The eight page weekly is the only PR newsletter on LEXIS/NEXIS.
Edition, September 12, 2007, Page 1
PN WINS $400K CRANBERRY PITCH.
The Cranberry Marketing
Committee has awarded its potential $400K PR account to
Porter Novelli, according to Jan Barton, marketing director
of the Wareham, Mass., group.
She considered 33 responses
to the RFP, and chose PN/Washington for its knowledge of
commodities, research, new media and cost-effectiveness.
Barton told ODwyers
she was surprised that only three firms responding to the
RFP provided contact info.
She is looking for a PR
campaign to move cranberries beyond their traditional health
pitch of fighting urinary track infection to play up their
heart-health and bacteria-fighting capabilities.
Publicis Consultants (Seattle)
was the incumbent.
KARRAKER QUITS SONY.
Dave Karraker is exiting Sony Computer Entertainment America
after a year of service as the consumer electronics maker
eyes the key Christmas season. He was senior director of
The media savvy Karraker handled the high-profile but rocky
launch of Sony's Playstation 3. He is joining Skyy Spirits
to handle PR and events on Oct. 1.
Karraker believes Sony is very well-positioned to
have an exceptional holiday. He intends to follow
the industry as a "gamer, rather than a spokesperson."
Karraker joined Sony from Allied Domecq Spirits and Wine.
Previously, he was marketing communications director at
Kmart, and worked at Access Communications and Rogers &
Sony is currently reviewing its $150M Playstation ad account
that is handled by Omnicoms TWBA Chiat/Day unit. Interpublics
Deutsch and Seattle-based Publicis in the West are in the
CITIGATE PAIR REPLACES
Citigate Cunningham has named Eileen Conway and Christine
Pfendt co-CEOs to succeed Paul Bergevin, who has taken a
PR post at Intel.
Conway has 15 years of PR experience, and is credited with
leading CCs push into the digital music sector. Before
joining the Huntsworth unit, she held the VP-corporate communications
post at Macromedia and a VP slot at Edelman, where she handled
Apple and Procter & Gamble.
Pfendt is a financial pro who has been with CC since 01.
She had various management slots at Ziff-Davis Events and
Deloitte & Touche She is a member of the Branding Committee
of the 2008 Beijing Olympic Games.
PUBLICIS BIDS ADIEU TO U.S.
Publicis Groupe plans to delist its shares (American Depositary
Receipts) from the New York Stock Exchange. They will trade
Publicis also filed a notice with the Securities and Exchange
Commission to terminate registration of the conglomerates
securities under the U.S. Securities Exchange Act of 1934.
That filing immediately suspends Publicis reporting
obligations. The official termination date is expected by
the end of the year.
The French ad/PR combine cited cost and liquidity
considerations in making the moves.
CEO Maurice Levy, according to the Publicis statement,
believes the International Financial Adopting Standards
that were adopted by his firm in 05 are generally
equivalent in terms of disclosure and quality of information
for investors and that it is unnecessary to publish its
accounts under two reporting standards.
Levy promises to continue publishing financial reports
and press releases in English.
SITRICK HAS ROLE IN HSU CASE.
Sitrick & Co. is handling media inquiries for the fugitive
Democratic political donor Norman Hsu, who surrendered to
authorities last week to answer charges stemming from a
1991 grand theft pyramid scheme. Sitrick is actually working
for Hsus attorney Jim Brosnahan of the law firm Morrison
The California apparel executive had given hundreds of
thousands of dollars to Democratic candidates notably
Sens. Hillary Clinton and Barack Obama and media
have shown a healthy appetite for the story.
Hsu had been a fugitive for 15 years before turning himself
in on Aug. 31 to face charges of bilking $1M from investors.
NET DEBT MISLEADS,
The use of net debt instead of total
debt by companies such as the WPP Group, Omnicom,
AT&T, Dana, Qwest and Verizon is a practice that misleads
investors, Wall Street analysts are saying.
Net debt means a companys debt minus
cash and cash equivalents. The cash might not be available
for repaying the debt, say the analysts, especially if there
is a downturn in the economy.
The 2006 Omnicom annual report said net debt
at the end of 2006 was $1.13 billion and total debt was
$3.06B. It says that net debt is a non-GAAP financial
(Continued on page 7)
Edition, September 12, 2007, Page 2
ACQUIRES PBN STAKE.
Group has acquired a 49.9 percent stake in PBN Co., a Washington-based
public affairs firm with more than 100 staffers.
is headed by the husband and wife team of Peter Necarsulmer
and Susan Thurman.
unparalleled experience in the countries of the former
Soviet Union is among the reasons for the WPP deal,
according to Howard Paster, WPPs executive VP of its
PR and PA operations. The British ad/PR combine also has
partnered with PBN on client work.
has counseled clients such as Merrill Lynch, Motorola, PepsiCo.,
Bristol-Myers Squibb, Xerox and Mittal Steel.
maintains offices in London, Moscow, Kiev, Riga (Latvia),
Chisinau (Moldova) and Almaty (Kazakhstan).
has advised the Russian government on securities reform
and sits on the board of the U.S.-Russian Business Counsel.
works PBNs energy clients, and is noted for handling
ex-Soviet Union leader Mikhail Gorbachevs visit to
San Francisco in 1990.
beat two firms to be named AOR for the USO, the non-profit
home-away-from-home group for armed services
members and their families.
PR Worldwide and Brainerd Communications also pitched for
CKPRs New York base will handle media relations and
partnership planning with the overall goal of boosting the
66-year-old organizations profile.
Powell, president/CEO of the USO, praised CKPRs very
clear, smart strategy to connect the organization
with the public.
managing director Joel Curran said his firm will work to
expand understanding of the USO beyond its well-known celebrity
USO, which has overseas centers in Germany, Italy, the United
Arab Emirates, Japan, Qatar, Korea, Afghanistan, Guam, and
Kuwait, says families visit its outposts more than 5.3 million
times each year.
EXITS THOMPSONS CAMPAIGN.
Corallo, media relations chief for Fred Thompson, has quit
as the former lobbyist, senator and actor officially hits
the presidential campaign trial.
is the latest staffer to exit Thompsons staff as the
65-year-old Republican seeks to assume the mantle of Ronald
Reagan. Thompson hired Reagans White House political
director Bill Lacy to run the campaign last month.
is credited with keeping the unannounced Thompson
campaign in the news for months, and pitching the Law
and Order actor as an attractive candidate for conservatives.
former Justice Dept. spokesperson, now heads his own media
strategy firm. His high-profile clients include Karl Rove
during the Valerie Plame-CIA leak probe, and former Hewlett-Packard
director Thomas Perkins in the pre-texting flap. Corallo
also prepped executives from defense contractor Blackwater
for House hearings on waste in Iraqi contracts.
Piper, the Washington, D.C., firm which has repped Afghanistan
on a pro bono basis for the past five years, wants some
cash from its client to cover the critical work that
DLA has asked Afghanistan to cough up $10K a-month so the
firm can sustain its commitment to a dedicated and
priority representation [of] the government of Afghanistan,
according to a letter from DLA staffers Lawrence Levinson
and Brenda Meister.
work includes strengthening the U.S./Afghanistan bilateral
relationship, attracting business investment and increasing
the knowledge base about the Karzai Government
firm promises that if the value of hours billed exceeds
the retainer level, it will be done for free.
is a former movie executive who was responsible for government
affairs at Paramount Communications and became Viacoms
chief lobbyist after it acquired Paramount. Previously,
he worked in the Kennedy, Johnson and Carter Administrations.
is a veteran of United Airlines, Bush/Quayle transition
team and the Dept. of Justice.
TAPS TOP COMMS. EXEC.
Caldeira, a veteran agency and food sector corporate PR
exec, will join Dunkin Brands in October in its top
communications and PA role.
has been president and CEO of the Elliot Leadership Institute,
a non-profit he co-founded three years ago focused on developing
executives for the food service and hospitality industries.
48, will report directly to Dunkin chairman and CEO
takes the title of executive VP, global comms. and chief
public affairs officer, starting Oct. 29.
brands include Dunkin Donuts, Baskin Robbins
Canton, Mass.-based company is privately owned by a group
of private equity firms.
was previously VP of industry relations for PepsiCo, and
earlier was president and COO of the National Restaurant
Associations Educational Foundation.
Caldeira was a managing director in Burson-Marstellers
U.S. PA practice and was political director for ex-Sen.
Alfonse DAmato (R-N.Y.).
REVAMPS H&Ks WORK.
has informed Hill & Knowlton that it is revamping its
$23K a-month pact to promote its telecommunications sector
effective Sept. 30, an H&K staffer told ODwyers.
will be a revised contract to reflect the new scope
of work, he said. Mexico entered the original contract
contract is with the Camara Nacional de la Industria Electronica
de Telecomunicaciones y Technolgias de la Informacion.
WPP Group units original task was to do PR for MexicoIT,
a joint program between the Mexican Ministry of Economy
and telecom companies, to promote investments in Mexicos
Edition, September 12, 2007, Page 3
INC. KILLS BIZ 2.0.
Inc. is shutting down San Francisco-based Business 2.0
with the October issue due to declining advertising
and red ink.
Joshua Quittner and nine other staffers are shifting to
Fortune to write about technology issues, arrange
conferences and update its website.
Inc. acquired the 10-year-old magazine from Britain's Future
Network in `01 for $68M. It combined Business 2.0 with eCompany
Now to cover the "new economy."
rebuffed efforts by others including Mansueto Ventures,
publisher of Fast Company, to purchase Business 2.0
and a list of 600K subscribers.
OBAMA LEADS WEB PRESIDENTIAL
Barack Obama is garnering
the most interest on the web of presidential candidates.
attracted 717K unique visitors in July, according to Nielsen/Net
Ratings, trailed by HillaryClinton.com
(437K) and JohnEdwards.com
the website for Fred Thompson, topped Republicans with 381K
uniques, while JoinRudy2008.com
(113K), and JohnMcCain.com
(104K) were all within 20K hits of one another.
Hillary Clinton's site
had the longest time per visitor averaging eight minutes,
seventeen seconds. Obama (7:53) and Giuliani (7:33) followed.
Although McCain trails
in traffic, he led online advertising among all candidates
in July with 7.7M impressions, followed by Romney (4.7M)
and Dennis Kucinich (820K), according to Nielsen.
MILLER JOINS CONSERVATIVE
Judith Miller, the former
investigative reporter for the New York Times who
hyped Iraq weapons intelligence and later went to jail to
protect her source, Scooter Libby, in the Valerie Plame/CIA
scandal, has joined the conservative think tank Manhattan
She has contributed to
MIs City Journal publication in the past.
Miller was a flashpoint
for criticism of media coverage leading up to and following
the invasion of Iraq as she wrote about Iraq's weapons programs
as a potential threat to U.S. security.
Many of her claims, like
aluminum tubes she reported to be for use in nuclear enrichment,
were later debunked.
Several of her reports
relied on unnamed sources and administration officials,
and are credited with influencing public opinion in favor
of war with Iraq. Ten of twelve stories that the Times later
cited in re-examining its pre-war coverage carried a Miller
Miller is an adjunct fellow
for the Institute and writes about the Middle East and counterterrorism,
as well as "the need to strike a delicate balance between
protecting both national security and American civil liberties
in a post-9/11 world," according to the MI website.
MI was founded by William
Casey in 1978, before he became CIA director for Ronald
ADLER TAKES MYFOX POST.
Andy Rosa Adler is now
entertainment/web reporter for MyFoxNY.com.
She also will contribute reports to WNYW Fox 5 and its sister
station WWOR-TV My9 in New York City.
Adler joins from KPSP/CBS
2 in Palm Springs, CA, where she co-hosted a daily entertainment
Earlier, she anchored
news for Stanford University's Stanford Cardinal Broadcasting
Network, served as west coast correspondent for American
Latino TV and LatiNation and reported for KSBW, an NBC affiliate.
KUPPER TEES OFF WITH TURNSTILE.
Bill Kupper, retired CEO
of BusinessWeek Group, has assumed the publisher slot at
He also will oversee other
assets of Turnstile Publishing Co. such as TurfNet,
Fish & Fly, Art Calendar, GeezerJock
and their respective websites.
Kupper joined Turnstile's
board after more than 20 years at McGraw Hill, where he
was named BW's president in 2000.
Earlier, Kupper spent
nearly a quarter century at Time Inc., working in sales/advertising
posts at Sports Illustrated, Time, Life
Kupper, who earned a Bronze
Star and Air Medal as a member of the First Calvary in Vietnam,
is an avid golfer. He and son, Tyler, won GW's father and
son tourney in '00.
GRANDPARENTS GO ONLINE.
a biweekly e-mail, unveiled a stand-alone website Sept.
4 targeted at the 78M grandparents in the U.S.
CEO Jerry Shereshewsky,
a Yahoo veteran, sees the site as a social network for grandparents,
offering blogs, message boards and chat forums.
There is a city guide
section promoting activities and events in 25 locales for
the robust over-60-something market.
Shereshewsky is looking
for sponsors for the site.
NBCU PUTS SHOWS IN UNBOX.
NBC Universal, which had
a high-profile split from Apple's iTunes, is putting its
fall TV shows in Amazon.com's
Unbox digital download store.
Amazon promised NBCU the
pricing flexibility that it wanted, but failed to get from
Apple. NBC's shows accounted for about 30 percent of iTunes'
video downloads. NBC and partner News Corp. plan to stream
ad-supported programming via its hulu.com
TW TAKES VIDEO AD STAKE.
Time Warner has made an
investment in Boston-based digital video advertising company
ScanScout. Rachel Lam, senior VP of TW Investments, has
joined the company as a board observer.
Jim Rossman, COO of Digitas
who is also on the ScanScout board, said the company's technology
delivers the "most relevant" ads in the "most
precise context" to consumers. The ScanScout technology
displays video ads related to the content on a web page.
news continued on next page)
Edition, September 12, 2007, Page 4
TO NIRI IN COMMUNICATION POST.
Brusch, who was director of communications at Tier Technologies,
government services provider, from 2004-2007, joined the
National Investor Relations Institute, Vienna, Va., as VP
will work with interim CEO Linda Keller on a national media
relations program, supervising production of NIRI publications,
and identifying issues of interest to members, the media
and public. He will also work with NIRI chairman Matthew
Stroud, VP-IR, Darden Restaurants, Orlando, Fla.
managed communications with the media and investment community
at Tier and was corporate spokesperson for the company.
that he was at Cysive, IT services provider, from 1999-2003
as IR and PR manager. He was IR manager at Datastream Systems
and worked four years at NASDAQ, rising to director of market
1987-93 he was a lieutenant in the U.S. Navy, serving as
a Surface Warfare Officer and winning the Navy Achievement
Medal for superior performance. He has an M.B.A. from the
University of Maryland and a B.S. in Management from Pennsylvania
has 4,400 members in more than 2,100 public companies in
Economist took Google's corporate arrogance to task
in its Sept. 1 cover story and lead editorial, and believes
privacy issues could threaten its growth.
feels the search giant's future depends upon how it handles
growing worldwide concern about what it does with personal
data from users that is stored in its "cloud"
of computer networks.
magazine likens Google to a bank rather than a technology
company. As banks "grew to become repositories of people's
money, and thus guardians of private information about their
finances, Google is now turning into a custodian of a far
wider and more intimate range of information about individuals."
of the sheer speed in which Google has accumulated a "treasure
of information," Google will be the test case of what
society can tolerate, according to the Economist.
British magazine believes many are put off by Google's "cocksure
assertion of its own holiness, as if it merited unquestioning
trust." It sniffs at Google's "Don't be evil"
corporate motto and CEO Eric Schmidt's vow to "change
to its "own propaganda," Google is "better
judged as being just like any other 'evil' money-grabbing
company," according to the Economist.
is at a crossroads. It could "voluntarily destroy very
quickly any user data that it collects," according
to the magazine. That option would assure privacy, but would
limit Google profiting from selling the info to marketers.
Google decides to retain consumer data, its services become
more useful, but "some dreadful intrusions into privacy
Economist believes Google needs to find a middle way. It
also needs to become more transparent and open its processes
to greater scrutiny.
is a useful capitalist tool and needs to act to counter
concerns about its business operations. Relying on a "trite
slogan" could lead to Google's undoing, concludes the
said it has become the first 24-hour domestic news network
in high definition. CNN HD, which was made available on
Sept. 1, stands as a separate high-definition signal with
a programming line-up identical to the CNN/U.S. channel
broadcast in the standard-definition format. As part of
its initial entry into HDTV, CNN will produce all of its
New York-based programs, select documentaries and special
events, including Planet in Peril and presidential debates,
in high definition.
National Veteran-Owned Business Association said
it will rename its magazine from Veterans Business Journal
to Vetrepreneur. The new name plate will debut with
the Sep/Oct 2007 issue.
group also said, starting in 2008, the magazine will be
published 10 times per year, up from its current bi-monthly
frequency. Its e-newsletter will be distributed weekly.
Rich McCormack is editor-in-chief.
Home Improve Magazine has tapped TransMedia Group to
promote its launch in affluent Palm Beach County. The magazine
expects to reach more than 150,000 readers per issue. It
will also target commercial trade members as well as consumers
and be placed in targeted locations to reach those buyers.
have inked a content-sharing agreement to put content from
Conde Nast's online arm and its print properties on the
NBC-owned 'Net news portal.
from sites like Style.com,
Vogue, Vanity Fair and Bon Appetit
is covered by the deal.
a luxury lifestyle magazine distributed aboard private jets
across the world, is taking a test run as one of the first
magazines available on Apple's iPhone. Viewers can see the
complete magazine on the electronic device.
next month aimed at "girls with style and substance"
mag, published quarterly by B-Books of Cincinnati, was started
by a local editor and educator, Jamie Bryant, who said she
was frustrated by overtly-sexualized clothing and media
marketed to an increasingly young audience.
publications aimed at younger teens offer up soft-sex articles
and overly-mature content that parents and readers are uncomfortable
with," Bryant said. "There simply wasn't anything
compelling being published for tween girls." Info:
12, 2007, Page 5
OF PR FIRMS
EYES BAY AREA.
and financial firm Brunswick Group said it will open a San
Francisco office at the beginning of 2008, its third in
the U.S., to better serve the West Coast.
firm, which has U.S. offices in New York and Washington,
D.C., is bringing in former Edelman EVP Amanda Duckworth
as a partner to oversee the new outpost with current New
York partner Mike Buckley, who joined in 2001.
is slated to join from her own shop, Duckworth Consulting,
in November with the new Bay Area outpost scheduled to open
on January 2, 2008. In addition to 12 years at Edelman,
she was head of marketing for Montgomery Securities and
Thomas Weisel Partners and chief marketing officer for Morrison
& Foerster for three years until 2006.
has offices in Asia, Europe, and the Middle East.
OPENS FIRM IN KANSAS CITY.
Coleman, who was with G+A Communications in New York from
1983-1999 and later with Bratskier & Co., which purchased
G+A, is partners in The Coleman Group, Kansas City, with
Christine van Moorsel.
B2B firm specializes in clients related to aviation. Current
clients include Dulles Jet Center, Monaco Air Duluth and
Navigance Technologies Group.
was a pilot with the U.S. Navy from 1965-71, rising to lieutenant.
He was manager of PR for the PR Society in 1971-72 before
joining G+A. Coleman moved to Kansas City in 1999 to work
with longtime G+A client Phillips Petroleum.
Moorsel has been associated with Coleman for 20+ years.
Staffers include designer Jim Davies; Clifton Stroud of
Washington, D.C., and aviation consultant Mark Wagner. They
specialize in PR but also handle ads, direct mail programs,
brochures, trade shows, trade show exhibits and other projects.
Info: 3907 N.E. Sequoia, Lee Summit, MO 64064. 816/350-8547.
WORKS FOR PDL OUSTER.
Abernathy MacGregor Group is helping hedge fund Third Point
in its effort to oust the chairman of struggling pharmaceutical
company PDL BioPharma and push the company to sell itself.
is PDL's largest shareholder.
company announced plans last week to sell four commercial
assets and refocus on cancer and immunological disease treatments.
Point sent a letter to the board on Aug. 29 that said PDL
chairman Patrick Gage sent a "confusing and unwelcome
message" about the company's strategy in an Aug. 28
conference call. TP says the Fremont, Calif.-based company
should be sold in its entirety or in pieces and the proceeds
returned to shareholders. The scathing letter hit Gage's
"destructive, 'go-it-alone' research and development
combined with his history as chief apologies
for [the CEO's] failed strategies..." CEO Mark McDade
resigned in August after months of pressure from TP, which
has offered its own slate of board members for the company.
PR, New York/Philippe
Restaurant, Manhattan eatery, for lifestyle PR.
New York/illy café North America, coffee company,
as AOR, including the launch of an "espressamente"
Italian coffee bar in Las Vegas.
New York/Art21 Inc., for publicity for fourth premiere of
bi-annual PBS series; Abbott Point of Care, for corporate
comms. and media outreach for its i-STAT medical diagnostic
system; Discover Magazine, for media relationas and
PR; HDNet, for PR for Dan Rather Reports; McCormick
Distilling Co., for its eco-friendly spirit, 360 Vodka;
Research Corp., for comms. and media outreach, and Taggies,
for its baby products line.
Francisco/StubHub, ticket marketplace, as AOR for PR. RF/Los
Angeles will assist. Waggener Edstrom had the account.
Lancaster, Pa./Boyd Senior Planning, for marketing research
and branding; Community First Fund; Concept Connections,
for an e-marketing campaign, and Pennsylvania State Nurses
Assn., for branding, PR and print collateral.
Overstreet & Parrish,
Atlanta/Waters Edge Resort (S.C.), for marketing collateral
and special events; New South Partners, for PR for a Jekyll
Island hotel development; Ben Carter Properties, for national
PR for hotel/retail development; The Rock Ranch, for PR
for the property, owned by Chick-fil-A founder Truett Cathy
and used by schools, church groups and others for education
Tenn./Invisible Fence Brand, as national AOR for public
and media relations for the electronic pet fence maker.
& Associates PR,
Van Alstyne, Tex./Wescorp Energy, oil and gas operations,
for brand strategy, PR and IR.
San Francisco/CPP, personality assessment tools, as AOR
Cindy Pawlcyn, chef, for PR and marketing in the U.S. Pawlcyn
owns three Napa Valley eateries.
Los Angeles/Phat Phish, India-based entertainment (music
and movies) company. JS2s New York office will split
duties with L.A.
San Jose, Calif./Toshiba America Electronic Components,
for PR for its Imaging and Communications, ASSP and Custom
SoC and Foundry units, and Silicon Storage Technology, a
flash memory company, for PR.
San Diego/Cali Bamboo, fencing and lumber, to craft a PR
and marketing plan.
French/West/Vaughns work for WaterPartners International
is not on a pro bono basis as reported in the Aug. 29 NL.
FWV works for the Global Water Foundation pro bono.
Edition, September 12, 2007, Page 6
HOST: ANRs NOT GOOD RADIO.
need to loosen up in pitching radio guests and avoid commercial-sounding
audio news releases, according to Bob Marrone, news director
and morning talk show host for WVOX-AM in Westchester and
Long Island, N.Y.
realize the publicist has a role and is trying to get their
client out there, but the minute I see [an ANR], they not
only want me to get their client on the air, they want to
give me the questions and the answers," he told broadcast
PR pro Maury Tobin in a recent podcast. "That's just
not good radio."
couldn't recall using an ANR on his popular morning show.
While I understand the quid pro quo of the business
- that I need to let someone plug what they're doing so
that we get a good story and good radio - most of the [ANRs]
tend to be commercials masked as news," he said.
runs Tobin Communications in Maryland and is critical of
ANRs as offering little value for PR. He told O'Dwyer's
that he conducted the interview with Marrone to reiterate
that feeling because he doesn't think broadcast PR vendors
are forthcoming about how infrequently packaged PR audio
is used by radio stations.
avoided much of the scrutiny video news releases were hit
with in recent years, but work essentially the same way.
Broadcast PR companies point out ANRs' value as a news tool
for breaking or developing news, or in politics, when key
players often aren't immediately available for live interviews.
did have some kind words for PR pros and said he values
a good pitch and noted: "I need the publicist as much
as the publicist needs me."
to give some tips on pitching a guest for radio, Marrone
said too many pitches aren't clear about who the guest would
be. "Make it easy for me to see it because I have a
thousands emails to read. I've given up on interviews because
I couldn't find the talent in the release."He also
said publicists often send too many follow-up emails after
an interview is agreed on. "Make the commitment, do
a confirmation and stop with the emails," he said.
also said another mistake PR pros often make is to ask for
a copy of a show after it airs. That request needs to be
made well beforehand, he said.
has given its Chapter Champion Award to Rosalind Barnes
Fowler, public awareness director of the Board of Regents
of the Univ. System of Georgia. The award goes to a member
who contributes to the chapters success and will be
given monthly or when appropriate. ...The
Black PR Society/N.Y.
will host a career strategies and transitions panel on Sept.
18 at Burson-Marstellers New York offices. Panelists
include Mireille Grangenois, managing dir., multicultural,
B-M; Matthew Scott, staff writer, FinancialWeek; Tamica
Fairley, talent development, Fleishman-Hillard; Deby Levy,
human resources, Manning Selvage & Lee; Ricky Clemons,
VP of communications, National Urban League, and Marsha
Haygood, career/life coach, StepWise Assocs; 212/614-4599.
Aalders, former senior VP at Weber Shandwicks
broadcast PR unit, to Ogilvy PR Worldwide, New York as a
senior VP focused on technology. Ogilvy has also added tech
execs Nick Ludlum,
former GM of Fusion PR, as a VP in D.C., and ex-Hyperion
staffer Ian Yellin
as a VP in San Francisco.
Fisher was promoted to VP in M Booth & Associates
consumer products practice in New York. The firm has also
upped Andrea Conrad
and Katie Rogers
to senior A/Ss, and Lindsay
Burns and Andrew
Rossi to A/Ss.
Abraham, VP, healthcare, GCI Group, to Lippert/Heilshorn
& Associates, New York, as director of healthcare PR,
a new position. He was VP at Zeno Group, senior A/E at Manning,
Selvage & Lee.
Allen, manager of IR for Great Plains Energy, to
Foundation Coal Holdings, Linthicum Heights, Md., as VP
of investor and media relations.
Lewellen, who previously headed corporate comms.
for Black Entertainment Television, to VP of PR for Universal
Orlando Resort, starting Sept. 17. He succeeds Cindy
Gordon, who was named VP of new media partnerships
for Universal. Earlier, Lewellen was at Fox Sports Network,
Turner Sports and Nike.
Greer, senior director of corporate comms. and IR,
Dendreon, and Nicole
Foderaro, dir. of corporate comms. and IR, Nuvelo,
to WeissComm Partners, New York, as senior associates. The
firm has also added eight associates: Danielle
Bertrand, ex-A/E, Fleishman-Hillard; Erin
Bittner, ex-senior A/M, The Reynolds Group; Julio
Cantre, ex-VP, Ketchum Healthcare; Jessica
Carlson, ex-senior A/E, F-H; Julie
Normart, ex-A/S, Dorland Global PR; Brooke
Shenkin, ex-AA/E, Euro RSCG Life PR, and Adrienne
Turner, ex-A/M, Visual Resource.
Russell, executive director of development for The
Salvation Army, to Goodwill Industries, Detroit, as VP of
development/marketing and PR.
Solmonson, director of communications at Carlson
Marketing Worldwide, to Carmichael Lynch Spong, Minneapolis,
as senior counselor for clients Trane and June. He is a
former Air Force public affairs officer handling events
like the Space Shuttle Challenger disaster, the movie Air
Force One, and coordinating media for a Defense Dept.
officials visit to Saudi Arabia.
Finn, co-founder of Ruder Finn, will be given the
Elizabeth Silverstein Legacy Award by Counterpart
Intl at its 2007 World Leadership Awards in New York
on Sept. 19 for his 59 years of contributions to global
peace initiatives. Finn has worked with WWII vets, Eleanor
Roosevelt, the Martin Luther King Foundation, and efforts
to curb nuclear weapons. CI president LeLei LeLaulu called
Finn a true peace pioneer and one of the very few
corporate leaders with almost 60 years to lend their considerable
prestige and expertise to global peace initiatives.
Edition, September 12, 2007, Page 7
HIT NET DEBT
from pg. 1)
means that it is not covered under the "Generally Accepted
Accounting Principles" that are supposed to apply to
adds: "We believe this presentation is meaningful for
understanding our net debt position and it reflects one
of the key metrics used by us to assess our cash management."
guideline of the National Investor Relations Institute is
that if non-GAAP numbers are reported the company must also
report the GAAP number.
recommends that the "real" quarterly income figures
be reported before any "pro-forma" calculations.
stock is currently around $50, which is below its high of
$53.50 reached on Dec. 17, 1999. More than 40 million of
the 372 million shares outstanding have recently been purchased
by the company.
interest payments rose 60% ($46.9M) in 2006 from $78M to
Only Reports 'Net Debt'
Group, unlike OMC, only reports net debt and "average
net debt." Analysts say it's hard to figure out the
exact real debt of WPP, although Bloomberg said it was $4.8B
at the end of 2006 (on revenues of about $12B).
whose primary listing is on the London Stock Exchange, put
its "net debt" at about $2.4B at the end of 2006.
report also showed WPP to have "net tangible assets
of -$5.2B (because it is carrying $11.6B in good will).
Its payables of $12.1B exceeded receivables of $8.8B.
say that AT&T's "net debt" figure is 38% smaller
than its real debt of $17.5B. AT&T does this by counting
cash on hand and excluding $1B in debt that is related to
changes in foreign-exchange rates.
reported "net debt" of $49.9B for the first quarter
without mentioning its total long-term and short-term debt
reported second-quarter "net debt" of $2B counted
$546M the company had in cash. Also counted was $841M in
debt in its Dana Credit Corp. unit and $86M in cash in the
abuse, say analysts, is claiming "non-recurring"
costs when such costs occur on a regular basis.
DELEGATES-ONLY E-MAIL GROUP
The PR Society, whose
Assembly meets Oct. 20 in Philadelphia, has created a first-ever
e-mail group for the 300 delegates that will be accessible
only to the delegates.
They are able to communicate
with the entire list via a single e-mail.
While delegates were elected
under the bylaws by last Dec. 1, and many have had their
names displayed on chapter websites, the delegates are not
"official" until PRS staff has determined that
they have served in no more than two previous Assemblies.
The official delegates'
list has yet to be posted on the PRS website.
Brad Rye of Eric Mower
Assocs. and Dave Rickey of Alfa Corp., co-chairs of the
Assembly task force, have sent a poll to delegates asking
what they expect to accomplish in the Assembly, and whether
they are expected to follow instructions of the chapter
board, members, or their "own conscience" in voting.
They are also asked for
their age bracket (i.e., 31-40), who is paying their expenses,
how they were picked and whether they will be attending
Delegates pay the full
price of $1,075 ($1,275 after Sept. 7) . The 17 members
of the board go free and the more than 20 living ex-presidents
of PRS have free PRS membership and free admittance to the
conference for life.
COFFEE SPOKESPERSON JOINS
Joseph DeRupo, director
of communications and PR for the National Coffee Assn.,
has joined the PR Society as associate director of PR reporting
to Janet Troy, VP-PR.
Also joining is Diane
Gomez as manager of PR. Neither is currently listed as a
member of PRS.
Cedric Bess, manager of
PR of PRS since 2002, left the Society in March to join
Wolters Kluwer Corporate Legal Services, New York, as internal
DeRupo is a graduate of
Columbia University and Columbia Law School and previously
was press secretary for New York City Councilman Alan Gerson
and with IBM as program manager.
The Coffee Assn. is located
at 15 Maiden lane, a short distance from PRS h.q. which
are at 33 Maiden lane.
Troy, before joining PRS
in 2004, had worked at the Coffee, Sugar and Cocoa Exchange
and the New York Board of Trade.
She was not a member of
PRS when she joined. She told the Bergen Record July
27, 2004 that, "I was flabbergasted that this organization
[PRS] existed and I was clueless to it." She said that
"Obviously, they need more visibility and I'm here
to help fix that."
Brews over Coffee
There is controversy over
the health side effects of coffee consumption.
DeRupo has been saying
that "The scientific evidence coming out of labs around
the world [about coffee] is almost entirely positive. It's
absolutely clear that coffee has a protective effect against
type 2 diabetes
[and] protects against colon and rectal
cancers." He has also said that "One particular
antioxidant that's unique to coffee may protect against
gallstones, Alzheimer's and Parkinson's."
Health effects of coffee
were discussed in the March 26, 2006 Today's Officer
under the title: "Coffee: How Healthful Is it?"
An article by fitness
specialist Nadia Lemmon on health-dir.com
says that being a "caffeine-a-holic" is No. 1
among "Ten Totally Unhealthy Eating Behaviors to Avoid."
Caffeine consumed in large amounts on a regular basis
is one of the most unhealthy and harmful things that you
can do to yourself," writes Lemmon.
Limit caffeinated coffee
to four times a week and "never before noon or after
8 p.m.," she advises. Even decaffeinated coffee contains
small amounts of caffeine, according to Lemmon (U.S. regulations
allow decaffeinated coffee to have 3% caffeine).
Edition, September 12, 2007,
(page one) have rightly condemned the use of "net debt"
that use it including WPP Group, Omnicom, AT&T, Verizon,
and Dana Corp.
debt is not allowed by either GAAP (generally accepted accounting
principles) nor the Securities & Exchange Commission.
The National Investor Relations Institute says if non-GAAP
figures are to be used, GAAP figures also have to be used
and must come first.
use of "net debt" to beautify the books of WPP
and Omnicom is only the tip of the iceberg of financial
reporting practices that block understanding of both.
after-tax "net" is the figure U.S. companies report,
WPP reports (in this order) "Headline EBITDA"
(profit before finance/income costs, taxation, investment
gains and write-downs, goodwill impairment, and other items);
"Headline Operating Profit" (before investment
gains and write-downs, goodwill impairment and other items);
Reported Operating Profit; Headline PBIT (profit before
finance income/costs, taxation, investment gains and write-downs,
and other items); Headline PBIT; Headline PBIT Margin, and
"reported Profit Before Taxes."
"Financial Summary" on Page 15 of the WPP annual
report does not report the actual profit after taxes. That's
on page 149. We're not saying that WPP is not doing well
financially, only that it could be clearer in its reporting.
Merrill Lynch, Lehman Brothers and Deutsche all chide WPP
for handing out too many shares to insiders, causing "a
slightly greater share dilution than expected" (as
phrased by Lehman).
OMC had better financial reporting, both to Wall Street
and the press, its stock might not be below where it was
in 1999. WPP, OMC, Interpublic, Public and Havas for five
years have blocked thousands of owned ad agencies and PR
firms from reporting revenue or staff totals. Account lists
are often no longer published. Publicis (Manning, Selvage
& Lee, Publicis Consultants) has opted out of the strict
U.S. financial reporting rules (page one). French companies
report finances once a year.
"No. 1 question" PRS receives each month,
a promotion recently said, is "Where can I find a PR
firm or consultant?" The promotion (for the 411 members
of the Counselors Academy) said "Hundreds of potential
clients are looking for you, but will they find you?"
Our question is what has PRS been doing with these new business
leads? They're never put on the PRS website for all to see.
PRS veterans say these leads are given out to various favorites
and are but one of the many things PRS h.q. and leaders
do for those who are loyal to leadership. Other rewards
are approvals of travel/meal/hotel budgets, appointments
to national committees (good for resumes, new business pitches),
job leads, help with chapter programs, and the $500 stipend
for the June "Leadership Rally" for presidents-elect.
strings like these on chapter leaders, who instruct
their Assembly delegates, it's no wonder that not one chapter
supported the Central Michigan proposal last year that would
have made the Assembly the "supreme policy-making body"
of PRS (like it is for the AMA and ABA). Delegates (nearly
half of the 109 chapters only have one delegate) do the
bidding of their boards on any issue that challenges national
Assembly, therefore, is thoroughly politicized and
does not represent the interests of the rank-and-file members.
It is compromised by having 46 of its votes controlled by
national leadership-17 board members, 19 district chairs
and ten section chairs. They have no business even speaking
to the Assembly.
proof of the weakness of the Assembly is that the delegates
have meekly accepted their morphing into a classic "Star
Chamber," whose deliberations are in secret (page 7).
The actual Star Chamber, created under King Henry VII in
the 16th century, became synonymous with "arbitrary,
secretive proceedings in opposition to personal rights and
liberties" (from Britain Express website). It could
inflict ruinous fines, whippings, branding and the cutting
off of ears (but not the death penalty).
Assembly started to go to pot in the 1990s when h.q. staff
began strict enforcement of the three-year rule for service.
This eliminated senior chapter members who had experience
in the Assembly, knew Roberts Rules and were wise to the
power-grabbing ways of leadership.
the Assembly actually represented the membership,
it would do the following:
Bar any voting this year by the 46 leaders.
Vote to remain in continuous session electronically and
otherwise until the next Assembly.
Abolish the three-year rule and urge chapters to send experienced,
independent members with no strings attached (not interested
in new biz leads, titles, etc.).
Eliminate any APR requirement throughout the bylaws (as
urged by the 1999 Strategic Planning Comm.)
Eliminate the rule that board members have to have headed
chapters, districts or national committees or have voted
in the Assembly (stifles supply of leaders).
Pass bylaw banning directors from returning to the board
as officers or in any role whatever.
Demand PRS leaders admit the staff costs on the annual conference
are close to $2M and the reported staff costs of $100K-$189K
have been mis-stated.
Demand PRS leaders show what the balance sheet looks like
with $2M in dues deferred. There's no law against showing
financials several ways.
Demand that senior members join h.q. when openings occur.
The appointment of non-member Joseph DeRupo to a PR post
at h.q. (P. 7) is an insult to the membership.
Demand that all leader speeches and a complete financial
report be given to the delegates three weeks before the
Assembly. Ban Assembly leader speeches.
Demand that the printed members' directory again be published
(PRS had $4.3M in cash as of June 30 and could well afford
to do this).