Advertising Agencies

Procter & Gamble, the world's largest advertiser, is changing the way it pays advertising agencies that work on such familiar brands as Ivory, Tide, Crest and Pampers. Effective July 1, the Cincinnati-based consumer products giant will abandon traditional commissions and instead award ad agencies a percentage of its worldwide sales. "It's really simple," P&G Global Marketing Officer Bob Wehling said in a statement. "As we grow, our agencies grow.

Advertising agency True North Communications Inc. said Thursday that it has combined its FCB Worldwide unit with two U.S. offices and all international offices of its Bozell Worldwide division to create the fifth-largest global ad agency, with annual billings estimated at $8.2 billion. The move is expected to lead to further consolidation of True North's operations in Southern California, where about 200 people are employed in four offices in Los Angeles and Orange counties.

True North Communications Inc., the world's seventh-largest advertising company, agreed to buy a 49% stake in closely held Don Coleman Advertising for an undisclosed sum to extend its reach to African Americans. Don Coleman would join Chicago-based True North's multicultural agencies, forming the largest such agency network in the U.S. and giving it $200 million in aggregate billings. Don Coleman, based in Detroit, is the third-biggest African American-owned ad firm.

Western Initiative Media on Thursday denied that the giant media buying firm is moving key parts of its Los Angeles operations to New York, where Western's parent company is located. Speculation about a possible headquarters shift had been fueled by the consolidation of some back-office functions in New York and a trade industry report that several top Western executives had been reassigned to New York.

Miller Brewing Co. on Wednesday tapped two key Kraft Foods advertising agencies to handle its ailing premium brands, Miller Lite and Miller Genuine Draft. New York-based Ogilvy & Mather, a longtime Kraft agency handling Post cereals, will succeed Fallon McElligott of Minneapolis in the $95-million Miller Lite business. The Chicago office of J.

American Honda Motor Co. unexpectedly shook up its advertising mix on Tuesday by shifting its Acura automobile division's $150-million brand and regional advertising work to Santa Monica-based Rubin Postaer & Associates from Suissa Miller Advertising of Los Angeles. Rubin Postaer, which already holds a $350-million ad account for the Honda division, will create a "separate and distinct" advertising campaign for Acura, Honda executives said.

American Honda Motor Co. unexpectedly shook up its advertising mix by shifting its Acura auto division's $150-million brand and regional advertising work to Santa Monica-based Rubin Postaer & Associates from Suissa Miller Advertising of Los Angeles. Rubin Postaer, which already holds a $350-million ad account for the Honda division, will create a "separate and distinct" advertising campaign for Acura, Honda executives said.

Microsoft Corp. has unexpectedly ended its five-year relationship with Portland, Ore.-based Wieden & Kennedy and shifted its brand advertising account, with a reported value of $100 million, to McCann-Erickson. The move gives McCann-Erickson control over all of the software giant's domestic advertising, with an estimated value of about $230 million. Microsoft said the change was designed to produce "a more unified and impactful voice for Microsoft across all of its message campaigns."

Miller Brewing Co., which last month shook up its top management to reverse a slide in market share linked by many to flawed advertising, has launched new ads for Miller Genuine Draft, or MGD, its No. 2 brand. Miller, a subsidiary of Philip Morris Cos., said the new ads by Wieden & Kennedy of Portland, Ore. have the tagline, "Put a Keg in Your Hand."