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Y&R Advertising, New York, dropped out of Kellogg Co.'s review due to conflicts with its work for Kraft Foods. The remaining contenders are Ammirati Puris Lintas, BBDO Worldwide, Grey Advertising and Lowe & Partners/SMS, all New York; and the Martin Agency, Richmond, Va. Kellogg intends to add a third agency to its $400 million general market roster, which already includes Leo Burnett USA, Chicago, and J. Walter Thompson USA, New York. A decision could come as early as this week.

Knowlton is latest Kellogg exec to exit

Kellogg Co. President-North America Tom Knowlton, the cereal marketer's top U.S. official, is leaving. He becomes the third major executive departing from Kellogg this month (AA, Sept. 21) as the company shakes up everything from its agency lineup to its work force. An 18-year Kellogg veteran, Mr. Knowlton was a key figure in the company's response to the cereal industry price slashing that began in 1996, and he has been involved with Kellogg's review of agencies with an eye toward adding a third U.S. shop.

Callahan leaves Kraft; lands Campbell post

Former Kraft Foods cereals executive Tim Callahan is joining Campbell Soup Co. in the new position of VP-global business development. Mr. Callahan resigned last week from Kraft, where he had been exec VP-general manager of the Post unit.

CBS dismisses 4 sales veterans

CBS released four longtime sales executives -- Dan Colby, VP-national sales manager (the No. 2 executive in the sales department); John Brooks, VP-director of sports sales; and Mike Guariglia and John "Jack" O'Sullivan, each VP-director of sales and marketing. "The company is becoming more focused on sharpening its sales force to become the most aggressive in the business," said Gil Schwartz, CBS senior VP-communications. As part of the sales reorganization, CBS is going back to selling by dayparts; it had tried having sales people sell across dayparts. Jo Ann Ross becomes the new No. 2 in the department. Reporting to her will be Scott McGraw, Marty Daly, Chris Simon and John Bogusz. They will be in charge of sports, news, prime-time and daytime/kids sales, respectively.

Y&R to brand global media setup Media Edge

Young & Rubicam, New York, will fold its $9 billion global media operation into a stand-alone company branded Media Edge. Y&R took over the Media Edge brand in the U.S. last year. Paul Woolmington, 37, will be president.

Banana Republic breaks 1st TV push

The Gap's Banana Republic on Sept. 21 launched its first TV campaign with a spot featuring suede products. The campaign, developed in-house, features a sound track by jazz singer Nina Simone and explores the sensual experience of suede. The commercial will run in Chicago, Los Angeles, New York and San Francisco.

WPP acquires Food Group

WPP Group, London, acquired foodservice agency The Food Group, which has offices in New York, Chicago, Los Angeles and Tampa, Fla. The Food Group will operate independently, but will be housed in WPP's Specialist Communications Group.

ABC to vote on reporting non-paid circulation

The Audit Bureau of Circulations will vote at its Nov. 5 annual meeting on whether to adopt a new reporting option for newspapers, pertaining to copies sold for less than 50% of the basic price. If adopted, newspapers would have the option of disclosing audited non-paid circulation in a supplemental report outlining where the non-paid copies were distributed and at what price. The non-paid circulation figure would then be added to the paid circulation figure to provide a total distribution number. A newspaper would still be required to have at least 70% of its distribution paid. The majority of the task force recommending the new rule believes it would allow advertisers to make their own judgments on the value of the different means of distribution, but a minority dissenting view said the proposal weakens the value of "paid circulation" by giving legitimacy to unpaid circulation.

TCI, WPP announce deals with ADcom

Tele-Communications Inc. said it will roll out a new audience measurement setup in its cable systems in San Francisco and Dallas. The new system is being provided by ADcom Information Services, Carlsbad, Calif. In addition, WPP Group, London, announced it has bought a 20.75% stake in ADcom. Both moves were expected (AA, Sept. 21).

Carmichael Lynch tops CEBA competition

Carmichael Lynch was the big winner at the third annual Creative Excellence in Business Advertising awards, sponsored by the American Business Press. The Minneapolis agency won Grand CEBA best of show honors for an ad titled "Bauhaus" for American Standard; it also won two other CEBA awards. Howard Stringer, president-CEO of Sony Corp. of America, was presented with the Norman L. Cahners Award for Lifetime Achievement in Business-to-Business Advertising. The winners in each CEBA

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