OMNICOM COMPLETES TAKEOVERS
By Adnews Staff
The Omnicom Group of New York has closed deals to buy two U.S.-based ad agencies, Ross Roy Communications and Chiat/Day Advertising. Omnicom is combining Chiat/Day with its TBWA International agency network to form TBWA Chiat/Day. Ross Roy will join the Diversified Agency Services division. TBWA Chiat/Day has offices in New York, Los Angeles, St. Louis and Toronto, as well as in 32 countries in Europe, Latin America, Asia, the Middle East and South Africa. TBWA co-founder and chairman Bill Tragos will be chairman and CEO of the new agency. Chiat/Day co-founder and chairman Jay Chiat will remain active with agency clients and become a consultant to Omnicom, whose holdings include the BBDO and DDB Needham Worldwide agency networks. Chiat/Day managing director Lee Clow will become chief creative officer of TBWA Chiat/Day in North America. TBWA's U.S. president Dick Costello will have responsibility for offices in New York, St. Louis and Toronto. Chiat/Day's managing director in Toronto, Steve Hancock, will be in charge of TBWA Chiat/Day's Canadian operation. In London, England, TBWA and Chiat/Day are merging operations. In taking over Chiat/Day, Omnicom gains the Nissan account for North America. This replaces Volkswagen's North American business which was moved out of Omnicom agencies last year.