In a statement on Thursday, Interpublic blamed "a slower pace of new business activity and weaker than expected client spending, virtually across the board, reflecting a softer economic environment in the U.S. and slowing international economies."
The marketing services company also expects to incur significant cash and non-cash charges in association with its acquisition of True North Communications (expected to close this month) and a subsequent companywide restructuring that will cost an estimated $300 million. True North shareholders are set to vote June 19 on the offer and the deal would close by the end of the month. -- Laura Petrecca
Copyright June 2001, Crain Communications Inc.