The hapless Simon Worldwide, parent of Simon Marketing, the games and promotions company fingered in the alleged $13 million McDonald’s Restaurants scam [WAMN: 22 & 23-Aug-01], yesterday lost another major account – Philip Morris. Simon also admits to losing other clients whom it declined to name.
According to information filed by Simon with the Securities and Exchange Commission, nine per cent of its $768.5 million revenues in 2000 emanated from Philip Morris, whose smokers’ reward program it had handled for several years.
Says a Philip Morris spoke of the severance: “It was a difficult decision to make. We made it because it was the right decision for our business.”
Simon claims it is “a victim of one rogue employee”, former security director Jerome P Jacobson, attributing this belief to the lead prosecutor on the case, assistant US attorney-general Mark B Devereaux – an opinion Devereaux has yet to confirm.
News source: Wall Street Journal