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NEW YORK REGAINS AD CROWN ACCORDING TO ANNUAL AD AGE REPORT

 NEW YORK, April 15 /PRNewswire/ -- New York has recaptured the title of the world's ad capital, based on the $25.5 billion in billings generated by the 147 agencies in the city in 1992, according to Advertising Age's 19th annual agency report.
 New York easily erased the $120 million billings advantage built in 1991 by Tokyo, where a recession saw agencies in 1992 labor under 0.7 percent growth to net $24.1 billion in billings.
 Despite the intensifying recession in the Japanese and other markets, advertising by U.S.-based agencies showed resiliency worldwide.
 The Top 500 U.S. agencies, plus the nearly 1,000 foreign shops linked in the global networks of the 20 largest, returned gross income of $14.5 billion, up 7.2 percent. Billings volume of $103.4 billion represents a 7.4 percent gain, according to the report.
 Overall, the Top 500 U.S. agencies in 1992 grew a collective 6.8 percent in gross income to $8.2 billion and 6.4 percent in billings to $59.8 billion. That's a far cry from just 2.9 percent growth in gross income for 1991.
 At the U.S. multinational networks -- making up the lion's share of the agency activity reported in Ad Age's special issue, both in the U.S. and on an international basis -- agency employment dropped 1.6 percent (by 1,123 jobs) in the U.S. compared with a 1 percent gain (658 jobs) on the non-U.S. side.
 Among the world's largest advertising organizations -- a ranking that includes a full spectrum of agency and holding company activities -- none in the Top 10 registered the double-digit growth they experienced during the 1980s.
 WPP Group, London, led the pack at $2.8 billion in gross income for 5.7 percent growth compared with a 2 percent decline in the prior year. Interpublic Group of Cos. New York, remained second at $2 billion, up 8.4 percent vs. 3.6 percent in the prior year; Omnicom Group passed Saatchi & Saatchi Co. in third at $1.8 billion, up 7.1 percent vs. 9.1 percent in 1991; Saatchi finished fourth at $1.7 billion, up 2.8 percent vs. 0.2 percent in 1991.
 Leo Burnett Co. remained the largest U.S. agency "brand." The ranking by brands peels away specialty businesses and autonomous subsidiaries from the conglomerate parent to identify the core ad agency. Burnett rebounded from a 0.1 percent decline in domestic gross income in 1991 to record a 4.9 percent growth to $313.8 million.
 Burnett still holds a commanding lead over the $268.8 million recorded by fast-charging J. Walter Thompson Co. up 14.9 percent to edge No. 3 Saatchi & Saatchi Advertising, down 4 percent to $268.2 million. JWT had been fourth in the brand race in 1991.
 On the worldwide scale, Dentsu is the globe's largest agency "brand" with gross income of $1.4 billion, down 4.2 percent on billings of $10.5 billion. This is the first time Ad Age has produced a brand ranking worldwide.
 McCann-Erickson Worldwide finished second at $922.3 million, up 11.7 percent, on billings of $6.2 billion.
 Euro RSCG, a merger of Eurocom and RSCG in Paris in 1991, placed third at $876.7 million, down 7.2 percent on billings of $6.3 billion.
 Ad Age's ranking of consolidated agencies -- returns that include its leading U.S. brand agency, its specialty subsidiaries involved in advertising and its international networks, continues to show the power of non-U.S. business of those agencies.
 The 20 largest U.S. consolidated agencies in foreign operations drew 58 percent of their gross income from abroad, or $6.4 billion.
 Young & Rubicam remained as the leading consolidated agency at $994 million in worldwide gross income, up 1.8 percent in its contributions from both U.S. and non-U.S. agencies.
 McCann-Erickson remained second, narrowing the gap considerably with returns of $935.8 million, up 13.4 percent with a boost in non-U.S. gross income to $685.6 million -- the largest foreign take of a U.S.- based shop.
 By contrast, these 20 multinational agencies reported U.S. gross income of $4.7 billion, up only 3.7 percent. This meant most of the growth in the U.S. took place in the smaller to mid-sized shops.
 -0- 4/15/93
 /CONTACT: Meryl Suben of Advertising Age, 212-210-0716/


CO: Advertising Age ST: New York IN: ADV SU:

TS-PS -- NY044 -- 6187 04/15/93 11:25 EDT
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