Interpublic Aligns Deutsch Inc. and Lowe Worldwide

* Reuters is not responsible for the content in this press release.

Thu Oct 15, 2009 1:25pm EDT

* Deutsch To Assume Management Oversight of Lowe Operations in North America
Under Leadership of Linda Sawyer
* Deutsch New York to Absorb Lowe NY Office
* Moves Further Strengthen Lowe Worldwide, Adding Dynamic U.S. Hub Agency to
Growing Global Network
* Deutsch Gains Access to Global Presence to Secure and Grow Multinational
Client Relationships

NEW YORK--(Business Wire)--
Interpublic Group (NYSE: IPG) announced today that it will be aligning its
Deutsch agency with Lowe Worldwide. Deutsch will become the North American hub
of the Lowe & Partners global network, assuming management oversight of Lowe
operations in North America, including Lowe New York, Lowe Roche Toronto and
Lowe Healthcare, under the leadership of Linda Sawyer. Deutsch NY will absorb
the Lowe New York operations. Lowe Roche and Lowe Healthcare will continue to
operate without any change to their current leadership teams and branding.
Deutsch LA will also be unaffected, continuing to run as an integrated agency,
reporting to Deutsch Inc. Going forward, Deutsch will operate under the name
"Deutsch Inc., a Lowe & Partners Company." 

"The Lowe turnaround has been an important part of the overall progress made at
IPG in recent years. The agency had made great strides in reclaiming its place
as a global creative powerhouse, it`s won major assignments from existing and
new multinational clients and, as a result, has reversed revenue declines and
significantly improved profitability. We`ve also brought on great talent and
added to the agency`s leadership with the recent arrival of CEO Michael Wall,"
said Michael I. Roth, Interpublic`s Chairman and CEO. "Deutsch is an agency with
a great brand and strong management team, as well as a powerful integrated
model. As we looked to the future, we wanted to preserve their unique culture
and provide them with opportunities to play on a bigger stage. The respective
strengths and needs of both companies are clearly complementary, which is what
led us to consider this alignment. By giving Deutsch the lead role in North
America and access to a strong global network, while at the same time bolstering
Lowe`s standing in the vital U.S. market, we believe we will create a more
powerful offering and accelerate our growth." 

Sawyer, who is being named North American CEO of Deutsch Inc., a Lowe & Partners
Company, indicated that "Tony Wright and I have worked closely together to
develop this innovative new model, which leverages Deutsch`s fierce independence
and strong culture, while also providing us with access to global tentacles
through the new Lowe network, which is a stalwart global federation of creative,
independent and diverse agencies around the world. This will allow us to take
our business-focused approach to new levels and simultaneously enhance Lowe`s
U.S. offering." Sawyer also announced that Val DiFebo, previously President of
Deutsch NY, has been named CEO of the combined Deutsch and Lowe operations in
New York. "Val`s been a key part of our success since 1992 and there is no one
better to lead a smooth transition or to maximize the opportunities of the
combined entity. I know she joins me in welcoming Lowe NY employees and clients
to our combined offices at Deutsch NY. In addition, in recognition of their
roles in taking Deutsch LA from a local office to a major national player, with
an outstanding creative reputation and new business record, Eric Hirshberg and
Mike Sheldon are being named co-CEOs of that agency." Donny Deutsch will remain
as Chairman of Deutsch Inc., a Lowe & Partners Company. 

"Deutsch is an agency with strong brand recognition, a highly effective
integrated model and a track history of long-term success. We are very excited
to formalize the collaborative relationship that our agencies have enjoyed for
the past few years," said Lowe Worldwide Chairman Tony Wright. "The Lowe &
Partners network that we are building is predicated on strong local agencies
servings as hubs, from which we steward the marketing and communications needs
of blue chip clients. Deutsch will now serve as one of those hubs, which will
result in significant benefits for our existing clients and will also strengthen
our ability to attract new global clients." Wright added that Lowe NY Chairman
and Chief Creative Officer Mark Wnek will not join Deutsch Inc., but instead
move to a Lowe Worldwide role, focused on certain key multinational clients,
while Lowe NY President Sal Taibi will become Partner, General Manager of the
new Deutsch NY. 

About Interpublic

Interpublic is one of the world's leading organizations of advertising agencies
and marketing services companies. Major global brands include Draftfcb,
FutureBrand, GolinHarris International, Initiative, Jack Morton Worldwide, Lowe
Worldwide, Magna, McCann Erickson, Momentum, MRM Worldwide, Octagon, Universal
McCann and Weber Shandwick. Leading domestic brands include Campbell-Ewald;
Campbell Mithun; Carmichael Lynch; Deutsch, a Lowe & Partners Company; Hill
Holliday; Mullen; The Martin Agency and R/GA. For more information, please visit
www.interpublic.com.

Interpublic Group
Philippe Krakowsky, 212-704-1328
or
Jerry Leshne, 212-704-1439
(Analysts, Investors) 



Copyright Business Wire 2009

Comments (0)
This discussion is now closed. We welcome comments on our articles for a limited period after their publication.