips: Develop a list of reporters and assignment editors, not top editors, to call; become a source for good stories; make yourself credible; be accessible by leaving phone numbers, and create efficient press kits.


Thirteen e-health websites are the first to be accredited by URAC, the Washington, D.C.-based health accreditation organization.

The newly accredited sites include Adam, GHI, hayesonhealth, hiaa, health-intl, veritasmedicine, laurushealth, webMD, wellmed, intelihealth, hhni, healthwise and healthyroads.

URAC standards cover several issues including health content editorial process, disclosure of financial relationships, linking to other websites, privacy and security, and mechanisms for consumer complaints.

Internet Edition, January 2, 2002, Page 7


The Universal Accreditation Board, representing PR Society of America and eight other PR groups, is seeking donations of $50 or $100 from the 4,200 PRSA APR members as part of a $300,000 fundraising drive in 2002.

PRSA, which had previously budgeted $240,000 to the UAB to create a new exam to replace the current 38-year-old test, now is only budgeting $30,000 to the "re-engineering" of the exam.
The Society lost $1.1 million in 1999-2000 and is keeping costs to a minimum.

The UAB, headed by Douglas Coffey, VP of communications, United Defense, Arlington, Va.., has sent a letter to the PRSA APR members asking them to help the UAB reach its goal.

Those who donate $100 or more will receive a commemorative APR lapel pin. Coffey said the 25 members of the UAB are pledging $2,000 each or $50,000 to the fund.

Two-tier Exam Considered

His letter said that two forms of a UAPR exam are being considered, "one for beginning professionals and one for senior practitioners."

Another possibility is that the exam will be given throughout the U.S. in commercial testing facilities that will offer it all year long.

Presently, the exam is only given twice a year and at a limited number of locations. Correcting the exam via the outside service used by PRSA usually takes four months or more and has been costing the Society upwards of $100,000 yearly.

This could change, said Coffey. One possibility is making most of the test multiple-choice and machine correctable. Personal interviews would still be required.

Goals of the re-engineering process include creation of a new exam that would be "inclusive of other professional groups and specializations," "global and adaptable to other cultures and languages," and "flexible in considering different levels of accreditation and different complexities of practice."

Other Groups May Pay to Take Test

Non-PRSA members pay $385 to take the test. If they pass it, each year they must pay PRSA $225 (or whatever the full dues rate is) in order to be allowed to continue to use the APR designation.

Fifty of the approximately 8,000 members of the eight other groups took the UAPR exam in 2000 and 31 passed it. In the spring of 2001, 39 took the test and 24 passed it. In the fall of 2001, 37 took the test and the results will be announced in February 2002.

The eight participating groups and their approximate membership totals are: Agricultural Relations Council (230); Florida PR Assn. (1,000); Maine PR Council (250); National School PR Assn. (1,900); Society for Healthcare Strategy & Market Development (3,700); Southern PR Federation (200+); Texas PR Assn. (325), and Religious Communications Council (new to UAB and membership total not available).


Advertising doesn't know PR, and PR doesn't know advertising, but their specialized resources need to be brought together, according to Bruce Silverman, president/CEO of Interpublic's Initiative Partners, the research division of the $11 billion media buying giant, Initiative Media.

Silverman presented his view through "the media crystal ball" Dec. 7 at RF Binder's offices, New York.

"You can't think about advertising, PR and marketing in separate buckets anymore," he said. In the coming years "some products will have to be pitched in different ways to different people, [and] the consumer expects an integrated experience." Silverman added that large ad/PR agencies could be at a disadvantage with such integration because it is harder for them to adapt to changes rapidly.

Quality vs. Quantity of Data

Silverman's views on the convergence of PR, advertising and marketing suggest a future shift toward more qualitative data when designing and measuring the impact of campaigns, RF Binder's chief marketing officer, George Drucker, told this NL. "We're going to have to see a significant change in the measurement model companies are using," he said. "The emphasis will be on quality, more so than quantity and mass, to focus on the individual in a more personalized pitch.

"It is also essentially what PR has been doing for the last 50 years," Drucker said.


Twenty-one former West Coast employees of Connors Communications, New York, have started their own firm by purchasing the assets and assuming the responsibility for salaries, lease obligations and other costs of offices in San Francisco and Santa Monica, Calif.

Connie Connors, president and CEO of CC, said the new firm, Allison & Partners, becomes an affiliate of CC and that clients remain as the firm transitions.

Scott Allison, who was general manager of the S.F. office of CC, said the firm will continue to do high-tech PR but will diversify. An entertainment practice has been started and projects have been received from The Disney Channel and Sony Pictures.

Connors, whose firm has 35 employees in New York, said it is doing well in technology and will continue to specialize in it.

New clients include Cablevision and The Wall Street Journal Online (

Charles Schueler, senior VP, media and community relations, Cablevision, said the company went through "a rigorous search process" in picking CC for "strategic counsel and media relations" for several digital business units including Optimum Online.

Steven Goldstein, VP, corp. comms., Dow Jones & Co., said, "Connors has a long and successful history of working with media companies, both off and on-line and they clearly understand our business objectives."

Internet Edition, January 2, 2002, Page 8



The hotly disputed proposal of the American Institute of CPAs to establish a "global credential" for CPAs and "other professionals" (page two), brings to mind the four-year-old program of "Universal APR" of PRSA and others.

Like the proposed "International Interdisciplinary Strategic Business Professional," UAPR was supposed to win support from around the globe.

But, after four years, not a single one of the 80 or so foreign PR groups has chosen to take part in the PRSA-led effort. In fact, PR groups in Canada and five other countries set up a "Global Alliance" in 2000to recognize each other's accrediting programs. Only eight U.S. PR groups opted to take part in UAPR.

A chief argument against the proposed IISBP designation is that there can be no such thing as a "global professional business credential." This same argument was used against universal APR.

PRSA is selling a 38-year-old test that less than 2% of the PRSA eligibles take each time it's given. Anyone taking the test who is not in PRSA must pay PRSA $225 yearly in order to keep the APR designation (after paying $385 to take the test).

It's no wonder that only 50 (.06%) of the nearly 8,000 members of the eight other participating groups in UAPR took the exam in 2000.

The Universal Accreditation Board is trying to raise $300,000 to revamp the test, focusing on 12 "work categories" such as account planning, project planning, strategic planning, press conference management, etc., that are common to all areas of PR practice.

Associations such as AICPA, PRSA and NIRI are expanding their "professional development" activities as a way of building revenues and staff.

They are positioning themselves as a form of graduate school for their members, who are being cajoled into taking courses and passing exams lest they fall behind their peers. One result is two classes of members, one being better than the other.

In looking at some of these PD offerings, we wonder if terms such as "specious" and "sophistry" might apply to them.

For instance, the AICPA-supported initiative would determine if applicants can "integrate knowledge from multiple business disciplines and apply this knowledge to provide strategic business insight." We wonder if such an ability exists in the first place, and in the second, whether it can be measured on a written exam?

The NIRI's PD program is in the same vein. It recommends no less than 23 areas of study in investor relations. It has seminars, conferences and "executive education programs" to help members pursue such topics as economics, accounting, financial analysis, securities regulation, and how global markets work. Academics spend a lifetime trying to get a handle on even one of the above but NIRI members are urged to study them all.

Whether this pursuit has any relation to what PR and IR pros are actually supposed to do is a question that can be raised. PRSA has emphasized course study at a time when PR's role as "corporate conscience" has all but evaporated. NIRI members are up to their ears in seminars and books while the nation's earnings reports have turned into a "house of Babel" that has drawn media and SEC criticism.

A significant document "outed" in 2001 was the one-page memo on press relations by Polk Laffoon IV, VP-corporate relations, Knight-Ridder, (32 dailies with 8.5 million readers). (www.brainsoap. com/news/grapevine/media2.shtml.)

He captured three main themes of modern corporate PR: (1) saying nothing often makes "good sense"; (2) if you decide to talk, do a full court press- "muster whatever facts and figures can refute or blunt" any angle or "agenda" that the reporter may have; (3) keep in mind that K-R is "under no obligation to tell a reporter about our internal business-remember that what is our business is just that."

This is exactly what we run into in covering many stories. Subjects respond with either a barrage of materials or clam up. The latter course is taken if the subject feels it has no reasonable rebuttal to the story angle (i.e., our recent stories on BellSouth and its misleading Q3 earnings report; NIRI and its refusal to make its directory available to reporters; Pfizer and the charge by a doctor that about half of those on Lipitor quit within a year or two because of the many side effects that develop).

The third part of Laffoon's advice is most ironic in that it comes from a newspaper chain, and a publicly held one at that, whose thousands of reporters depend on story subjects to give them opinions and facts, help them with their stories, etc. Suppose they were all told "It's none of your business what I business is just that."

K-R was in the news because it had cut 2,100 staffers or 9.5% of the total in 2001 to boost profits. Its operating profit margin, according to a June 18 Wall Street Journal story, is 20%, far above the margins achieved by many of its advertisers, who gripe about increases in ad rates in spite of declining circulation. Wall Street loves the profit-conscious policies of K-R, boosting its stock to an all-time high of $64 (vs. $20 in 1995). The Laffoon name has been in the news lately. Coley Laffoon, son of Polk, was married last September to actress Anne Heche.
--Jack O'Dwyer


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