Euro RSCG Acquires Middleberg Firm

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Euro RSCG Worldwide, Paris, this week acquired U.S. Internet communications and public relations firm Middleberg & Associates, New York.


Financial terms weren't disclosed.


The agency will be a wholly owned subsidiary known as Middleberg Euro RSCG, which will operate as a separate unit within Euro RSCG Worldwide's corporate communications group.


With billings exceeding $22 million, Middleberg has been ranked as one of the fastest-growing public relations agencies in the United States and is among the nation's 10 largest independent agencies. The firm has specialized in developing strategic online public relations and integrated marketing initiatives that have helped numerous companies increase their stature as major players in the digital economy.


Bob Schmetterer, chairman/CEO of Euro RSCG, said the company was "acquiring what we consider to be the finest independent communications firm in the United States." He said Middleberg was "widely considered the best of the digital age," and he characterized its growth as extraordinary.


"The fact that they are a firm representing both established leaders leveraging their franchises online as well as fast-moving dot-coms, makes Middleberg a great fit for our network," he said.


Schmetterer said Middleberg would change the way Euro RSCG managed its Internet communications services business in the United States.


"This strategically brilliant agency will become the centerpiece of our North American initiative," he said.


Explaining why the deal was important to both parties and to their clients, Don Middleberg said the Internet now intersects with virtually all industries. He said that the ability to offer communications capabilities on a global scale was what Middleberg Euro RSCG would be about.


Headquartered in New York, Euro RSCG Worldwide is the world's fifth largest agency network, with 202 agencies in 75 countries. The network's client roster includes Intel Corp., WorldCom, Peugeot, Philips Electronics, CNN, Air France and Louis Vuitton.


Middleberg Euro RSCG is now a 150-person public relations and communications agency. Clients include AXA Financial, CMGI, IBM, Sesame Street and United Airlines.
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