IPG Board Appoints Member to New Role

NEW YORK — The Board of Directors of Interpublic Group of Cos. has appointed one of its own to serve as presiding director, a new position, IPG said on Wednesday.

IPG said the move was related to “corporate governance.” It comes three weeks after IPG forecasted lower than expected earnings for the third-quarter and a week before the company reports its numbers for the third-quarter and first nine months.

In a statement, IPG CEO John Dooner said that Borelli, who has been on the board since 1995, would ensure “optimal communication between the board and management, as well as more active participation by board members.” In the same statement, Borelli said, “I am looking forward to working in this new role to assist John, (chief financial officer) Sean Orr and their senior management team as they tackle key issues at Interpublic.”

Among those issues are falling revenues at specialty marketing units such as Octagon and FutureBrand and a larger than expected accounting imbalance across units of McCann-Erickson WorldGroup in Europe. The imbalance, originally estimated at $68.5 million, now is expected to be as much as $120 million, according to IPG.

Borelli is a former CFO of both Marsh & McLennan Companies and Airco, a manufacturer of industrial and medical products. He remains a “senior advisor” to Marsh and McLennan.