CALIF. LOTTERY ISSUES NEW SPECS FOR AGENCY REVIEW

Four Shops Vie for Hotly Contested $125 Million Account

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SAN FRANCISCO (Adage.com) -- The California Lottery Commission on Feb. 14 issued instructions for a revised media cost and compensation proposal to the four finalists competing for its five-year, $125 million advertising account.

Jim Hasegawa, marketing director, said responses are due Feb. 27 from the four shops:

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Grey Global Group's Grey Worldwide, Los Angeles, the incumbent; Interpublic Group of Cos. agencies Foote, Cone & Belding Worldwide, San Francisco, and McCann-Erickson Worldwide, Los Angeles; and Omnicom Group's DDB Worldwide, Los Angeles.

Each of the contenders has partnered with a sibling media shop. FCB is working with Initiative Media; Grey is using MediaCom; McCann-Erickson is teamed with Universal McCann, and DDB is using OMD.

Announcement date
After the lottery staff reviews the proposals, on March 5 it will make its choice, naming a so-called apparent successful bidder. Then on April 11, the lottery staff will take its recommendation as to the apparent winner to the California Lottery Commission for a final vote, Mr. Hasegawa said.

The new bid section in this long-running review contains a very specific seven-page document outlining media costs and profits on the account.

Past controversy
The commission initially awarded its account to DDB. Grey protested, citing issues with disclosures on media buying agencies. A second pitch was called, with FCB named the apparent winner. DDB, however, threatened legal action based on FCB's stated media buying costs.

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