Phillips Restructures

Phillips, Team & Myers will dissolve its operation and reform as The Phillips Agency in the wake of recent financial difficulties, a company representative said.
The legal move by the Fort Worth, Texas-based agency is designed to protect it from creditors. The shop is not currently involved in bankruptcy proceedings.
Phillips’ problems began about a year ago when one of the agency’s primary clients, Gravity, a supplier of legal software, declared bankruptcy. At the time, Gravity accounted for 35 percent of billings, according to agency president Randy Phillips.
“It was one of those things . . . They kept promising to pay, and then the court was going to make them pay. In the end, we never saw a penny of it,” said Phillips.
Currently, the agency has billings of about $12 million and 11 full-time employees. In 1997, the agency registered $16 million in billings and had 16 employees.
Said Phillips, “Nobody likes to have a big client go south on them, but you do what you can and you come through it.”
The agency’s name will revert to The Phillips Agency, the original moniker of the company at its founding in 1985 by Phillips and his wife, Sondra Phillips. In 1995, the agency merged with Team & Associates of Fort Worth.
The principals of that company, Catherine Team and Dick Myers, have since left the agency to pursue activities outside of the advertising business.
Phillips said he remains upbeat about the future. “In all honesty, we’ve got a great group of clients, we’re doing good work and I feel real good about what the future’s going to bring,” he said.
Last week the agency relocated to new headquarters in Fort Worth.
The Phillips Agency is a full-service advertising and public relations operation. The emphasis is on the business-to-business sector. Major clients include United States Aluminum, Box Office by Design and SMI Steel.