Everyone knows the International Advertising Festival in Cannes makes money, but few knew just how much until last week, when Emap Communications acquired the festival from longtime principal Roger Hatchuel. As AdAge.com reports
, Hatchuel predicts the 2004 fest will turn a $12.8 million profit on revenue of $22 million for a tidy profit margin of 58 percent. "I was absolutely shocked," Frank Palmer, chairman-CEO of DDB Canada, tells AdAge. "We all know it's very expensive to enter, but I had no idea the profits were so obscene." Publicis' worldwide CCO Dave Droga, on the other hand, isn't too surprised. "It was the worst-kept secret," he says. "Everyone knew [Mr. Hatchuel] made a fortune if you do the numbers in your head."