Publicis Groupe SA said on Tuesday it is offering partial compensation to Greek television and radio clients which lost money after the unit of its local Leo Burnett advertising agency failed to pay bills.
Greek TV and radio stations did not receive payments for advertising space when Leo Burnett’s Greek unit, which had booked spots for companies such as Procter & Gamble Co, went into a pre-bankruptcy process in July.
The division ran into trouble after a local TV company it did business with, Alter TV, went bankrupt and several Greek clients stopped making payments.
Publicis, France’s largest advertising agency, is offering local broadcasters about 60 percent of what they were owed for ad bookings from companies outside of Greece, Senior Vice President Mathias Emmerich said in an interview.
The Alter bankruptcy left “the advertising agencies in Greece with bad debt of 180 million euros,” he said.