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July AdBites Luncheon
July 15, 2008

11:30 a.m. to 1 p.m.
Regency Lodge

August AdBites Luncheon
August 20, 2008

11:30 a.m. to 1 p.m.
Regency Lodge

July Birthdays

2 Lisa Meehan
Clark Creative Group

2 Angie Schendt
Woodmen of the World

5 Cheri Duryea
Lortz Direct Marketing, Inc.

5 Jerry Underwood
Chemistry Advertising

6 Tim Pfannenstiel
Alpha Rentals-Video, Inc.

8 Linda Knapp
Morningfire, Inc.

11 Sharon Carleton
Ervin & Smith Advertising & Public Relations

13 Scott von Freiberg
Market Media

14 Steve Armbruster
REDSTONE Communications

15 Laura Crary

17 Carolyn Hund
Ervin & Smith Advertising & Public Relations

21 Vic Richards
WOWT Channel 6

22 Kim Erickson
Kim Erickson, Inc. GoldStar Global

24 Bill O’Neill
University of Nebraska Medical Center

24 Jan Swanson
Blue Earth Marketing

24 Mike Benson
Group 3 List Marketing, Inc.

25 Charlene Pierce
Money Mailer

25 Larry McNichols
Lifetime Member

25 Mark Carpenter
SKAR Advertising

26 Kim Mickelsen
Bozell

27 Kevin Cooper
Lamar Outdoor Advertising

27 Ashlee Freeman
REDSTONE Communications

31 Steve Brewer
College of Saint Mary

Katherine Ramirez
KETV Channel 7

Janet Noll
KETV Channel 7

Brooke Janousek
First National Bank

Elinor K. Lane
UNL Student

OFA membership, what’s in it for me?

What You Get
The Omaha Federation of Advertising (OFA) is committed to the professional development of its members. Our educational programs provide the knowledge and skills you need to be the very best in your field.

And with a membership in the only professional association dedicated to the advertising and marketing community in Omaha and Council Bluffs, you’ll have the opportunity to meet others who share your career interests, get involved in public service projects and give your talents to industry-related events.

What’s more, your membership earns you great benefits:

  • Member pricing for AdBites: Professional Development While You Eat, our monthly luncheon programs featuring nationally known speakers and topics that are relevant to your daily business
  • Discounts on entry fees for the Midlands Marketing Expo and the Addys
  • Free admission to every After Hours event
  • Complimentary listing in and access to the membership directory on omahaadclub.org
  • Plus, a plethora of discounts from the American Advertising Federation (AAF)

How To Get It
Joining OFA is easy and affordable. Go online to omahaadclub.org. Fill out the membership application and mail it with your check to:

Teri Hamburger
Executive Director
Omaha Federation of Advertising
P.O. Box 6146
Omaha, NE 68106
Fax: 402-561-6631

Make checks payable to Omaha Federation of Advertising. For questions or more information, contact Teri Hamburger at 561-6625 or teri@novia.net.

Rates
Individual: $90
Corporate: $85 for each member at the same company after four individual memberships have been paid

Why We’re Here
The Omaha Federation of Advertising (OFA) is the unifying voice for advertising in the Omaha/Council Bluffs metropolitan area. We are the only professional association that binds together mutual interests of corporate advertisers, agencies, marketing and media services, suppliers, academia, and other advertising and public relations professionals.

Above all, we come together to make advertising a positive force in our economy and culture. We strive to be advocates for advertisers’ rights and to help educate policymakers, the news media and the public on the benefits of responsible, well-crafted advertising.

OFA Membership Profile

Kristin Petrick, Ervin & Smith Advertising & Public Relations

Kristin Petrick

1. How long have you been a member of OFA?
Four years

2. What is most exciting about being the next OFA President?
Apparently, as President, I’m entitled to a lifetime supply of umbrellas. Jealous?

3. Why did you join OFA?
I was approached to work on the public service campaign committee several years ago. It was my first experience with the OFA and it was truly rewarding. The campaign brought together the creative forces of several local organizations and advertising agencies all for one cause. The PSA campaign focused on mental health awareness and decreasing the stigma associated with mental illness. The campaign was a great example of what our industry can do to encourage positive change in our community. Since then, I’ve been able to participate in several OFA PSA projects including, meth prevention and teen homelessness.

BTW – we’re recruiting public service campaign committee members for the 2008-2009 project. Email me if you’re interested at kristinp@ervinandsmith.com Free umbrellas to the first 5 people who join.

4. Would you rather be by yourself or with lots of other people?
Depends. If I’m on an airplane, I’d rather be by myself. More leg room and peanuts. If I’m being attacked by wild animals, I’d rather be with lots of people. More chance of survival.

5. If you were a candy, what kind would you be?
Twizzlers. The mutli-functional candy. Use it to drink your favorite beverage. Wield it like a weapon and whip your little brother in the head. Disguise yourself with a fake twizzler mustache. The list goes on.

6. What’s the most interesting thing on you desk?
Award plaques that don’t belong to me. I have box of plaques from the American Advertising Federation National Conference I just attended on behalf of the OFA. As the incoming President, I was asked to represent the club and accept awards won by our board members including 1st place for our public service campaign. Congrats to Kathleen Durkin from Swanson Russell for leading the 2007 PSA campaign effort. I feel bad. I got all the applause and the free booze. But, you’ll be glad to know I accepted both enthusiastically.

7. What’s the biggest risk you’ve taken that was a success?
Having children seems like a big risk. My success rate is yet to be determined. I don’t know how good I’m doing. My three-year-old refuses to wear underpants and recently cut her own hair. I also have a four-month-old daughter, so there’s a 50/50 chance one of them will turn out okay.

8. If the whole world was listening to you, what would you say?
“Join my Linked-In network.” 6.7 billion “connections” equals global Linked-In domination. Beat that, losers.

9. If you became a multi-millionaire overnight, what would you buy?
Urls are the new real estate. A few I’m looking into craptothepowerofsuck.com and sitonthenaughtymat.com.

10. Do you like to dance?
Does Paris Hilton like sandwiches? The answer is, she does, but she can’t eat them because it would ruin her image. The same can be said about my dancing.

11. Would you go bungee jumping or sky diving?
Hello, I have two kids. No mother would even think of risking her life bungee jumping or sky diving. I’m opting for a slow-death-by-whining.

12. What do you like most about your job?
The typical agency battles between creatives and account executives. I’ll take a front row seat to a passive-aggressive blood bath any day.

13. What did you want to be when you grew up?
My high school career assessment test revealed I have good people skills. I was best suited for a career as a cafeteria lunch lady or public relations professional. I chose the latter.

14. What Inspires You?
John Tesh is still working. That is very inspiring indeed.

15. You can’t leave home without?
I never leave home without my bag of workout gear including my running shoes, iPod, water bottle, gym membership card etc. They’ve been sitting in my car for five months. So theoretically, I never leave home without them.

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July AdBites Luncheon

OFA AdBites

Presenting Persuasively: How to Sell Your Ideas to Clients, Superiors and Teammates
Presented by Sheila Campbell, President, Wild Blue Yonder, Inc.

Sheila Campell

Tuesday, July 15
11:30 am networking,
12:00 pm luncheon
Regency Lodge

Presenting Persuasively: How to Sell Your Ideas to Clients, Superiors and Teammates Sheila Campbell, President, Wild Blue Yonder, Inc.

No matter how good our ideas are, they aren’t worth anything if you can’t persuade other people to act on them. Sheila Campbell will show you how to enhance your credibility and plan your presentation strategy so your great ideas can come to life.

Sheila Campbell is president of Wild Blue Yonder, Inc., a consulting firm centered around organization behavior, creative thinking, strategic planning and leadership, with a particular focus on marketing oriented organizations. Wild Blue Yonder clients have included the World Bank, National GeographicTelevision, America Online, FannieMae, and the Boston Museum of Fine Arts, among others. Her advertising clients have included Arnold Worldwide, JWT, Ogilvy Worldwide, Euro RSCG, the American Association of Advertising Agencies (AAAA) and the Institute of Canadian Advertising.

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August AdBites Luncheon

OFA AdBites

2005 Fall Television Preview – A Fall For? Or a Fall Flat?

What’s better than watching TV’s Fall programming from your sofa at home? Joining your media pals of course, over lunch, popcorn and sneak previews at the OFA September Luncheon.

Tuesday, August 20, 2008
Regency Lodge – 909 S. 107th Avenue
11:30 Networking – 12 Noon Luncheon
$15 Members – $20 Non Members

Will we fall for or will they just fall flat? Is any single show arriving on the heels of loud buzz? Or is fall’s problem one of too many high-grade averages? After weeks of slogging through almost every new series that the Big 3 networks will offer this fall, OFA unveils definitive picks on the new additions to “Television You Can’t Live Without.”

UNO professor and OFA member, Hugh Reilly* will act as our critic and moderator to cover the shows, the hype and the network tap dance on the 2005 Primetime TV Lineup. Broadcast representatives will be on hand with reels and fun Preview giveaways.

If you have any interest in ratings, program information, episode guides, spoilers and trivia, or if you just like TV – you won’t want to miss this program. Bring a friend and earn a chance to watch the previews upfront and comfy from the OFA SOFA with concierge service and your own customized bowl of popcorn! RSVP to the OFA office at 561-6625 or e-mail teri@novia.net.

*Television Bio Info on Hugh Reilly
Experience: Owns TiVo and can operate the timer on his VCR.
Education: He’s been watching TV since “The Dukes of Hazard” was on the air.

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Small Business Seminar Re-Cap

Forty-five small business owners attended OFA’s second “Smart Spending. Big Profits.” seminar at the Omaha Chamber of Commerce on June 6th. The participants were greeted by Larry Gomez of the Chamber and education committee member, Christin Goetz. Kim Mickelsen, Bozell, opened the program with remarks about small business marketing and advertising. After the opening remarks, nine advertising professionals led three rounds of roundtable discussions. Business owners could choose from three of the following topics:

  1. Design — Bill Madden, The Alternative Group & Color 9 Creative
  2. Copy — Susan Baird, The Alternative Group & S.N. Baird Communications
  3. Grass Roots Marketing — Lauralee Miller, The Alternative Group
  4. Web Site Development — Scott Rowe, Bozell
  5. The Importance of Branding — Bill Madden, The Alternative Group & Color 9 Creative
  6. Public Relations — Bill Flavell, Bozell
  7. Interactive Advertising — Joel C. Pape, Web Splashes, Inc.
  8. Non-traditional Advertising — Wayne Brekke, Big Ink Writing Services
  9. How to Create a Marketing Plan — Mike Benson, Group 3 List

In between roundtable sessions, the business owners also had the opportunity to visit with multiple media and production representatives from the following businesses:

  • Omaha World-Herald
  • KPTM/KXVO
  • CDG Displays
  • The Reader
  • Suburban Newspapers
  • City Weekly

The tradeshow area was a place where the business owners could meet with the people who can actually sell them the advertising space they need once they had determined what type of advertising works best for their business and budget. The event was once again determined a success because of positive feedback and some extra money brought in to OFA’s bottom line.

Numerous business owners commented that the sessions were informative and established connections with leading advertising professionals in the industry. Everyone walked away with handouts full of information and business cards, as well as a newfound knowledge of advertising principles. Thank you to the Omaha Chamber of Commerce for its cooperation in making this event a success.

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Ad World News

Anderson Partners Hires LaPoint, Goldoni and Davidson

Omaha, Neb. (June 11, 2008) — Anderson Partners, Inc. announced today the promotion of Lauren LaPoint and Jessica Goldoni as account executives, and the hiring of Sara Davidson as an account coordinator.

LaPoint is a native of Ohio and a graduate of Kent State University with a Bachelor of Science degree in advertising. At Anderson Partners, she has planned and managed a broad range of client initiatives with an emphasis on new media such as Internet advertising, text messaging and e-mail marketing.

Goldoni has been a member of Anderson Partners’ account service team since 2005, joining the firm following her graduation from the University of Nebraska at Omaha with a Bachelor of Science degree in journalism. She has helped develop marketing strategies and works to ensure that the message and brand of Anderson Partners’ clients is consistent in all of their communication pieces.

Davidson comes to Anderson Partners following an internship with Weber Shandwick Worldwide in Minneapolis. She received a Bachelor of Arts degree in journalism and mass communication from Iowa State University.

Deborah Ahl, director of client services, said, “These talented women are adding substantial value to our clients’ businesses and are helping Anderson Partners expand its services during a time of significant growth.”

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The Nebraska Chiropractic Physicians Association names Louis Andersen as Chief Executive Officer

Omaha, Neb. (May 21, 2008) — The Nebraska Chiropractic Physicians Association announced today that its board of directors has appointed Louis Andersen, 45, as the company’s chief executive officer of managed care operations and as executive director of the Nebraska state association. The appointment is the result of an ongoing succession planning process and is effective immediately.

Andersen brings 22 years of leadership in the health care arena to his current assignment. Most recently, he served as chief executive officer of Coventry Health Care of Nebraska, Inc. Andersen received his master’s in business administration from New York’s Columbia University Graduate School of Business and received his undergraduate degree in accounting from the University of Nebraska.

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Swanson Russell Promotes Salem and Epstein, Hires Duling

LINCOLN, Neb., (June 12, 2008) — Swanson Russell announces the promotion of Ed Salem and Emily Epstein, and the hiring of Meredith Duling in its Omaha, Neb., office.

Salem has been promoted to senior vice president/executive creative director. He is involved in the overall leadership of the creative department and serves as a member of Swanson Russell’s Officer’s Council.

A native of Sioux City, Iowa, Salem joined Swanson Russell in 1999. Prior to his promotion, he was a vice president and creative director for the agency. During his tenure at the agency, he has led creative teams in brand development for Purina Mills, Gateway Computers, Tweeter Electronics and Textron. He previously was associate creative director at Gateway Computers in North Sioux City, S.D. He is a graduate of Iowa Lakes Community College’s commercial art program and holds a Bachelor of Science in Fine Arts and Marketing/Advertising from Wayne State College, Nebraska.

In her new position as associate account manager, Epstein’s client assignments include Schering-Plough Animal Health, Land O’Lakes Purina Feed LLC and Meridian Animal Health. She previously served as an account coordinator, joining the agency in 2005.

Epstein received a Bachelor of Science in Journalism degree, with an emphasis on strategic communications, from the University of Kansas in 1995. During college, she was a marketing intern for Henry Doorly Zoo in Omaha and The Jewish Federation of Greater Kansas City. She is a member of the Omaha Federation of Advertising, serving on the Public Service Committee; the American Marketing Association; the National Agri-Marketing Association; and the National Council of Jewish Women.

Duling is a public relations coordinator, with duties including media monitoring, tracking and analysis of client publicity. She previously worked as an assistant producer at HuskerVision and then as a news reporter at KETV in Omaha. Originally from Sioux City, Iowa, she graduated with a bachelor’s degree in journalism from the University of Nebraska-Lincoln.

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Swanson Russell Creative Hires: Lorraine, Schnick and Johnson

LINCOLN, Neb., (June 18, 2008) — Swanson Russell welcomes three new employees, Lisa Lorraine, Justin Schnick and Michael Johnson, to the Lincoln, Neb., office’s creative department.

Lorraine, an art director, returns to Swanson Russell after working at the agency as a graphic designer and art director from 2001-2007. She is the primary art director on the E-Z-GO account. A native of Lincoln, Lorraine is a graduate of Morningside College in Sioux City, Iowa.

Schnick returns as a graphic designer after his first stint at Swanson Russell from 1999 to 2001. He is a graduate of the University of Wyoming with a Bachelor of Arts degree in graphic design. He is a native of Cheyenne, WY.

Johnson is a writer/producer who has worked for two other local marketing communications agencies. A native of Lincoln, he earned a Bachelor of Journalism degree from the University of Nebraska-Lincoln, majoring in advertising. Johnson is a member of the marketing committee for Lincoln’s Young Professional Group.

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Reinke Manufacturing Co. Selects Swanson Russell For Marketing Communications

LINCOLN, Neb., (May 2, 2008) — Swanson Russell has been chosen by Reinke Manufacturing Company Inc., one of the country’s leading manufacturers of center pivot irrigation systems, as its marketing communications agency of record.

The Deshler, Neb., company is one of the largest manufacturers of center pivot irrigation equipment in the world and after 54 years in operation, one of the oldest. In addition to manufacturing center pivot, towable lateral move irrigation systems and swing arm corners, Reinke also manufactures a line of truck trailers and intermodal chassis.

As an irrigation industry leader, Reinke strives for continued innovation as the inventor of the world’s first reversible, electric gear-driven center pivot system, the first irrigation span more than 100 feet in length and patenting the first V-jack truss design. Reinke holds more than 30 worldwide patents.

Swanson Russell will handle Reinke’s public relations program, trade advertising, media planning and buying, and assist with marketing communications strategy development.

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Swanson Russell Honored with Best of Show for Green Industry Work

LINCOLN, Neb., (June 18, 2008) — Swanson Russell received several honors including Best of Show at the recent Turf & Ornamental Communicators Association (TOCA) Awards in Minneapolis, Minn.

TOCA awards recognize the best of green industry writing, photography and design. With more than 400 entries this year considered by a distinguished panel of independent judges, Swanson Russell received nine awards for work with five clients. Winners were announced during TOCA’s annual conference in Minneapolis on May 8.

Swanson Russell’s Best of Show award, the Gardner Award for Design-Marketing Communications, was for a direct mail piece on behalf of client Little Giant.

The agency also took home five first place and three merit awards in writing, advertising, printed materials and Web design categories for clients Rain Bird, Hines Horticulture, Little Giant, E-Z-GO and Corona Clipper.

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Swanson Russell Tops Magazine Ranking in Agency Income From Products for Companion Animals, Green Industry

LINCOLN, Neb., (June 12, 2008) — A recent survey by Agri-Marketing magazine ranks Swanson Russell first in 2007 agency income from “professional products,” which include those for companion animal and green industry markets.

Agri-Marketing, the official magazine of the National Agri-Marketing Association (NAMA), annually ranks the largest communications agencies serving the agribusiness, producer-funded, rural lifestyle and professional products markets. The rankings were featured in the May issue.

Professional products are defined as products and services sold by agency clients to the companion animal, turf and ornamental, landscape, golf course, roadway maintenance or similar markets. Swanson Russell’s income from professional products was more than double the income for the second-place agency.

“The top ranking in the professional products category is due to our growth and success with clients such as Sergeant’s Pet Products and, in the green industry, Ariens, Briggs & Stratton, E-Z-GO, Profile Products LLC, Rain Bird, Scotts Professional Business Group and Shindaiwa, among others,” said Dave Hansen, Swanson Russell executive vice president and managing partner-Lincoln. “Our many years of experience and expertise in these markets have worked to make real connections between our clients and their customers.”

Agri-Marketing also ranked Swanson Russell among the 30 largest marketing communications agencies whose clients sell products and services to markets served by the magazine. Swanson Russell ranked third in 2007 income from direct marketing, and third in 2007 income from Web-based/electronic marketing.

“Interactive is the fastest-growing department in our agency,” Hansen noted. “Our ability to think strategically, generate big ideas and execute technically has produced impressive Web-based results for our clients.”

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Swanson Russell Hires McCarthy as Media Planner

LINCOLN, Neb., (June 24, 2008) — Swanson Russell welcomes Jennifer Brammer McCarthy as a media planner in the Lincoln office.

A native of Clayton, N.C., McCarthy comes to Swanson Russell from Winston-Salem, N.C., where she worked as a communications planner. She has a Bachelor of Arts in Journalism and Mass Communications from the University of North Carolina at Chapel Hill.

As a media planner, McCarthy is responsible for selecting media for advertisement placement to assist clients in achieving business objectives. This includes analyzing target audiences, keeping abreast of media developments, reading market trends and understanding motivations of consumers. Her accounts include Rain Bird, Vista Professional Outdoor Lighting, Corona Clipper and PROFILE Products LLC.

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Chairmen Dingell, Stupak Seek DTC Guidelines From Pharmaceutical Companies

Following a House Energy and Commerce Committee Oversight and Investigations Subcommittee hearing on three specific direct-to-consumer pharmaceutical advertising campaigns, full committee chairman John Dingell, D-Mich., and subcommittee chairman Bart Stupak, D-Mich., sent follow-up letters to the CEOs of the pharmaceutical companies that testified and to the Pharmaceutical Research and Manufacturers Association requesting answers to questions Dingell posed in the hearing. The chairmen asked if the companies would volunteer to abide by a number of "guidelines," including a two-year moratorium on advertising new prescription drugs and to not market prescription drugs until a valid outcomes study of the product is completed. The two-year moratorium was considered and rejected by the committee last summer during consideration of the Food and Drug Administration legislation. A valid outcomes study is an imprecise term that implies finality and could in effect result in a complete ban on DTC advertising. Because it is impossible to reach a point of knowing everything about a product, the study could become a threshold that even aspirin could not reach.

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Merck Agrees to FDA Preclearance

As part of a settlement with 30 state attorneys general, Merck & Co. will submit all of its direct-to-consumer advertisements to the Food and Drug Administration and not broadcast them until the FDA gives specific approval. The agreement could cause the FDA to delay Merck’s advertising for any reason. Most companies already voluntarily submit their advertising to the FDA for comments prior to airing; however, the agency does not have the authority to approve the ads. Following the enactment of the FDA Amendments Act, the agency now has the power to fine marketers for false or misleading advertisements. The decision concludes a three-year investigation of the company’s marketing of Vioxx and is part of an overall $58 million settlement with the states.

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Massachusetts Rep. to Introduce Online Data Collection Opt-Out Bill

Massachusetts Rep. William Straus, D-Mattapoisett, plans to introduce legislation that would allow users to opt-out of data collection mechanisms on Web sites. The proposal mandates Web sites provide notice of what kinds of data are collected and provide specific data security for users who do not opt-out. Additionally, the bill would limit third-party advertisers to accessing tracking data no longer than 24 months after it is collected. Rep. Straus is seeking co-sponsors before he introduces the bill.

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New DTC Moratorium Bill Introduced in House

Reps. Rosa L. DeLauro, D-Conn., and Jo Ann Emerson, R-Mo., introduced a bill that would require many of the same changes to direct-to-consumer advertising considered and rejected by Congress last year. The Responsibility in Drug and Device Advertising Act of 2008 (H.R. 6151) would impose a three-year moratorium on DTC ads and give the FDA authority to require companies to distribute "corrective materials" if they violate the moratorium. Additionally, the proposal requires prominent display of potential side effects and a federal public education campaign that describes the risks of certain drugs. DeLauro chairs the Agriculture, Rural Development, Food and Drug Administration Appropriations Subcommittee, and Emerson is a senior Republican member of the Appropriations Committee. The bill was introduced soon after a House Energy and Commerce Committee Oversight and Investigations Subcommittee hearing on DTC advertising. At that hearing, subcommittee chairman Bart Stupak, D-Mich., and full committee chairman John Dingell, D-Mich., criticized representatives from three pharmaceutical companies and asked if their companies would voluntarily agree to impose a two-year moratorium on DTC advertising and not to market prescription drugs until a valid outcomes study of the product is completed. A two-year moratorium was considered and rejected by the committee and Congress last year during consideration of the FDA Amendments Act of 2007.

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International Council of Beverages Association Announces Children’s Marketing Guidelines

The International Council of Beverages Association has adopted new children’s marketing guidelines, pledging not to market many beverages, including carbonated soft drinks, to any audience comprised predominantly of children under 12. The Coca-Cola Company and PepsiCo have both agreed to implement the guidelines worldwide by the end of 2008. The new policy applies to television, radio, print, Internet, mobile and cinema advertising, including product placement. Other kinds of marketing, including sponsorships, point of purchase and school presence, will be reviewed by the end of 2009. The beverage guidelines follow similar principles outlined in the Council of Better Business Bureaus’ Children’s Food and Beverage Advertising Initiative, which was agreed to by many major food companies, including Coca-Cola and PepsiCo. A copy of the beverage guidelines is available here.

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FCC Announces DTV PSA Plans, Transition Test Market

The Federal Communications Commission has announced plans to broadcast its own public service announcements and place billboard and transit ads designed to educate consumers on the completion of the switch from analog to digital television on February 17, 2009. The targeted ads will feature FCC Chairman Kevin Martin and Commissioner Michael Copps. Additionally, the FCC announced plans to monitor the reaction to stations in Wilmington, N.C., which are planning to switch to digital-only broadcasts beginning September 8.

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Legal, Legislative and Regulatory Panel to Be Featured at AAF National Conference

As part of AAF National Conference 2008 in Atlanta, Ga., four esteemed advertising lawyers will discuss current legal trends surrounding new advertising strategies, as well as unique considerations required for food advertising to children, product placement, infotainment, data privacy and self-regulatory best practices. "Legal, Legislative & Regulatory Issues: A Nonbillable Hour" is scheduled for Monday, June 9, from 2:00 p.m. – 3:00 p.m. Scheduled panelists are:

  • Steve Bergerson, Advertising Law Attorney, Fredrikson & Byron P.A.
  • Jeff Edelstein, Partner, Co-Chair, Advertising, Marketing & Media, Manatt, Phelps & Phillips, LLP
  • Jill Meyer, Partner, Frost Brown Todd
  • Carla Michelotti, EVP/General Counsel & Director of Government Affairs, Leo Burnett Worldwide

Individual tickets to this event are available. For more information about AAF National Conference 2008, visit www.aaf.org/conference.

AAF Government Report will not be published next week because of the AAF National Conference 2008 in Atlanta. AAF Government Report is available to all members of the AAF. If you are interested in receiving an e-mailed copy, please e-mail government@aaf.org.

If you are interested in receiving AAF SmartBrief, an opt-in news service, please visit www.smartbrief.com/aaf. AAF SmartBrief condenses advertising industry news from dozens of media sources into a succinct, easy to read e-mail. Go to the Government Affairs Main Page.

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Drug Companies Agree to Six-Month DTC Advertising Moratorium

Johnson & Johnson, Pfizer, Merck and Schering-Plough have agreed to a six-month moratorium on new drug advertising and will modify practices concerning actors portraying doctors and compensated endorsers in DTC ads. The announcements were made in letters responding to House Energy and Commerce Committee Chairman John Dingell, D-Mich., and House Energy and Commerce Committee Oversight and Investigations Subcommittee Chairman Bart Stupak, D-Mich., who asked the companies to comply with several specific proposals concerning DTC advertising. In addition to the actors and endorsement guidelines, the letters asked the drug manufacturers to adhere to a two-year moratorium on new drug advertising, to not air any DTC advertising until a valid outcomes study is conducted and completed, to not market off-label uses for prescription products in DTC ads, to include the FDA’s MedWatch phone number in DTC ads, and to include "black box" warning statements in advertising when the FDA requires such warnings on product labeling. The companies expressed reservations over the valid outcomes proposal, saying that such a mechanism would restrict patient access to potentially life-saving treatments. The companies stated they would defer to FDA guidance concerning the remaining issues, unless the company already complied with the proposal. Additionally, Pharmaceuticals Research and Manufacturers of America (PhRMA) said they will discuss its Guiding Principles with the committee and seek its input. In a statement, Dingell said that the responses were an important first step in the subcommittee’s review of DTC advertising, and he looks forward to further discussion with the companies and PhRMA. Copies of the letters sent to the pharmaceutical companies, and their responses, are available here.

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Senators Introduce Commercial Text Message Bill

Sens. Gordon Smith, R-Ore., Ben Nelson, D-Fla., Mark Pryor, D-Ark., and Olympia Snowe, R-Maine, have introduced legislation that would permit cell phone users to opt-out of receiving all unwanted commercial text messages. S. 3138, the Junk Text Message Prevention Act, would include text messages in the scope of the federal Do-Not-Call Registry. The bill would clarify and strengthen powers given to the Federal Communications Commission and the Federal Trade Commission concerning unwanted text messaging. At last month’s FTC workshop on mobile marketing, major cell phone carriers highlighted mechanisms already in place that allow consumers to block any surreptitious or otherwise unwanted text messages. Unsolicited commercial messages already violate several laws, including CAN-SPAM and the Computer Fraud and Abuse Act, which bans any disruption of consumer networks.

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Congresswoman Seeks Relief From Loud Commercials

Rep. Anna Eshoo, D-Calif., has introduced a bill that would require the Federal Communications Commission to ensure "television advertisements not be excessively noisy." H.R. 6209, the Commercial Advertisement Loudness Mitigation (CALM) Act, would direct the FCC to enact standards preventing commercials from being broadcast at louder volumes than programming. More broadly, the bill would prohibit ads that are "excessively noisy or strident." According to Eshoo, "Most Americans are not overjoyed to watch television commercials, but they are willing to tolerate them to sustain free over-the-air television. What annoys all of us is the sudden increase of volume when commercials are aired." The bill was referred to the House Energy and Commerce Committee, but no hearings are scheduled.

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Behavioral Advertising Bill Introduced in Massachusetts

The Massachusetts legislature this week introduced a behavioral advertising bill similar to earlier measures in the New York and Connecticut state assemblies. House Bill 4822, the Online Advertising Act, introduced by Rep. William Straus, D-Mattapoisett, would require that companies provide notice of data tracking activity, security of consumers’ personal information and deletion of personal information after 24 months. Additionally, the legislation would provide consumers the ability to opt-out of all behavioral tracking and give them access to personal information stored by a company. The bill would prohibit marketers from using financial, medical or other sensitive data for marketing purposes and would penalize Web companies who use any personal information without consent. The AAF believes that absent any demonstrable consumer harm or concern with Internet advertising, additional government regulation is unnecessary.

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FCC Embedded Advertising/Product Placement

The Federal Communications Commission has indicated it will conduct a Notice of Proposed Rulemaking (NPRM) on embedded advertising disclosure. The commission is considering whether it should require simultaneous disclosure of all product placement instances on television.

The FCC decision is troubling to the advertising industry because it suggests that regulatory action is necessary. In 2005, the Federal Trade Commission considered and rejected a similar proposal, saying there was no evidences that product placement was unfair, deceptive or resulted in consumer harm.

The AAF, along with AAAA and ANA, wrote to the FCC commissioners in December asking that the agency consider embedded advertising under a Notice of Inquiry (NOI). Given the significance, complexity and economic implications of this issue for free media, we believe the commission should conduct a closer examination of the subject to determine if any problems exist before considering possible regulatory solutions.

A copy of the letter the AAF sent to the FCC is available here. Please do not hesitate to contact us if you have any questions.

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