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FCA-Saatchi merger clears hurdle

Published on .

The possibility of Publicis Groupe merging FCA! BMZ and Saatchi & Saatchi in Europe hasn't drawn objections from Henkel's Schwarzkopf & Henkel cosmetics division, which uses FCA! BMZ, or Procter & Gamble Co., a Saatchi client. Schwarzkopf & Henkel is happy with proposed merger plans since Saatchi's handling of P&G products like Ariel, Oil of Olay and Pampers doesn't clash with FCA! BMZ's pan-European work for its oral-care products, said Georg Baums, chairman of Publicis Holding. And P&G's new payment structure has made it more tolerant of its roster agencies working for rivals like Henkel or Unilever as long as they don't work on directly competing products, said an agency executive who asked not to be identified.

Copyright October 2000, Crain Communications Inc.

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