Edition, March 2, 2011, Page 1
NOVELLI GRABS VOCE
Novelli is acquiring 11-year-old Voce Communications, a
tech-shop founded by Miller/Shandwick alumni with about
60 staffers and $12M in revenue.
firms have shared business with accounts like Yahoo, HP
was founded by Richard Cline, David Black and Matthew Podboy
in 1999 and has offices in Sunnyvale, Calif., San Francisco
and Orlando. It will retain its name as Voce, a Porter
who served as president of Voce, takes the reins of PN's
global technology practice and sits on the firms executive
committee. Cline said the deal provides deeper services
for its clients and greater opportunities for staff.
CEO Gary Stockman cites Voces reputation in digital
communications campaigns and said its culture and leadership
fits well with the Omnicom unit.
RICHARDSON CHAIRS APCO'S GLOBAL
Former New Mexico Governor
and U.S. Energy Secretary Bill Richardson has been named
chairman of APCO Worldwide's Global Political Strategies
The goal of GPS is to
provide counsel to companies and institutions at the
highest levels as they globalize activities.
GPS Members include Citigroup
vice chair and ex-Commerce Secretary Carlos Gutierrez, former
U.K. Secretary of State for Defense Jonathan Hutton, ex-Indian
Ambassador to the U.S. Lalit Mansingh, former President
of Poland Aleksander Kwasniewski and First Lady Laura Bushs
chief of staff Anita McBride.
Richardson, who ran for
the Democratic nomination for president in 2008, also served
as Ambassador to the United Nations, Congressman, and hostage
negotiator who freed Americans from Cuba, North Korea, Iraq
Mark Medish, is managing
director of GPS and executive VP at APCO.
He was senior director
of the National Security Council during the Clinton administration
and deputy assistant secretary of the treasury under Robert
Rubin and Larry Summers.
IPG TO BUY BACK SHARES AS
Q4 NET SOARS
Interpublic on Feb. 25
reported a 50.5 percent increase in Q4 net to $195M on an
11.7 percent jump in revenue to $2B. Organic growth rose
Buoyed by that robust
performance, CEO Michael Roth announced a $300M share buyback
program and declared a six cent quarterly dividend to signal
confidence in the sustainability of our competitive offering.
Roth said IPG enjoyed
organic growth at the top end of its peer growth
during the past year and anticipates aggressive margin
expansion for 2011.
Harris Diamond, CEO of
IPGs constituency management group and Weber Shandwick,
told ODwyers that PR growth was up 6.5 percent
for the year, spread among the WS, GolinHarris, Rogers &
Cowan and DeVries units.
Solid gains were made
in both traditional PR and social media, he added.
Severance expense during
Q4 dropped to $54.7M from $70.6M for last years period.
For the full-year IPG
earned $271.2M vs. $93.6M in 2010. Revenues rose 8.4 percent
RUDER DIES AT 89
Bill Ruder, co-founder
of Ruder Finn, died Feb. 22. He was 89. He is remembered
as a dear friend and consummate businessman,
with the ability to shake every hand in the room without
making anyone feel slighted, according to a remembrance
penned by David Finn.
The childhood friends
capitalized on a shared interest in art, establishing Art
in Industry that was run out of a linen closet at Manhattans
Lombardy Hotel in 1948.
RF made its mark in the
entertainment field by promoting the records of Perry Como.
The partners built on
their corporate experience to branch out in healthcare,
technology, engineering and environmental programming, remembers
Finn. Ruder remained a RF board member until his last days.
He is survived by his
wife, Betty, and six children. A memorial service is slated
for March 30 at 2 p.m. at a location still not determined.
Donations in Ruders honor should be sent to the International
Multiple Sclerosis Research Center at 521 W. 57th St., New
Edition, March 2, 2011, Page 2
PUBLICIS HIT WITH $100M SUIT
da Silva Moore, former global healthcare director for MSLGroup,
filed a class action sex discrimination suit Feb. 24 against
the PR firm and its corporate parent Publicis Groupe, charging
that women staffers are denied equal pay, promotion and
in U.S. District Court for Southern District of New York,
the suit seeks to certify female employees at MSLGroup from
2008 to the date of judgment. Damages and legal expenses
of at least $100M are sought.
Silva Moore is now executive VP of North America healthcare
at Ogilvy PR Worldwide, part of WPP.
suit notes that women account for 70 percent of Publicis'
workforce, but only a fraction hold management positions.
On the PR side, women account for 15 percent of leadership
Silva Moore says she suffered discrimination first-hand.
Rising to the director spot after six years,
da Silva Moore charges that she hit the glass ceiling
that suffuses the conglomerate.
2004-10, da Silva Moore says, Publicis re-titled her position
as managing director, North American director
and global director. Those new labels
never corresponded with any real advancement, contends
terminated da Silva Moores as part of its overall
reorganization of its PR practice immediately upon
her return from maternity leave in January 2010, according
to the suit.
suit alleges that Publicis used the reorganization to promote
male staffers, while terminating, demoting and reassigning
employees have their place: males come before women,
the suit claims.
Publicis corporate communications chief Peggy Nahmany
referred a request for comment to MSLGroup.
PR firm said: We generally do not comment on pending
litigation, but we can say that the fact that the Equal
Employment Opportunity Commission dismissed Ms. da Silvas
charge reflects the lack of merit to her claims.
Wipper, da Silva Moores lawyer, says the EEOCs
investigation has no bearing on the lawsuit. She added that
the EEOC did not issue any finding concerning our
client's charge and did issue a right to sue letter.
DHLs KOH GOES TO GRAYLING
Christina Koh, senior
VP-communications & sustainability at DHL Express, is
joining Grayling next week as managing director of its Singapore
The Bonn-based Koh calls
Grayling the next big thing in PR and is happy
to return to her home in Singapore.
Koh had handled DHLs
Asia/Pacific corporate affairs operation for five years
before moving to headquarters in 2007. Prior to DHL, Koh
worked for Burson-Marsteller in Hong Kong on brand marketing
and corporate accounts.
Grayling is part of Huntsworth.
U OF U SEEKS MEDIA RELATIONS
The University of Utah,
looking to raise its national and global profile through
the media, is on the hunt for a media relations firm with
an open RFP process through March 24.
The 160-year-old Salt
Lake City-based university wants an agency that will work
with its PR staff to showcase the quality of its teaching,
research services, and commercialization activities in national
and international media, according to a copy of the
Key to the effort will
be story placement, so U of U wants experience in development
a strategic media relations campaign, as well as national
and international contacts, and a track record in media
events and press conferences.
in 2010 was 23,371, along with 7,448 graduate students for
its 1,500-plus-acre campus. It houses the Beehive State's
only medical school, as well as a law school, and its athletics
programs (the Utes) compete in NCAA Division I.
The school, founded 42
years before Utah achieved statehood, is planning a contract
from award through December with two option years. Alumni
include politico Karl Rove, JetBlue founder David Neeleman,
and pro basketball player Keith Van Horn.
GLASS AGENCY MOUNTS PUSH TO
Glass Agency, Sacramento,
is guiding a six-figure PR and social media push to keep
the NBAs Kings in the California capital amid overtures
from Anaheim, Louisville and possibly Seattle.
Bottom line, we
care about the culture of Sacramento and, in our book, a
professional sports team is a part of that culture,
said agency president Amber Williams, who noted the city
was dealt a blow in December when the Sacramento opera canceled
its season and suspended production because of poor ticket
A billboard showing a
deflated basketball forming the O in the phrase
Game Over has been erected on I-5 South in Sacramento
pointing to a Facebook campaign dubbed SacDeflated.com.
The team, based in Sacramento
for 26 seasons, is reportedly considering a move and has
until March 1 to file a request with the league to relocate
next season. It has been unable to get funding for a new
Williams said the owner
of the NHLs Anaheim Ducks offered a $100M loan to
cover moving costs to that city, which is bracing for the
possible exit of the NFL's Chargers for nearby Los Angeles.
So far, 2,100 people have
signed on to a Facebook page, SacDeflated.com, leading the
campaign, which will run for four weeks at a donation-funded
cost of about $150K.
Edition, March 2, 2011, Page 3
Eun, president of AOL Media, is exiting the company, with
the $315M takeover of Huffington Post.
Huffington has assumed his chief content officer responsibility
in her role as editor-in-chief of the Huffington Post Media
Group, which includes AOLs businesses. Jon Brod, who
was chief of AOLs venture capital unit, is COO of
a memo to staffers, Eun noted that he had discussions with
AOL CEO Tim Armstrong about a continued role at the merged
company, but ultimately there isnt a role that
matches what I am seeking to do.
is available to Armstrong throughout the integration
CNN BREAKS UP PARKER, SPITZER
CNN has broken up the
duo of Kathleen Parker and Eliot Spitzer after a four-month
stint, announced a memo written from U.S. president Ken
The Parker Spitzer
program, which generated lackluster ratings, is being recast
this week as In The Arena with an ensemble sharing
the spotlight with New Yorks former Governor.
Parker, a columnist for
the Washington Post, has decided to return
to a schedule that will allow me to focus more on my syndicated
newspaper column and other writings, she said in a
She is extremely
proud of the show we created, and the subject matter and
level of discourse Parker Spitzer promoted every night.
Jautz said In The Arena
will feature many different viewpoints, including the thinking
of E.D. Hill, a former Fox anchor, and Will Cain, ex-columnist
for the National Review.
QADDAFI THREATENS JOURNOS
The State Department on
Feb. 24 warned journalists in Libya who have not been approved
by the Qaddafi government that they run the risk of being
arrested as Al Qaeda collaborators.
Libya officials delivered
that message to U.S. diplomats. They cannot vouch for the
safety of reporters who are not affiliated with CNN, BBC
Arabia and Al Arabiya, outlets okayed to report happenings
on the ground.
The officials say reporters
who have entered the country illegally and are now branded
From the State Dept.:
Be advised, entering Libya to report on the events
unfolding there is additionally hazardous with the government
labeling unauthorized media as terrorist collaborators and
claiming they will be arrested if caught.
DETROIT PAPERS ASK FOR IDEAS
Detroit Media Partnership,
which runs the Detroit Free Press and Detroit
News, has kicked off a $10,000 contest soliciting ideas
from employees and readers for improving the papers.
We are committed
to getting as many ideas from as many sources as possible,
said Susie Ellwood, CEO, Detroit Media Partnership. The
best way for us to serve our community is to solicit feedback
and understand what they want and need in this ever-changing
The papers, which lose
millions each year despite claiming an audience of 1.9M
including their respective websites, want community and
staffer input on enhancing news coverage, ways to save people
time and money, and improving the community. The project
has been dubbed IdeaQuest 2011.
The prize money will be
split among the top two ideas submitted by an employee and
member of the public.
A judging panel is made
up of Dominos Pizza CEO Patrick Doyle, USA Today
senior VP Myron Maslowsky, and Detroit Media CEO Susie Ellwood.
Doyle noted turnaround
success came to Dominos after to asked for customer
Gannett owns the Free
Press and is the general partner in the DMP.
EX-AIDE TO DISNEY COMMS. CHIEF
Bonnie Hoxie, the 34-year-old
former assistant to Disneys corporate communications
chief, was sentenced to four months of home confinement,
three years of probation and 100 hours of community service
on Feb. 22 after pleading guilty to wire fraud and conspiracy
to commit securities and wire fraud.
Hoxie admitted to leaking
a talking points memo about Disneys earnings to her
boyfriend, who shopped the document to 33 hedge funds, according
to the FBI. The boyfriend, Yonni Sebbag, was previously
hit with a 27-month jail sentence.
Hoxie appeared in Los
Angeles district court last week to receive the sentence.
She faced up to 10 months in prison.
Hoxie, who said she didnt
know her boyfriends plans for the document, served
as executive assistant to Zenia Mucha, executive VP of corporate
communications for The Walt Disney Co.
CBS EYES NETFLIX REVENUE STREAM
CBS has inked a two-year
deal with Netflix to allow its programming to be streamed
over the video service. The deal, which goes into effect
in April, covers classics such as Cheers, Star
Trek, Twin Peaks and Frasier.
Scott Koondel, of CBS
Television Distribution, believes the agreement recognizes
the increasing value of our content in todays marketplace.
He will continue to pursue other distribution partners.
The transaction could
generate revenues of $200M for CBS.
GOLDSTONE JOINS ATLANTIC MEDIA
Peter Goldstone has been
named president of Atlantic Medias Government Executive
Media Group, a top information source for federal managers.
He is a former executive
at Cowles Business Media and its subsequent owner Primedia
Intertec Publishing, where he managed 15 titles including
Folio and Direct.
Most recently, Goldstone
was at Hanley Woods business media operation.
news continued on next page)
Edition, March 2, 2011, Page 4
RETURNS TO IAB
Rothenberg has been reappointed president of the Interactive
Advertising Bureau after a two-month stint as chief digital
officer at Time Inc.
former New York Times ad columnist was recruited
to Time by CEO Jack Griffin, who was bounced from that post
last week because his hard-driving management style did
not mesh with the Time Warner units culture.
the former Meredith magazine chief who took over for Ann
Moore in August, had touted Rothenberg as the ideal exec
to position magazines like Sports Illustrated as innovators
in the tablet and other emerging digital categories.
held the executive VP/chief digital officer post at the
No. 1 magazine publisher.
new leadership of Howard Averill, Maurice Edelson and John
Huey had hoped Rothenberg would stay, according to a staff
said Rothenbergs departure will be mitigated
by his assurances that he will continue to work closely
with Time Inc. in his capacity as IAB prexy.
Carrigan, IAB chairman and CEO of IDG Communications, welcomed
Rothenberg back to the fold.
credited Rothenberg's four-year reign as helping the New
York trade group to become the central trade association
for marketing and media.
IAB represents more than 450 media and technology companies
that account for 85 percent of online advertising in the
VF HITS MERRILL FOR CAVE-IN
TO EIRE BANKS
A Merrill Lynch analyst
predicted the collapse of the Irish real estate market,
but ML squashed the damaging report about the Ponzi scheme
after Irelands top banks threatened to take their
business elsewhere, according to Michael Lewis, who wrote
the blockbuster piece, When Irish Eyes are Crying,
in the current Vanity Fair.
MLs Philip Ingram,
who is described in his late 20s and a bit quirky, discarded
the positive PR spin put forward by Irelands Big Three
banksAnglo Irish, Bank of Ireland and Allied Irish
Banksand discussed their practices to insiders in
the commercial property market. They warned him that Irelands
bankers were making far riskier loans in Ireland than they
were in the U.K. and were simply considered the nuttiest
Ingram published his report
in March `08, quoting verbatim what insiders told him about
loans made to the real estate sector. Within a few hours,
Ingrams report was the hottest read in the London
financial markets, until Merrill retracted it, wrote
Lewis, author of Liars Poker and Moneyball.
He notes that Merrill
was lead underwriter of Anglo Irishs bonds and corporate
broker to AIB, earning huge sums of money off the
growth of Irish banking.
The banks loudly complained
to Merrill about Ingrams report and his superiors
hauled him into meetings with in-house lawyers, who
toned down the reports pointed language and purged
it of its damning quotes from market insiders, including
its many references to Irish banks, wrote Lewis, VFs
contributing editor. Everything Ingram wrote about
Irish banks was edited, and bowdlerized by MLs lawyers.
Merrill fired Ingram at the end of `08. A ML staffer apologized
to the companys investment banking team for the trouble
that Ingram caused them.
ML went on to write a
report for Irelands Finance Dept, in which it said
all of the Irish banks are profitable and well-capitalized.
It suggested that the problem was not in bad loans but panic
in the market. The Irish taxpayers shelled out 7M euros
to Merrill for the report.
The PR department of Bank
of America, which now owns ML, declined comment about the
Vanity Fair article.
Henry Blodget, former
ML analyst who now operates The Business Insider,
said in his blog Feb. 14 that MLs lawyers did not
muzzle Ingram or change his opinion about the
He says they did
sanitize his original report and make it less vivid and
startling and buried his conclusion. But this sanitization
did not alter the fundamental conclusion of Ingrams
surveywhich still said that the Irish banks had very
risky lending practices.
Another criticism of Ingram
was that his report had a number of unattributed quotes
which is unacceptable practice in such reports.
Critics of the Lewis story
also said that Ingram was a junior researcher and was fired
when ML cut about a quarter of its research staff in that
area. He was not replaced with anyone from Bank of America,
which purchased ML, nor was he fired because of the report,
Blodget was accused of
fraud by former New York Attorney General Eliot Spitzer
who said Blodgets written research did not reflect
his true opinions about the stocks he was covering.
He paid a $2M fine and
$2M for disgorgement and was banned from the
securities industry in 2003.
Kristof was named a contributing editor for Kiplingers
Personal Finance magazine, effective March 1. She writes
regularly for the Los Angeles Times, CBS MoneyWatch,
among other publications.
Good Morning America has named James
Goldston to replace executive producer Jim Murphy,
who left for Anderson Coopers new program.
Goldston, who oversaw
Nightline and This Week with Christiane
Amanpour, takes the title of senior executive producer.
Nightline senior producer Jeanmarie Condon takes
over Golstons slot for that program.
News Adam Verdugo has joined Meet the
Press as a senior producer. He recently was as a digital
journalist covering the midterm elections.
Edition, March 2,
2011, Page 5
OF PR FIRMS
INKS ANOTHER ASIA PR DEAL
has acquired its Taiwan-based PR and social media affiliate
Interactive Communications after a seven-year association.
deal marks the Paris-based advertising and PR conglomerates
fourth PR acquisition in Asia over the past five months.
30-staffer firm will be folded into MSLGroup and renamed
ICL MSL, pending approval by Taiwans Ministry of Economic
Affairs. Founders Cindy Chou and Mario Fang will stay on
board to head the unit under MSLGroup Asia president Glenn
a statement, Chou said joining MSL allows the firm to focus
on expanding its role in the Greater China market.
has worked with Procter & Gamble, The Coca-Cola Company,
the Hong Kong Tourist Board and Bristol-Myers Squibb among
Groups Greater China operation now counts eight offices
and 225 staffers, following the latest deal.
this month, Publicis reported a 23% surge in profit for
2010. Revenue for Asia was up 23.8% to 617M euro as CEO
Maurice Levy noted a significant recovery in
D&E PUTS VALUE ON REPUTATION
Cleveland-based Dix &
Eaton has set up a reputation valuation practice
and hired a behavioral economist to help clients maximize
the positive aspects of their reputations.
Pamela Cohen, a Ph.D.
who co-founded Fleishman-Hillards CCW unit and previously
led the Ernst & Young Center for Business Innovations
intangible valuation group, has been hired to lead the new
unit. She specializes in helping companies or organizations
measure the impact of reputation on outcomes like financial
D&E CEO Scott Chaikin
said reputation and other nonfinancial drivers
can account for more than half of a companys value.
He said Cohens model
can predict which individual components of a company's reputation
can have the greatest impact on each outcome and what that
impact will be.
The methodology for the
practice has been dubbed the D&E Impact Index, which
will be customized for each client with data from several
sources, including social media.
TEXAS PR SETS UP SPORTS SHOP
Tamika Humphrey, former
PR director for the American Basketball Associations
SETX Mavericks, has set up CEO PR in Beaumont, Tex., to
handle PR for professional athletes.
Services include PR, biography
development, branding, media relations, and public appearances
management, among other tasks.
Start-up clients include
Anthony Collins (Cincinnati Bengals) and the Lake Charles
Tournament of Stars.
San Francisco/Pervasive Software, publicly traded data management
and analysis software developer, as PR firm in the U.S.
VP Erin Zehr heads the account.
San Francisco/SimpleGeo, which makes infrastructure for
location features in applications; Alacritech, high-speed
network interface cards; Talari Networks, WAN virtualization,
and Edgewater Networks, IP-based voice and video delivery,
Colo., and Robert Ferri Partners, San Francisco/Roundtable
Media, digital and live content developer for girls and
women, for capitalization, branding, and comms. support.
D.C./Alzheimers Association National Capital Area
Chapters new women's initiative, for marketing and
publicity activities to include traditional, online and
social media, community outreach and networking events,
including the main event on May 3.
D.C./Martin Luther King, Jr. National Memorial Foundation,
for strategic and special events and comms. counsel as well
as producing, and managing the summer 2011 dedication of
the Dr. Martin Luther King Memorial on the National Mall,
working with GEP Washington; Army Historical Foundation/Army
Commemorative Coin, to promote the sale of commemorative
coins to help build a National Museum of the United States
Army to open in 2015, and the Washington Ireland Program,
for PR and special events counsel and production, a renewal.
Miami/Baltus Collection, high-end furniture line from Spain
with U.S. showrooms in Miami, Chicago, Los Angeles and New
York, for brand management counsel, strategic PR and comprehensive
media outreach to consumer and trade audiences in the U.S.
Partners, New York/The
World Police & Fire Games, as 2011 AOR for PR to increase
awareness of the games, drive sponsorships and build excitement
for the biennial event slated for August 28 through Sept.
5, 2011 in New York. More than 15,000 police officers and
firefighters from more than 70 countries are expected to
media and advertising technology company focused on buying
and selling of radio ads, as AOR to implement a strategic
Westport, Conn./Zuoan Fashion Limited, for IR as the China-based
casual menswear company went public on the New York Stock
Exchange Feb. 14 selling 6M shares which rose from $7 to
$7.04 in the first day of trading.
New York, and ZFL PRCo UK/Sandy
Lane Barbados, luxury hotel, for U.K. and U.S. campaigns
in the year of its 50th anniversary.
Edition, March 2, 2011, Page 6
PAYS $7M FOR FACEBOOK SERVICE
has acquired social media marketing software provider North
Social in a $7M cash deal, highlighting the rise of Facebook
in the marketing mix.
$7M price tag could stretch as high as $18M if earn-out
benchmarks are met.
year-old NS counts 1,300 subscription customers like Coca-Cola
and Falcon Motorcycles for its 19 Facebook applications,
which help users set up pages on the social network and
launch campaigns using tools like video and Twitter.
CEO Rick Rudman said Facebook is becoming an increasingly
important channel for engaging customers. He sees
NS software becoming an important component of Vocus
marketing product suite.
deal is Vocus fifth acquisition in the past year.
CM TRACKS SPANISH MEDIA
Critical Mention said
last week it now has Spanish-language broadcast monitoring
services which can digitize every word spoken from broadcast
signals in all major markets.
The company said it will
ingest Spanish-language broadcast content 24/7 and make
it searchable in real-time.
CEO Sean Morgan noted
that U.S. viewership of Spanish stations is surpassing those
in English for the first time.
Any marketer or
PR professional not paying attention to this portion of
our population is missing out on an opportunity to connect
with these consumers and grow their brand, he said.
VICTORINO TO STRAUSS
Lorilee Victorino, producer,
anchor and reporter for WHSV-TV3 (Harrisburg, Va.), has
joined radio PR company Strauss Radio Strategies, Washington,
D.C., as an assistant A/E.
As a producer and anchor,
Victorino was in charge of revamping the stations
morning show, which doubled in ratings by the next ratings
period and continued to grow during her time there, Strauss
She is a former desk assistant
at CBS Radio Network News in New York.
PRSA HOUSTON SLATE ELECTED
Michelle McCormick, communications
manager at law firm Bracewell & Giuliani, Houston, has
been elected president of the citys 450-member PR
Ed Davis, director of
media & public relations at United Way of Greater Houston,
McCormick said shell
focus on finding ways for members to get directly involved
in the chapter through programming and volunteerism.
Other new principals are
Lisa Dimond Vasquez (DoubleDimond PR), VP; Meagan Stangle
(Hopkins & Associates), secretary, and Don Young, VP/comms.,
International Facility Management Assn., treasurer.
Stephanie Dedeaux, communications
lead at Hess Corp., is past president.
The chapter was founded
senior VP of digital production for Porter Novelli, to Cohn
& Wolfe, as senior VP to co-head the firms New
York digital team with SVP Tyler Pennock. Rosenberg also
has responsibility for corporate and consumer programming.
Prior to PN, he held posts with Deutsch, Saatchi & Saatchi
and Ogilvy & Mather.
who ran her own PR/marketing shop, has joined music publisher
client Kobalt Music Group, New York, as senior VP, communications
and marketing, worldwide.
who led brand repositioning and PR for Big Brothers Big
Sisters Southeastern PA, to Subaru of America, Cherry Hill,
N.J., as manager of corporate communications. She was previously
director of corporate communications for architecture and
engineering firm EwingCole.
public affairs officer for the U.S. Coast Guards Atlantic
Area command, to NASAs Langley (Va.) Research Center,
as news chief, responsible for all interactions with print,
broadcast and social media, as well as overseeing the creation
and distribution of information about its activities.
who handled IR and corporate communications for Fortune
500 computer hardware and software distributor Merisel,
to mining company Tamerlane Ventures, Bellingham, Washington,
as director of IR and corporate comms. He previously held
posts at Tanox and Univar.
who headed Spark PRs Connected Technologies practice
to, Lewis PR, San Francisco, as a VP. She is a former director
for Blanc and Otus and will oversee the San Francisco office
former head of PR at Target Corp.'s Mervyns unit,
to Gray Suit Marketing, San Diego, as a partner. Earlier,
he was special assistant to Rep. Bill Boner (D-Tenn) and
senior staff director at the American Insurance Association.
He also headed political affairs at the National Restaurant
Assn. and was a lobbyist for five years.
a 12-year veteran of New York-based G.S. Schwartz &
Co., has been named chief operating office of the agency.
President and CEO Jerry Schwartz said Honig will play a
lead role in guiding the growth and direction
of the firm while continuing to manage its digital unit,
Digital Power and Light. Honig joined the firm as a senior
A/E in 1998 and had recently been an MD.
who heads public and government affairs for Alcoa, Pittsburgh,
was elected a VP and officer of the company by Alcoa's board.
He joined in 2009 and previously was at Clark & Weinstock
and Albright Stonebridge Group.
Edition, March 2, 2011, Page 7
DEZENHALL SEEK TO DISMISS SUIT
for Ketchum and Dezenhall Resources on Feb. 18 filed motions
to dismiss a civil suit brought by Greenpeace against the
firms and clients Dow Chemical and Sasol North America.
from the Omnicom units Washington, D.C., firm, Latham
& Watkins, submitted the 48-page motion in U.S. District
Court for the District of Columbia, blasting Greenpeaces
55-page complaint as a mix of unsupported speculation,
innuendo, and serial non sequiturs.
claims in the November 2010 suit that Ketchum and Dezenhall
violated racketeering and corruption laws in an illegal
campaign to steal confidential information about the group
from 1998-2000 for Dow Chemical and Sasol North America.
The environmental group said the firms hired a private security
contractor to conduct surveillance and dumpster dive.
legal team, among several challenges to the suit, says the
case fails to meet minimum pleading standards, is beyond
statutes of limitations, and doesn't show harm economic
or competitive to the environmental group sufficient
to bring the claim.
for the PR agency, which was hit with seven claims by Greenpeace,
also said the vast majority of the suit has nothing
whatsoever to do with Ketchum.
attorneys from D.C. law firm Kirkland & Ellis make similar
arguments and said the facts of Greenpeace's suit do
nothing more than depict a lawful retention of a licensed
investigative firm. They argue the complaint also
does not show claims that the PR firm committed wire fraud
as federal law requires.
to dismiss the case were also filed by Dow Chemical and
Greenpeace has until March 25 to respond.
environmental group claimed in its original complaint that
documents including its global warming strategy, genetically
modified organisms campaign, climate campaign ship tour
draft schedule, and preservation of whales campaign were
obtained illegally. It sees a scheme that in all likelihood,
included the unlawful breaking and entering into Greenpeace
offices to secure documentation.
PR EXEC TO EMANUEL TRANSITION
Sarah Pang, senior VP
of corporate communications for Chicago insurance giant
CNA Financial Corp., was named to Mayor-elect Rahm Emanuels
six-person transition team in Chicago.
Emanuel, a former Congressman
who stepped down as President Obamas former chief
of staff to run in the Chicago race, won a 54% victory on
Feb. 22. He takes office in May.
Pang is a former aide
to outgoing Mayor Richard Daley and one of six officials
on the transition team. She was a deputy chief of staff
Daley for nine years and earlier served as executive assistant
to Sen. Alan Dixon (D-Ill.). CNA had revenue of $9.2B in
Ben Labolt, an assistant
press secretary in the Obama White House, is Emanuels
communications director and spokesman.
FTI REVENUE RISES; PROFIT
FTI Consulting, the business
advisory company that owns FD, said fourth quarter 2010
revenue rose nearly four percent to $356.2M while its strategic
communications business jumped 10.2% to $49.9M.
The company said its PR
business was lifted by the Americas and Asia-Pacific, offsetting
a small decline in the U.K.
President and CEO Jack
Dunn said Q4 continued a positive momentum felt in Q3 as
gains in technology and forensic/litigation consulting offset
declines in its restructuring operations.
For the year 2010, revenues
were essentially flat at $1.4B while profit was halved to
$71.9M from $143M in 2009.
for the year hit $193M, up from $180M in 2009.
The company previously said it took a $21.8M charge to consolidate
its operating units under the FTI Consulting brand.
The company has $385 million
FIRM WORKS TO SAVE MI FILM
Michigans film industry
has engaged Lansing PR firm Truscott Rossman to help fend
off significant cuts proposed to the states three-year-old
film tax incentive program, which the industry says has
brought hundreds of millions in revenue to the Great Lakes
Gov. Rick Snyder, pointing
to a $1.4B state budget deficit, has ordered a $25M cap
on the program, a cut which would represent a fraction of
the millions refunded under the program each year.
Film producers and other
creative ventures like video games and Internet software
can get a 40 percent refund for expenditures in the state
under the program. From July through Dec. 2010, 26 projects
were approved requesting credits of $65.7M on an investment
in the state of $168.6M.
Films and shows shot or
produced in the state last year included Gullivers
Travels, Hostel: Part III, ABCs
Detroit 1-8-7 and HBOs Hung.
Sharon Emery, VP at Truscott
Rossman, confirmed the agency is handling PR for Michigan
Film First, an industry-backed effort formed in November
that is stepping up its campaign to save to tax credit program.
She said the agency is coordinating with MFFs lobbying
team to build support for the program and fend off the proposed
The Detroit Metro Convention
and Visitors Bureau and CVBs in Grand Rapids, Ann Arbor
and Travers City recently commissioned a report by Ernst
& Young that, the groups said, shows the incentive program
is benefitting the states economy about $6
for every $1 spent on the incentive.
The governors proposed
cut to the program must be approved by the state legislature.
Edition, March 2, 2011,
spread of revolts in the Mideast shows how hard it is to
topple an entrenched regime no matter how corrupt it may
have their hands on the army, the treasury, usually the
press, and most importantly the flow of information.
members of the PR Society of America staged their own revolt
last year via the Committee for a Democratic PRSA
name said that the Society itself was not democratic (in
spite of a Code that champions democracy).
revolt against 35 years of a monopoly on Society leadership
by APRs went nowhere. Only 305 signatures were obtained
in six months.
PRS board wouldnt let the CDP e-mail the 21,000 members,
a list reserved for pitches to members for seminars and
online never mentioned it. A story in printed Tactics finally
appeared in September.
board itself was cool, only favoring the APR proposal that
had already been defeated in 2009.
revolt against the APR monopoly is 11 years old (proposed
in 1999 by the Strategic Planning Committee).
at PR Society
are 20 abusive practices that damage the image of PR, the
Society, and all APRs.
Refusal to listen to or dialogue with members including
Fellows who send questions to the board.
Elected officers who spend the year dodging questions and
speak to a half dozen or fewer of the 110 chapters and never
to the New York chapter. Schedule of 2011 chair Rosanna
Fiske is unavailable. No one is available to pitch the Business
Case for PR.
Failure to post throughout the year the list of Assembly
delegates with their e-mails (reachable by a single e-mail).
Refusal to audiocast the Assembly when it would be cheap
and easy to do so.
Failure to supply a transcript of the Assembly since 2005
after doing so for many years.
Substandard and misleading financial reporting marred by
booking dues as cash and providing late reports (IRS Form
990 not given to Assemblies).
Lack of financial information in the web press room. Financial
reports available to members only.
Cronyism on the board now lets any member return indefinitely-negating
the intent of the founders who barred returnees.
Making huge decisions such as canceling the printed members'
directory and moving to downtown New York without any input
from the Assembly.
Refusal to discuss providing a PDF of the membership list
which would be cheap and easy.
11. Failure to have a
press conference. Last conference involving CEO and board
was in 1993.
12. Interference with
coverage of 2010 Assembly including barring photos or recording
any part of the Assembly-new policies instituted in 2010.
13. Refusal to let the
only reporter who has covered the Assembly for the past
15 years (Jack ODwyer) attend the 2010 Assembly lunch.
14. Refusal to give this
reporter credentials to cover the 2010 conference although
credentials were given to us for the Assembly (a contradictory
policy that defies explanation).
15. Ignoring bedrock Roberts
Rules (that make the Assembly the ultimate authority
and bar proxy voting) while pledging obedience to RR.
16. Ignoring the Assembly
which asked for an investigation of e-mail elections (BigPulse
would handle such votes for a few thousand dollars).
17. Wining and dining
chapter presidents-elect, district and section chairs in
New York each June at a cost of $100K-plus when this should
be a Spring Assembly.
18. Refusal to settle
with the authors it ripped off from 1980 to 1994, a practice
that earned it hundreds of thousands of ill-gotten dollars.
19. Excessive costs of
staff and the isolated downtown h.q. that requires airport-level
security checks to enter. Staff of 50 or so has 22,000 sq.
ft. to rattle around in. All but seven of staff names are
20. Roadblocks put in
way of member interaction including removal of the former
single list of 110 chapter presidents. Visits to 110 websites
needed to get such info.
Theres no question
that the Society committed massive theft of the intellectual
property of authors from 1990 to 1994.
Chief victim was the ODwyer
Co., whose articles comprised up to a quarter of the materials
in some of the 1,000 packets that were sold at prices up
To those Society members and leaders who ask us why don't
we also cover the positive aspects of the Society, we reply
that if some neighbor stole something valuable from their
house and wouldn't return it, there would be nothing good
to say about that neighbor.
The victim would not want
to hear about how hard the head of the family works, nor
how kind he or she is, nor what his or her charitable activities
The victim wants the property
back or adequate compensation paid for it.
Thieving at National Level
Lying and thieving at
the national level is responsible for the three-year recession
that has caused severe pain to many Americans and lesser
pain to the rest.
The Financial Crisis Inquiry
Commission concluded that the meltdown was avoidable and
not due to inexorable economic forces.
The cause was Bernard
Madoff-type corruption in the banks and big Wall St. houses
and complicity with government regulators who abandoned
Banks gave mortgages to
almost anyone because they could off-load them to Freddie
Greed and selfishness
One duty of PR is to be
a corporate conscience. Its supposed to
be more than just a tool of business. Its not supposed
to be a secret weapon, as treated by Kraft CEO
PRs largest group
of PR people should be setting an example of openness, honesty
The Society needs outside
counsel but can't have it because no PR firm would allow
its name to be identified with such member and press-dodging
None of the major CPA
firms will work for it, either. Deloitte & Touche and
Ernst & Young split more than ten years ago.
New leadership of this
revolt is needed. Acting head Art Stevens says
he and the CDP are on winter break.