Jump to content

The Interpublic Group of Companies

From Wikipedia, the free encyclopedia

This is an old revision of this page, as edited by Benstown (talk | contribs) at 20:18, 28 November 2016 (svg logo). The present address (URL) is a permanent link to this revision, which may differ significantly from the current revision.

Interpublic Group of Companies
Company typePublic
NYSE: IPG
S&P 500 Component
IndustryAdvertising agency
PredecessorMcCann-Erickson, Inc.
Founded1930; 94 years ago (1930) (as McCann Erickson)
1961 (1961) (as Interpublic Group)
Headquarters909 Third Avenue
New York, NY 10022
United States
Key people
Michael I. Roth, Chairman, CEO, & President[1]
Revenue
  • Increase US$ 7,613.8 million (2015) [2]
  • Increase US$ 7,537.1 million (2014) [2]
  • Decrease US$ 480.5 million (2015) [2]
  • Increase US$ 505.4 million (2014) [2]
Total assets
  • Decrease US$ 12,585.1 million (2015) [2]
  • Decrease US$ 12,736.6 million (2014) [2]
Total equity
  • Decrease US$ 2,001.8 million (2015) [2]
  • Decrease US$ 2,151.2 million (2014) [2]
Number of employees
49,700 [3] As of April 2016
Websitewww.interpublic.com

The Interpublic Group of Companies, Inc. (IPG) is a publicly traded advertising company.

The company consists of three major networks: McCann Worldgroup, Lowe and Partners, and FCB. 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.[4]

Michael Roth is the current CEO.[1]

History

IPG was founded as McCann-Erickson in September, 1930. In January, 1961, it was renamed Interpublic Group and created the first marketing services management holding company with McCann-Erickson as a subsidiary.[5]

In 2002, IPG suffered a precipitous drop in its stock price and reputation in an accounting scandal. In that year, Interpublic was alleged in violation of the Securities Exchange Act over misrepresentation and artificially inflating its earnings.[6] 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.[7]

On August 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.[relevant?][8] On November 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.[relevant?][9] 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.[relevant?][10] On September 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.[relevant?][11] On March 22, 2006, IPG'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.[relevant?][12]

Interpublic, working to simplify its structure after its overload of deals in the 1990s and 2000s, did not complete any acquisitions in 2005 and 2006.[citation needed] It disposed of 51 businesses in 2005 and 2006, primarily outside the U.S.; Interpublic said it exited 23 "loss-making international affiliates" in 2006.[13] Interpublic in April 2007 announced it agreed to buy Reprise Media, a search engine marketing firm.[citation needed] In July of that same year, FCB-Ulka Advertising Private Limited, a subsidiary of IPG, was renamed DRAFTFCB+Ulka Advertising Pvt. Ltd.[14]

Companies

As of July 2016[15]

References

  1. ^ a b "Executive Profile Michael Isor Roth". Bloomberg Business. June 15, 2015.
  2. ^ a b c d e f g h "INTERPUBLIC GROUP OF COMPANIES INC 2015 Annual Report Form (10-K)" (XBRL). United States Securities and Exchange Commission. February 22, 2016.
  3. ^ IPG. "About - IPG". interpublic.com.
  4. ^ "Agency Family Trees 2013: Interpublic Group -- IPG". Retrieved Aug 16, 2013.
  5. ^ "IPG Company Profile". Wall Street Journal. Retrieved 2016-05-09.
  6. ^ "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.
  7. ^ "Yahoo! Finance Charts". Finance.yahoo.com. Retrieved 2013-06-14.
  8. ^ "The Interpublic Group of Companies, Inc. Expects to Restate Financial Statements".
  9. ^ "Interpublic Earnings Restatement Finalized At $181.3 Million".
  10. ^ "Interpublic Reports Fourth Quarter 2002 Results".
  11. ^ "Interpublic to restate 2000-2004 profit".
  12. ^ "Interpublic Announces Fourth Quarter and Full-Year 2005 Results".
  13. ^ Johnson, Bradley (26 April 2007). "No. 3 Interpublic Group of Cos". Adage. Retrieved 24 November 2015.
  14. ^ "Company Overview of DRAFTFCB+Ulka Advertising Pvt. Ltd". Bloomberg Businessweek. Retrieved 2013-12-05.
  15. ^ List of IPG agencies
  • Official website
  • Business data for Interpublic Group of Companies:
Retrieved from "https://en.wikipedia.org/w/index.php?title=The_Interpublic_Group_of_Companies&oldid=751971847"