Agency.com Cuts 90 Jobs

NEW YORK — As a part of a restructuring, Agency.com has closed its Woodbridge, N.J., and Atlanta offices and laid off about 90 staffers or 20 percent of its workforce, the i-shop confirmed Wednesday. Most of the staff reductions came from the company’s 30-person Woodbridge office, 3-person Atlanta outpost, and New York and Boston operations, according to a company representative.

The layoffs coincide with the promotions of Don Scales, formerly president of the U.S. Western region, and Eben Lenderking, most recently president of the European region, to the newly created posts of CEO of Agency.com: North America and CEO of Agnecy.com: Europe, respectively.

Reporting to Agency.com chairman and CEO Chan Suh, Scales and Lenderking will manage the day-to-day operations of their respective regions. The two will also work to integrate iTraffic, an interactive creative, media planning and buying shop bought by Agency.com in 1999, and Red Sky, a San Francisco-based interactive shop that merged with Agency.com late last year, into the company.

The promotions signal Agency.com’s shift to a two-region operation with a profit-and-loss center for North America and another for Europe. For the past year, Agency.com had four profit-and-loss centers, as well as four presidents overseeing Eastern U.S., Western U.S., Europe and the i-shop’s i-Traffic subsidiary.

Mike Mathews, who became acting president of the U.S. Eastern region when Anthony Laudico left last fall, will continue in his other role as corporate evp. Ron Kovas, president of i-Traffic, retains that title and his duties. Tim Smith, formerly chief strategic officer at Red Sky, becomes evp at Agency.com.

“These personnel moves will enable us to better serve our clients,” said Suh. “This is the next step in a process we began last fall to streamline our operations and services.”