Publicis reveals €55 million GM exposure

PARIS - Publicis Groupe has revealed that its maximum exposure to losses from the bankruptcy of General Motors amounts to €55 million.

Publicis...€55 million GM exposure
Publicis...€55 million GM exposure

GM announced earlier this week that it owes Publicis Groupe $25 million and its media network Starcom MediaVest $121 million in unpaid media bills.

But Publicis today said that is liable to pay the lower figure principle of sequential liability, which means that it can only be liable for payment of bills for which it has already received payment from GM.

Publicis said that it expects this exposure to be significantly reduced when a new company is formed out of GM and that it expects its relationship to continue with the new company.

On Monday GM filed for bankruptcy with the US courts but is expected to relaunch with a restructuring plan and sale of its businesses to a new company.

Subscribe to Campaign from just £57 per quarter

Includes the weekly magazine and quarterly Campaign IQ, plus unrestricted online access.

SUBSCRIBE

Looking for a new job?

Get the latest creative jobs in advertising, media, marketing and digital delivered directly to your inbox each day.

Create an Alert Now
Share

1 Meet the new breed of ad agency chiefs

A new wave of first-time CEOs are opting to do things differently in an evolving landscape. They discuss the business model of the future with Jeremy Lee.

Case study: How 'This girl can' got 1.6 million women exercising
Shares0
Share

1 Case study: How 'This girl can' got 1.6 million women exercising

"This girl can" was based on a powerful insight: that the fear of judgement by others is the primary barrier holding women back from participating in sport.

Just published

More