The crux of the negotiation is centered on the length of the new contract as well as "performance expectations," said the executive, who would not elaborate.
Expires end of year
Mr. Dooner's contract, which expires Dec. 31,
"He is staying and is extending his contract," a spokeswoman for Mr. Dooner said. A spokesman for Interpublic declined to comment, saying: "Our policy is not to comment on such things."
Earlier this month Chris Coughlin, the holding company's chief operating officer and chief financial officer, named Ramesh Rajan chief financial officer at McCann-Erickson WorldGroup, replacing Art D'Angelo. Mr. Rajan moved from the holding company, where he was senior vice president and director of financial operations under Interpublic Chairman-CEO David Bell.
Account wins and losses
McCann-Erickson has had some significant account wins and losses under Mr. Dooner's watch since returning to McCann in February 2003 after being removed from his position as Chairman-CEO of Interpublic.
Capital One, Nikon, L'Oreal, Bass Ale, Pfizer and Sepracor all gave McCann new work this year, while marketing giant Coca-Cola Co. has shifted business out of the global ad network in some parts of the world and Marriott gave part of its creative assignment to independent McGarry Bowen.
According to an Interpublic proxy statement dated April 2003, Mr. Dooner will be well-compensated whenever he decides to leave. The statement reads, "If he retires, resigns or is otherwise no longer in the employment of Interpublic on or after his 55th birthday he will be paid benefits for 15 years ranging from $930,200 to $2,186,000 per year, depending on the year his employment terminates."
Last year, Mr. Dooner's annual salary was $1.25 million, plus benefits. Mr. Dooner turned 55 in August.