Publicis Sees EUR55 Million Maximum Exposure To GM
05 Juni 2009 - 7:36AM
Dow Jones News
French advertising company Publicis Groupe SA (PUB.FR) said late
Thursday that it has a maximum EUR55 million exposure to General
Motor Corp.'s (GMGMQ) bankruptcy filing.
Publicis said the EUR55 million estimate takes into account the
principle of sequential liability, which obliges Publicis to pay
media vendors on behalf of GM only after receiving payment from
GM.
Earlier Thursday, Standard & Poor's Ratings Services put its
credit ratings on Publicis on watch for downgrade, citing its
exposure to the GM bankruptcy filing.
Publicis also said that it is continuing to work with GM to
confirm the essential or assumed status of its agencies' agreements
following the bankruptcy filing.
Company Web site: www.publicisgroupe.com
-By William Horobin, Dow Jones Newswires; +33 1 4017 1740;
william.horobin@dowjones.com