Scholz to split from Bates

Hamburg-based Scholz & Friends, in which Bates holds a 90% stake, is to be spun off by Bates parent Cordiant as a separate network. Scholz and Bates share three clients: Compaq computers, Warner Wellcome and Tchibo, a German coffee roaster. Scholz will report to Michael Bungey, a director of Cordiant and chairman-CEO of Bates Worldwide. But Scholz & Friends Chairman and CEO Peter Schoning says: "This is Cordiant's third network...This is the first time that an agency based in Germany officially has been granted the status of an international network." Scholz has nine offices servicing 12 countries across Europe and has plans for a base in the Far East. Bates Frankfurt is simultaneously changing its name to Bates Germany and its CEO, Ulrich Veigel, will join the Bates Europe Board.