ATLANTA At least one account currently handled by Adair Greene's consumer division, Greeneffect, will be placed in review, sources said.
The Atlanta agency, a unit of Interpublic Group, is in the process of disbanding the division, which was established earlier this year, in order to focus exclusively on core healthcare and pharmaceutical business.
The division's consumer accounts include Georgia-Pacific Building Products in Atlanta, Boral Bricks of Roswell, Ga., and Pactiv Building Products, a unit of Pactiv in Lake Forest, Ill. Total billings are less than $5 million.
Sources said executives at IPG had hoped to transfer some accounts, including Georgia-Pacific Building Products, to sibling shop Austin Kelley Advertising in Atlanta, but clients balked. AG won the account three years ago following a review which included AKA. The account had been handled by another Atlanta IPG shop, Fitzgerald + Co.
"We looked at [AKA] the last time and they were high up on the list," said Bob Ramont, director of marketing services for Georgia-Pacific Building Products. "This time we decided instead of making a shift, we will make time to decide what we need and do a review."
Ramont said that review would not begin until well into fourth quarter of this year. AKA is not expected to participate.
Sources said work for Boral Bricks is expected to go in-house. Greeneffect, which employs 17 staffers, also handles projects for BellSouth, Barney the Dinosaur, Mount Gay Rum and Milliken Carpets & Rugs.
The unit will be dissolved as of Aug. 31, sources said. "There will be some [employee] crossover [to Adair Greene]," said one source close to the matter. "Not all 17 will keep their jobs, but so far everyone's still employed."
The restructuring follows the May departure of shop president and CEO Rich Levy, who joined HealthStar, a Woodbridge, N.J., agency specializing in consumer and pharmaceutical marketing services.
AG reports through IPG's Torre Lazur McCann Healthcare in Parsippany, N.J.
Executives at AG did not return calls. Officials at Boral Bricks and Pactiv could not be reached.