WASHINGTON-The Coalition on Smoking OR Health on Oct. 4 will announce a national petition drive aimed at making the Food & Drug Administration the sole regulatory agency for tobacco. Currently, tobacco ads are regulated by the Federal Trade Commission. The tobacco and advertising industries strongly oppose such a shift, fearing it would sharply curtail availability and marketing of tobacco products.
NEW YORK-Nintendo of America agreed to stop airing three TV spots for its videogames from Leo Burnett USA, Chicago, in response to a review by the Children's Advertising Review Unit of the Council of Better Business Bureaus. CARU said several elements violated appropriateness principles for children's advertising.
STOUGHTON, Mass.-Reebok International has suspended golfer John Daly's endorsement contract until he returns to the PGA tour, which he said he plans to do in 1995. Separately, Wilson Sporting Goods Co. said it is evaluating its relationship with Mr. Daly. Reebok is the first to officially suspend its contract with the golfer, who agreed to temporarily leave the PGA Tour Sept. 16 after an Aug. 28 altercation at the NEC World Series.
NEW YORK-K-III Communications last week finalized the acquisition of Whittle Communications' Educational Network, producers of Channel One, the ad-supported educational TV network in 11,800 schools. Industry executives estimated the price at $260 million. Channel One was the last remaining piece of Chris Whittle's communications empire. As part of the deal, he remains chairman and will be an adviser.
CHARLOTTE, N.C.-University of North Carolina basketball coach Dean Smith believes beer ads on televised college basketball games should end. The coach, in a TV show taped last week but not scheduled to air until November, said alcohol is the biggest problem among young adults, and beer spots during games reach young viewers who might be susceptible to problems with drinking.
SOMERS, N.Y.-IBM Personal Computer has approached Ogilvy & Mather Direct, New York, and Barry Blau & Partners, Fairfield, Conn., about its estimated $15 million direct marketing account, now at Grey Direct, New York. Ogilvy Direct won no new business when IBM consolidated its $500 million worldwide ad account at Ogilvy & Mather Worldwide, and hopes to help offset layoffs of up to 75 staffers following the loss of AT&T and DowBrands work. Barry Blau has worked with other IBM divisions.
ARLINGTON, Va.-USAir, attempting to reassure passengers about safety in the aftermath of the Sept. 8 crash of Flight 427, last week started a direct mail effort aimed at its most-frequent frequent fliers. In a letter, Chairman-CEO Seth Schofield said "safety never has been, nor ever will be, compromised at USAir." The mailing, handled in-house, is part of Operation Recovery, a customer relations program aimed at restoring confidence in the airline.
NEW YORK-Kobs & Draft Worldwide here is seeking a new executive creative director following the departure of Malcolm Karlin from that post.
MILWAUKEE-The first work by Leap Partnership, Chicago, for Miller Brewing Co. turns out to be Miller's fall promotion starting today that will give away 2,500 Sony 27-inch TV sets during a five-week period. A single spot supporting the promotion features men gathered in a home with multiple TVs watching sporting events.
ST. LOUIS-Trans World Airlines is said to be talking to D'Arcy Masius Benton & Bowles here about shifting its $60 million worldwide account from Bates Worldwide, New York. A TWA spokesman denied the account was in review but acknowledged that "everything associated with marketing" is being re-evaluated by the carrier's new marketing team.
WARREN, Mich.-The redesigned Chevrolet Blazer sport-utility vehicle will be named Motor Trend's 1995 "Truck of the Year," said auto industry insiders. Chevrolet, whose agency is Lintas Campbell-Ewald, is expected to build a significant marketing effort around the award.
BOMBAY-India could lose as much as $20 million in tourism dollars this month to the pneumonic plague outbreak. Most Middle Eastern countries canceled flights to India and banned Air India flights from landing. In New York, the Government of India Tourist Office for the U.S. and Canada plans no changes in its $10 million print and TV ad schedule, handled by McCann Direct.
SOUTH BEND, Ind.-AM General is expected to name the Richards Group, Dallas, as agency for the estimated $3 million Hummer account, replacing Competitive Edge, Albuquerque, N.M. The Hummer is the civilian version of the four-seat, all-terrain vehicle used by the U.S. military.
ROCKLEIGH, N.J.-Volvo Cars of North America begins an outdoor campaign this month touting daytime running lights on its 1995 U.S. models. The headline on the board reads "People once laughed at seat belts. Daytime running lights from Volvo." All 1995 models from Saab and several from General Motors also have the lights. Messner Vetere Berger McNamee Schmetterer/Euro RSCG, New York, created the concept for Volvo.
NEW YORK-The Warnaco Group, marketer of intimate apparel, has signed a joint venture with News Corp. Chairman Rupert Murdoch's Satellite Television Asian Region Network to sell its brands-including Warner's, Olga and Calvin Klein men's and women's underwear-direct to consumers. The deal may be extended to other joint ventures in international markets like Europe and Latin America.
PORTLAND, Ore.-Soloflex and NordicTrack said a $25 million lawsuit Soloflex filed in May 1993 has been settled. Terms were not disclosed, but it was known Soloflex received a cash payment from NordicTrack. The suit accused NordicTrack of using products and advertising materials that infringed on Soloflex's trademarks and copyrights.
NEW YORK-The first casualty of the new TV season is "The Martin Short Show," which NBC has sidelined after just three weeks with a 12.8 rating and a 20 share.
SAN DIEGO-Acu-Trac Services, a database marketing and coupon processing company, is introducing an interactive coupon system called CouponSelect that enables viewers to print out coupons for products and services advertised on TV.
LONDON-Barclays Bank's credit card division Barclaycard is drawing up a short list of agencies to pitch its $62 million direct marketing budget. Barclaycard is trying to reduce its roster of 20 agencies, including Option One Group here and Promotional Campaigns, Keston, England, to two agencies.
TORONTO-Miller Brewing Co., Milwaukee, said Molson Breweries will adopt the new U.S. version of Red Dog in Canada, but Molson denies these plans. Miller approved Molson's use of its recipe, said John Bowlin, Miller's president-CEO (see story on this page). But Molson will not change its formula, said Dave Perkins, senior VP-marketing at Molson. Molson this spring introduced Red Dog in Canada as an alt beer, a lager-ale blend, and beer consumers responded well to ads by BBDO Canada but not to the taste.
JOHANNESBURG-The first steps to deregulating South African broadcasting began Sept. 30, when the Independent Broadcasting Authority began taking applications for low-power commercial community radio licenses. The IBA will study each proposal for cross-media ownership rules, South African programming content requirements and, in the case of public service broadcasters, possible funding. The IBA said it will not grant private operator licenses until after determining new sources for funding the state-run South African Broadcasting Corp. and reducing its dependence on advertising. SABC monopolizes commercial TV and radio but gets 75% of its income from advertising, rather than other public funding.
BOMBAY-Unilever's proposed deal with Kwality, India's largest ice cream maker, flopped due to conflicts on pricing and control over budget and management, hurting Unilever's push into the market. Kwality holds 60% of India's ice cream market and would have given Unilever a commanding lead. Unilever subsidiary Hindustan Lever owns the smaller Dollops ice cream; a second subsidiary, Brooke Bond Lipton India, introduced Wall's ice cream here this year.
STOCKHOLM-Appliance marketer Electrolux is breaking a three-year, $50 million Southeast Asia campaign by Lintas and is adapting its products for local consumers to compete against such Japanese and South Korean rivals as National, Toshiba and Samsung. The campaign will start in Thailand before yearend, reaching Malaysia and Indonesia in January. A Singapore campaign will start in April, arriving in Hong Kong shortly afterwards.
HONG KONG-Walt Disney Co. says it will introduce the Disney Channel throughout Asia next March. The channel will present programming dubbed into Cantonese and Mandarin and is negotiating distribution with regional cable operators. Disney said it would use stock programs to fill five hours of programming, running three times a day.
HULL, Quebec-Two dozen speakers appeared at the Canadian Radio-television and Telecommunications Commission's compulsory hearings here last week to oppose Rogers Communication's $2.2 billion takeover bid of Maclean Hunter Ltd., both Toronto (AA, Aug. 15). A joint submission by Toronto newspaper publishers Torstar and Southam charged that the deal would give Rogers excessive advantages if it is permitted to retain Mac-lean Hunter's newspaper holdings. The commission is expected to decide on the deal by yearend.
LONDON-British Telecommunications narrowed the pitch to four local agencies for a multimillion-dollar campaign breaking next year promoting its partnership with MCI. The agencies are Butterfield Day Devito Hockney, Rainey Kelly Campbell Roalfe, Saatchi & Saatchi Advertising and BMP DDB Needham.
TURKU, Finland-Such major Helsinki ferry operators as Silja Line and Viking Line are reporting numerous cancellations in the wake of the tragic Sept. 28 sinking of the Estonian-Swedish ferry Estonia in the Baltic Sea. Luxury ferry companies fear declining confidence in safety standards could push them into the red by yearend.
PONZANO VENETO, Italy-Benetton will roll out designer condoms in Japan as part of a joint venture with Japan's leading prophylactic marketer Okamoto, Tokyo. The latex condoms, supported by Dentsu ads noting "Benetton's smallest piece of clothing," will hit Japanese supermarkets, drugstores and Benetton outlets in November and may roll out elsewhere in Asia in the next year.
Ringling Bros. & Barnum & Bailey Circus, Vienna, Va., is talking to six agencies about its $5 million to $12 million 125th anniversary marketing account. Finalists are DeVito/Verdi and Dentsu Corp. of America, both New York; Siddall, Matus & Coughter, Richmond, Va.; Seiniger, Los Angeles; Fahlgren, Parkersburg, W.Va.; and Visualize Productions, Santa Monica, Calif.
MGM/UA, Santa Monica, Calif., to Saatchi & Saatchi DFS/Pacific, Torrance, from Foote, Cone & Belding, Los Angeles, for the movie studio's $100 million-plus national ad account.
CPC International's Best Foods division, Englewood Cliffs, N.J., consolidated all North American grocery advertising-estimated at $45 million-at BBDO Worldwide, New York. BBDO already had Skippy peanut butter, Hellmann's mayonnaise and Dijonaise mustard, and several new dressings. BBDO picks up Mazola oil and no-stick cooking spray and Karo syrup from Backer Spielvogel Bates, the inactive Mueller's pasta and all brands in Canada.
TGIFriday's, Dallas, to Publicis/Bloom from the Richards Group for the restaurant chain's estimated $27 million account.
Hong Kong Tourist Association to Bates Worldwide from Bozell Worldwide for its $13 million global account.
Bausch & Lomb's Dahlberg unit, Golden Valley, Minn., to Kobs & Draft, Chicago, for its $10 million to $12 million Miracle-Ear hearing aid account. Campbell Mithun Esty, Minneapolis, last handled on a project basis, and CME's Cash Plus unit had media buying.
Philip Morris Cos., New York, to Young & Rubicam from Bates USA for its $7 million Parliament cigarette account. The move consolidated U.S. tobacco business at two shops, including Leo Burnett USA, Chicago.
Bacardi Imports, Miami, to Publicis/Bloom, New York, for its Benedictine and B&B brands, which the agency previously handled but lost when Hiram Walker lost U.S. distribution rights to the brands. Spending is estimated at $3 million to $5 million.
Chevrolet national agency Lintas Campbell-Ewald, Warren, Mich., picked up dealer ad groups based in Nashville, Tenn., and Little Rock, Ark., bringing to 10 the number of regional associations it has won this year. Gish Sherwood & Friends, Nashville, was the previous agency for Nashville dealers. Heathcott Associates, Little Rock, was the agency for Arkansas dealers.
Robert Mondavi Winery, Oakville, Calif., to Ketchum, San Francisco, first agency for a new multimillion-dollar campaign.
QVC Chairman Barry Diller last week reportedly confirmed he plans to resign after Comcast Corp. and Liberty Media Corp. complete their acquisition of the home-shopping network. "After the company has been sold and has new owners, then I'll leave," Mr. Diller was quoted as saying in The Wall Street Journal. But an assistant later said the disclosure was "not an official decision," and the comment was "taken out of context." QVC declined to comment.
Time Inc. said People, Sports Illustrated and Fortune will go online through CompuServe. The electronic versions will offer interactive forums between journalists and readers and may include online news conferences.
Sassy Publishers, a unit of Lang Communications, New York, has placed Sassy on the auction block after an unsuccessful six-month search for a buyer. The Jordan Edmiston Group, New York, is in charge of the auction.
Club Med today breaks its first TV spots in two years with a $9 million effort to air in New York, followed later in San Francisco and Los Angeles. Newspaper and radio also support; Messner Vetere Berger McNamee Schmetterer/Euro RSCG, New York, is the agency.
Avis last week broke a $15 million-plus TV and print campaign from Bates USA, New York, for its new return valet service and vehicle navigation system.
Saatchi & Saatchi Advertising, Hong Kong, this month breaks an Asiawide agency campaign themed "Can an advertising agency change the world?" The advertising emphasizes the region's importance to agency profits.
David Fowler, 37, has been removed as chief creative officer at DDB Needham Worldwide Dallas Group, an agency spokesman said.
Tony Ponturo to the additional title of chairman of Busch Media Group, St. Louis, while remaining president-CEO. He assumes the Media Group title held by retiring A-B executive Michael J. Roarty, also exec VP-corporate media communications for Anheuser-Busch Cos.
James Corcoran to VP-communications, IBM Personal Computer Co., Somers, N.Y., from senior VP-new cardmember marketing, American Express Co., London. He succeeds C. Ray Freeman, now in the same post for IBM Corp.'s Europe/Africa/Mideast region, Paris.
Peter Hamilton and Bruce Nelson to directors of worldwide accounts, new posts at McCann-Erickson Worldwide, New York. Mr. Hamilton, 49, was deputy regional director of McCann's Asia/Pacific region, based in Sydney. Mr. Nelson, 42, was creative director-worldwide accounts.
Bob Lawrence to senior VP-marketing and planning, Wray-Ward-Laseter, Charlotte, N.C., from senior VP-managing director, Fahlgren Benito, Tampa, Fla. Virginia Watters was named senior VP-managing supervisor, succeeding Mr. Lawrence at Fahlgren Benito, from corporate ad manager, USA. participant programs, Walt Disney Co., Orlando. (For more people news, see Page 42.)
Former Brazilian Finance Minister Fernando Henrique Cardoso, candidate of the Social Democrats, had the support of the nation's ad industry as part of his commanding lead in public opinion polls going into today's presidential election. The candidate running second in the polls, Luiz Inacio Lula da Silva of the Workers Party, caused concern with a magazine interview in which he said he would squeeze new taxes out of ad agencies and the media.
American Tobacco Co. agreed to change advertising by LCF&L, New York, for its Carlton brand cigarettes to settle a Federal Trade Commission complaint. The FTC charged that print ads claiming 10 Carlton packs contained less tar than a single pack of other brands were misleading.
Auto marketers no longer need include lengthy complete disclosure statements in radio spots thanks to a law signed by President Clinton. Instead, marketers may direct consumers to toll-free numbers or print ads for the information. The radio industry expects the legislation to increase revenue by more than $20 million. The Federal Reserve also can explore extending the liberalized disclaimer rules to TV.
United Parcel Service introduces on Oct. 10 a new service, Early A.M., that promises delivery by 8:30 a.m. in 14 states and 41 cities. Print ads from Ammirati & Puris/Lintas, New York, in business and transportation publications will support.
Hershey Foods Corp. and Cadbury Beverages will roll out a new water-based chocolate beverage, Hershey's Chocolate Drink. The non-carbonated 99% fat-free drink will be distributed nationally early next year. An ad campaign will support, but no agency has been named yet. Contenders are from the Cadbury/Hershey stable of agencies.
Chevrolet's introduction of its redesigned Blazer sport-utility vehicle goes into high gear with ad and promotional programs built around sponsorship of the Country Music Association Awards Oct. 5 on CBS. The General Motors Corp. division is bringing disc jockeys from country music stations in 24 cities to Nashville, Tenn., to broadcast their shows, and will sponsor the simulcast of the awards on more than 200 stations. Both efforts are coordinated by MJI Broadcasting, New York. Chevy will be the sole sponsor of a special People issue devoted to the awards and will run ads by Lintas Campbell-Ewald, Warren, Mich., in Entertainment Weekly, Country America and TV Guide.
Borden signed a definitive agreement to be acquired by Kohlberg Kravis Roberts & Co. in a $2 billion stock swap deal. Financier Paul B. Kazarian still was exploring ways to make his own bid for Borden.
Timberland Co., Hampton, N.H., will stop its nearly $1 million sponsorship of the Iditarod sled dog race and substitute a $50,000 grant to a group of mushers, veterinarians and dogcare experts. The outdoor footwear marketer cited cost concerns and criticism of the race by animal rights activists (AA, Sept. 26).
Saab Cars USA will run a print ad from Angotti, Thomas, Hedge in New York, in the November issues of Out and Genre, believed to be the first time an automotive marketer has run a national ad in any publications targeting gay men and lesbians.
Sony Electronics introduced its $995 Magic Link Personal Intelligent Communicator, the first wired and wireless personal communicator to work with General Magic's software and AT&T Corp.'s PersonaLink messaging service. Print ads from Leo Burnett USA, Chicago, will be in November trade publications.
Walt Disney Co. has teamed with the U.S. Department of Agriculture for a public service campaign using animated characters Pumbaa and Timon from the popular movie "The Lion King" to promote good eating habits in children.
Mattel acquired licensing rights for Cabbage Patch Kids effective next year in an agreement with Original Appalachian Artworks, Cleveland, Ga. Hasbro had held the rights since 1990.