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Two agency pairs – Leagas Delaney/DDB and 180/TBWA – compete for Adidas’ $80-100 million global account.

Fallon Mulls Role of N.Y. Outpost
Fallon’s New York office has shrunk – billings are about half of what they were a few years ago – and that has raised questions about the role of
its president, Alison Burns. Sources said the office will rely more on its
Minneapolis headquarters.

Leagas Delaney will launch Virgin Mobile USA’s phone service in the U.S., sources said. Virgin had originally awarded the $60 million account to Lowe Lintas & Partners in San Francisco. When that office closed, the client went looking for another agency partner.

Atlanta shop 360 is discussing a buyout with Grey, which is looking to increase
its profile in the Southeast, sources said. 360 is partnering with Grey to pitch the $120 million
BellSouth account. The Atlanta telecom is seeking an agency with a strong
local presence.

Foote, Cone & Belding agreed to keep 16 beverage veterans away from Coke work until June 1 as part
of a settlement with PepsiCo, which had fired, then sued the shop. Said FCB’s Brendan Ryan,
“I’m delighted that this whole legal mishmash is over.”

With scenes of dogs defecating and men urinating, Arnold and Crispin Porter + Bogusky hit teens with startling anti-smoking messages
for the latest “Truth” campaign spots.

As new business dries up, creative boutiques must rethink their roles in order to stay afloat. Eleftheria Parpis reports on the future of the small shop. Plus, a look at how Ogilvy & Mather taps into boutique expertise via The Syndicate. Barbara Lippert on why Carly Simon and the U.S. Postal Service are perfectly matched. Also, Portfolio and Briefs.