OMC ’04 Net Up, As Is Execs’ Pay

Omnicom Group’s numbers are up; so is it’s executive pay.

According to a proxy statement filed on April 25 by the world’s largest marketing communications holding company, the three CEOs of its major agency networks all received higher pay in salary, bonuses and other compensation in 2004, compared to 2003.

Worldwide net income for 2004 was up 15 percent to $725 million, and revenue was up 13 percent to $9.7 billion.

According to last week’s first-quarter results, 2005 is off to a promising start for Omnicom, which reported an 11 percent profit rise to $150.5 million (or 82 cents a share) from $135.6 million (or 72 cents per share) for the same period last year.

As executive pay is commensurate with a network’s profitability and performance, TBWA Worldwide appears to be Omnicom’s top performer. TBWA CEO Jean-Marie Dru, 58—in that position since April 2001—pulled in about $4.7 million in cash compensation for 2004, compared to just over $2 million in ’03. Ken Kaess, 50, DDB worldwide CEO since January ’01, made about $2.6 million in 2004, compared to $1.6 million in ’03. Robertson, 44, promoted to BBDO worldwide CEO in May 2004, made $2.7 million, according to the proxy.

Compensation for Interpublic Group and WPP Group agency chiefs was unavailable at press time. The former has yet to file audited numbers, and the latter expects to publish its annual report this month.