Interpublic Group of Companies
|This article relies on references to primary sources. (March 2007)|
|Traded as||NYSE: IPG|
|Headquarters||W. R. Grace Building
New York City, New York, USA
|Key people||Michael I. Roth, Chairman, CEO, & President|
|Revenue||$6.956 billion USD (2012)|
|Operating income||$678.3 million USD (2012)|
|Net income||$464.6 million USD (2012)|
The Interpublic Group of Companies, Inc. (IPG) (NYSE: IPG) is one of the big four global advertising holding companies (the others being Omnicom, WPP and Publicis). It is headquartered in New York City and is the parent company of advertising and marketing services agencies around the world.
The company consists of three major networks: McCann Worldgroup, Lowe and Partners and Draftfcb. Its media agencies are bundled under the IPG Mediabrands entity. It also owns a number of specialty agencies, including public relations, sports marketing, talent representation and healthcare.
Michael Roth is the current IPG Chief Executive Officer.
The first marketing services management holding company, IPG was created in 1960 with McCann-Erickson and McCann-Marschalk as its two subsidiaries.
In 2002, IPG suffered a precipitous drop in its stock price and reputation in an accounting scandal that was an epidemic among American companies (such as Enron, WorldCom, Tyco, and Adelphia) during that period. In that year, Interpublic was alleged in violation of the Securities Exchange Act over misrepresentation and artificially inflating its earnings. As of November 18, 2008 (taking into account stock splits), IPG's stock has sold at approximately the same price it was on November 18, 1987.
Interpublic, working to simplify its structure after its overload of deals in the '90s and '00s, did not complete any acquisitions in 2005 and 2006. It disposed of 51 businesses in 2005 and 2006, primarily outside the U.S. Specifically, Interpublic said it exited 23 "loss-making international affiliates" in 2006. Interpublic in April 2007 announced its first acquisition since 2004: It agreed to buy Reprise Media, a search engine marketing firm.
- Avrett Free Ginsberg
- The Axis Agency
- Lowe Campbell Ewald
- Campbell Mithun
- Carmichael Lynch
- Dailey & Associates
- Deutsch Inc.
- Draftfcb (a merger of Draft Worldwide and Foote, Cone & Belding Worldwide)
- FLAG (Pong Dynasty and CUBOCC)
- FRUKT Communications
- Gotham, Inc
- Graphic Orb
- Hill Holliday
- ICC Lowe
- ID Media
- IPG Mediabrands
- Jack Morton Worldwide
- Lowe and Partners
- The Martin Agency
- McCann Erickson
- McCann Health
- McCann Worldgroup
- Momentum Worldwide
- MRM Worldwide
- Octagon Worldwide
- Orion Capital/Printing/Trading
- Reprise Media
- Rogers & Cowan
- Tierney Communications
- TM Advertising
- Universal McCann
- Weber Shandwick
On Aug 13, 2002, the Interpublic Group of Companies announced to restate financial statements, due to uncertain economic environment and imbalances in certain accounts containing inter-Company activity and related balance sheet items that warranted further scrutiny. On Nov 13, the final amount of the restatement was reported to be $181.3 million, which reduced previously reported pre-tax income, substantially all of which is related to periods 2001 and prior reporting periods. On March 6, 2003, IPG restated the third quarter of 2002, after identifying $135.8 million of pre-tax charges relating to asset impairments and other operating expenses at Octagon Motor Sports. On Sep 15, 2005, IPG announced to restate earnings for fiscal 2000 through 2004, due to problems in accounting for revenue, acquisitions and lease expenses.The company also fired some employees in its investigation of accounting errors and potential misconduct. On March 22, 2006, IGP's financial review process resulted in restatement of 2005 interim periods and the recording of immaterial out-of-period adjustments to fourth quarter 2005 financial results.
- "Agency Family Trees 2013: Interpublic Group -- IPG". Retrieved Aug 16, 2013.
- "Abbey Gardy, LLP Announces Class Action Lawsuit Against The Interpublic Group of Companies, Inc. and Certain of its Officers and Directors -- IPG". September 2, 2002. Retrieved Jul 18, 2013.
- "Yahoo! Finance Charts". Finance.yahoo.com. Retrieved 2013-06-14.
- "The Interpublic Group of Companies, Inc. Expects to Restate Financial Statements".
- "Interpublic Earnings Restatement Finalized At $181.3 Million.".
- "Interpublic Reports Fourth Quarter 2002 Results".
- "Interpublic to restate 2000-2004 profit".
- "Interpublic Announces Fourth Quarter and Full-Year 2005 Results".
- Interpublic.com - Interpublic Group corporate homepage