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Internet Edition, May 15, 2002, Page 1

ORBIS SQUARES OFF AGAINST PRN

Orbis Broadcast Group alleges that PR Newswire breached a contract when MultiVu-a company PRN established last month to provide VNRs and other electronic publicity tools- hired Tim Bahr, who was president of OBG's healthcare group, and five other staffers, according to a lawsuit filed May 6.

OBG, says its complaint, entered into a "co-marketing agreement" with PRN on April 12, 1999. The one-year pact was extended, and finally terminated by both parties on May 12, 2001. OBG claims a provision of the agreement said neither party could use the other's "propriety information," and charges that PRN breached that by hiring former staffers. It wants at least $5 million in damages.

Orbis also maintains that it entered into a noncompete agreement with Bahr-who earned a $300K salary plus other compensation-that would expire one-year following his termination. Bahr left Orbis to head MultiVu on April 22. OBG is asking for damages of at least $5 million for Bahr breaking that alleged noncompete pact.

Five Orbis staffers joined MultiVu. They are producers Margaret Higgins, Danielle Addair and Christiane Arbesu, and sales executives Irene Mitchell and Benjamin Fugitt. OBG named each as a defendant.

Bahr told this NL he could not comment on the case. Rachel Asche, a PRN spokesperson, e-mailed the following statement from Charlie Morin, her company's CEO. He said: "Orbis Broadcast Group filed a lawsuit on May 6, 2002 in New York Supreme Court against PR Newswire, its multimedia and broadcast company, MultiVu, and certain employees. We are confident that we will prevail."

The defendants are to appear in Court on May 21.

ACKERMANN LANDS $500K DFW AIRPORT

Ackermann PR has won a two-year $500,000 contract to position Dallas Fort Worth International as a "safe and secure airport," said Cathy Ackermann. She cited Burson-Marsteller, Ketchum, Fleishman-Hillard and Vollmer PR as key contenders for the account. DFW sent proposals to more than 135 firms, and 19 shops submitted pitches.

Burson-Marsteller has named Heidi Sinclair as global technology practice leader based in the London office of the WPP Group unit. Albert Durig, who chaired B-M's Latin American high-tech practice, will succeed Sinclair as U.S. technology practice leader.

IRS FILES $20M ACCOUNT WITH WS, FCB

Weber Shandwick and Foote, Cone & Belding beat out a dozen firms for a $20 million-a-year Internal Revenue Service campaign to boost tax compliance and encourage more taxpayers to file electronically. April Delancey, an IRS spokesperson, would not name the other finalists, but Grey Global Group, BBDO and Young & Rubicam are said to have been in the running for the account that could run five years depending on funding. The Minneapolis office of WS, which is headed by Sara Gavin, will lead PR duties. That office boasts of electronic payment and tax administration expertise having worked for various financial services companies and the Minnesota tax authority.

FCBi (interactive marketing), Analytici (database) and Montemayor y Associatos (Hispanic outreach) are the other Interpublic units that are involved in the work. FCB heralds its collaborative pitch with sister companies as an indication that its "Model of One" philosophy is a viable one in the age of communications conglomerates. Atlanta-based Agency I.D. assisted the IRS in its five-month agency search.

SQUIBB'S DESALVA HEADS GCI'S HEALTH

GCI Group has tapped Bristol-Myers Squibb Foundation director Anna Maria DeSalva to head its North American healthcare practice.

DeSalva, who began in BMS's international PA department in 1996 and took over the Foundation's philanthropic work in 2000, formerly was a VP in Ketchum's healthcare and pharmaceutical practice. Her earlier career included stints at Ogilvy Adams & Reinhart and the Cooney/Waters Group.

DeSalva will oversee GCI's pharmaceuticals, clinical trial recruitment, biotechnology, consumer health, medical devices and provider care clients.

EISNER GETS $933K TO PITCH SCHOOLS

Eisner Communications beat out six firms for a two-year $933,000 pact to pitch the quality of Baltimore's 180 public schools to parents and students, as the school board faces enrollment slumps due to competition from private institutions and Edison Schools.

The firm will play up a reform program for the district, which is bolstered by a partnership with the State of Maryland and includes a redesign of Baltimore's high schools funded by $20.75M from the Bill and Melinda Gates Foundation and other groups.


Internet Edition, May 15, 2002, Page 2
   

PM WANTS ANTI-TOBACCO ADS PULLED

Philip Morris is calling on the Florida Department of Health and its ad firm, Crispin Porter & Bogusky, to retract "inaccurate, misleading, and false" ads which are being run as part of the state's "Truth" anti-smoking campaign aimed at kids.

Those ads, which do not mention PM by name, make false claims about the tobacco company's international marketing in Africa, China and Venezuela, PM said in a letter to Debra Bodenstine, director of the FDH's Health Awareness and Tobacco division. A copy of the letter - which was signed by PM's U.S. and International general counsel and cc'ed to CP&B and 28 Florida TV stations - was provided to this newsletter.

PM alleges that the ads, which are funded by Florida's $11.3B settlement with the tobacco industry, use "brand-specific imagery and language in a way that leaves no doubt that they are directed" at PM.

A PA staffer for PM said the letter clearly outlines the tobacco company's position and referred to it for comment. She said PM's PR firm, Burson-Marsteller, is not involved in the Florida fracas.

KLORES CUTS 'IRON MIKE' TYSON

Dan Klores Comms. has dropped heavyweight boxer Mike Tyson from its client roster following "Iron Mike's" latest verbal explosion. In Hawaii training for a rematch with champ Lennox Lewis, Tyson's "trash talk" has gone into overdrive during various media appearances that were arranged by DKC.

The fighter has called himself "angelic," though admitted that most people view him as "scum." Of the upcoming June 8 fight in Memphis, Tyson promises to take not only Lennox's title, but also his soul. The ex-champ vows to smear Lewis' "pompous brains all over the ring."

MUCHA NAMED DISNEY PR CHIEF

Zenia Mucha was named chief spokesperson for The Walt Disney Co. after serving in that role for its ABC broadcast unit and TV network. She becomes SVP of corporate comms. based in Los Angeles.

Mucha was a high-profile spokesperson for both New York Governor George Pataki and former Senator Al D'Amato. She replaces John Dreyer, a 25-year veteran at Disney and chief spokesman for 10 years, who is leaving to "pursue other opportunities."

C&W SPREADS 'GOOD NEWS' ABOUT SUICIDE

Cohn & Wolfe is helping the American Foundation for Suicide Prevention spread the good news that the number of people killing themselves is dropping-thanks to the increase in the use of antidepressants. The firm also reps GlaxoSmithKline, maker of Paxil, a leading depression treatment.

AFSP released data last week showing that America's suicide rate is down 14 percent over the past decade. The number of self-inflicted deaths in the U.S. fell below the 30,000 mark last year for the first time since 1985.

Sheri Jaffe handles the AFSP account. She said C&W is handling the AFSP's "Lifesavers Dinner: on a pro bono basis. When asked if C&W is still doing work for Paxil, Jaffe said, "We work in a number of areas for GlaxoSmithKline." She stressed there is no connection between work for the Foundation and for GlaxoSmithKline.

EDELMAN LISTING DRAWS 1,548 VISITORS

The listing for Edelman PR Worldwide on the O'Dwyer website drew 1,548 visitor sessions in April, making it the tenth most popular place on the site. Visitors spent an average of two minutes and 15 seconds on the Edelman listing. The listing is the same as the one that appears in O'Dwyer's Directory of PR Firms.

In second place among agencies was the listing for BSMG Worldwide, which drew 675 visitor sessions. It was the 31st most popular segment on the site. Viewers spent an average of two minutes and ten seconds on the BSMG listing.

Ruder Finn was in third place among the big firms, drawing 676 viewer sessions lasting an average of two minutes and four seconds.

Hill and Knowlton's listing drew 639 visitor sessions; Ogilvy PR Worldwide, 598 sessions; Porter Novelli, 585 sessions; Burson-Marsteller, 581 sessions, and Fleishman-Hillard, 578 sessions.

The news portion of the O'Dwyer website was the most popular area of the site, garnering 37,485 visitor sessions. In second place was the index to the O'Dwyer's PR Buyer's Guide, listing 1,500 PR services and products in 58 categories. It had 6,169 visitor sessions.

In third place was an editorial by O'Dwyer editor Kevin McCauley on President Bush "finally springing into action" on the Israeli/Palestine dispute following the Passover massacre at Netanya. It garnered 5,234 visitor sessions and drew comments from 28 readers. In fourth place was the PR firms database on the website including rankings, geographical listings, and specialty listings.

'GREEN PR MACHINE' UNDER SCRUTINY

Conservative activist Amy Ridenour plans to expose the "distorted facts, misinformation" and acts of terrorism committed by environmental groups to capture the world's attention and fill their coffers. That's the message from her non-profit National Center for Public Policy Research, which launched envirotruth.org, a website that plans to inject "badly needed balance in the debate about the environment." It will provide details about the "jihad" that environmental organizations are waging against corporate America.

Ridenour, who runs the Center with her husband David, formed the Center in 1982 to provide the conservative movement with a "versatile and energetic organization capable of responding quickly and decisively to late-breaking issues."


Internet Edition, May 15, 2002, Page 3
   
MEDIA NEWS/JERRY WALKER
    

AP BEEFS UP ENTERTAINMENT COVERAGE

The Associated Press is offering more entertainment coverage than ever before, and in all new formats-video, audio, print, photos and online.

"Members, subscribers and clients are clamoring for stories and pictures on everything from the business side of film and TV production, to reviews of arts and inside stories of the newest stars," according to the current issue of AP World magazine.

Split Up

The AP's arts and entertainment department has been split into two sections.

Dolores Barclay, who is arts and entertainment editor, was charged with focusing on the arts side- literature, theater, architecture, design and fine arts, including the work of theater critic Mike Kuchwara and books/publishing writer Hillel Italie.

Julia Rubin, who was named entertainment editor, oversees the entertainment side-movies, TV, music, and the increasing convergence of them all.

Rubin, who is based in New York, also helps oversee both spot and enterprise coverage, and a staff of nine, including a Los Angeles operation she co-manages with bureau chief Sue Cross that includes entertainment writer Anthony Breznican; full-time movie writer and reviewer Dave Germain, and TV writer Lynn Elber.

Her staff also includes the dean of Hollywood coverage, Bob Thomas, and business writer Gary Gentile, who also focuses on the entertainment industry, and Frazier Moore who shares coverage of TV's entertainment side with Elber.

Large Stringer Network

In Washington, D.C., Michael Weinfeld oversees a stringer network and four full-time reporters- Rosalie Fox covering Hollywood; Oscar Gabriel covering urban entertainment; Margie Szaroleta covering rock and pop, and Natalie Windsor covering country music.

In New York, Carol Deegan, celebrity editor, oversees the "People in the News" package, which has been doubled, as well as editing features such as "Five Qs," with its different artist or celebrity each week.

AP Digital, under Ruth Gersh, is producing and marketing a premium multimedia package for the Internet, stocked with copy that flows in from Rubin's shop.

An "Entertainment Briefs" package has been added and spot news reports are regular offerings on the A-Wire-anything from a movie star's divorce to reports from TV writer Dave Bauder on the machinations of the TV industry.

Cameron Bloch and Benny Snyder handle spot entertainment art and deliver photos for the weekend arts and entertainment packages.

TV Coverage Expanded

Chris O'Hearn, who is head of content operations for Associated Press TV News (APTN), has started a virtual 24-hour entertainment operation with three feeds per day that make use of APTN's dozen full-time entertainment producers and a global network of freelancers.

Nick Thomas is APTN's new entertainment editor.

No PR Deals

No matter how popular entertainment journalism gets, and no matter how cutthroat the market becomes, the basic foundation of the AP-accuracy and reliability in a timely fashion-will never be compromised, according to Deegan, who has been an AP editor for 20 years.

The same standards that govern anything filed to any wire apply equally to entertainment. That means no anonymous sources, no "told a close pal," and certainly no "let's just get this out and we'll verify it later," she said.

It also means no deals with PR people. When music writer Nekesa Moody tried to get an interview with Sean "P. Diddy" Combs, his publicists said she could as long as she did not ask him about his tax problems.
No conditions, Moody tells the PR people, otherwise, no interview. The PR people relented and the interview proceeded as scheduled.

J&J TO WRITE SCRIPTS FOR TV FILMS

Johnson & Johnson, New Brunswick, N.J.-based healthcare company, has made a deal with TNT, an Atlanta-based cable network, to put more family-friendly movies on TV.

J&J will submit scripts for films that will air under the name of "Johnson & Johnson Spotlight Presentations" on AOL Time Warner's TNT.

J&J's movies will highlight heroic characters with "positive and uplifting" messages.

At least two original movies a year are expected to air under the new arrangement. The first is "Door to Door," which is slated to run on TNT in July. The movie is about a door-to-door salesman born with cerebral palsy.

NEW HOLIDAY MEDIA LIST IS FOR SALE

The fourth edition of "The Gift List" is available for purchase.

The comprehensive media list of editorial contacts can be used by publicists for pitching December holiday gift guide editors as well as new product editors in general, according to editor Amy Bernhard.

The list, which is priced at $369, will be shipped to customers in two waves: the magazine list in mid-June, followed by short leads list in late September.
Info.: 818/790-0775; www.giftslistmedia.com.

USAToday.com, McLean, Va.-based website, has expanded its travel coverage, including more business travel news, tips, online travel tools and new columnists.

The site is located at www.travel.usatoday.com. 703/854-3400.

(Media news continued on next page)


Internet Edition, May 15, 2002, Page 4
   
MEDIA NEWS/JERRY WALKER
   

NEW MAG FOR 'FULL-FASHIONED' WOMAN

Ceslie Armstrong, who was editor of the now-defunct Mode magazine, is editor-in-chief of Grace, a brand new magazine that hit newsstands May 14.

Like Mode, Grace will cater to the full-figured woman. In the U.S., this demographic includes 68% of the women that wear a size 12 or above.

The launch of GraceStyle.com coincides with the debut of the first issue of Grace, which will publish as a quarterly before shifting to a bimonthly schedule in 2004.

The magazine will run features and columns that spotlight the latest in fashion, beauty and style for the full-figured woman.

Grace will also have sections devoted to travel, food, wine, pop culture, home design and entertaining.
Armstrong is located at 276 Fifth ave., #503, New York, NY 10011. 212/684-1820.

D.L. Blackman & Co., based in New York, is handling PR for Grace Media.

REAL ESTATE MAGAZINE GETS MAKEOVER

National Real Estate Investor magazine has been changed to include more in-depth articles, news and trends impacting the commercial real estate industry.

The magazine has been divided into three sections:

-Developments-information of the latest news and trends in real estate finance as well as in the office, hotel, multi-family, retail and industrial submarkets.

-Feature story-an in-depth look at an important issue emerging in the industry, a profile of a major player in the real estate market or the dissection of an important industry trend.

In May, the focus is on the problems facing aging shopping malls and what the industry is doing to combat this situation.

-Strategies-practical advice from industry colleagues, case studies about how to tackle the tough problems and updates on finance and property management, techniques and discussions of regulatory issues.

NREI is published in Atlanta by Primedia's real estate group. Matt Valley, editor of NREI, can be reached at 770/618-0215.

PLACEMENT TIPS

The Wall Street Journal's new "Personal Journal" section, which covers health, travel, personal finance, leisure & arts, and autos, is published Tuesdays, Wednesdays and Thursdays.

The section has 15 reporters assigned to the section. They are:

Health-Andrea Peterson (212/965-4134); Eleena Delisser, (965-4133); "Health Journal" columnist-Tara Parker-Pope (965-4124); health & science columnist-Mike Waldholz (212/274-7910); "Work & Family columnist-Sue Shellenbarger (503/636-6851); Columnist-Tom Herman (274-7774);

"Getting Going" columnist-Jonathan Clements (274-7984); personal finance reporter/columnist- Lynn Ainof (617/654-6708); personal finance reporter-Ron Lieber (965-4136); Travel reporter- Michelle Higgins (965-4137);

Senior special writer-Sefanie Ilgenfritz (965-4130); senior special writer-Jesse Pesta (965-4132); reporting assistant-Anne-Marie Chaker (965-4135); reporting assistant-Jane Spencer (965-4123); news assistant-Lorraine Farquharson (965-4121).

Ed Felsenthal (965-4127) is managing editor of the section; Eben Shapiro, deputy editor; Hilary Stout, health editor, and Neal Templin (965-7979), is personal finance editor.

To reach staffers by e-mail, send to [email protected].

Slate.com's new editor Jacob Weisberg is expanding the online magazine's cultural coverage.

He wants to publish articles that help people sort out what's important in the realm of culture. He indicates much of the arts writing would be in the form of thematic pieces rather than reviews.

Slate has just added TV coverage by Harvard Univ.'s Virginia Heffernan, and Weisberg hopes to provide more coverage of music and food, as well. Politics, economics and business also will continue to be important mainstays in the mix.

Weisberg will be based in the magazine's New York bureau.

Nightclub & Bar Magazine, which covers promotions, marketing strategies and new product information, is adding sections spotlighting Latino and gay/lesbian nightclubs. The expanded coverage will feature reports on beverage, food, music and entertainment trends at these clubs.

Amy Lorton is editor of the magazine, which is based in Oxford, Miss. 662/236-5510 ext 35.

PEOPLE

Greg Moore, previously managing editor of The Boston Globe, has joined The Denver Post as editor, replacing Glenn Guzzo, who resigned.

Barbara Durkin, 40, who had covered the healthcare beat for Newsday since 1998, died May 1.

Alan Richman, a food columnist for GQ, was awarded the M.F.K. Fisher Writing Award, which is the highest award given to a journalist by The James Beard Foundation.

John Koten is stepping down as editor of Worth magazine after nine years, and Jane Berentson, who has been executive editor, is also leaving.

Leonard Apcar, 49, was named editor-in-chief of The New York Times on the Web, succeeding Bernard Gwertzman, 67, who plans to retire.


Internet Edition, May 15, 2002, Page 7
   

PAYROLL COSTS SOAR AT PRSA

Payroll costs rose 14.4% at PRSA in 2001 to $4,015,889, or 43% of revenues of $9,151,830.
Payroll costs in 2001 were 27% higher than the 1999 payroll costs of $3,159,512.

Average payroll costs of groups in the $5-$10M range is 29% of revenues, according to the American Society of Assn. Executives.

PRSA said there were a few "one-time extraordinary payments as a result of severance and compensation issues."

Former COO Ray Gaulke left at the end of 2000 with about four years to go on his contract which was at the approximate rate of $250K yearly. Terms of a settlement were not revealed.

Dorothy McGuinness, a 31-year veteran who was head of chapter operations and development, left after her job was eliminated in late 2001. PRSA said she received "severance."

Catherine Bolton, executive director, was hired in 2000 at $200,000 plus benefits and received a raise to $215,000 in 2001 and $236,000 in 2002. Pension (about $26,000), health and other benefits are paid.

Publication Salaries Up

Helping to boost payroll costs was a 50% jump in publication salaries from $385,113 to $579,240.
PRSA said the quarterly Strategist was brought in-house and there is now a common production and editorial staff with the monthly Tactics.

Professional fees for publications were reduced from $114,650 to $73,661.

Printing/postage costs for all PRSA publications were $508,420 in 2001. No breakout is given.

Advertising income of S&T declined 22.6% to $566,933 and subscription income dropped 18% to $56,565.

The 2001 audit, unlike previous audits, does not break out the printing and postage costs for S&T but only provides the figure of $1,803,052 for all publications. Costs of S&T were $1,368,549 in 2000. Indicated loss on S&T is about $750K.

Tactics, Strategist Allocation Now $49

The portion of dues allocated to S&T has been raised from $25 per member to $49 ($958,979 total) because $49 is "closer to the actual cost" of the publications, PRSA said.

Spending on computer equipment in the past several years has totaled $1,072,435 or about $25,000 per staffer. A CPA noted PRSA only spent $381,672 on furniture and equipment and that this cost is normally greater than the cost of computers. He called the amount spent on computers "ridiculous by any standards."

The travel budget was cut 28% from $717,477 to $469,998.

Professional fees were cut 42% to $645,996 topped by a 45% decrease in such fees for accreditation from $207,147 to $113,326. The APR program, which had a net cost of $441,467 in 2000, cost $135,511 in 2001.

Cash and investments as of Dec. 31, 2001 totaled $1,517,193 vs. $1,274,697 as of Dec. 31, 2000.

PRSA officers and staff have been asked for current financial information but have refused to supply it. The Society in 1997 gave quarterly reports.

PRSA COUNSELORS ACADEMY DRAWS 169

"Economic conditions" resulted in an attendance of only 169 at the PRSA Counselors Academy meeting in San Antonio, Tex., May 5-7, said Tom Gable, chair of the Academy.

The record attendance was 382 in 1997 at St. Pete Beach, Fla. Previous high was 375 at the 35th annual meeting in 1995 in Key West, Fla. This included 283 counselor members.

Major PR operations formed their own association in 1998. The top 15 or so member firms each pay $50,000 a year in dues (.065% of fees). The individual Academy members pay dues of $180.

Keynote speaker Terry Paulson, psychologist and author, said that with technological breakthroughs and competitors coming from all directions, leaders must continue to push for a strategic, service-driven focus that will generate and sustain commitment to a common mission.

PR Is of "Strategic Importance"

"It is clear that the strategic importance of PR in inventing the future can be critical," he said.

PR people and other leaders must "move beyond traditional functions to become strategic enablers for the firms they represent," he said.

Mike Herman, president of Epley Assocs., was chair of the conference.

Speakers included Richard Lederer, author of books on language and humor including his Anguished English series, and Mitch Javidi, Digiton Corp., who led a session on strategic planning.

Joann Killeen, president of PRSA, attended the conference but did not speak. Gable said she was not asked to address the group.

Other Speakers

Other speakers included CPA Rick Gould; Marie Raperto, The Cantor Concern; Larry Moskowitz, Medialink; and Bob Evans, editor-in-chief, Information Week, and senior VP, CMP unit of United Business Media, owner of PR Newswire.

The conference committee included Tom Hoog, non-executive chair of Hill and Knowlton/USA, who will be chair of the Academy in 2003; Art Stevens, Publicis Dialog; Judith Rich, Rich Relations; Jennifer Grace, H&K/USA; Steve Cody, PepperCom, and Betsy Buckley and Dennis McGrath, McGrath-Buckley Communications.

Other "top 50" PR firms represented were Manning, Selvage & Lee; Magnet Communications; Padilla Speer Beardsley, and PepperCom.

Sponsors were Epley Assocs., Medialink, VMS, Burrelle's, DWJ Television, Vocus, Bacon's Business Wire, and Elliance.


Internet Edition, May 15, 2002, Page 8
    

PR OPINION/ITEMS

 

PR pros lost a lot of power when they lost the power of the purse-their expense accounts.

Many corporate and agency PR people in the 1970's and 80's had virtually unlimited tabs that they used to entertain editors in a variety of ways, including lunches, dinners and shows. Agency events included open houses at which dinner was served, golf and tennis outings, "nights on the town," etc.

One corporate PR exec had a $5,000 monthly budget and no one questioned how he used it. Another PR pro for a blue chip spent as much as he wanted to. The company was happy as long as he got plenty of mentions, he said.

Using company money, PR pros were able to build individual power bases that also benefitted their employers. The contacts they built up made it easier for them to switch jobs or start firms.

The press, which came under heavy fire in the 70's for being too hostile to business, declared much of this largess to be unethical. Reporters also felt it was hypocritical to be "on the take" while being increasingly confrontational with business.

However, the pendulum has now swung too far the other way. Some PR pros spend their entire careers "telemarketing"-never entertaining or socializing with reporters at all.

Lacking any contact base, PR pros are susceptible to being replaced after a year or two with cheaper recruits. This is just what profit-minded parent companies want these days.

The time has come to reverse this trend. Journalists or their companies can often afford to reciprocate in entertaining, so that neither side is beholden to the other. Whoever heard of a salesperson who could not entertain clients?

PR pros are operating under the most difficult conditions ever. They are lumped together with hard-selling advertising and marketing people, where they are the "ugly ducklings." They are severely limited in what they are allowed to know and say and are deprived of funds for building contacts. A national campaign is needed to improve conditions.

Thankfully, voices to this effect are rising in the industry and we hope they become a chorus.

Ted Pincus, founder of the Financial Relations Board and long the most outspoken person in IR, said PR and IR people, as well as lawyers, accountants, and investment bankers, must stop being "lapdogs" for companies like Enron. The professions "must overcome the yellow streak of spinelessness," he said, and PR must once again take up its role as "corporate conscience."

Shelley Spector, founder/president of the National Assn. of Independent PR Agencies (120+ PR firms nationwide), said PR pros must stop being "compliant communicators" and must "have the guts to disagree with employers and risk their jobs."

Brian Kilgore, editor of BAK's Report, Toronto, noted the near silence of the elected heads of PR Society of America, Int'l Assn. of Business Communicators, and Canadian PR Society. Their biggest failure, he said, is their refusal to "stand up and be counted in front of audiences that are important to their members."

The U.S. PR profession can no longer afford to sit idly by while its national trade group, PR Society of America, with a $9 million budget, fails to do any fighting on behalf of the people in the field who are buffeted by a multitude of pressures. High on this list is job insecurity at all levels. Following are ten proposals for the reform of PRSA (see report on PRSA's finances on page 7):

1. Decouple office-holding, Assembly membership, from APR.

2. Publish Strategist or Tactics or both via the Internet in PDF, saving $250K.

3. Poll members via e-mail (first poll since '97).

4. Bolster PRSA's PR staff from one to 4-5. Stop short-changing PR in PR's own h.q.!

5. Research and publicize stands on major issues.

6. Stop spending anything on APR above income.

7. Publish finances quarterly including balance sheet.

8. Provide single e-mail link to entire Assembly.

9. Explain $1 million spending on computers.

10. Revamp rules for Silver Anvils contest.

Only if readers pressure PRSA leaders will any change take place. These include president Joann Killeen ([email protected]); president-elect Reed Byrum ([email protected]); secretary Judith Phair ([email protected]), and treasurer Del Galloway ([email protected]).

One area ripe for the "corporate conscience" treatment of PR is IR, which has become too company and client-oriented. Phony "pro forma" earnings reports abound. SEC chairman Harvey Pitt is under fire for being too soft on companies. The Wall Street Journal and Financial Times of London are suggesting he resign. NIRI has a new high-sounding code but it does not have the word "public" in it. IR people generally avoid the press. NIRI, although it has a treasury of $4.6 million (and soon to add $1M+ more via exhibits at its national conference), has no on-staff PR pro...PR Newswire, facing competition from flat rate services like www.internetwire.com and www.primezone.com, enters VNR field but now faces lawsuit.
--Jack O'Dwyer


 

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