GOODYEAR MOVES MEDIA ACCOUNT TO MPG

Tire Marketer Consolidates Services With Havas

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DETROIT (AdAge.com) -- Goodyear Tire & Rubber Co. said it is moving its media planning and buying account to Havas' MPG USA from Omnicom Group's PHD USA. Both agencies are located in New York.

The shift, a consolidation with the agency holding

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company, comes just two months after the tire marketer handed its creative account to Havas' Arnold Worldwide, Boston, without a review. Arnold succeeded Omnicom's Goodby Silverstein & Partners, San Francisco, which had the account three years.

Steve Grubbs, CEO of PHD USA, said, "We are very proud of the work done by our national broadcast buying team on behalf of Goodyear. We respect their decision to consolidate all creative and media services through one point of contact."

The company spent $47 million in measured media last year, according to TNS Media Intelligence/CMR.

A spokesman at Goodyear said MPG will start with 2005 media planning. He declined to say whether the change was a result of a cost-cutting move.

Last month, Goodyear reported delayed first-quarter results -- a net loss of $76.9 million, smaller than the year-ago period's net loss of $196.5 million. But the marketer reported record quarterly sales of $4.3 billion for the quarter, up 21% from the prior-year period, citing higher pricing, better product mix and favorable currency exchange.

The marketer said last week it expects to report second-quarter sales of about $4.5 billion vs. $3.8 billion a year ago. It will report second-quarter results Aug. 5.

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