David Carey, group president-CEO of Gruner & Jahr USA Publishing's Business Information Group, will return to his former job Aug. 13 at Conde Nast Publications as VP-publisher of The New Yorker. Mr. Carey, 40, joined Gruner & Jahr on Jan. 24, lured by its new President Dan Brewster to oversee Fast Company and Inc. Mr. Carey had an incentive-based five-year contract with Gruner & Jahr USA Publishing, but, contrary to earlier press reports, it was not binding. According to executives close to the situation, Mr. Carey is said to have a two-year contract for The New Yorker. His predecessor at The New Yorker, David Kahn, also 40, has been put in charge of creating a business unit within Conde Nast parent Advance Publications.
Halo files for Chapter 11 bankruptcy protection
Promotional-products company Halo Industries, Niles, Ill., filed for Chapter 11 on July 30, seeking protection for its U.S. core promotional products business and its Lee Wayne subsidiary. The filing, made in U.S. Bankruptcy Court in Wilmington, Del., excludes Halo's marketing services agency Upshot, Chicago, as well as its Canadian and European divisions, Premier Promotions and Halo Sports. A spokeswoman said Upshot wasn't included in the filing because "it operates on its own and is financially viable." The company expects a ruling this week to determine what happens next.
Robaire & Hogshead will close; Arnold cuts staff
Jean Robaire and Sally Hogshead, Venice, Calif., partners in agency Robaire & Hogshead, said they will close their eight-employee shop. Ms. Hogshead, 31, said she is interested in pursing development of a full-fledged agency while Mr. Robaire plans to continue working in collaboration with other agencies to tackle creative problems.
Separately, Havas Advertising's Arnold Worldwide Partners staged its second round of layoffs in two weeks, telling about 3% of its staff-or about 30 employees across its four domestic offices-they would be laid off Aug. 3, according to an executive. The executive said about 15 to 20 cuts would come at the Boston headquarters, with St. Louis, San Francisco and McLean, Va., sharing the rest. The executive said the cuts stem from a tightening economy. The agency could not be reached for comment.
Focus ordered to bring evidence against filing
The U.S. bankruptcy court in Los Angeles ordered Focus Media to bring evidence Sept. 4 to present its case against a filing by its creditors-TV stations and Sears Roebuck & Co.-that would force the Santa Monica, Calif., media-buying company into Chapter 7 bankruptcy. Last year, Sears said Focus failed to pay more than $20 million in media invoices. Focus ceased operations last summer.
Univision second-quarter TV ad revenue rose 1.7%
Spanish-language TV network Univision announced second-quarter growth of 1.7% in TV ad revenue to $235.1 million, far below its 7.3% first-quarter growth. Univision said although deals are closing later in the Hispanic upfront market, Univision will exceed last year's upfront sales of $501 million and continue to add first-time advertisers. Univision also reported net income of $28.6 million for the second quarter, down from $33.5 million for the same period last year.
IXL, Scient agree to merge, announce results
IXL Enterprises said it would merge with rival i-shop Scient as both also announced dismal second-quarter results. IXL recorded a widened net loss of $51.9 million; it reported a net loss of $28.5 million a year ago. Revenue fell from $118.4 million to $32.7 million. Scient posted a net loss of $66.3 million after posting net income of $5.8 million a year ago. Revenue plunged from $91.4 million to $11.3 million. On Aug. 2, Scient shares fell to 57 cents; IXL shares plunged to 41 cents.
Peter M. Hirsch, former partner of Calet Hirsch & Spector, New York, and 40-year ad veteran, died July 29 in New York after a battle with thyroid cancer. ... Tempus Group's CIA Medianetwork, Chicago, assembled its first cross-media package, positioning campaigns for client VF Corp.'s Wrangler across AOL Time Warner properties including Sports Illustrated, People, America Online and the WB Network. ... Sony Corp. and Yahoo! are joining to deliver co-branded content and communications services via the Web. The three-year, multimillion-dollar deal includes the creation of a Sony on My Yahoo! site for consumers seeking information on Sony products and services. ... Wendy's International picked Vidal Partnership, New York, as its Hispanic agency of record and is expected to increase its budget to up to $10 million. Hispanic business was previously handled by Bates South, the Miami office of Wendy's general market agency, Cordiant Communications Group's Bates Worldwide. Vidal is resigning a smaller, conflicting regional account for McDonald's Corp. ... BMW Group's Mini Cooper breaks its first U.S. ad later this month in Auto Week. Crispin, Porter & Bogusky, Miami, handles. Mini ad spending is expected to increase from $5 million this year to $40 million in 2002, when the small car goes on sale. ... Hachette Filipacchi Magazines established a unit to handle all licensing and brand-extension opportunities for Canada, Mexico and South America. David Fishman will lead the division.