ARNOLD TO CLOSE SAN FRANCISCO OFFICE

Agency's Top Two Execs Reassigned to Boston Headquarters

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BOSTON (AdAge.com) -- Havas' Arnold Worldwide is closing its San Francisco office, laying off 17 people.

The agency said today that Jim McGinn, president of the shop, and Creative Director Stu Cooperrider will return to Arnold's Boston headquarters this summer. They were appointed earlier this year after the shop was renamed and the names of the founding creative directors, Rob Ingalls and David Mornaville, were dropped.

Arnold acquired

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the shop in 1999.

Employess of Arnold MPG and Magnet public relations will not be affected.

The office, one of five in Arnold's U.S. network, has seen its fortunes decline during the weak regional and national economy as well as a drop off in dot-com business. The office had employed 50 people and handled accounts such as Chevron, EMC Corp., Inktomi and Qwest Communications. Projects for current clients, including Gulf Lubricants, Keynote Software and Arraycom, will be wrapped up over the next few weeks, the agency said.

Arnold is the 16th-largest agency in the U.S. with $193.8 million in gross income. Its remaining offices are in Boston, New York, McLean, Va., and St. Louis.

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