The eight page weekly is the only PR newsletter on LEXIS/NEXIS.
Edition, January 3, 2007, Page 1
B-M WINS REVIEW FOR NEW BILLS.
has won a competitive review to guide PR for the U.S. Treasurys
introduction of new $5 and $100 notes.
$36M pact is the firms latest in a line of assignments
for the Treasury. It won a $55M contract in 2002 to unveil
new $20 and $50 bills and its work stretches back to the
last new $100 bill in 1996.
for the latest account were not immediately available from
the Treasury Dept.
RFP was issued in June after a feeler was put out at the
end of 2005 to gauge interest in the work.
Treasury Dept.s Bureau of Engraving and Printing,
along with the Federal Reserve Board of Governors and U.S.
Secret Service, work on introductions of new currency, which
occur every 7-10 years to stay ahead of counterfeiting technology.
$100 bill is to be introduced in 2007 while the new $5 bill
is slated to follow in 2008.
FLORIDA TO GAUGE CITRUS MARKETING.
The Sunshine State, in
order to keep federal marketing dollars flowing to support
its overseas citrus PR, is looking for a contractor to review
the performance of its current and past efforts.
Floridas Dept. of
Citrus has issued an RFP for a firm to gauge its performance
touting grapefruit, grapefruit juice and orange juice among
consumers in Canada, France, U.K., Belgium, Netherlands,
Sweden and Japan. More than 80 percent of the departments
annual budget goes to advertising and PR.
Point of contact for the
RFP is Mike Yetter, international marketing director
Proposals are due Jan. 23.
ILLINOIS MED CENTER ISSUES
The Univ. of Illinois
is conducting a competitive review for a contract to support
its Chicago-based medical centers public affairs strategies
for up to nine years.
The west-Chicago medical
center grosses more than $500M a year and staffs 778 doctors.
It is looking to solidify public support for its research
and operations, and attract new patients via its public
The eventual contract
is expected to include four base years with five single-year
options. A firm must offer PR, marketing, in-house design,
distribution and media contacts as an all-in-one
operation, according to the RFP.
Impact Communications is the incumbent firm.
A pre-proposal conference
is scheduled for Jan. 12 in Chicago. Proposals are due Feb.
MURRAY NAMED PRSA COO.
Murray, former executive VP and co-COO of Hollywoods
main trade group who ran his own media and entertainment
policy shop, has been named president and COO of PR Society
of America. He takes the reins on Jan. 22.
Murray replaces Catherine
Bolton after a year-long search by PRSA. Bolton had been
making $300K/year, including salary and benefits, after
six years with PRSA.
He joins PRSA after most
recently serving as a senior fellow at the USC Center for
the Digital Future. He is also president of William Murray
& Associates, a media and entertainment policy consulting
Murray developed the Motion
Picture Associations first strategic plan in a 20-year
career there and worked on trade and film production issues
with foreign governments for the group. He held posts covering
international operations, strategic planning, market research
and digital strategy at the MPA.
A seven-member search
committee worked with the executive search firm Spencer
Stuart on Murrays appointment.
chair and CEO of PRSA, praised Murrays blend of association
management and communications experience, as well as his
work with new digital communications.
He earned a B.A. from
Albright College (Reading, Pa.), and an M.B.A. in international
management from Thunderbird, the Garvin School of International
Management in Glendale, Ariz.
Bolton joined PRSA as
chief PR officer in September 2000 and was promoted to acting
president and COO in December of that year to replace Ray
CCNMATTHEWS ACQUIRED BY EQUITY
The equity arm of a large
Canadian pension plan has acquired CCNMatthews, including
its Market Wire news service, in an all-cash deal.
Terms of the deal are
not being disclosed. A spokesman for Market Wire said there
will be no negative impacts on either CCN or MW as CCN units
are expected to continue operating independently under the
In addition to the acquisition,
Canadian financial services company Manulife Capital will
assume a minority stake in the newswire as a portfolio investment.
CCN, which staffs more than 100 employees across five Canadian
offices and a European outpost, acquired MW in April in
a $30M deal, one of several in the press release dissemination
sector this year.
Edition, January 3, 2007, Page 2
WAL-MART GOES RED.
Chinese employees have established a Communist Party cell
at its Shenzhen headquarters, reflecting a stepped-up effort
by Wal-Mart to ingratiate itself with a country that it
sees as increasingly vital to its growth, according to the
Wall Street Journal.
has operated in China for a decade without the existence
of cells. The company has also established Party branches
in five other Chinese cities including Tianjin. The Party
Secretary of the Tianjin store doubles as the head of its
Bentonville, Ark.-based discount retailers affiliation
with Communism stands in sharp contrast to the wrapping
itself with the American flag approach that Wal-Mart
founder Sam Walton took with his famous buy American
campaign during the `80s.
WSJ reports that allowing Communist infiltration into foreign
companies enables them to better develop their business
by raising the role of party members. Wal-Mart, which
is anti-union here, allows Chinese Government-sanctioned
trade unions to operate in its 60-plus stores. That decision
was made during the summer.
in October, announced the $1B acquisition of Trust-Mart,
a China-based hypermarket. It is still waiting for approval
by the government of the Peoples Republic for that
deal to close.
does PR for Wal-Mart.
AMTRAK REVAMPS PR.
communications unit remains intact following
the restructuring of the passenger rail service that included
the axing of six key executives by new CEO Alexander Kummant.
Bill Schulz, who headed
the firms PR unit, is gone. Cliff Black, who was director
of media relations head, is taking on Schultzs responsibilities.
I am the acting chief communications officer,
he told ODwyers.
Black said PR used to
report to marketing, but now reports to Amtraks government
relations unit. Joe McHugh heads that shop. Barbara Richardson,
VP-marketing & sales, was dropped by Kummant.
The moves, according to
Black, are designed to improve efficiencies in a bid to
cut losses at the government-subsidized rail operation.
Uncle Sam pumps more than $1B into Amtrak each year.
Kummant became CEO in
F-H WINS NEWELL RUBBERMAID
knocked off three other firms to land Newell Rubbermaids
The Atlanta-based company
tallies annual sales of about $6 billion across brands like
Graco, Sharpie, Lenox, and Rubbermaid.
F-Hs Atlanta office
will lead the account with help from New York and other
offices, including some overseas work. The firm was one
of four responding to an RFP by the company earlier this
NR was created by the
$5.8 billion acquisition of Rubbermaid by Newell in 1998,
a somewhat rocky combine that analysts say may be finally
hitting its stride.
F-H is the companys first global AOR.
PUBLICIS ACQUIRES DIGITAS
Publicis Groupe CEO Maurice
Levy has inked a $1.3 billion deal to acquire Digitas, the
Boston-based interactive communications shop. The $13.50
per-share offer represents nearly a 30 percent premium over
the average trading price of Digitas stock during
the past three months.
Levy boasts that the addition
of Digitas combined with Modem Media and Medical Broadcasting
Co. makes Publicis the worlds leading digital shop.
Digitas CEO David Kenny
will head Publicis interactive group, which will account
for 15 percent of overall revenues, and sit on the French
companys executive committee. American Express, General
Motors, Procter & Gamble, Pfizer, Time Warner, Kraft
Foods, IBM, and Wells Fargo are among the blue-chips that
have worked with Digitas and its more than 2,000 employees.
Stone Dies at 86.
Robert J. Stone, a 41-year
veteran of the PR industry on the corporate and agency sides,
died Dec. 27 in White Plains, N.Y. He was 86 and succumbed
to a series of strokes that left him hospitalized for months,
according to The Dilenschneider Group, the PR firm where
he worked for the last 14 years.
Stone served as a principal
for TDG in New York, joining the firm with a small group
of former top executives of Hill & Knowlton, including
Robert Dilenschneider, former president and CEO of H&K.
He once told Dilenschneider that it would be a privilege
to die at his desk.
Bob Stone's contributions
are legion, said Dilenschneider, calling one of Stone's
greatest accomplishments his helping young practitioners
and interns. This was an extraordinary man who knew
the founders of the business and was as current with what
was taking place as anyone practicing today.
Stone, at H&K, rose
to senior VP in Chicago and New York for the firm before
departing with Dilenschneider in 1992. He was previously
director of comms. for McGraw-Edison Co., and VP of corporate
comms. and PA for Worthington Compressors. He served as
president of Business Organizations, Inc., a predecessor
to Carl Byoir & Assocs., and was director of corporate
communications for Singer from 1973-77.
He began his PR career
at Edelman in 1965, serving as director of eastern operations
and later as president of Edelman Investor Relations.
QORVIS PROMOTES BANDARS
helped Prince Bandar, who was Saudi Arabias Ambassador
to the U.S. for more than 20 years, promote his biography,
The Prince: The Secret Story of the Worlds Most
Intriguing Royal, Prince Bandar bin Sultan.
Bandars book is
published by Regan Books, the imprint of News Corp.s
Harper Collins. Judith Regan, who wanted to publish O.J.
Simpsons If I Did It book, has been
ousted and plans to sue News Corp.
Qorvis has received millions
from the Kingdom under Bandars watch. It was hired
to promote Saudi Arabia as a key U.S. ally in the aftermath
Edition, January 3, 2007, Page 3
LOGS OFF AT AOL.
Buckley, executive VP-corporate communications, has exited
AOL as Time Warner continues to streamline its online operation.
is joined by James Bankoff, executive VP-programming; Jim
Redling, AOL international/mobile chief, and Randy Boe,
executive VP-consumer privacy.
Ed Adler, chief spokesperson at TW, denies reports that
the departures and chopping staff by more than 25 percent
(5,000 jobs) is a move to clean up the unit before its sale
to a deep pockets entity like Microsoft.
AVISTA BUYS STAR TRIB.
Private equity firm Avista
Capital Partners has inked a deal to acquire The Star Tribune
Co. from The McClatchy Co. for $530M. The deal includes
the flagship Star Tribune newspaper covering Minneapolis/St.
Paul, its Internet arm, and other print properties.
Kekst & Co. is handling
PR for the deal for Avista.
The Star Trib is the No.
10 Sunday newspaper (600K circulation) in the U.S. and 14th
largest daily (360K).
Avista said Star Tribune
Co. senior management will remain in place. Chris Harte,
a member of Avista's advisory board and former publisher
of the Akron Beacon Journal, will serve as chairman.
McClatchy bought the Star
Trib for $1.2B in 1998.
In December, Star Tribune
editor and SVP for news, Anders Gyllenhaal, said he was
leaving to become executive editor of the Miami Herald,
effective in February.
CEOS CAN GET 'FAIR SHAKE'
Corporate chieftains can
get a "fair shake" in the media if they show up
to explain their side of a story, says Maria Bartiromo in
a piece penned for NYSE Magazine. Its important
for CEOs to meet the press because the public is savvy
today when it comes to business information.
Bartiromo recommends that
CEOs spend time with the reporter before the story to "educate"
him about the business.
Take time before hand
"explaining how you see things and what investors are
missing about your company." That doesn't mean that
the reporter is only going to interview the CEO about the
story, she adds.
A CEO, according to the
managing editor of The Wall Street Journal Report
with Maria Bartiromo and anchor of CNBCs
Closing Bell with Maria Bartiromo, suggests that CEOs
avoid the companys PR department.
points with the reporter, by the way, if you make the call
yourself, rather than have your PR person handle it. It
makes the reporter feel like he or she has a direct relationship
Bartiromo believes there
is nothing wrong with a CEO using the media to get a message
out. She understands that a CEO comes on her show "because
he or she wants to get a particular message out. There is
nothing wrong with that, but understand that I have an agenda
too," she wrote.
Bartiromo doesn't view
herself as an "adversarial journalist." Her job
is to work for shareholders who want answers to their
VNU RESTRUCTURES UNDER NEW
VNU CEO David Calhoun
plans a restructuring plan at the privately held information
services/communications combine that will create a "unified,
global client service organization that will present 'one
face' to clients worldwide."
The firm's business media
unit (Adweek, Billboard, Hollywood Reporter)
are being revamped into six marked-focused groups under
Robert Krakoff. They include marketing, retail, film, music,
marketing services and travel.
VNU has agreed to sell
70 titles of its European business media unit to 3i, a private
equity fund. Those magazines include Computing, Accountancy
Age and Management Team.
Calhoun also has targeted
a 10 percent cut in VNU's overhead. That will lead to the
loss of 4,000 jobs over the course of next year.
HUFFINGTON POST ADDS SMITH.
The Huffington Post, the
online political/cultural journal, has added James Smith
to its ranks as chief revenue officer.
Smith is chief of publishing
services at advertising.com, AOL's group of business partnerships.
His job is to generate
new revenue streams in video, mobile, commerce as well as
At AOL, Smith forged partnerships
with Sony, JP Morgan Chase and Nintendo.
PURDUE NAMED INTERIM EIC FOR
executive editor Matthew Purdue has been named interim editor-in-chief
to replace Dwight Cass, who is leaving this month.
Cass announced his resignation
in December to become capital markets edtior for
Purdue is overseeing the
CurtCo Media title until a successor for Cass is found.
Worth covers wealth management,
preservation and transference among families with substantial
DISNEY.COM PLANS REVAMP.
Walt Disney CEO Bob Iger
is planning a major revamp of the Disney.com
site to offer social networking capability for young people.
He calls the move the
No. 1 corporate priority for the entertainment/news combine.
Disney has been losing viewers to "cool" sites
such as MySpace and YouTube.
NET NEUTRALITY SUPPORTERS
in to Democratic Federal Communications Commission
commissioners to provide equal treatment to all comers on
its Internet service is a major victory for supporters of
The pact expires in two
years, but the FCC's Jonathan Adelstein warns that any telcom
that violates the net neutrality provision will run into
a "political buzz-saw."
Ma Bell made the concessions
to win approval for its $86B acquisition of BellSouth.
news continued on next page)
Edition, January 3, 2007, Page 4
ROSE FROM HUMBLE ORIGINS.
may be the wave of the future, but the rise of blogs can
be credited to humble beginnings, said a panel of digital
editorial staff at the International Cinematographers Guild
in New York.
publication was built literally by word of mouth,"
said Andrew Phillips, events editor at Popmatters.com. "The
founders started it by sending emails to their friends.
We didn't even have a marketing budget until very recently.
It just wasn't something we thought about."
competition and sometimes resentment has grown
between the conventional press and their cyber-counterparts,
the blogging community's grassroots approach has proven
invaluable as a source for news. Simply by virtue of the
medium, blogs can break the story faster. On the other hand,
most blogs aren't held to the same level of journalistic
accountability as the traditional press, so an air of skepticism
traditionally accompanies their viral nature.
an attempt to keep up with the competition, many mainstream
publications have turned to the web as a means of delivering
late-breaking news, as well as hosting multimedia features
that you wouldn't otherwise find in print. Almost every
publication imaginable now has a sister online edition.
The panel, hosted by the Entertainment Publicists Professional
Society, featured a few such key players, who said the conversion
to digital has taken the news and entertainment industry
to new heights.
used to ask us, 'How do we get in the magazine?' Now people
ask, 'How do we get on your website?'" said Gene Newman,
editor for Maximonline.com.
of Maxim's popularity, Newman said his magazine's online
addition had meager beginnings.
started off small sending stuff to our friends and
getting moved around, until people took notice. That's pretty
much how it all started," he said.
Bryant, columnist for the Hollywood Reporter's "Reel
Pop" blog and eWeek's "Google Watch," said
one of the reasons blogs continue to grow as a trusted news
source is because they focus their attention on specific
forms of media more so than most mainstream publications.
you have blogs, you have someone who specializes in a very
narrow topic. They have a real knowledge of what they write
prime example of this is Theatermania.com.
The Website, founded in 1999, solely devotes its news coverage
to theater, featuring listings, news, reviews, interviews,
video content and online ticket information for Broadway,
Off-Broadway, and Off-Off-Broadway shows nationwide.
Scott Lipton, editor for Theatermania.com, said the industry-specific
angle offered by his website gives him an advantage that
is lacking in most traditional news outlets. On the other
hand, Lipton noted that when given the choice for an exclusive
feature, many publicists will still push their clients to
speak with publications like the New York Times,
simply because of its name. Lipton said this is disappointing,
but added that the public's perception of web-based news
is rapidly changing.
us, there are three or four sites in the world that cover
theater exclusively. The theater section in the New York
Times is just fine, but because theater is our focus
of interest, we offer a lot more visibility," he said.
the possibilities for Web-based news seem to be endless.
Newman said Maximonline.com now has its own video department,
and has been able to host exclusive video trailers for new
movie releases. Jeralyn Gerba, editor for popular entertainment
blog Dailycandy.com, said the site is considering the integration
of a text-messaging option that sends news directly to subscribers'
the other hand, digital media still has a long way to go
in terms of disseminating the truth about what they do and
how they handle the news. Lipton said many publicists still
have a hard time differentiating blogs from web news sites,
and this can often make it harder to gain their trust.
go by different rules than we do. We won't publish something
without a confirmed source," he said. "We all
read the blogs, but when I find out about something from
a blog, I get on the phone and call the publicist."
said he often hears misinformation in the industry regarding
blogs, including rumors that websites such as his will even
give positive music reviews to albums for money, which is
are a lot of ethical things that we really have to feel
out, like giving a web link to a CD for money. It can tread
dangerously close to something else, because it looks like
we're being paid to give good reviews, and we don't do that.
On some level, sometimes I think the only way to solve that
problem is just to link everything," he said.
The Wall Street Journal
ran a correction on Dec. 19, setting the record straight
that the name of O.J. Simpsons dropped book is If
I Did It, and not Why I Did It as the
paper reported yesterday.
Anne Robbins and David
Shipley were named deputy editorial page editors
at the New York Times. Robbins will work under newly
minted editorial page editor Andrew
Rosenthal and oversee the papers letters to
the editor and production staffs. Shipley will boost the
online activities of the editorial pages.
Cohen, an assitant ed page editor, has expanded his
responsibilities to focus on New York regional coverage
and national politics.
All appointments are effective
Bridges, VP of editorial programming for iVillage,
an online community for women, has been named editorial
director of Prevention.com,
the website for Prevention magazine.
The portal counts 1.6M
unique visitors per month.
Edition, January 3,
2007, Page 5
OF PR FIRMS
NEWSGATOR IN AD DEAL.
has partnered with RSS company NewsGator Technologies to
market a conversational advertising service
rooted in social media.
hosted conversations, the collaboration offers companies
or brands the chance to sponser conversations moderated
by an expert on topics relevant to their products, the firms
said. Those conversations will include RSS feeds with the
best content from news media and social media.
that sponsor the conversations purchase embedded ads with
their logo or messaging that contain the updated RSS feeds
and NewsGator see the ads as a more valuable solution than
traditional static ads.
PRESBERG, TOP F-H EXEC, DIES AT 58.
Presberg, a 20-year PR industry veteran and a senior VP
for Fleishman-Hillard, died on Dec. 20 of complications
from an aortic dissection. He was 58.
senior partner for F-H in its hometown St. Louis, Presberg
was with the firm for 11 years co-founding its internal
communications group and managing its creative design unit.
He led work for key clients like AT&T and Cingular Wireless.
was not just a great team leader and counselor, he was a
loyal and generous friend and colleague to literally hundreds
of people he worked with over the years - both at our firm
and at the client companies he served," said F-H chairman
his career, he counseled clients like Visa USA, Dell Computer
Corp., LTV Steel, Monsanto, Procter & Gamble, and Charles
joined F-H from Mark Twain Bank, where he was VP and director
of communications. His career began in journalism, rising
through the ranks from reporter to assistant managing editor
at the St. Louis Globe-Democrat, and later as publisher
of The St. Louis Weekly.
advocate for people with disabilities who was said to possess
a sharp, dry sense of humor, friends said Presberg will
be also remembered for his Fourth of July fireworks displays.
is survived by his wife, Judy; daughter, Elizabeth; son
Edward, and sister, Allyn Heffner. The family requested
donations to The Belle Center or St. Louis ARC in St. Louis
in lieu of flowers.
is handling hedge fund Highland Capital Management, which
today offered a $4.7 billion package, to enable automotive
parts maker Delphi Corp. emerge from bankruptcy. ...Chief
cut a deal in December with Osmond, owner of the coffee
cart parked outside Goldman Sachs headquarters in New York
for the past 15 years, to give customers free breakfast
and a complimentary $1,000 "boarding pass" for
a charter flight. The PR stunt followed news that GS '06
bonuses will drive average compensation up to $623K per-employee.
handled the Dec. 20 promo.
CONNECTS WITH MACROVISION.
100 has picked up global PR duties for Macrovision Corp.,
a Santa Clara, Calif., software company that specializes
in content distribution and licensing for the entertainment
industry and software publishers.
Jorgensen, executive VP and chief marketing officer for
Macrovision, told O'Dwyer's that Text 100 beat two other
firms after a review narrowed a wide field that emerged
from an RFP earlier this year. He credited the firm's understanding
of both current and new markets for the company tipping
the scales in its favor.
100 offices in San Francisco and London will lead global
efforts that are expected to stretch into Asia in the coming
had worked with several agencies as it acquired companies
in recent years but Jorgensen said he wanted a centralized
PR agency for the company across the globe. The company
has worked with the motion picture industry on copyrighted
distribution for a decade, a relationship that continues
as a company linchpin. The company says more than 50,000
software publishers also use its services, which include
Finn, New York/Kyocera Mita America, as AOR for PR.
Alicia Young, executive VP and director of RFs corporate
technology practice, heads the account team.
Group, East Rutherford, N.J./Plans Express Inc.,
document management services for architecture, construction
and engineering markets, for corporate positioning, B2B
and media relations support.
Castle Group, Boston/Eons, online media company targeting
boomers and seniors founded by Monster.com creator Jeff
Taylor, as AOR for PR. The firm previously handled Eons
launch in July before being named AOR.
Washington, D.C./American Academy of Family Physicians,
for presentation and media training for its incoming board
of directors; The Markle Foundation, for a two-day conference;
AdvaMed, the Advanced Medical Technology Assn., as AOR for
PR to manage its Value of Medical Technology
campaign, and Campaign for Tobacco-Free Kids, for grassroots
media outreach to support its Kick Butt Day.
GYMR noted the Campaign was its first client when the firm
opened eight years ago.
Rost Advertising and PR, Sheboygan, Wisc.
Orion Energy Systems, energy-efficient lighting systems
and controls for retail, industrial and commercial operations,
as national AOR for advertising and PR.
Seattle/Avanade, IT services company set up by Microsoft
and Accenture, as AOR following a competitive review. Edelman
already works for Microsoft. Its Chicago and Toronto offices
will assist with the acount.
Edition, January 3, 2007, Page 6
ADDS BROADCAST CAPABILITIES.
Wire has unveiled a broadcast news service to handle production
and distribution of both video and audio PR packages.
media tours, video news releases, B-roll, ANRs and podcasts
are among its offerings.
is owned by CCNMatthews, the recently acquired (see pg.
1) news distribution company.
Broadcast Network, New York, said it delivered more
than 79K news pieces to radio newsrooms in 2006, the result
of 110K station contacts. President Michael Hill said radio
remains the most content-starved and ubiquitous medium.
...IBMs blogger in chief Christopher
Barger is slated to keynote a Web 2.0 seminar for business
execs in Philadelphia on Jan. 10. The event, Using
the New Web 2.0 for Corporate Communications, is an
all-day session at Philadelphia University. Barger will
discuss using new media converse in a shifting environment.
First Amendment and liability issues, along with search
engine optimization and other how-to tips for digital media
will be covered. Info: www.philau.edu/continuinged/events.html.
...Corporate event planning firm Bravo
Productions, based in Long Beach, Calif. has inked
a new five-year deal with the U.S. Army. The firm has worked
with the Armys community and family support center
since 1998, most recently on its 6th biennnial Garrison
Commander Conference in Louisville, Ky. ...Custom publishing
company Pace Communications
has formally set up an interactive unit to focus on new
media development like web design, SEO, hosting and interactive
marketing consulting. The company has already produced sites
for Epic Online and retailer The North Face. ... D
S Simon Productions, New York, landed in first and
second place at PRSA/Philadelphias annual Pepperpot
Awards in late November. Both awards were for video news
releases produced for the American College of Physicians.
The firm landed in first place for a VNR based on a study
that found regular exercise is associated with delaying
the potential onset of dementia and Alzheimers. Simon
said that segment aired 284 times across 165 stations, including
NBC Nightly News and ABC World News Tonight.
...The Chief Marketing
Officer Institute is calling for nominations for
its CMO of the Year Award. Nomination forms will be accepted
through Jan. 19 at www.chiefmarketingofficer.com.
Awards are split into two categories large companies
(more than $250M in 2006) and small to mid-sized (less than
$250M). ...The San
Francisco PR Round Table awarded five Philip N. McCombs
Scholarships to students at Sonoma State Univ., San Jose
State Univ., and Golden Gate Univ. The group presented scholarships
named for its founder for the 12th straight year to students
in Bay Area schools. ...The
Institute for PRs Commission on PR Measurement
& Evaluation has elected Ketchum partner and global
director of research David
Rockland as its chair for 2007.
Lewis Kurth, an IR and PR veteran in the Boston area,
has joined Sharon Merrill Associates, Boston, as a VP.
Tripp, former campaign press aide for Assemblywoman
Kate Murray, to HJMT Communications, Westbury, N.Y., as
Jacobs, president and founder of Capitol Strategies,
to Susan Davis International, Washington, D.C., as a VP.
Jacobs was a spokeswoman for the Republican National Committee
and managed and advised Republican Congressional campaigns.
former chief of staff for the Md. State Assembly House Republican
Caucus, and Brian Walton,
deputy press secretary for the National Republican Senatorial
Committee, join as directors. Also, Anastasia
Van Engelen joins as a senior A/E from DCI Groups
PR unit Direct Communications Group.
LaBarbera to management supervisor, Rhea & Kaiser
Marketing Communications, Naperville, Ill.
Carey, senior A/E, Bianchi PR, to The Millerschin
Group, Auburn Hills, Mich., as an account manager.
Malone, communications director for the Fort Smith
Chamber of Commerce, to E-magination Group, Ft. Smith, Ark.,
to lead media planning and communications for the marcom
Callaway, who ran her own firm for six years, to
KGBTexas PR and Advertising, San Antonio, as director of
Andrew to VP, Weber Shandwick, Cambridge, Mass. The
Scotsman joined the firm as director of strategic media
after serving as a consultant at Hattaway Communications
and special adviser to Chancellor Gordon Brown in Tony Blairs
Komiyama to account director, Sabrina
Tanenbaum to A/M, and Adriana
Ruiz to senior A/E, Goodman Media International,
Gordon to A/E, HJMT Communications, Westbury, N.Y.
She joined in June 2006.
Ubben to partner and chief operating officer, Ron
Sachs Communications, Tallahassee, Fla.
Li, who headed Dome HKs technology and B2B
practice, to The Chempetitive Group, a Chicago-based marketing
firm focused solely on life sciences, as director of PR.
Beeman to senior A/E in Dix & Eatons investor
relations group. Jim
Brown was promoted to VP and controller for the Cleveland-based
firm and Chuck Hemann
was upped to senior research specialist.
Sachariason to senior A/E, Roepke PR, Minneapolis.
Pollack to president and William
Ostedt to VP for The Pollack PR Marketing Group.
Founder Noemi Pollack,
Stefans mother, continues to oversee strategic direction
for the firm and its clients as CEO. Stefan joined the 22-year-old
firm in 1989.
Edition, January 3, 2007, Page 7
SAYS OMC WON'T PAY OPTIONS.
P. Tierney, who was on the payroll of Omnicom Management
until March 31, 2004, when he was fired, and who was also
CEO of Seneca Investments, has charged in Federal Court
that OMC will not honor options it gave him.
filed the suit Dec. 11 with the U.S. District Court for
the Southern District of New York (Civil Action 14302).
says that he tried to exercise options with a value of $507,100
on Nov. 8, 2006, but "Omnicom has wrongfully and willfully
refused to recognize any of the options."
also claims that he was performing his duties as desired
by OMC but that the company "has not paid the plaintiff
the reasonable value of the services so provided to it by
plaintiff" and is demanding payment of $1 million plus
interest "from the dates on which the specific unpaid
services were completed."
New York Post, which did a story on the suit Dec.
21, said it has implications for the Class Action suit against
OMC in which it is charged that OMC fraudulently off-loaded
dot-com investments to avoid a charge to earnings in 2000
the Post story by Holly Sanders: "Lawyers in the shareholder
suit could seize on Tierney's suit to undercut the argument
that Seneca was a separate entity since Omnicom paid his
salary, accounting experts said.
Mulford, an accounting professor at Georgia Tech who has
previously criticized OMC's accounting in the Wall Street
Journal, told the Post:
"An attorney could effectively argue that in substance
they were controlling Seneca by employing the CEO of the
Show Salary of Tierney
to the lawsuit are five W-2 IRS forms for Tierney from Omnicom
Management. He joined OMC Oct. 11, 2000 and was paid $114,497
that year. In 2001 his salary was $656,857; in 2002, $952,494;
in 2003, $1,173,951, and in 2004, $138,321. Tierney says
that "Defendants own records reflect termination of
employment of plaintiff on March 31, 2004."
says that on Oct. 2, 2000, he received options on 10,000
shares with the strike price of $73.63; 15,000 shares on
Feb. 2, 2001 with the strike price of $87.16, and 15,000
shares on April 4, 2001 with the strike price of $79.50.
He has until March 31, 2007 to exercise the options, the
is currently trading at about $102 a share, just below its
high of $107 on Dec. 17, 1999.
company has been arguing for the past four years that Seneca
was separate. However papers filed with federal court and
recently unsealed by the court charge that Seneca was not
in the Class Action suit, answering OMC's defense that Arthur
Andersen, KPMG and the SEC found nothing wrong with the
Seneca transactions, say that key information was withheld
from AA, KPMG and the SEC, including personal involvement
by OMC CEO John Wren and CFO Randall Weisenburger in certain
stock and cash transactions.
has been saying that employees who went to work for Seneca
became employees of Seneca. Tierney's title with Omnicom
Calls and e-mails to OMC executives about this lawsuit were
SPLITS FROM PAGE SOCIETY.
Page Society executive director Paul Basista is calling
it quits with the expiration of his second three-year contract.
He will remain in the post until Page Society president
Roger Bolton can hire a replacement.
joined the group of chief communications officers from companies
with at least $2B in annual revenues from the Graphic Artists
Guild. Previously, he was PA director at the Independent
Federation of Flight Attendants.
Basista, who was Page Society's first full-time staffer,
plans to explore other career opportunities.
pay for 2006 is approximately $170,000 including salary
and bonus. Page puts its entire IRS Form 990 on its website
which also provides contributions by companies such as Johnson
& Johnson, FedEx, Prudential Insurance, General Motors,
Exxon Mobil and Hill & Knowlton. Such contributions
total about $200,000 yearly and are tax-deductible by the
contributors since Page is a 501c/3 charitable organization.
members pay dues of $1,375 and educators pay $550. Membership
totals 345. Revenues in 2005 totaled $1,187,148. Expenses
were $1,109,988. Income included $224,000 from gifts and
grants; $354,625 in dues; $483,758 from programs, and $81,442
from interest and unrelated taxable business income.
totaled $215,790 and investments $774,755 for a total of
$990,545. Liabilities totaled $223,283 and total net assets,
Hanson of Cleveland recently replaced Karen Arnold who had
been the first communications director of Page. She joined
in June 2005.
promises new programs that will "advance the management
policy role of the chief corporate PR officers," according
to a statement. He said the Page Society came of age under
BACKS EQUITY COUNCIL.
Group is handling the launch of the Private Equity Council,
a group composed of the players in the $700B market.
Lowenstein, president of the Entertainment Software Assn.,
will head the Washington, D.C.-based group when it launches
to ESA, Lowenstein was executive VP for Robinson Lake Sawyer
Miller, a WPP Group entity.
PEC, Lowenstein is to provide information to policymakers
to explain the role that private equity plays in the development
of the U.S. and global economies.
Council also will conduct research and do outreach to investors,
companies and public employee pension funds to outline how
private equity contributes to the growth of local communities.
charter members include Bain Capital, Carlyle Group, Kohlberg
Kravis & Roberts, Texas Pacific Group and Thomas H.
Edition, January 3, 2007,
of the biggest threats ever to the PR industry gathered
steam in 2006
as usage of VNRs came under increasing fire. The FCC wants
to ensure that broadcasters will identify the sources of
VNRs but has not yet made rules.
threat is that the baby will be thrown out with the
bathwater (VNRs will be saddled with disclaimers that
will preclude usage). VNR producers say the law already
calls for identification of sources of political or controversial
matters and such decisions should be made by the broadcasters.
executive pay was a continuous topic of the New York
Times and New York Post with the year
capped off by reports of Goldman Sachs paying $16.5 billion
to its 26,000 employees including billions in Holiday bonuses
($623,41 total pay per employee but some getting as much
as $100 million). It seems almost criminal, huffed
NYT columnist Andrew Sorkin. The paper wrote about a new
super duper class of the rich.
Goldman Sachs office cleaners
in London, hit by cutbacks, threatened a strike, the NYT
reported. A trader who made $98M was stalked by paparazzi
and an extravagant GS party was ridiculed.
Trouble with Diversity,
a new book, says the much-touted goal of diversity is
really a diversion, a red herring designed to throw the
non-rich off the real problemthe accelerating transfer
of wealth to the wealthier while most of us tread water.
of the highest paid CEOs in the Forbes 500
was Omnicoms John Wren, who came in at 102nd
with 2004 pay of $13.4M (2005 was not yet available). Forbes
found he was not too efficient (giving value
for pay received). He ranked 89 out of 189 CEOs on this
scale since the six-year annual total return
of OMC was -2%.
OMC is still about $5
below its Dec. 17, 1999 high of $107 despite pulling 17M
shares off the market (nearly $1B of borrowed funds helped
to do this).
Yahoo!Finance reported Wren owns 366,690 shares worth $37M.
He also has numerous options. Lauren Fine of Merrill Lynch,
usually upbeat about the stock, said in 2002 that the amount
of options OMC executives gave to themselves was staggering.
Wrens options on
2M shares at $79.50 would have been worth $160M had OMC
reached the target of $165 set in the $850M zero-bond offerings
via Merrill Lynch in 2002.
expressed surprise at the cost of the drawn-out
class action lawsuit vs. OMC dating from 2002 charges
of accounting fraud. Many new details surfaced, implicating
Wren and CFO Randall Weisenburger, after a ruling by a federal
OMC has turned its uncommunicative
back not only on the press and public but on Wall Street,
which is a big reason for the seven-year stock stall. The
NYT remained silent on the suit while the NYP and WSJ have
run major stories on it.
lot of corporate attention has shifted from PR
to lobbying with the number of lobbyists in D.C.
doubling to 30,000 in five years.
Industry and labor groups
spent $2.14B on this in 2004, up 34% since 2001. Instead
of the Peoples House, Congress has become
the Auction House, said Rep. Rahm Emanuel (D-Ill.).
New York States
212 lawmakers are outnumbered 18-1 by lobbyists, the highest
ratio in the U.S. Second is Florida (13-1).
Lobbyists are unflagging
in their service of legislators, available 24/7 and eager
to provide endless documentation of their points of view.
They have no doubts about the importance of their audience.
The friction that accompanies much PR/press relations is
financial broadcaster Marie Bartiromo, facing turn-downs
from shy CEOs, urged them (in an article in the NYSE
Magazine) to avoid their PR depts. and call her directly.
She said she and other reporters will give CEOs a
PRSA announced on Dec. 27
(were they trying to bury this story?) the appointment of
William Murray as president/COO.
A 20-year veteran of catching
international copyright violators for the Motion Picture
Assn., he might be interested in PRSAs 1993-96 battle
with a dozen authors who claimed PRSA violated their copyrights.
Al Ries knocked the big ad agencies for almost eliminating
their corporate ads and instead focusing on winning awards
and publicizing them in the belief that publicity
reporter Alex Jones, now at Harvard, said too many
media are avoiding complexity to cater to the perceived
wants of their audiences.
the gap between PR/press seems to be increasing,
we ran into a number of PR firms that describe themselves
as 100% media-oriented.
They study reporters
stories and backgrounds; bone up for months on subject matter,
and make client CEOs available for interviews.
ODwyer Co., which had never given out awards, started
to do so for campaigns that seek to educate audiences
about a subject in detail, provide executives for questioning,
and/or take part in public debate, where truth is often
marks the 25th anniversary of the Tylenol murders,
PRs No. 1 crisis case. Johnson & Johnsons
immediate, instant, etc., pullback
of the capsules will be examined. How immediate is seven
days and who, by then, was selling Tylenol capsules, a flawed
product easily tampered with?