The eight page weekly is the only PR newsletter on LEXIS/NEXIS.
Edition, April 30, 2008, Page 1
Lake City ad/PR firm Richter7 beat five competitors to steer
a healthy marriage public information campaign
for the Beehive State.
issued an RFP in December to award a five-year contract
worth $335K/year to bolster marriages as its divorce rate
has hovered above the national average.
Consulting Group, Penna Powers Brian Haynes, Zara Media
Design, W Communications, and Vanguard Group, all of which
have Salt Lake City operations, pitched. Richter7 will handle
marketing, press outreach, advertising, events and focus
groups with a particular focus on young adults and low-income
couples. The firm has handled PR work for Southwest Airlines
and the Utah Transit Agency.
OGILVY GETS HEININGER
Jim Heininger, a veteran
Chicago consumer PR pro, has joined Ogilvy PR Worldwide
as executive VP.
For more than 25 years,
Heininger has handled consumer blue-chips such as Procter
& Gamble, Miller Brewing, General Mills, Anheuser-Busch
He also has done work
for professional services firms (Hewitt Assocs. and A.T.
Kearney), electronics/telecom companies (Motorola and Nextel)
and healthcare institutions (St. Jude Children's Research
Most recently, Heininger
was a consultant at McDonalds on nutrition-related
He was president at Kemper
Lesnick, general manager of Porter Novelli/Chicago and senior
VP at Ketchum.
At Ogilvy, Heininger is
to counsel clients across all practice groups and head business
development activities. WPP owns Ogilvy.
COHEN TAKES B-MS HEALTH
Gail Cohen moves to Burson-Marsteller
May 5 as global chair of the WPP Groups unit healthcare
She assumes the slot held
by Ame Wadler, who joined Interpublics MWW Group in
November as executive VP, chief management officer and global
Cohen is leaving healthcare
specialist Chandler Chicco Agency, where she sat on that
firms leadership council. She was in charge of new
business, affiliate relationships and helped build branding
platforms such as Buzz Matrix and Viractive. CCA is part
of InVentive Health.
Cohen reports to Mark
Penn, B-Ms CEO, who praised her outstanding
leadership skills and tremendous spirit.
OMCS 1Q NET JUMPS 14%
Omnicom Group reported
that first quarter net income rose 14 percent to $208.7M
on a 12.5 percent jump in revenues to $3.2B.
Porter Novelli, Brodeur and Ketchum-led PR group showed
a 7.1 percent increase in revenues to $315M. That hike paled
in comparison to the 14.8 percent jump in CRM group revenues
to $1.2B and the 13.5 percent growth rate of advertising
CEO John Wren spent $83M
for acquisitions so far this year. Earn-outs account for
$27M of that outlay.
OMC first quarter pick-ups
include A Vista Events (special events), The Kern Organization
(direct marketing), Brazils Lew Lara (ad shop)
and New Zealands Shift (web-based communications).
WS REPS MERRILLS SINGAPORE
Weber Shandwick has a
$15K per-month contract to provide PR duties for Singapores
Temasek Holdings investment company.
Temasek has invested $5B
in Merrill Lynch, a major casualty in the subprime contract.
The Financial Times
reported that Temasek has a $540M paper loss
since it launched the bail-out of Merrill late last year.
Weber Shandwick is to
facilitate a dialog between Temasek and U.S. companies,
think tanks and influencers. The PR firm may approach federal
officials regarding any legislative action that may impact
its client. Laura Kline, senior VP, handles the Temasek
account. Temasek has more than $100B in its investment portfolio,
and a staff of 300-plus.
contract runs for 13 months.
MDS MERGES INTO LOG-ON MAIL
Services, for many years a major press release distributor
and PR printer in New York, has combined with Log-On, a
90-person printing and mailing house. Facilities total 80,000
which at 520 Eighth ave. is about a block from MDS at 307
W. 36th st., are 20 MDS employees. The MDS name will not
MDS included the
former PR Aids, founded in 1957 and a pioneer in building
a multi-category editorial database. MDS acquired PRA in
Hy Wagner, the first
salesperson at PR Aids, and Dan Cantelmo Sr., production
head, broke away in 1964 to start their own business and
were sued by PR Aids.
The legal battle
went on for seven years until a judge ruled that MDS had
the right to pitch clients of PR Aids.
(Continued on page 7)
Edition, April 30, 2008, Page 2
DIVES INTO LEBANONS POLITICAL MESS
& Harroff is planning a May tour for members of the
Lebanese Gathering Option, which describes itself as a Shiite-dominated
moderate political voice for freedom and democracy in that
group wants to demolish the notion that pro-Syria Hezbollah
speaks for all members of the Shia community.
seeks to rid Lebanon of religious rivalries and feudal allegiances
that have prevented the development of a modern state. (Lebanons
parliament on April 22 failed for the 18th consecutive time
to elect a president. The country has been without a president
since Nov. 24.)
is organizing LGO stops in New York, Washington, Houston,
Detroit and Los Angeles.
media include Wall Street Journal, Washington
Post, Associated Press and McClatchy papers. The firm
is getting paid $25K for work in April and May.
Two of the program runs from June through February. S&H
hopes to develop ongoing relationships with reporters, providing
them with newsworthy information while tackling misinformation.
S&H plans aggressive Internet outreach.
retainer for Phase Two has not yet been determined.
CAPLAN HANDLES FH BLOCKBUSTER
is promoting the May 5 National Press Club press conference/panel
event that will discuss a much-anticipated report from Freedom
House, the non-profit D.C. entity that annually measures
the state of freedom throughout the world.
For the first time in
its 67-year history, FH will measure the condition of freedom
here in the aftermath of the 9/11 attacks and the ensuing
White House war on global terror.
FHs report, Todays
American: How Free? is expected to generate much press
as it examines whether this country is sacrificing
its essential values in the anti-terrorism campaign.
Speakers at the CC-handled
event include Stu Eizenstat, FH vice chairman and former
Deputy Secretary of the Treasury in the Clinton White House;
Helen Thomas, the queen of the D.C. press corps, and Bob
Edwards, who hosted National Public Radios Morning
Edition for almost a quarter of a century and now
has his own show on XM Public Radio.
Aric Caplans firm
is based in Rockville, Md.
SITRICK REPS STRUGGLING HOMEBUILDER
Sitrick and Company is
handling communications for Kimball Hill, a top homebuilder
struggling amid the housing slump and credit crisis.
The company and certain
business units filed for Chapter 11 bankruptcy protection
on April 23. KH recently decided to exit the Florida market
by the end of the year and will withdraw from four other
The 39-year-old company
has set up a toll-free information line and a reorganization
section on its website.
Anita-Marie Laurie, who
heads Sitricks West Coast restructuring unit,
heads the work.
5W REPS CONTROVERSIAL PASTOR
5W Public Relations represents
controversial San Antonio evangelical Pastor John Hagee,
who has caused John McCain heartache over his remarks about
the Catholic Church.
CEO Ronn Torossian told
ODwyers that his New York shop is agency of
record for Hagee.
ABC News George
Stephanopoulos asked McCain on April 20 whether he condemned
Hagee, who reportedly referred to the Catholic Church as
the great whore and a false cult system.
5W released a statement
from Hagee in which he denies the great whore
In my writings,
I have never stated that the great whore is the Catholic
Church. Quite to the contrary, the Book of Revelation teaches
clearly that the great whore will be an apostate church
made up of all Christians from all denominations that stray
from the path of God and embrace a godless lifestyle including
the sin of anti-Semitism.
McCain told Stephanopoulos
he has already condemned Hagees anti-Catholic remarks,
but it was probably a mistake to solicit and accept
However, the Republican
is keeping Hagees endorsement because he respects
his leadership of his church and his strong support of Israel.
JACKSON TAKES VP/COMMS. ROLE
Eric Jackson, former VP
of global communications for FedEx, has moved on to Western
Union in a senior post.
Jackson, 41, oversees
corporate-wide employee, executive and web comms., media
relations, and issues/crisis management as senior VP, global
corporate comms. for the Englewood, Colo.-based company.
Prior to his five years
at FedEx, he was managing director of corporate comms. for
Siemens, chief marketing officer at Corporategear.com and
director of global media strategy at Accenture, when it
was Andersen Consulting.
Earlier, he directed public
affairs and comms. at Novartis and was a campaign manager,
advisor and field director in the political arena.
Jackson served in the
first Bush White House and was special assistant at the
U.S. Environmental Protection Agency from 1990-92.
M BOOTH BACKS BACKLESS BRA
M Booth & Associates
is working with client Maidenform on the consumer launch
of the backless bra, according to Norah Alberto, director
of publicity for the N.J.-based company.
The brassiere, which was
invented by a Tennessee single mother who won second place
in the TV competition American Inventor, was
licensed by Maidenform as the Breakthrough Backless
bra and has been an initial media hit as it launched this
month in the consumer market.
The bra has been featured
in USA Today, Fashion Wire Daily and Marie Claire
U.K., which lauded it as a miracle.
Maidenform launched a
national ad push with The Via Group for the bra earlier
Edition, April 30, 2008, Page 3
BACKS UNIV. COPYRIGHT SUIT
Communications is working with the Association of American
Publishers as the group backs a copyright infringement lawsuit
by three publishers against Georgia State University.
University Press, Cambridge Univ. Press and Sage Publications
have charged that GSU officials have engaged in pervasive,
flagrant, and ongoing violation of copyright laws
by enabling professors to disseminate digital copies of
course readings without publishers authorization.
GSU spokeswoman said last week that the university had not
yet been served with the lawsuit and couldnt comment.
the national trade group for book publishers, said the suit
seeks an injunction and not monetary damages. The group
says that while other institutions work with publishers
to adhere to copyright laws, GSU has flatly rebuffed
efforts to reach similar agreements.
Phelps, a senior associate at Qorvis, is working on the
ABC DETAILS LATEST PAPER DECLINES
Total paid daily circulation
fell at nearly all of the top 25 U.S. newspapers in the
six month period ended March 31, according to the Audit
Bureau of Circulations.
USA Today and the
Wall Street Journal, the top two papers by weekly
circulation with about 2.3M and 2M daily subscribers, respectively,
posted modest gains of .27% and .35%.
Rounding out the top five,
the New York Times fell 3.85% to 1.12M, the Los
Angeles Times slipped more than 5% to 816K, and the
N.Y. Daily News was down just over 2% to 718K.
The Dallas Morning
News (down 10.6% to 412K), Atlanta Journal-Constitution
(-8.5% to 357K) and Boston Globe (-8.3% to 383K)
were among the largest weekday circulation drops.
Sunday papers fared worse
as 24 of the top 25 posted losses which averaged 4.6%. The
N.Y. Times and N.Y. Daily News fell more than 9%, while
the Newark Star-Ledger lost more than 12%, slipping
to just over 500K. The St. Petersburg Times was the
lone gainer at .44%, for Sunday circulation of 433K.
BRAUCHLI TO EXIT WSJ
Marcus Brauchli has resigned
as managing editor of the Wall Street Journal after
an 11-month stint, according to his joint statement with
Dow Jones CEO Les Hinton.
He is to serve as a consultant
to the paper and explore expansion of STAR-TV in Asia.
DJ has launched a search
for Brauchlis successor.
Publisher Robert Thomson,
the Australia native who was installed in that slot after
Rupert Murdochs News Corp. bought the WSJ, is expected
to assume ME duties on an interim basis. Thomson has been
heavily involved in editorial matters at WSJ, Barrons
and WSJ newswires.
Brauchli, 46, took over
the WSJs top editorial position from Paul Steiger.
He had been deputy managing editor and global news editor
based in New York. The 24-year veteran of DJ also reported
from Europe and Asia. News Corp., in its agreement to acquire
DJ, agreed to the creation of a special committee to oversee
editorial independence of the DJ publications. Members of
the special committee met on Brauchlis exit. They
must approve his replacement.
Brauchli said the change
in DJ ownership made it the right time to consider new career
opportunities. He reveres the WSJ and will greatly
miss working with his former colleagues on a daily
basis. The statement includes a quote from Murdoch, calling
Brauchli a terrific leader throughout the transition
Murdoch has great
respect for Brauchli and is pleased that
he has agreed to take another position within News Corp.
GLASSER OUT AT WASHPO
Susan Glasser has been
demoted at the Washington Post from her position
as assistant managing editor for national news. Her hard-charging
style reportedly irked some staffers. Glasser, 39, will
now work directly with Washington Post Co. chairman Donald
She joined the Post in
`98 as deputy editor for investigations after editing Roll
Call, the paper of Capitol Hill.
Glasser also was co-bureau
chief in Moscow with her husband, Peter Baker. She headed
the Outlook section before being upped to her national news
BLOOMBERG NIXES TIMES BUY
New York Mayor Michael
Bloomberg has shot down reports that he could be the savior
of the troubled New York Times Co.
that News Corp CEO Rupert Murdoch, owner of the New York
Post, Wall Street Journal and front-runner in
the auction of Long Islands Newsday, considers
Bloomberg a formidable competitor.
The billionaire politico,
however, said he has no plans to go into the newspaper
NYTC chairman Arthur Pinch
Sulzberger told shareholders at its April 23 annual meeting
that the company is not up for sale. He dismissed the number
of recent newspaper and magazine articles that have suggested
otherwise as ill-informed
The controlling Ochs/Sulzberger
family is firmly committed to retaining the editorial independence
and integrity of the company, said Sulzberger.
NBC NEWS TAPS ENGEL
Richard Engel has been
named chief foreign correspondent at NBC News. He will report
for NBC Nightly News, Today, MSNBC
Engel is one of a handful
of western journalists to cover the entire war in Iraq.
He has served as NBCs senior Middle East correspondent
and Beirut Bureau chief since May 2006. He covered the initial
U.S. invasion as a freelancer for ABC before shifting to
NBC in May 2003.
Engel served as Middle
East correspondent for The World, a joint production
of BBC World Services, Public Radio International and WGBH-Boston
before joining ABC.
news continued on next page)
Edition, April 30, 2008, Page 4
TAKES OVER PRIMEDIA
has named Charles Stubbs, 35, president & CEO, replacing
Bob Metz. Stubbs joins Primedia from Yellowpages.com, where
he served almost four years as CEO.
Nelson, chairman of Primedia, called Stubbs the right
person to lead the company forward.
said Primedias growth is tied largely to digital
media and that Nelson has the skill set and
operational experience to execute on these initiatives.
publishes and distributes more than 38M guides and magazines
to 60K locations each year. Elliot Sloane, of Sloane &
Co., does its PR.
MH TO USE LIVE
July/August summer issue will use so-called live
advertising, which lets readers snap a photo of a print
ad with a cellphone and send it to web marketing company
SnapTell, which then messages the reader with promotional
information about the ad.
Jack Essig, VP/publisher
of the Rodale magazine, said the technology benefits both
consumers and marketers as a chance for advertisers to have
a direct connection with readers.
the technology for the summer issue, which hits newsstands
on June 24, include Westin, PowerAde and Samsung.
MEREDITH REVENUES DOWN SLIGHTLY
Consumer publishing and
broadcasting company Meredith Corp. posted quarterly revenues
of $401M for the first three months of the year, a slight
(.2 percent) decline from the same quarter of 07.
Advertising revenue fell
3.5 percent to $230M, while circulation dropped 4.7 percent
to just over 87M. Meredith said circulation revenues dropped
primarily because of an ongoing transition of titles like
Parents, Family Circle and Fitness
to a direct-to-publisher model.
Publishing revenue and
operating profit were flat at $323M and $65M, respectively,
while broadcasting revenue was down 1.2 percent to $77.5M,
compared with 07. The company said weakness in home,
pharmaceuticals and direct response advertising was partially
offset by strong growth in its largest ad category, food.
Looking at the balance
of fiscal 2008, Meredith is facing a weaker economy and
related advertising demand, the company said in a
WEB OFFERS FACELIFT FOR PSAs
Marketing pros met on
April 9 to discuss how the web can maximize presence for
public service announcements at a WestGlen Communications
event in New Yorks Midtown Executive Club. The event
featured speakers from Prime Visibility, an Internet marketing
services firm that specializes in search engine and website
Broadcasting a non-profits
message carries a different know-how than, say, a traditional
advertisement or press release. TV usually offers higher
audience and media values, but a TV campaign can take between
three and four months to build steam. Radio, while more
affordable and more immediate, is typically limited to niche
Like everything else,
PSAs are moving into cyberspace. Non-profits are targeting
online outreach to bring in traffic, adopting tactics through
social media like video and blogs. Understanding these tactics
is vital for improving online engagement. The event gave
tips on how non-profits can get web traffic and influence
visitors to make donations once theyre there.
According to Annette Minkalis,
senior VP of PSA Services for WestGlen, the more a non-profit
positions itself as a leader, the more dollars it will bring
in. Being a leader means maintaining relevance the
power of a message is more important than having a celebrity
Transparency is key: letting
consumers know how much non-profits pay on overhead, and
disclosing corporate grant partnerships is vital for steering
clear of skepticism.
Lee Goldberg, a pay-for-play
specialist at Prime Visibility, reminded the audience of
PSAs emotive pull. People are motivated by emotions,
not fact, he said. A non-profits website should be
a call to action, creating immediacy for a donation. PSAs
should also express how good it feels to give.
David Zeiter, VP of business
development for Prime Visibility, offered a number of tips
on how simple website navigation techniques can increase
Once a target and the
appropriate message have been identified, non-profits can
begin the delicate process of creating a website that compliments
the message. Zeiter offered a few specific enhancement tips
that can influence visitors to press the donate
Online video clips
should be no longer than four minutes.
that only 25 percent of visitors look below the fold
of the screen. Put your most important information at the
middle, top and top-right portions of the page, respectively.
The fewer fields
you have, the better. Requiring donors to fill out long
forms creates impatience and last-minute dropouts.
off-site for the donation process, as it creates an anxiety
of scams. People are afraid of scams. Use I-frames instead.
homepage is typically the worst place to link to off-site,
simply because it offers no specificity. Link to video clips
or testimony pages instead.
Drop off-site web banner linkage. Many ignore web
banners entirely and find them intrusive. Go for text-links
that offer real stories instead.
sections. These areas are text-heavy and induce unwanted
scrolling through mostly impertinent information. Instead,
make the site more specific by answering questions in their
respective areas on the site.
Remove words like
buy or purchase. People who donate
want to feel like theyve given; they dont want
to be treated like consumers.
Disclose any affiliation
Edition, April 30,
2008, Page 5
OF PR FIRMS
COACHES UNFL ON PR
Communications is guiding PR for the United National Football
League, the latest in a line of professional football league
start-ups which plans to play its first game in January
short-lived predecessors like the bombastic XFL and 80s-era
United States Football League which looked to compete with
the entrenched National Football League, the upstart UNFL
is in development to serve a complimentary role to the NFL
by featuring undiscovered or under evaluated talent.
Smith, account manager at Steinreich who oversees the account,
said the firm started working on media relations and communications
for the UNFL in early February, just before the Super Bowl.
leagues season stretches from January through April,
the relatively quiet season for the NFL between the media-frenzied
Super Bowl and college draft.
said New Jersey-based Steinreichs work with the UNFL
is the basis for a new sports and entertainment practice
at the firm.
MIDWIFE TRADE GROUP BOLSTERS
The American College of
Nurse-Midwives, a D.C. trade group for thousands of certified
midwives in the U.S., has tapped Jones Public Affairs as
Rebecca Jacob said the ACNM was looking for a small to mid-sized
firm with a D.C.-area presence and sent out a criteria list
to about 10 firms. ACNM did not previously have an agency.
The not-for-profit professional
association represents thousands of certified midwives and
nurse-midwives in the U.S., who are employed by healthcare
entities like hospitals, managed care facilities and private
practices, or work independently. Last year, the group said
it would launch a national campaign to raise the stature
and awareness of midwifery.
Jones PA is focusing on
that effort handling message development, expert positioning,
media relations, and blogger and community outreach. The
firm will be on hand at ACNMs annual meeting in Boston
At this time when
health care reform is so seriously needed, midwives must
be part of the solution and the public must know the scope
and benefits of our service, said ACNM president Carolyn
Gegor said lack
of consumer knowledge is the groups greatest
barrier to acceptance and growth.
& Eaton, Cleveland, recently provided more than
$100K in pro bono PR services to the Cleveland Metropolitan
School District. Scott Chaiken, CEO of the firm, said D&E
worked to lay the groundwork for a high-performing
communications function in the district. The work
was part of D&Es Henry F. Eaton Project, a community
impact program named for the firms late co-founder.
CEO of McGrath/Power PR and Comms., San Jose, has been named
to the San Jose Convention and Visitors Bureaus board
of directors. ...Patricia
Thorp, founder/pres., Goral Gables, Fla.-based Thorp
& Company, was named Entrepreneur of the Year by the
Coral Gables Chamber of Commerce.
Group, New York/Camiant, software and technology
for telecomms. companies, and Mobilians Intl, creator
of a secure payment service that runs via mobile devices
and wireless service accounts rather than credit cards,
as AOR for PR.
Steven Style Group, New York/Hillside Candy, confections,
for marketing comms. for its GoNaturally line of organic
SMR, New York/Downtown Arts Development, non-profit
focsed on Israeli arts, on a project basis to guide PR for
the official celebration of Israels 60th anniversary
on May 7 at Radio City Music Hall.
Baerlein, Boston/EnergyConnect, for PR, branding,
and partnerships; Veolia Energy, sustainable energy development,
for strategic comms. and crisis counsel, and UPC Wind, wind
power generation and an RB PR and public affairs client
since 2007, for a renewal to handle public affairs.
Waltham, Mass./The Marino Foundation for Integrative Medicine,
for brand audit and creation of a new visual identity and
mktg. comms. materials.
Communications, Atlanta/Applied Software, Autodesk
reseller; Blancco, data erasure and end-of-life cycle
solutions; SmartTrust, mobile software; Digitus Biometrics;
InterSOC, ESM solutions; James DeLucia IV, author and IT
risk expert; Logic Trends, indentity and access management
services, and Vumii, long-range camera surveillance systems.
Communications Group, Atlanta/
FSBO.com, sale-by-owner real estate site, for consumer PR.
& Goldberg, Hollywood, Fla./Miami Childrens
Hospital Foundation, for media and community outreach; Fountainebleau
Las Vegas, for special events amid a redevelopment; MedVance
Institute, healthcare training, for comms.; PrigeN98, for
launch of its nitrogen tire inflation system, and Roderick
Place, for media/community relations and events for the
mixed-use development in Tenn.
Barshinger, Chicago/The John Buck Company, real estate,
for PR and marketing comms.
PR, Troy, Mich./NxtGen Emission Controls, as AOR
Gold & Associates, Los Angeles/Agion Technologies,
green biotech, for PR and marketing.
PR, Irvine, Calif./Capita Technologies, web-based
application development, as AOR for PR for its software,
services and security solutions in the government and advertising/marketing
San Diego/Munchkin, infant and toddler products, as AOR
for PR. The firm will launch a campaign including national
and trade media relations, product promotions, co-branding
partnerships, and social media outreach, as well as position
Munchkin executives as experts on family and parenting issues.
Edition, April 30, 2008, Page 6
BU MARKS 60TH YEAR OF PR PROGRAM
University marked its 60th year of PR education with an
April 23 event at its Charles River campus that drew nearly
200 practitioners, academics and alumni.
veterans including Burson-Marsteller founder Harold Burson
and Carol Cone, CEO of Cone Inc., were on hand to celebrate
what the school deems the oldest PR degree in the world,
its Master of Science Degree in Public Relations dating
back to the 1947-48 academic year. Burson and Cone joined
professor emeritus Otto Lerbinger, Zoloco Group president/CEO
Paul Rand and PR professor Don Wright of BU in a discussion
of where PR has been and where it is headed.
who taught PR at BU for 50 years before his recent retirement,
pointed out the increased presence of PR as a management
function. He said PR is ultimately an applied social science
with a main purpose of forging, reinforcing and changing
attitudes and behavior.
of Zoloco, part of Omnicom's Ketchum firm, said that PR
is in challenging and confusing times and noted
traditional and new media channels are becoming more fragmented,
posing challenges that are forcing the PR field to evolve
said the concept of a social contract continues
to impact PR. She said that involves a company recognizing
the need to earn its license to operate by crossing
objectives with core needs of society.
panel stressed the impact of new media and affirmed the
importance of writing skills, regardless of the media used
to disseminate messages. The changes were seeing
are not in strategic thinking, said Burson, but
in creative and innovative ways were now delivering
attendees included Bill Nielsen, former VP of public affairs
and corporate comms. at Johnson & Johnson, who represented
the Arthur W. Page Society, and Bob Grupp, president of
the International PR Assn.
has six full-time faculty members teaching PR with a seventh
expected this September. It also has the Harold Burson Endowed
Chair in PR and several ad-junct professors from the Boston
school is home to the papers of Edward Bernays and Burson
has made arrangements for the school to acquire his own
Michels, chief technology officer of Medialink Worldwide,
has been named an inaugural All-Star by Streaming
Media magazine. He is one of 25 honorees. ...Gloria
Rodriguez, founder and president of multicultural
marketing and comms. firm comunicad, has been tapped to
receive IABC/Washingtons 2008 Pinnacle Award, which
goes to an area communicator for achievement and emplifying
professional and ethical standards. Her firm has worked
with AARP, Freddie Mac and Coors . She will get the award
at a May 7 breakfast event in D.C. Info: iabcdc.org. ...ME
Productions, a Hollywood, Fla., events production
firm, recently produced the International Assn. of Airport
Duty Free Stores trade show for the 23trd consecutive year.
The Fort Lauderdale event drew more than 3,000.
Bingham, senior member of the Caunos Group, to JFK
Communications, Princeton, N.J., as VP. He oversees work
for Eisai, Aerocrine and NPS Pharmaceuticals.
Subervi, who handled sales and development in the
telecom sector, to Utopia Communications, Red Bank, N.J.,
as managing director handling business development and staff
McIver, who was COO at Interpublics MWW Group
unit, has moved to Beckerman PR for the same post at the
Bedminister, N.J.-headquartered firm. Beckerman is a professional
services PR firm that handles real estate, law firms, accounting
firms and equity funds. McIver was with ISO Inc., a Garden
State firm that provides actuarial and information services
to the insurance sector.
Fisher, partner in his own firm, BetterWorld Studios,
to Charleston|Orwig, Hartland, Wisc., as interactive director.
Gould, VP of IR, The Stanley Works, to RSC Holdings,
Scottsdale, Ariz., in that same title. Gould, 54, has worked
in IR for 15 years.
Hess, director of PR services for IR Japan, to Manning
Selvage & Lee, Tokyo, as managing director of its Tokyo
Parrish to managing director of FDs retail
and consumer practice, based in New York. Also, Kal
Goldberg to managing director, special situations
practice (M&A, litigation, Ch. 11), and Lou
Colasuonno to managing director, corporate comms.
Cacciato to VP, JB Cumberland PR, New York. She is
the 23-year-old firms first VP.
Blatman to senior VP, communications, Council for
Responsible Nutrition, Washington, D.C. She joined in 2001
from the VP-PA/comms. post at the Distilled Spirits Council
of the United States.
Wolfe to senior VP, consumer brands, GolinHarris,
Chicago. She continues to lead the Florida Dept. of Citrus
Lappen to group manager of Boston-based Schneider
Associates consumer group. She is a five-year veteran
of the firm and handles Baskin-Robbins and New England Confectionery.
Whitlow to executive VP, CRT/tanaka, Richmond. Also,
to senior A/E in Norfolk;
Kate Stern to senior A/E, and Lindsay
Grant and Catherine
Gryp to A/E, Richmond. Erin
Schaal and Kendyl
Wright were upped to A/Es in New York.
Erb to senior VP, Wheatley & Timmons, Chicago.
She led the firms media services unit.
Johnson to VP, PR director, Rhea + Kaiser Marketing
Communications, Naperville, Ill.. He joined in 2005.
Kostka to senior VP and Kelly
McGlumphy to A/S, Roop & Co., Cleveland. Kostka
is 2008 president of PR Society/Cleveland.
Cundiff to associate A/E, Preferred PR & Marketing,
Las Vegas. She joined last June.
Edition, April 30, 2008, Page 7
MERGES INTO LOG-ON
Arnowitz, president and CEO of Log-On, said that Dan Cantelmo,
Jr., head of MDS, has become executive VP of Log-On.
Dan and his team was an easy decision, said Arnowitz.
They are well known in the industry for their professionalism,
client service and focus on results. Its a perfect
said that MDS will continue to offer all of its services,
including its 200K-listing editorial database, and will
now have access to the full slate of printing and mailing
services available at Log-On.
Aids, which changed its name to PRA in 1987 in the wake
of the AIDS epidemic, was for much of the 1970s and 80s
a focal point of PR life in New York. Its large conference
room at 305 E. 45th st. was used by PR Society/New York
for monthly workshops and it also conducted its own meetings.
in the 1980s included 50 in New York, 17-18 in Brooklyn
and 12 in Washington, D.C.
Toohey Met in Air Force
owners were Lee Levitt and Richard Toohey. Both were in
PA in the Air Force.
a dispute broke out between the two that resulted in Levitt
proposing on Nov. 16, 1984 to dissolve the company and asking
Toohey to buy him out. A court in 1988 recommended that
Toohey pay Levitt $1.27 million plus $400,000 in interest
but Toohey argued that Levitts stock was worth between
$200K and $309K in 1984.
claimed there was a loss of $1.5M between July 31 and Oct.
meanwhile, in 1984 had made an offer of $3M to buy PR Aids
but Toohey argued the offer was made by the fiercest
competitor of PRA with a motive to assist Levitt
in injuring PRA, and may well have been a sham.
asked last week what caused two former friends and business
partners to become such enemies, replied that there were
differences over how to computerize the editorial categories
and how much to spend.
purchased PRS in June 1988. No price was revealed but both
Levitt and Toohey were satisfied. Levitt said his legal
fees totaled more than $150K since 1984.
Supported First PRW/U.S.
in 1988 was a major supporter of the first PR Week/U.S.,
which debuted in March that year with a projected controlled
circulation of 61,000. PRA supplied the initial mailing
lists and also gave part of its offices to PRW at 330 W.
of PRW were said to be Quotepledge of the U.K.
and Formay & Assocs. of the U.S. But the
people behind these companies were six executives of the
U.K. IR firm of Dewe Rogerson, and Frank Madden of First
Funding Realty, part of First Funding Corp., U.S. investment
banker for Shandwick.
NL obtained the corporate ownership papers through a search
of records and revealed the owners.
DR executives had founded PRW/U.K. in 1985 and sold it to
Haymarket in 1988 for a reported $3M.
published its last issue on Nov. 28, 1988. A report to potential
investors showed it had $323,954 in losses; accounts payable
of $164,283; accounts receivable of $148,574 and a loan
Geoffrey Lace said the market for recruitment and other
ads had been overestimated and he was disappointed
with the whole matter of doing business in the U.S.
REVENUES GAIN 42% TO $17.8M
which manages data on 800,000 editors and other news outlets
for clients and distributes and electronically tracks usage
of releases, reported a 42% jump in revenues to $17,867,000
for the first quarter.
loss of $403,000, or two cents per share on 17,682,504 shares
outstanding, was reported vs. break-even for the 2007 quarter.
is affected by the Vocus policy of paying commissions when
sales are made and deferring revenues over the next year.
first quarter was truly outstanding for us, one of our best
ever, as we exceeded all of our key operational and financial
metrics, said Vocus president and CEO Rick Rudman.
the revenue growth, he said, free cash flow was up 66% to
$5.12M and profits, on non-GAAP basis (meaning not according
to Generally Accepted Accounting Principles) was $2.77M
or 14 cents a share vs. $1.89M or 11 cents in the same 2007
products range from about $3,000 for its SBE (small business)
version to $5,000 and more for its Enterprise and Professional
Compile Lists from Database
compile their own editorial lists from the Vocus database
which are then updated by Vocus.
major part of the business is electronic tracking of usage
of client releases and monitoring of news of competitors
loss from operations, based on GAAP, was $297,000 for the
quarter vs. a loss of $370,000 for the same 2007 quarter.
deferred revenue as of March 31 was $35.78M vs. $26.92M
a year earlier. Cash flow from operations for the quarter
was $5.94M, a 58% increase.
record 219 net new subscribing customers was added in the
quarter vs. 105 net new customers a year earlier. Total
customers at the end of Q1 was 2,646.
Vocus report defines non-GAAP income from operations as
income from operations excluding amortization of acquired
intangible assets and stock-based compensation.
net income is defined as net income minus amortization of
acquired intangible assets and stock-based compensation.
of intangible assets recorded in connection with acquisitions
consist of non-compete agreements, trade names, purchased
technology and customer relationships that are not expected
to be replaced when fully amortized, as might a depreciable
says it compensates for the limitations in the use of non-GAAP
financial measures by also using GAAP financial measures
and by providing a detailed reconciliation between the two.
Edition, April 30, 2008,
an interesting juxtaposition of stories on page 7Media
Distribution Services, a major player in the editorial list
business in New York for many years, has merged with a large
printing and mailing house, Log-On.
has faced increasing competition over the years from many
sources including 21-year-old New York-based PIMS, which
has a 300,000-editor U.S. and international editorial database
and a full range of electronic and print distribution services.
on page 7 is the financial report of Vocus, which also is
in the editorial list business but reaches editors and other
MDS was merging, Vocus was reporting a 42% jump in revenues
to $17.8M for the first quarter and analysts predict 2008
revenues of $76M.
and its 1988 acquisition, PRA (formerly PR Aids) were primarily
in printing and mailing although MDS developed e-mail and
fax capabilities to reach its 200,000 editorial database.
is entirely electronic and has the growth characteristics
of other electronic distributors such as PR Newswire, which
had gross profits of nearly $100M in 2007, and Business
Wire, whose co-founder, Lorry Lokey, was able to give about
$435M in profits to worthy causes (4/9 NL).
has a database of 800,000 editors, analysts and other outlets.
Its PRWeb unit e-mails releases including pictures and video
at prices from $80 to $360. It has eight million websites,
blogs, etc., in its Really Simple Syndication (RSS) database.
was grossing under $5M when it was acquired by MDS which
was also probably under $5M. The big money was in electronic
to propel Vocus is a huge and costly sales force.
It had110 quota-carrying salespeople in 2007
and plans to have 120-125 by years end.
Since commissions are paid when sales are made and revenues
are deferred over the next year, Vocus had a loss of $403,000
on $17.8M in sales. Tax-deferred revenue was $35.7M as of
A good part of the business
is in surveillance. Clients want to know what their competitors
are up to and Vocus provides this electronically. Another
major player in international PR distribution and surveillance
is Cision, which has an 800,000 database and 13 companies
in this area. In a similar vein, DNA13 tracks release use
by clients and competitors and also the nature and quantity
of press calls handled by PR staff at clients, providing
an early warning of hot spots before
anything hits print or the airwaves.
PR has become more and
more of a defensive eyes and ears function in
Having garnered many accounts
worth tens of thousands of dollars, Vocus is now also going
after the mid-market of 300,000+ prospects in
the $10-$25M category and 26 million firms under $10M. Its
new $3,000 Small Business model is well suited for these
smaller businesses that otherwise couldnt afford
any form of PR, CEO Rick Rudman told analysts April
22. PR typically delivers a better return on investment
than other forms of marketing including ads, he said.
have a soft spot in our heart for the former PR Aids
partly because it printed this NL for our first few years.
It also served as a convenient, neutral meeting place for
New York PR pros, regularly hosting its own and PRS/New
York workshops for 50 and more at 305 E. 45th st. The PR
Societys h.q. were also in midtown at 51st st. and
Third. Its library and meeting rooms were heavily used by
However, the office was
hijacked downtown in 2004 by the staff and non-New Yorker
officers who abhor the thought of locals getting any more
use of h.q. than a chapter in, say, Denver. A neutral meeting
place is needed in midtown New York.
PR firms dont like
sending their staff to other firms for workshops.
MDS and PRA, we found material on the first PR Week.
PRA provided offices, mailing lists, mailings and no doubt
much advice on how to succeed in the U.S. The first PRW
was part of a move by U.K. interests not only to own a major
part of the U.S. PR counseling industry but also to secretly
control the U.S. PR trade press.
PRW, with its announced
circulation of 61,000 and its claim of being the largest
circulation PR publication in the world, was going
to obliterate what it thought were the few puny newsletters
that were then covering U.S. PR. Circulation was to be mostly
free (at least half requested in writing to satisfy USPS
rules) with ads (at $5,350 a page) supplying the revenue.
Readers were not
told that the real owners of PRW were six executives of
the large U.K. financial PR firm of Dewe Rogerson and U.S.
investment banker Frank Madden who had close ties to Shandwick,
headed by Peter Gummer.
Gummer at that time
was on an acquisition tear unequaled before or since, buying
35 firms (15 in the U.S.) from 1986-89 for an initial $90M
in cash and payouts that could be as much as $280M more.
His firm was the
biggest independent in1988 with $121M in fees (+86%) and1,610
Only a fraction
of those payouts was made as Shandwick merged almost all
of the firms with each other, dropping many famous PR names
after promising not to do so. Shandwick stock, burdened
by a heavy debt, fell from two pounds to as low as three
pence. Still owing about $80M, it was acquired in 1999 by
The second PRW/U.S.,
brought here in 1998 by Haymarket, provides a better indication
of the size of the U.S. market for PR publications.
After ten years,
its total circulation averaged 9,759 in the year ended Sept.
24, 2007. This included 6,918 paid and requested and free
distribution of 2,841. Rate for a full-page ad is $9,400.