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Internet Edition, Aug. 3, 2005, Page 1

The Greater Miami Convention & Visitors Bureau has begun a review for its PR account, which has been with New York-based Rubenstein Communications for a decade.

The not-for-profit corporation, which operates on behalf of its members, government and citizens of Miami-Dade, is soliciting responses to a request for qualification through August 12 for a full-service PR agency.

“We’ve enjoyed working with Rubenstein Communications and we’ve asked them to participate in the RFQ,” said Jeanne Sullivan, associate VP of media relations for the GMCVB.  “After 10 years, it was simply time to go through a formal review process of our PR representation and programs.”

The GMCVB and its PR firm develop and implement a year-round U.S. and Canadian consumer and travel trade-based PR program to “build the Miami brand” and attract tourists and conventions to the region.

M Booth and Associates will provide the PR muscle for a winning, three-firm consortium that landed a competitive pitch for Utah’s $14M branding campaign.

New York-based Booth teamed up with Salt Lake City ad agency W Communications and Los Angeles media buying shop Carat for the account, which is aimed to increase the number of tourists to the Beehive State’s parks, outdoor recreation areas and other attractions.

Eight finalists were picked from a field of 20 respondents and ranged from the “usual big suspects to a few mid-sized teams,” said Booth president Margie Booth. She could not peg PR’s portion of the $14M, two-year assignment because the win is so new. “We just haven’t gotten that far yet,” she said.

Co-directors Joan Brower and Joan Bloom will head the account with VP Brad Laney.

Of the $14M appropriated by the state, $10M is slated to be spent in the first year to attract more out-of-state visitors to Utah, according to Office of Gov. Jon Huntsman.

Dave Rickey, chairman of PRSA’s ethics committee, has joined AFLA Insurance as VP-PR.

Rickey has served as a PR exec at AmSouth Bank, Alabama Power and Blount Inc. He began his career as a broadcast journalist at WSFA-TV in Montgomery.

Founded in ‘46 as Alabama Farmers Federation to market fire insurance, AFLA has more than one million policies in force in Alabama, Georgia and Mississippi.

The soon-to-be Sprint Nextel Corp. has hired Judith Muhlberg as senior VP of corporate communications following the expected closing of the telecom merger in the third quarter of ’05.

Most recently an employee engagement and strategy consultant for Gagen MacDonald, Muhlberg was senior VP of communications for The Boeing Co. from ’99-’03, when she was credited by Business Week with helping CEO Philip Condit take the company’s brand “to a higher plane.” She also led communications for the company’s relocation to Chicago.

Prior to that, she held various posts in PR, government affairs and communications for over 22 years at Ford Motor Company.

At Sprint Nextel, Mulhberg is charged with oversight of all internal and external communications. She plans to relocate to Washington, D.C., from Chicago.

Before entering the corporate realm, Muhlberg was an aide to Ford Administration chiefs of staff Donald Rumsfeld and Dick Cheney and worked for David Gergen, then director of White House communications.

Omnicom registered a 10 percent jump in second-quarter net to $225 million on a nine percent rise in revenues to $2.6 billion.

That performance was held back by a lackluster showing of its PR division. OMC’s PR units (Fleishman-Hillard, Ketchum, Porter Novelli, Brodeur Worldwide, Cone, Gavin Anderson & Co. and Clark & Weinstock) combined for a 0.7 percent uptick in quarterly growth to $264.9 million. That showing pales in comparison to OMC’s $1.2 billion ad group (+8.9 percent), $893.7 million CRM operations (+10.5 percent) and $303 million specialty division (+9.8 percent).

For the first-half, OMC’s PR group is up 3.7 percent to $521.2 million. That gain is less than half of the other OMC units.

CFO Randy Weisenburger did not return a call about PR’s laggard performance.

Maria Russell, 2003 treasurer of PRSA, told a leadership conference call on July 27 that the correct story of PRSA’s legal pursuit of a critic of COO Catherine Bolton should be put on the PRSA website.

“There is so much misinformation out there” about the matter that PRSA president Judith Phair should put on the Society website a description of the action that

(continued on page 7)

Internet Edition, Aug. 3, 2005, Page 2

The U.S. Army is looking into how two nearly identical quotes from unidentified Iraqis made their way into Pentagon press releases responding to two car bombings staged 11 days from each other.

Lt. Col. Clifford Kent blamed “administrative error” for the use of the same quotes, according to a report on CNN.

On July 13, the Pentagon released a statement following a car bombing that took the lives of Iraqi children. It read: “The terrorists are attacking the infrastructure, the children and all Iraq,” said one Iraqi man who preferred not to be identified. They are enemies of humanity without religion or any sort of ethics. They have attacked my community today and I will now take the fight to the terrorists.”

In response to a July 24 bombing that killed 25 people, the Pentagon’s statement read: “The terrorists are attacking the infrastructure, the ISF (Iraqi Security Forces) and all of Iraq. They are enemies of humanity without religion or any sort of ethics. They have attacked my community today and I will now take the fight to the terrorists, said one Iraqi man who preferred not to be identified.” CNN said use of the canned quotes “raises Iraqi PR questions.”

The Pentagon’s top spokesman Larry DiRita said in response: “We’ll gather the facts first and then determine what the actions are,” he said. “I want to make sure that we have processes in place to avoid this from happening, first and foremost, and then we’ll get a better sense of exactly [what] individual accountability may need to be established.”

He said reporters should be skeptical of unsourced quotes.

“I will emphasize that you should, because I do, question a Department of Defense press statement that would have an anonymous source in it,” he said. “It’s not acceptable.”

Randa Fahmy Hudome, whose firm is a $750K lobbyist for Libya, has been dropped from the U.S. Secretary of Energy’s Advisory Board.

The Dept. of Energy decided to terminate her one year into her two-year membership. Hudome had been Associate Deputy of Energy until June 30, `03, and an international policy advisor to ex-Energy Secretary Spencer Abraham.

Sam Bodman became Energy Secretary in February. He was not happy that Hudome represented Libya, according to Reuters.

An Energy Dept. spokesperson would not say whether Hudome’s work for Libya was the reason for her departure from the board.

Hudome began work for Libya shortly after President Bush decided to lift sanctions against the Gaddafi Government.

Libya remains on the State Dept.’s terrorism list. Hudome’s representation on the advisory board had upset families of the victims of the `88 Pan Am bombing over Lockerbie, Scotland.

Libya has assumed responsibility for that terror attack, and has agreed to pay damages.

Deborah Radman, chairman of PRSA’s Counselor Academy, defended the government’s use of PR people in a letter published July 28 in the New York Times.

Her letter was in response to a July 18 NYT story, “Public Relations Campaign for Research at EPA May Include Ghostwritten Story,” which dealt with the use of outside writers for government scientists to develop articles for the press.

Radman noted that government officials are not “trained in writing for lay audiences, the media or professional journals.”

The scientist collaborating with a professional writer “properly positions the material’s significance and, after thorough review of the finished product, decides whether to append his or her byline.”

Radman, who is managing director of Stanton Communications, believes there is nothing unethical about that, nor is there any attempt to deceive the public or media.

In her view, scientists and researchers should stick with what they do best.

Ron Jury, senior VP of public affairs and director of communications for the Empire State Development Corp., has returned to his native Pennsylvania to head communications for Gov. Ed Rendell in Harrisburg.

Penny Lee held the director post for Rendell but left in April to become executive director of the Washington, D.C.-based Democratic Governors’ Assn.

Jury, 55, was in New York for 10 years holding posts as director in Burson-Marsteller’s public affairs unit and, earlier, as director of corporate PR and communications for Lockheed Martin IMS, a subsidiary of the $26B aerospace company.

He previously held various government PR posts in Pennsylvania, including deputy press secretary in the Dept. of Transportation, and deputy press secretary to Gov. Casey during the 1980s.

Jury began his career as a reporter.

In a statement, Rendell, a Democrat, praised Jury’s “sharp mind” and “decades of experience.”

The Los Angeles Dodgers, a team that is trying to regain its footing in the National League West and fending off a competitive assault from the “Los Angeles Angels of Anaheim,” are looking to hire a senior VP-communications.

The person will report to Jamie McCourt, the wife of Boston real estate mogul Frank McCourt, who recently added the Dodgers to his portfolio.

While a professional sports or entertainment background is preferred, it is not necessary.

The Dodgers want a “strategic thinker” with 15 years of experience in managing a high profile brand or owner.

Don Spetner at Korn/Ferry International is handling the search. He can be reached at [email protected].

The Dodgers, earlier this year, turned to Sitrick & Co. for issues work.

Internet Edition, Aug. 3, 2005, Page 3

Richard Desmond, the British media mogul who is putting up $100 million to start a U.S. version of his weekly celebrity magazine OK! next month, is prepared to pay celebrities and give them control over exclusive interviews and photos.

Peter Himler, president of the Publicity Club of New York, is not sure what impact OK! will have on checkbook journalism practices in the U.S.

“Most established American publications publicly disdain the practice of checkbook journalism,” said Himler. “However, fierce competition these last few years—fueled by some very high profile weddings—brought down the wall between church and state as fast as one could say 10 Commandments in an Alabama courthouse.

“I wonder whether N.Y. Attorney General Elliott Spitzer would say if it’s OK to pay-for-play?,” he asked.

British publicist Max Clifford believes the pay-for-play idea could have a big impact.

Clifford has been in Spain preparing a photo shoot with his client Simon Cowell, the “American Idol” judge, who will appear in the launch issue.

TV health news reporting has become “rampant” with commercialism, according to Gary Schwitzer, an assistant professor and director of health journalism in the graduate program at the Univ. of Minnesota School of Journalism/Mass Communication.

Schwitzer, who has specialized in health journalism for more than 30 years, including 15 years in TV health news reporting for stations in Milwaukee, Dallas and at CNN, said Don Shelby, a veteran anchor and reporter for WCCO-TV, told him he was approached by several companies, clearly interested in promoting the fact he used their device before he was operated on last summer to repair a hole between the upper chambers of his heart.

“One offered a free device, another a discounted device, and a third offered a free trip to Europe to have the procedure done there if his insurance wouldn’t pay for it here,” Schwitzer said in his report posted on Poynteronline.

Schwitzer said viewers should ask themselves as they watch TV health news, “`Is this story about a drug, device, doctor, hospital or even health awareness campaign or the product of tough-minded, independent journalism? Or did someone buy their way onto the news?’”

He also cited a story about a Nashville TV station (WSMV) that allowed its sports anchor to get free Lasik surgery in return for letting his name be used in endorsements for the opthalmologist who did the surgery.

Schwitzer said the station’s news department also employs a freelancer, Mimi Bliss, who owns a local PR firm, and handles PR for St. Thomas Hospital in Nashville. “When she reports news, how is the audience to judge which hat she’s wearing?” he asks.

In another instance cited by Schwitzer, CNN invited former pro quarterback Joe Theismann to talk about football on a show shortly before this year’s Super Bowl game.

Before talking any football, Theismann discussed the problem of `EP,’ a new marketing term for BPH, or benign prostatic hyperplasia, which causes urinary problems in many men, and promoted a new website.

“Neither Theismann nor anyone at CNN ever mentioned that the site belonged to GlaxoSmithKline and promoted a GSK drug,” said Schwitzer, who noted CNN enacted a policy in 2002 to tell viewers about any celebrity’s financial ties to drug companies.

The total value of product placements in magazines is on pace to grow 17.5% in 2005 to $160.9 million, and product placements in newspapers are projected to rise 16.9% to $65 million, according to estimates by Stamford, Conn.-based PQ Media, which tracks the economics of media.

While TV and films account for 90% of all product placements, PQ estimates “other media” account for 18.1%, or $384.9 million.

PQ’s report projects consumer magazines will take in $15.6 million worth of paid product placement deals in 2005, up 68.6% from 2004.

Paid product placements in newspapers are expected to grow 67% to $4.7 million.

The report shows nearly a quarter of the product placement deals in newspapers went to papers in the top markets, including the Wall Street Journal, New York Times, USA Today, Los Angeles Times and Chicago Tribune.

The largest segment of product placements in magazines is also in the biggest categories of general interest women’s titles, which contributed the highest share of product placement spending at $35.5 million for the year.

Nadine Haobsh, who was identified as the writer of a now-defunct website (, has resigned as associate beauty editor at the Ladies’ Home Journal.

The 24-year-old editor raised eyebrows when she described the “unabashedly indulgent corporate freebies she’s witnessed firsthand” at LHJ.

She said her “boss” regularly got wallets and coats, plane ticket vouchers,” and other freebies from fashion designer Marc Jacobs.

Haobsh had been e-mailing her blog to about 30 friends, including several publicists in the beauty fashion field when she was inadvertently outed as Jolie by a staffer at Siren PR in New York.

Meredith Publishing, owner of LHJ, has told employees that while blogging is not prohibited, they are required to inform supervisors about their personal blogs.

Jane Pratt, former editor of Sassy, a teen magazine, is stepping down as editor-in-chief of Jane magazine on Sept. 30. No replacement was named by Fairchild, which started the fashion magazine in 1997.

(Media news continued on next page)

Internet Edition, Aug. 3, 2005, Page 4

John Koten was named editor-in-chief of Inc. and Fast Company magazines, and CEO of Joe Mansueto’s new publishing company Mansueto Ventures.

Mark Vamos was named acting editor of Fast Company, replacing John Byrne, who is rejoining Business Week.

Koten, who is currently editor-in-chief of Inc., will oversee the business and editorial departments of both magazines. He was editor-in-chief of Worth magazine for 10 years before joining Inc.

Koten said Fast Company’s new mission is to cover the rise of the creative class in business by focusing on people who travel in the worlds of entertainment, media, technology, science, fashion and design.

He said Inc. will continue to focus on the people running growth companies.

Three executive editors were named at Business Week as part of a new editorial cabinet led by editor-in-chief Stephen Adler.

The new editors are: Joyce Barnathan, John Byrne, and Kathy Rebello.

Barnathan, previously assistant managing editor, will oversee editorial for existing line extensions, manage editorial product launches, create alliances, and ensure the integration of all BW offerings across its delivery channels.

Byrne, who returns to BW on Aug. 9 from Fast Company, will handle day-to-day point of contact for the print publication.

His job is to make the magazine indispensable by breaking more news, increasing high value news offerings, building a substantial investigative capability, and developing cover stories.

Rebello will head BW Online’s editorial operations and oversee its integration with the magazine and other channels.

Mary Kuntz, currently senior editor for corporations, was named assistant managing editor, replacing Barnathan; Ciro Scotti, previously senior editor, was promoted to assistant managing editor-production, and Frank Comes, currently an assistant managing editor, will expand his responsibilities to include oversight of the science and technology departments, replacing Rebello.

On the broadcast side, Eric Gonon, formerly executive producer of CNBC’s “Mad Money with Jim Cramer,” was named executive producer of BW’s nationally syndicated TV program, which is changing its name to “BusinessWeek Weekend,” and will be broadcast from the NASDAQ Stock Market’s MarketSide studio in Times Square.

The personal finance program, hosted by Jil Bennett and Brad Holbrook, covers breaking news and topics like investing, home financing and travel bargains.

Dean Baquet, currently managing editor of the Los Angeles Times, will replace John Carroll as editor on Aug. 15. Carroll, 63, is retiring from the Times.

Baquet, 48, joined the Times in 2000, after serving as national editor of the New York Times since 1995.

Carroll, who was named editor of the Times in 2000, was previously editor of the Baltimore Sun.

Jennifer Sizemore, previously deputy managing editor of the Houston Chronicle, has joined in Redmond, Wash., as deputy editor–news.

Sizemore will lead the news, cover and franchise reporting teams.

Angela Burt-Murray is rejoining Essence magazine as editor-in-chief, replacing Diane Weathers, who retired last month.

Burt-Murray, who was at Essence from 1998 to 2001, and executive editor of Teen People since 2003, will oversee the editorial content of the Time Inc. publication, which targets African-American market.

Sheila Harris, a spokeswoman for Essence, said Burt-Murray has a “keen eye for what’s next, strong story judgment and boundless creativity.”


Josh Hoffner, previously an editor on the national desk of the Associated Press, was named news editor for New York City.

Hoffner, 29, succeeds Rich Barbieri, who left to become managing editor of Crain’s New York Business.

Jonathan Landman, 52, acting culture editor for the New York Times, was named deputy managing editor for digital journalism.

Landman, who will oversee Times Web and TV content, is succeeding Michael Oreskes, who will become executive editor of the International Herald Tribune in Paris.

Jodi Kantor, who was handling the “Arts & Leisure” section, was assigned to be a reporter on the “Way We Live” team, headed by Suzanne Daley.

Chris Mooney, a political blogger, and editor Christopher Carbone, have joined Seed Media Group in New York.

Mooney was named D.C. correspondent for SMG’s media properties, including Seed magazine, its website, mobile news network and broadcast unit. He wrote “The Republican War on Science” (Basic Books).

Carbone was named managing editor of Seed, replacing Lindsay Borthwick, who was named director of content development for SMG.

Carbone will direct day-to-day editorial operations of the redesigned publication, which debuts in Sept.
He is a former associate copy editor at Organic Style, copy editor at Simon & Schuster, and managing editor at New York Press.

Isaac Guzman, previously deputy features editor of the weekday New York Post, was appointed features editor for the Sunday edition, suceeding Stephen Lynch, who was named features editor of the Post’s weekday editions.

Internet Edition, Aug. 3, 2005, Page 5

Publicis Groupe has reported a 49 percent jump in first-half earnings to $102M as the French ad/PR conglom anticipated “advertisers’ needs and trends in communications options,” says its CEO Maurice Levy.

Revenues were up six percent to $1.5B.

Levy touted Publicis’ No. 1 ranking for first-half new business wins, according to two surveys conducted by Bear Stearns and Lehman Brothers. That performance was marked by the pickup of General Motors’ $3.2 billion media buying account.

Publicis also established the Publicis Public Relations and Corporate Communications Group during the period, joining 1,300 staffers at Manning, Selvage & Lee, Publicis Consultants and the soon-to-be-acquired stake in the U.K.-based Freud Communications.

Fleishman-Hillard’s Out Front unit, focused on the gay and lesbian markets, was selected to handle PR for a demographic study commissioned by the National Gay Newspaper Guild, its first since 2000.

FH estimates the annual buying power of the gay/lesbian market to be $610 billion.

The Guild encompasses 13 publications and limits membership to one outlet per media market. Circulation, coverage and operations are all reviewed.

The Brownstein Group’s online marketing unit Fingerprint Interactive has been tapped to develop a website for Majestic Athletic, a sports uniform and apparel designer and manufacturer.

The Philadelphia-based firm has been busy of late, recently completing interactive projects for ABC Sports (for the NBA finals), Longwood Gardens and Pat Croce’s Pirate Soul Museum.

FI managing director Adam Deringer director said websites are not about “stats and figures” anymore, but are now more often used to “emotionally connect” with an audience.

Burson-Marsteller has registered as PR firm for the Hong Kong Special Administrative Region's Economic and Trade Offices to promote confidence in the future of the city under Chinese rule.

The WPP unit is to line up “high value” national and regional speaking opportunities, and develop a “personal diplomacy” program for ETO officials. Members of the ETO are positioning Hong Kong as a “strategic partner” with the U.S. in its bid to open up mainland China to American companies after its accession to the World Trade Organization. Hong Kong will host the WTO’s Sixth Ministerial Conference in December.

Kelly MarCom, Sanford, N.C., has unveiled a life sciences and pharma unit called its Catalyst Division.
Shelley Kelly, president of the firm, noted North Carolina’s Research Triangle Park is the No. 3 region for the biotech and life sciences markets.

Dr. Gabriel Cipau of consulting firm Key Healthcare Partners, and KM’s Amy DelaCourt head the new unit.


New York Area

Andy Morris and Company, New York/Actus Lend
Lease, real estate developer focused on government privatization projects, for media relations surrounding its role on the Military Housing Privatization Initiative in Hawaii.

Formula, New York/N.O.A. watches, for media relations to introduce the Swiss luxury brand.


Greenough Communications, Boston/Epsilon, database marketing, for a corporate media campaign, and FiberTower, wireless technology, for outreach at CTIA Wireless 2005.

Dittus Communications, Washington, D.C./Poker
Players Alliance; Nortel; SAP America, and TASER

The Aker Partners, D.C./J.D. Byrider, used car dealership franchiser, and Caribbean Winds, online travel reservation system for adventure water sports, for PR and marketing.

Trevelino Keller Communications Group, Atlanta/BioPay, developer of biometric technology like finger print ID systems, for PR following a competitive search that included a handful of Virginia/D.C. area firms, including GolinHarris.

Starmark International, Fort Lauderdale, Fla./, for national PR.

Yesawich, Pepperdine, Brown & Russell, Orlando, Fla./Travel Holdings, parent to, Tourico Holidays and Travel Global Systems, for international publicity and PR.


Carmichael Lynch Spong, Minneapolis/Martek
Biosciences Corp., for a consumer PR campaign supporting its Martek DHA nutraceutical brand.

Ink Inc., Kansas City, Mo./Amedia Networks, Ethernet services, and Krystal Planet, developer of “clean energy” technology like wind power, both as AOR for PR.


Weber Shandwick, Dallas/The Susan G. Komen Breast Cancer Foundation, as AOR for PR. WS’ New York and Washington, D.C., offices will assist with the account. Sister Interpublic unit Axis Agency, a multi-cultural PR firm, will also handle PR work for the foundation.


Porter Novelli, San Francisco/Rearden Commerce, on-demand business services platforms, as AOR for PR following a review.

CarryOn Communications, Los Angeles/Laserfische, document management technology, for domestic PR, comms. and marcom work on the product and corporate sides; LogoWorks, design for small businesses, for media relations, and Columbia College Chicago, to
enhance visibility on the West Coast.

Cerrell Associates, Los Angeles/Californians for
Affordable Prescriptions; Hemet West Mobile Estates; Los Angeles Universal Preschool; Panda Express, and The Phillip MacDonald Co., for community engagement, media relations and public affairs work.

Internet Edition, Aug. 3, 2005, Page 6

Web-based video monitoring company Critical Mention has inked deals with the Associated Press and LexisNexis to bolster its services.

CM will now host AP video, paying a fee to the news service each time an AP clip is viewed over its CriticalTV platform.

Sean Morgan, CEO of CM, said his company is “transforming” the business model of TV monitoring, a field which has traditionally operated under the “fair use” doctrine without broadcasters being paid.

CM also plans to make its video search, monitoring and delivery services available via LexisNexis’ AlaCarte! service by late summer.

The NewsMarket, which hosts and delivers video over the ‘Net, has widened its media and international reach since early ‘05, posting 25 percent growth in media outlets targeted to serve an estimated 5,000 reporters.

The growth has been fueled mainly by the Asia Pacific and Latin American markets, the company said.

The NewsMarket now hits 140 countries with its services. It reported its most popular footage of ‘05 thus far as palmOne’s introduction of its LifeDrive Mobile Manager, a Volvo video release on new sensor-based safety features, EADS’ unveiling of the A 380 aircraft, Nokia’s launch of mobile video sharing, and a World Bank package on the Kyoto Protocal global warming pact.

M&R Strategic Services, Washington, D.C., handled media relations and online work for the Expose Exxon campaign, which landed coverage in the New York Times, NPR’s “Morning Edition,” AP, Reuters and left-leaning online pubs The Daily Kos and Huffington Post.

M+R said over 100K people sent letters to ExxonMobil’s CEO Lee Raymond in the first two weeks of the campaign saying they won’t buy Exxon products because of what they see as the company’s “harmful environmental practices.”

M+R also worked with American Rights at Work to launch, a site and group criticizing WalMart’s labor practices.

SEMINAR: O’Dwyer’s is offering a six-week, intensive web course on communications writing.

Every Monday and Friday over a six-week period, students will be personally e-mailed a new lecture, discussing PR writing techniques and vehicles. Curriculum includes PR writing philosophy, news releases, stories that get used, pitch letters that attract interviews, internal comms. and external speeches.

Taught by O’Dwyer columnist Fraser P. Seitel, author of The Practice of Public Relations, students will be invited to submit writing samples for personalized critique and feedback.

Students will have full access to the O’Dwyer site and a class web page. Cost is $495 per person. E-mail [email protected] for information and to sign up.



John Doorley, former head of corporate communications for Merck & Co., has been named academic director and clinical assistant professor of New York University’s School of Continuing and Professional Studies’ new M.S. in public relations and corporate comms. program. Earlier in his career, Doorley was director of corporate comms. for Hoffman-La Roche.

Anne Buresh, former deputy comms. director for the House Republican Conference, and Allison Gilmore, who led communications and PR for the Nat’l Business Travel Assn. and the National Stone, Sand & Gravel Assn., to Dittus Communications, Washington, D.C., as directors. Also, Dana Melecker, a PR veteran of FitzGerald Communications and NYPR, joins as a senior director, and Brigid Nealon, PAC manager for the
Nat’l Assn. of Broadcasters, joins as a senior A/E.
Julia Payne, director of communications for the
William J. Clinton Presidential Foundation and former
VP of comms. for the Washington Redskins, joins
Dittus as a VP. Laura Sheehan, ex-policy director for
the Democratic Congressional Campaign Committee, joins as a senior director.

Kristy Chandler, A/E, Creative Response Concepts, to Yesawich, Pepperdine, Brown & Russell, Orlando, Fla., as a senior A/E. Lauren Schneider, marketing rep, PPI Construction Mgmt., joins as an A/E.

Christopher Stewart, recent grad of Portland State Univ., to KinetiComm, Portland, Ore., as an associate.


JeanAnn Morgan to chair of Burson-Marsteller’s U.S. healthcare practice based in New York. She reports to Ame Wadler, chair of the firm’s global healthcare unit. Morgan joined B-M in 1998 and has led campaigns like the launch of Allergan’s Botox for the firm. Earlier, she was at Edelman and drug maker Wyeth.

Matthew Caruso to senior A/S in MWW Group’s public affairs unit, based in East Rutherford, N.J.

Randy Pitzer to executive VP and GM of
Edelman/Chicago’s technology and B2B practice.
Michelle Toscas to senior VP, health practice, and
Kathy Krenger has returned to the firm as a senior VP from Burson-Marsteller, where she was a director in its brand marketing unit.

Kathleen Hennessy to principal, Axiom Marketing
Communications, Bloomington, Minn. She manages
the firm’s home and garden unit and joined in 1994.

Marie Tidall to VP, The Fearey Group, Seattle. She
joined the firm in 1999 and directs accounts like
Vulcan and Tiffany & Co.

Heather Krug to VP, Rogers & Cowan, Los Angeles. She was a VP at Markham Novell in New York before joining R&C in 2000.


Mona St. Leger, who joined Maloney & Fox in ‘03,
died suddenly on July 16. She was 34, and the family has not disclosed the cause of her death. St. Leger began her career at Marina Maher Comms., and joined M&F from Ketchum. The Sweden native received a PR degree from the University of Stockholm.

Internet Edition, Aug. 3, 2005, Page 7

PRSA LEADERSHIP (Continued from page 1)

Phair gave to the conference call, Russell said.

There has been no mention on the PRSA website of the action that was started Nov. 16, 2004, because of an e-mail sent to the board Oct. 16 criticizing COO Catherine Bolton.

PRSA went to court to find the source of the anonymous e-mail and attempts by “John Doe” to block this were unsuccessful.

Sources say PRSA’s legal bills on this matter so far are about $60,000.

Phair said after the conference call that the board and legal counsel had decided to put nothing on the PRSA website about the legal action “at this time” because of “human resources and legal contraints.”

The board, which met July 22-23 in New York, took no action on dropping the potential case against “Doe” or proceeding to the next step.

It will appoint an “ombudsperson” to handle staff complaints and has started a new oversight function that calls for monthly reports to the board on legal moves.

Some board members have complained they were not informed of the start of the legal action vs. “Doe.”

Lewton Disputes Statement by Byrum

Kathy Lewton, 2001 PRSA president, said remarks by 2003 president Reed Byrum on were “quite at odds with what happened.”

Lewton said there is a need for PRSA to make a “clear statement” that what Phair told the conference call today “supercedes” anything reported elsewhere.

Byrum in June criticized the legal steps that have been taken to unveil “Doe,” saying the matter should have been treated as a management/employee dispute.”

Joining Byrum in the criticism was Ron Fredman, president of PRSA/Kansas City, speaking for himself. Fredman said a staffer should be able to criticize Bolton and the board “without fear of punishment” and that Bolton, not PRSA, should pay Bolton’s legal costs.

Byrum said the legal action does not jibe with PRSA’s job of carrying out the First Amendment and encouraging free and open commentary.

Senior Member is ‘Agitated’

Russell said she was on a PRSA committee call recently and a “senior member of the Society was quite agitated and concerned” about the “Doe” case. It was clear, Russell added, “that he had a lot of bad information” about it.

Committee members felt, she said, that steps should be taken to insure he and others were properly informed. “A lot of his information came from trade publication articles” and PRSA subsequently did a “very good job of setting the record straight.”

She added that because there is “so much misinformation out there,” the Society website should carry the description of the action that Phair has made publicly available. Members need to be assured of the board’s concern in this “critical area,” she said.

Phair agreed that there is “a lot of misinformation” on the issue but that the board is “frustrated” by legal and human resources considerations. There were 57 leaders on the call out of a potential audience of 600.

Invited on the call are the nearly 300 Assembly delegates plus the 110 chapter presidents and other leaders.

The Rendon Group received $1.7 million from the U.S. Navy for work in its failed attempt to keep the Vieques, Puerto Rico, firing range open, according to documents obtained by Judicial Watch, the conservative D.C. watchdog.

The Navy wanted to defeat a July 29, `01, referendum on the proposed shutdown of the “Inner Range of the Atlantic Fleet Weapons Training Facility at Vieques,” contending the Vieques bombing range was a one-of-a-kind facility.

TRG was recruited to “organize local leaders to build grassroots communications support” for the training facility. The firm also aimed to “ensure the integrity of the voting process.” The Navy later modified the pact to call for Rendon to provide information about the bombing facility to people living in Vieques.

Opponents, however, mustered nearly 70 percent of the vote, which ultimately triggered the closing of the facility in `03. The Navy moved operations to Florida and other places in the U.S.

JW has just received TRG’s contract with the Navy under a Freedom of Information Act request.

It is concerned that the bid to sway the P.R. vote may have violated the Smith-Mundt Act of 1948.

That Act prohibits the dissemination of U.S. propaganda or “official news” designed to influence public opinion or policy.

Andrei Bogolubov, who was AOL Europe’s communications chief, has been named the first head of Burson-Marsteller’s global financial communications practice.

Bogolubov is charged with orchestrating worldwide PR for B-M’s multinational clients.

At AOL, Bogolubov handled IR, government relations, litigation, corporate social responsibility and crisis management.

Earlier Bogolubov launched AB Image International in Moscow, ran Bozell’s Russian operations, and served as senior VP at Robinson Lerer Montgomery, which is a WPP Group unit like B-M.

Bogolubov will be based in New York, and report to Patrick Ford, who chairs B-M’s global corporate and financial practice.

The Dance Theatre of Harlem, the nation’s first black classic ballet troupe, is looking for a PR firm to work pro-bono to communicate its comeback. The company temporarily shut down last year following a strike and financial belt-tightening.

DTH received a financial boost in April via a $1M “leadership gift” donated by the Catherine B. Reynolds Foundation. That contribution, according to Laveen Naidu, executive director of DTH, represents a “promise to our future.”

Reynolds was named DTH’s chairman. NYC Mayor Mike Bloomberg also has contributed to the DTH.
Kristen McKniff ([email protected]) has more information.

Internet Edition, Aug. 3, 2005 Page 8




The PRSA board slapped down PRSA president Judith Phair and the PRSA staff in several ways on the leader teleconference last week (page one).

Because of the “John Doe” debacle, in which the board was not told of the start of this disastrous legal action, Phair announced that monthly reports of anything legal must now be given to the board.

This is tacit admission, since the board is sworn to silence otherwise, that the 2004 board didn’t know of the start of the legal pursuit of “Doe.”

In another slap, Phair announced that a task force will be set up of directors and staff to iron out personnel problems (before they hit court). An “ombudsperson” is to handle staff gripes.

Phair noted that Sarbanes-Oxley does not yet apply to non-profits but it’s coming. She says the Society should follow its dictates.

One of them is that companies have a secure place where employees can complain about management without getting harassed or fired. Companies specialize in this and that is what PRSA should have.

Another slap was at something that has been a pet project of Phair and the staff for the past couple of years–changing the legal setup of the PRSA Foundation and PRSA itself.

PRSA became not only a “(c)(6)” trade association but a “(c)(3)” non-profit. The board of PRSA became the board of the Foundation.

We were shocked at the one board performing two jobs because PRSA had said for decades that the Foundation legally had to be independent.

Now it turns out that the dual board “puts us at tax and liability risks” and is “no longer sound policy,” Phair told the teleconference. The current setup is just “O.K.” and “all right,” she added, but no longer desirable. Some non-PRSA board directors have to be named to the Foundation.

The mute board is signaling in the only way it can its dissatisfaction with h.q. policies.

Some members, sources say, are quite upset with the reported $60,000 in legal bills so far for “Doe” and the fact that the legal meter continues to run.

Phair, on the conference call, three times blamed legal counsel for blocking communication on this issue, including barring stories on PRSA’s website.

She said there was “strong” urging of legal counsel not to speak; PRSA’s hands were “bound in how we can respond,” and “human resources and legal issues constrain what can be said.”

Lawyerly admonitions to be silent were attacked by Columbia University law professor William Simon in the December 2004 Atlantic Monthly.

He said the law’s love of silence is a new business tactic that gives lawyers command over corporate strategy and drives away other players.

Fear of communicating is preached.

PR needs to fight this, pointing out that too much silence can backfire and destroy credibility. It should gather case histories of how communications won the day, especially in cases with legal elements.

This would be a good cause for Michael Cherenson’s PRSA advocacy board to take up rather than the current practice of jumping on any PR firm or PR pro caught in questionable activities.

The “Doe” case may be the wedge that brings about needed changes at PRSA.

A “PR culture” needs to be restored to h.q. of the type that existed in the 1970s when about half the staff was PR pros, many of them senior.

Chapters throughout the country, led by 1980 president Patrick Jackson, bridled at the power of New Yorkers and bounced them all from h.q.

A “PR culture,” meaning open and communicative to members and the press, needs to replace the three cultures that now dominate h.q.

These are a legal culture in which many issues, communications, etc., are run by a law firm at substantial cost; an association culture, in which key information is often withheld from members who are bombarded with sales pitches while attention is lavished on leaders, and an accounting culture, in which finances are presented in a complicated way that is not user-friendly and which discourages members from examining them closely.

Maria Russell, PRSA treasurer in 2003, and 2001 PRSA president Kathy Lewton charged this NL and with providing “misinformation” about the Doe case. Phair agreed with them. We have asked the three to show us any misinformation and we will correct it. There has been no response.

A bigger angle is that no other trade or general press has mentioned this story except for the New York Law Journal where it made page one. Most PRSA members and Assembly delegates don’t know about it because it’s not on the PRSA website nor in the monthly Tactics.

PRSA treasurer Rhoda Weiss told the conference call that PRSA has compared itself to 42 other trade organizations, finding that PRSA’s administrative costs are only 22% of revenues vs. 30% for the others.

We’d like to see PRSA compare its handling of deferred dues with how others are handling, utilities and maintenance of PRSA h.q. are budgeted at $711,757 for 2005. Travel, meals and entertainment are budgeted at $688,542, which would be the second highest ever after the 2000 TM&E which hit $717,000 (including a board trip to London).

Phair said leader teleconferences can’t be recorded and placed on the PRSA website because it’s illegal to record telephone calls in certain states.

But this does not apply if participants in such a conference are warned in advance.

– Jack O'Dwyer


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