Evening star., 1948-03-26
Advertising Agency
Drops $11,00O,0OO
Lucky Strike Account
By the Assoeiotsd Press

NEW YORK, Mar. ga young
executive made history in the ad-
vertising world yesterday by tossing
out the lucrative American Tobacco
Co. account.
Emerson Foote, 41-year-old presi-
dent Of Foote, Gone & Belding, gave
no specific reasons for resigning the
account that had gross billings of
S11,0O0,0o0 to $4,000, 900 a year, be-
lieved the largest account ever VOL
unfairly relinquished by an agency.
Mr.. Foote, taking full responsibility
Tor the decision, in which he said
his partners concurred, referred to
his action only in generalities. It
was based on differences of opin-
ion: not differences of personality"
he said.
He added the action was neither
in anger nor in rancor." He ex-
planned: IF an agency can't do the
kind Of advertising 1t believes in, it
ought to stop taking commissions. !"
Second Severance in Week.
II was the second time within a
week that differences over the ad-
vertising Of Lucky Strike, Pail Mall
and British-made Kenistas cigar
cites resulted in the severance of
an American Tobacco connection.
Last Friday another young exec
tlVe, George Washington Hill. jr.,
~, whose grandfather and father
headed American Tobacco for many
years, resigned as an officer and
director of the company.
Mr.. Hill was vice president in
charge of advertising. He said he
had responsibility without author
1ty" and that for the last year his
operations were hampered by execu-
tive decisions with which he funda-
mentally disagreed.
Mr.. Foote emphasized that his
action and Mr.. Hills resignation
had no connection.
Although 1t is the first account
OF such proportions that the agency
has relinquished voluntarily it is
not its fSst voluntary resignation.
Dropped Another Account.
Last year, q spokesman for the
agency said, a Cities Service Co.
account with 100000 annual
billing was dropped. There was no
explanation Of that resignation
either.
Mr.. Foote refused to answer such
questions as whether there were
differences over media employed
(Mr. Foote said so per cent of the
billings were in radio) or whether
there were disagreements over
specific aspects of the advertising
program.
He likewise refused to 20 into
any details Of transactions in the
account.
He was asked to whom the con-
tract with Jack Benny (radio
comedian on the Lucky Strike
show was assigned. Mr.. Foote re-
piled "all contract transactions are
at will; we operate on a no contract
basis"
20 Per Cent Of Billings.
The agency has had the American
Tobacco account since January 2,
1943. 1t represented more than 20
per cent of its billings last year and
nearly so per cent of the New York
office billings. 1t will continue to
handle the account until a successor
is found.
Figures compiled by Harry M.
Wootten. a recognized consultant on
tobacco, show that in 1947 Lucky
Strike still led American cigarettes
in consumption, but that the vol
lme droped from the previous year.
Mr.. Wootten's 1947 domestic con-
sumption figures show that Lucky
Strike dropped 09 per cent from
l03, ,000,000,000 in 1946 to 1o2,000,-
10000 in 1947.
Camels, the second on the list,
showed 1873 per cent increase from
SO, SOC, 600, 600 to 101 ,OOO, 900, 900. Third
On the list was Chesterfield, which
increased its domestic consumption
Do per cent from $4,000, ,OOo, 600 to
So, 500. 900 600.