The eight page weekly is the only PR newsletter on LEXIS/NEXIS.
Edition, March 30, 2005, Page 1
GH PICKS UP SC JOHNSON.
GolinHarris has been
awarded SC Johnsons PR and public affairs account
following a tight-lipped review by the family-run consumer
Shandwick, a sister Interpublic unit of GH, was the companys
main outside PR firm. The account was estimated in the mid-six-figure
Semrau, director of global communications and public affairs,
told ODwyers the company liked GHs brand
marketing experience and strong cultural fit.
She said there was not a conscious effort to pick a Midwest
firm, despite the companys roots in Wisconsin, because
the PR work is global. It was not important to be part of
Interpublic either, she said. Ten firms pitched.
Ryan Mardiks, worldwide director for marketing and brand
strategy for GH, heads the account with Scott Farrell, managing
director, with both based in Chicago.
brands include Pledge, Ziploc and Saran. The Racine, Wisc.,
company began the review last fall.
RED LAKE TRIBE
RELIES ON PR SUPPORT.
The Red Lake Tribal Council has turned to high-powered law
and lobbying firm Holland+Knight to help with the barrage
of press covering last weeks school shooting rampage
by a teenager on Minnesotas Red Lake Indian Reservation.
Kate Dando, spokeswoman for the law firm and former press
secretary for H+K senior policy advisor Sen. Ben Nighthorse
Campbell, told ODwyers the law firm is helping
the tribe with the crisis. H+K is a client of Rubenstein
Assocs., which disseminated a press release regarding press
contact information and a news conference on the reservation.
RA said it is helping its client and is not directly involved
in the school shooting.
Campbell, who joined H+K in January, was the senates
only Native American member before his retirement last year.
VAN LENTEN TO B-M/CHICAGO.
Burson-Marsteller has added Liz Van Lenten to its Chicago
office. She will be in charge of its 30-member brand marketing
The 20-year PR veteran had been running her own firm after
17 years at GolinHarris headquarters in Chicago.
She has handled key accounts such as Florida Dept. of Citrus,
Kelloggs, Oscar Meyer, McDonalds, Sara Lee,
American Lamb Board and Energizer.
Van Lenten reports to Linda Recupero, U.S. brand marketing
EDWARD JONES SHOPS FOR
Edward Jones & Co., St. Louis, has sent out a request
for information to 20 PR firms and hopes to consolidate
its account to one shop by May.
The privately-owned brokerage house has $357 billion under
John Boul, director of PR, said he expects replies from
the contacted agencies to come in the next week. The companys
PR budget has been estimated at $300K.
Almost all of the PR work, now at firms in New York, Boston,
New Orleans, Philadelphia and other cities, will be placed
at one firm, he said.
Stern & Co., headed by Richard Stern, handles the New
In January, Jones agreed to pay $75 million to settle charges
that it didnt disclose marketing deals with mutual
funds. Claims were made by the SEC, NYSE, NASD and U.S.
Attorney in St. Louis. It was the largest penalty ever imposed
over revenue-sharing deals.
FD NABS FRANKEL.
Steve Frankel has left Abernathy MacGregor for a New York
managing director slot at Financial Dynamics.
Frankel, who was placed by Arnold Huberman Assocs., will
advise clients on mergers/acquisitions, litigation and crisis
management at FD.
He has counseled Capital One, North Fork Bank on deals,
and helped investment banker Sandler ONeill &
Partners recover from the murder of 66 staffers in the 9/11
attack on the World Trade Center.
Abernathy meanwhile has brought in Tom Johnson, mergers
and acquisitions editor for Reuters America since 2001.
Johnson takes the title of senior VP, starting April 18.
Some major newspapers are boosting their average circulation
figures by not counting slow days and by increasing their
hotel guest and airport copies, which do not have the same
quality as fully paid single copy and home delivery
sales, says a study by Prudential Equity Research.
The New York Times left out 20 days in calculating
average circulation for the Audit Bureau of
Circulations while the New York Post left out 29 days and
the New York Daily News, 30 days.
Analyst Steven Barlow feels that papers that omit more
than two days of circulation a year because of weather or
other factors are compromising the quality of their numbers.
on pg 2)
Edition, March 30, 2005, Page 2
NEWSPAPER FIGURES (contd)
He also feels copies purchased in bulk by hotels and restaurants
and distributed free are not as high-quality
as single copy sales at the full price.
Barlow, who also analyzes ad/PR giants Omnicom, WPP and
Interpublic, surveyed 50 major newspapers for his 72-page
report which can be purchased for $180 from finance.yahoo.
He gave his worst ranking to The Boston Globe, owned
by the NYT, for not counting 27 days in arriving at its
average circulation and because of other factors affecting
The Globe (+0.2% to 451,471), also had a 6% drop in full
paid home delivery and a 40.5% jump in other paid
circulation, mostly from hotel/guest copies home
delivered third-party sales.
Average circulations of the NYT, Post and News
in the six months ended Sept. 30, 2004 were 1,121,057 (+0.2%),
686,207 (+5.2%), and 715,052 (-1.9%), respectively. ABC
will only allow ten omit days a year, starting
Catherine Mathis, VP-CC of the NYT, said the Pru report
had a flawed methodology and a number of material
inaccuracies and errors.
Calls to Mathis have not been returned. Prudential, commenting
on the remarks of Mathis, said it stands behind Barlow and
Have Hit Papers
Barlow notes that circulation misstatements have been uncovered
at Newsday, Dallas Morning News and Chicago
Circulations will probably continue to shrink, says Barlow,
as a younger audience looks to free media on the Internet
and daily newspapers.
He sees the free dailies as a response to, not a
cause of the circulation declines of recent years.
The Washington Post, which had a circulation decline
of 3.4% to 707,690, recently started a free daily for commuters
Clarity Media, owned by Philip Anschutz, founder of Qwest
Communications, launched the Washington Examiner, a free
daily that goes to affluent homes in the D.C. area.
Circulation of the Los Angeles Times dipped 5.6% to 902,164.
Full paid home delivery was down 10.8%, vs. a 2.4% decline
for the 50 papers studied.
The Wall Street Journals average daily circulation
was up 0.8% over the year although full paid home delivery,
representing 58% of circulation, was down 7.8%. Full paid
single copy sales were off 7.4%.
The declines were offset by copies to schools, which were
up 39%. The WSJ includes online subscriptions in calculating
total daily circulation.
Today Gets Highest Mark
Barlows highest mark went to USA Today, which
was up 7.2% to 2,309,853. The paper raised its newsstand
price to 75 cents from 50 cents in September and this may
affect sales, he noted.
The paper depends heavily on hotel guest and airport copies,
which make up 48% of circulation.
Single copy sales are 39% and home delivery and mail, 13%.
Both are at the full price.
COUNCIL MULLS NEED
The Council of PR Firms has established a committee to probe
whether there is a need to develop guidelines for handling
government PR contracts, Harris Diamond, Council chairman
and Weber Shandwick CEO, told ODwyers.
He would not identify members of the committee, other than
to say they are a variety of people from a variety
Ogilvy PR Worldwide CEO Marcia Silverman heads the panel
that will explore how the government awards PR pacts, and
how they are serviced after being doled out to firms. Disclosure
practices rank as another area of discussion.
The Councils move follows the New York Times
attacks on video news releases, and a study by House Democrats
showing that the Bush Administration spent more than $250
during its first term for PR, more than twice what was spent
by the Clinton Administration.
NEWS CORP. HIRES GLOVER
Rupert Murdochs News Corp., parent company of Fox
News and the New York Post, has hired Glover Park Group
for advocacy & image advertising, media relations,
issues & crisis management and research, according
to its federal filing.
Joel Johnson, a former aide to former Senate Majority Leader
Tom Daschle, heads the account. Fox spearheaded the successful
drive to defeat Daschle, portraying the South Dakota Democrat
as an obstacle to President Bushs agenda.
The New York Times on March 22 profiled GPG as a firm with
extremely close ties to two giants of the Democratic
Party: Bill and Hillary Rodham Clinton.
The story identifies former Clinton White House press secretary
Joe Lockhart as a founder of GPG. It highlights GPG staffers
with Hillary Clinton connections including her former spokesperson
Howard Wolfson, campaign coordinator Gigi Georges and political
action committee director Patty Doyle.
The Times reports that The American Spectator dubbed GPG
as the center of operations for a potential
Hillary for President bid.
Besides News Corp., GPG has picked up high-profile accounts
such as the Pharmaceutical Research and Manufacturers of
America (healthcare reform) and Major League Baseball Players
WSJS SHERER TO
Paul Sherer, a veteran Wall Street Journal reporter,
is now VP-senior media and editorial strategist, in Ogilvy
PR Worldwides San Francisco office. At the WSJ, Sherer
covered bankruptcies, corporate restructurings, international
finance, venture capital and junk bonds.
He led coverage of the collapse of Thailands financial
system in `97, and the ensuing bailout by the International
Sherer also reported on Microsoft for PC Week, and
is author of Targets of Suspicion, which is
about Dept. of Homeland Securitys special registration
Michael Law, who formerly headed Ogilvys southeast
Asian group, is the WPP Group units California managing
Edition, March 30, 2005, Page 3
NEW PR FIRM
TO TARGET ITS PITCHES.
Many PR firms take a quantity-oriented approach
to getting a clients message out, says Scott Baradell,
who just opened his own PR firm called the Idea Grove in
Baradell, 39, a former reporter for The Dallas Times
Herald and Dallas Observer, who was Belo Corp.s VP/
communications from 2001 to 2004, said calling the news
media to pitch a story is bulk activity at most
They make many calls to reporters to increase their
chances of placement. Andfor the sake of cost efficiencya
junior staffer who knows very little about the clients
product or company often does the work, he said.
Baradell said the staffer might make 100 calls to reporters
to get mentioned in, say, three publications. And the agency
presents that to the client as a success.
At the Idea Grove, we worry about the 97 other
calls. Did the caller, because of his or her inexperience
or lack of knowledge, have rude or embarrassing interactions
with reporters that will cause them to never write about
the clients product or company? We dont take
a bulk approach in media relations or anything
He said his firm will do the homework to create highly
focused messages for clients; then, we communicate
those messages to highly targeted groups of people, who
in most cases, want to receive the message.
NOT SOLD ACCESS.
James Hopson, publisher of The Wisconsin State Journal
in Madison, said the 10 businesses that paid a $25,000 fee
to join the advisory board of the new Capital Region
Business Journal did so because they want to make
sure that neither they nor anybody else was going to influence
I was not selling access and I certainly did not
promise it, Hopson said in a memo to the papers
staff following a report in The Capital Times that
questioned the ethical dimensions of the sponsorship package,
which includes a minimum of six meetings per year with key
editors of the State Journal and CRBJ.
When I spoke to candidates for these sponsorships,
my pitch was exactly the reverse of selling access,
said Hopson. I wanted this advisory board because
I wanted advice on the categories of business activity that
were most important to cover, on the kinds of topics people
would be interested in reading about, he said.
He said the sponsors agreed at our first meeting
that they were not interested in puffery.
Ellen Foley, editor of the State Journal, said she also
disagreed with anyone who says were selling
access. She said it does not matter who you are, you
can call me up and talk any time.
TiVo is offering journalists
a $200 discount on its new TiVo-Humax Digital Video
Recorder, which sells for $299.
The Media Accommodation Program, which was
e-mailed to reporters by TiVos PR department, was
not intended to influence the medias coverage of the
company, a spokesman for the company told Phillip Swann,
president of TVPredications.com.
Maryland Public TV
is cancelling Wall Street Week. The last
episode of the 35-year-old PBS series will air on June 24.
The show never regained its momentum after host Louis Rukeyser
left and funding declined.
xplor, an outdoor
magazine, made its debut on March 16 in Chattanooga, Tenn.
True North Custom Publishing, a Chattanooga-based company,
is producing the magazine with backing from RedPoint Management,
whose owner Mike Pollock is editor-at-large.
The magazine will have articles about various outdoor activities
in the Chattanooga region, including kayaking, rock climbing,
hiking and mountain biking.
Secondary features include environmental and educational
issues, plus a current listing of outdoor activities such
as places to hike and mountain bike and where to buy gear.
Sheryl Montle, who works for TNCP, is managing editor of
xplor. It is starting with almost 50,000 readers from the
local area to California and Canada.
Montle can be reached at 423/266-3234.
has started a new online TV show, called CEO Moms,
that airs every Monday.
The new segment, which began on March 7, is hosted by Valerie
Kinsey Harris, who is the founder and PR manager of The
Kinsey Group, an Atlanta PR firm.
Harris will interview a different mom who has started a
business from home or is considering leaving a job or career
to do so. Harris is at 770/234-0459.
the actor, has started a personality workout magazine, called
Sly, which will feature him on every cover. Stallone
is also editorial director.
The monthly magazine will show men how to stay in
the game past 40 with articles on health, nutrition,
style, technology and travel.
Neil Boulton, who is editor-in-chief of Mens Fitness,
is also editor-in-chief of Sly.
Washington Hoy will
make its debut on April 1 in the D.C. metro area as an English-Spanish
The paper, which is based in Silver Spring, Md., is a joint
venture by three journalistsAlex Ormaza, publisher;
Isabel Estrada-Portales, associate publisher/managing editor,
and Jorge Dalmau, executive editor.
The new publication will have a tabloid format and will
be distributed free of charge at Latino stores, Metro stations,
colleges, embassies and other places.
Ormaza can be reached at 703/371-4609.
is replacing Joyce Wadler as the writer of the Boldface
column in The New York Times.
Richard Leiby has quit writing The Reliable Source
column for The Washington Post. No replacement has
been named. Leiby took over the column after Lloyd Grove
went to The New York Daily News about 18 months ago.
(Media news continued
on next page)
Edition, March 30, 2005, Page 4
CHINA ISSUES REPORTING
The Publicity Dept. of the Central Committee of the Communist
Party has issued regulations that forbid reporters and editors,
who are employed by state-run news organizations, from seeking
benefits or gifts that might influence their writing.
China has about 150,000 journalists. More than 70,000 are
writers for newspapers and magazines, and more than 60,000
are from broadcasting and TV stations. The rest work for
news agencies such as Xinhua.
The press watchdogs new rules, which went into effect
on March 1, also prohibit journalists from operating businesses
or taking concurrent jobs at other press or economic organizations.
Chinese reporters and editors who fabricate stories or
take bribes will face stern punishments including confiscation
of their press cards and a five-year ban from reporting
work, according to the new regulations.
People, who impersonate reporters, will be given severe
penalities. Journalists who are bribed to report unjustly
or write stories with false information can have their press
cards revoked and be barred from news writing for five years.
If they are given criminal penalties for violating laws,
they may not work as journalists for the rest of their lives,
according to the rules.
The General Administration of Press and Publication issued
146,541 new press cards, hoping to curb the rampancy of
SPORTS MAGS REACH OUT
Editorial Televisa has teamed with ESPN Deportes
to start a monthly Spanish-language sports magazine.
ESPN Deportes will have original content geared toward
the interests of the Hispanic population in the U.S.
Editorial coverage is expected to include coverage of Major
League Baseball, as well as Caribbean and Mexican league
baseball; boxing; NFL; Latin American, European, and international
soccer; auto racing; action sports, and translations of
articles from English-language sister ESPN The Magazine.
A preview edition is planned for May.
Miami-based Editorial Televisa, an arm of the Mexican media
giant, will publish and distribute the magazine.
Time Inc.s Sports
Illustrated plans to publish three test issues
of Si Latino, starting with a baseball season preview on
April 7. That will be followed by an NFL and boxing look-ahead
in August, with a year-end issue to focus on soccers
2006 World Cup.
Sensacion Marketing, a small New York-based publisher,
last year ramped up Futbol Mundial as a newspaper distributed
in 13 Spanish-language newspapers. Next month, it is starting
Beisbol Mundial as a quarterly, also as a newspaper insert.
senior VP for advertising at The New York Times,
and John Geddes, managing editor for news operations there,
were married March 19.
Neil Chase, a co-managing editor for CBS marketwatch.com
in San Francisco, has joined NYTimes.com in New York as
deputy editor for news, handling hard news sections, like
foreign, national, business and sports.
43, a longtime staff writer of The New Yorker magazine,
was named editor of The Paris Review, based in New
executive managing editor of Seventeen, has resigned,
and Sunny Gold,
who was Seventeens health editor, has joined Glamour
as associate editor.
will write a monthly column starting in May for Razor
Magazine. He will continue to provide his daily posting
at his ronmwangaguhunga.blogspot.com site.
has resigned as business editor of The New York Daily
News. Dan Dunaief was named acting business editor.
has stepped down as editor-in-chief of Essence magazine.
49, was named editor of AP NewsFeatures, replacing Bruce
DeSilvia, who was named writing coach for The Associated
who retired March 12 as financial editor of CNN, held a
party for his PR friends on March 28.
political pundit, who was an assistant to Vice President
Cheney during his first term, was hired by Simon & Schuster
to run a new conservative publishing imprint. She will continue
to work out of Washington, D.C.
founder and editor-in-chief of Executive Technology
magazine, is joining Edgell Communications as associate
publisher of RIS News on March 28.
number of entries considered by the preliminary judges in
this years Gerald Loeb Awards for distinquished business
and financial journalism, tying last years record
number of signers of a petition, which was circulated by
an Internet group called Free Press, that asks the FCC to
probe the use by broadcasters of government-created VNRs.
number of free daily newspaper editions published by Metro
International in 75 cities in 17 countries in Europe, Asia,
North America, and South America.
number of weblogs tracked by Technorati.com through its
search tool and directory services.
Edition, March 30, 2005, Page 7
of PR firms by cities/regions
Internet Edition, March
30, 2005 Page 8
PR firms pitching
Edward Jones (page one) must read the 12-page SEC description
of the scam that this huge ($2.9 billion revenues) brokerage
has been pulling on its many thousands of customers (SEC.gov
and Edward Jones in search).
Agents were instructed to push mutual funds that paid extra
fees to the company besides the usual standard sales
loads, commissions, Rule 12b-1 (SEC) fees, expense reimbursements
and sub-transfer-agent fees for maintaining customer account
Jones even demanded ownership interest in some of the high-commission
funds they favored. In fact, out of the thousands of funds
available, Jones salespeople were instructed to push only
a few heavily loaded funds.
The customers were not told of this conflict of interest,
noted the SEC.
Jones, with 9,100 mostly one-broker offices, put on this
folksy, neighborhood broker false face while its agents
were loading up naive customers with expensive mutual funds.
Investors would have been much better off just buying a
no-load fund based on the S&P 500.
Jones, according to the SEC release that came out during
the holidays (Dec. 22, 2004), agreed to pay $75M in fines.
Any settlements it must now make with those who sue the
company are not to be subtracted from the $75M, says the
Speaking of scams,
a lot of newspapers, including the New York Times,
Boston Globe, New York Post and New York
Daily News, among others, are incapable of reporting
accurate average circulations (page one).
The four papers left out 20, 27, 29 and 30 days, respectively,
in calculating their averages.
This is not the only trick being pulled with numbers, either,
if you read the exhaustive report by Steven Barlow of Prudential
Imagine the New York Yankees or some other team removing
30 days from their attendance figures because the weather
was threatening or the opposing teams were dull. Their figures
wouldnt be averages and neither are the
averages of the newspapers. Circulation scandals,
resulting in lawsuits and firings, have hit Newsday of Long
Island and other papers. It doesnt do their credibility
While the business
side of newspapers appears to be no different from
the business side of other types of industries, journalists
have a highly moral character, according to
a book-length study by Prof. Lee Wilkins of the Missouri
School of Journalism and Renita Coleman of Louisiana State
They used the Defining Issues Test on 249 print
and broadcast reporters nationwide and found that thinking
like a journalist involves moral reflection done at a level
equals or exceeds members of other learned professions.
Researchers gave the same test to 65 ad people and found
ad professionals do lack ethics, or at the very least
choose not to exercise the ethical reasoning abilities they
have. The study is at : www.aejmc.org/pubs/
Stepping into the
ethical fray last week was the Council of PR Firms,
which said a committee would set guidelines for handling
government contracts (pg. 2).
This touched off comments on odwyerpr.com including one
that wondered how Marcia Silverman of Ogilvy PR can head
this panel when three of her co-workers are awaiting criminal
sentencing on charges of cheating the government. Another
wondered if Ketchum, a founding member of CPRF now under
probes by at least five government agencies, will be represented
on the panel, whose members have yet to be disclosed. CPRF
will no doubt ask for transparency, said another
posting, while keeping confidential the panelists.
Ethical issues abound
in PR/IR and journalism, including columnists being
paid via PR firms by institutions they write about; security
analysts writing about stocks they own; newspapers fudging
their circulation figures; reporters being barred from asking
questions at the quarterly teleconferences of public companies;
PR pros hiding when controversy strikes (i.e., Ray Kotcher
and Lorraine Thelian of Ketchum); PRSA lying to its new
members by not warning they will be second-class citizens
ineligible for national office and will be looked down upon
by APR members, and PRSAs misleading balance sheet
which treats dues as a gift to PRSA with no
claim on future services.
None of these topics
was discussed at the ethics summit of
PRSA March 22. Judy Phair, PRSA president, told reps from
NIRI, SPJ, Arthur W. Page, Black PR Society and other groups
(a complete list was not available) that the big picture
rather than specific issues were to be discussed
(crippling this summit).
PRSA studied the ethics codes of five other PR and journalism
groups and found none had any enforcement mechanisms. PRSA
can only expel members who are found guilty in a court of
law, Phair said.
Jim Edwards of BrandWeek
told an afternoon press teleconference that justice
will be very slow at PRSA since it took six years for the
courts to find Ogilvy employees guilty of fraud.
Michael Cherenson of the PRSA board said the smartest thing
all day when he noted, Enrons ethics code was
The secretive way PRSA conducted this ethics summit,
including not publicly announcing it, withholding attendance
lists, barring reporters, and only letting them ask questions
on the phone when a press conference could have been held,
is further proof of the non-New York nature of PRSA that
makes it so inhospitable to PRSA/N.Y.
By New York we dont mean a place but a state of mind;
a willingness to discuss issues in public; sophistication,
and guts rather than fearfulness. PRSA/NY should follow
the 1989 lead of the Institute for PR and withdraw from