Publicis Groupe – Acquisition of Razorfish Closed

October 14, 2009

PARIS, October 14 /PRNewswire-FirstCall/ — Publicis Groupe SA (Euronext
Paris: FR0000130577) announced today the closing of its acquisition of
Razorfish. The transaction was subject to customary closing conditions.

Publicis Groupe has acquired the Razorfish group from Microsoft in
exchange for:

    - 6.5 million Publicis Groupe ordinary shares held as treasury
      shares. As agreed by the parties, the value of those shares was
      determined on the basis of the average closing price of Publicis Groupe
      ordinary shares over the twenty consecutive trading days ending eight
      business days prior to the closing date of the transaction.

    - US$ 286.8 million in cash paid out of Publicis Groupe's cash

This gives Microsoft a 3.3% stake in Publicis Groupe.

Razorfish (see attached fact sheet) will be a wholly-owned subsidiary of
Publicis Groupe and will be organizationally part of VivaKi, the Publicis
Groupe media and digital umbrella encompassing Starcom MediaVest Group,
ZenithOptimedia, Denuo, Digitas and VivaKi Nerve Center.

David Kenny, Managing Partner of VivaKi and member of the Publicis Groupe
Management Board, will be responsible for the successful integration of
Razorfish and implementation of the Groupe’s growth and synergy programs.

The Publicis Groupe consolidated financial statements will include
Razorfish’s operations as of October 13, 2009. Organic growth figures will
exclude organic growth achieved by Razorfish until one calendar year after
consolidation of the newly acquired entity (i.e., as of October 13, 2010).
Based on results for the first eight months of 2009, the Groupe’s digital
business, including Razorfish, would account for slightly over 25% of
aggregate revenue.

Publicis Groupe has already attained the goal it set itself to reach 25%
of its revenue in digital for the end of 2010, thus strongly consolidating
the Groupe’s leadership in this key business area of the future.

About Publicis Groupe

Publicis Groupe [Euronext Paris: FR0000130577] is the world’s fourth
largest communications group. In addition, it is ranked as the world’s second
largest media agency, and is a global leader in digital and healthcare
communications. With activities spanning 104 countries on five continents,
the Groupe employs approximately 43,000 professionals. Publicis Groupe offers
local and international clients a complete range of advertising services
through three global advertising networks, Leo Burnett, Publicis, Saatchi &
Saatchi, and two multi-hub networks, Fallon and 49%-owned Bartle Bogle
Hegarty. Media consultancy and buying is offered through two worldwide
networks, Starcom MediaVest Group and ZenithOptimedia; and interactive and
digital marketing led by Digitas. Publicis Groupe recently launched VivaKi to
leverage the combined scale of the autonomous operations of Digitas, Starcom
MediaVest Group, Denuo and ZenithOptimedia to develop new services, tools,
and next generation digital platforms. Publicis Groupe’s Specialized Agencies
and Marketing Services offer healthcare communications, corporate and
financial communications, sustainability communications, shopper marketing,
public relations, CRM and direct marketing, event and sports marketing, and
multicultural communications. Web site: http://www.publicisgroupe.com

About Microsoft

Founded in 1975, Microsoft (NASDAQ: MSFT) is the worldwide leader in
software, services and solutions that help people and businesses realize
their full potential. See http://advertising.microsoft.com for more

About Razorfish

Razorfish is one of the largest interactive marketing and technology
companies in the world. With a demonstrated commitment to innovation,
Razorfish counsels its clients on how to leverage digital channels such as
the Web, mobile devices, in-store technologies and other emerging media to
engage people, build brand loyalty and provide excellent customer service.
The company is increasingly advising marketers on Social Influence Marketing,
its approach for employing social media and social influencers to achieve the
marketing and business needs of an organization. Its award-winning client
teams provide solutions through their strategic counsel, digital advertising
and content creation, media buying, analytics, technology and user
experience. Razorfish has offices in markets across the United States, and in
Australia, China, France, Germany, Japan, Spain and the United Kingdom.
Clients include Carnival Cruise Lines, MillerCoors, Levi’s, McDonald’s and
Starwood Hotels. Visit http://www.razorfish.com for more information, and
follow Razorfish on Twitter at @Razorfish.


    - Founded in 1995, Razorfish was acquired by aQuantive in 2004

    - In 2007, it became a subsidiary of Microsoft through the aQuantive

    - Razorfish is the second largest interactive advertising agency (Ad
      Age) in the U.S. with approximately FY June 30, 2009 revenue of $380

    - Headquartered in Seattle, Razorfish employs 2,200 people across
      offices in 8 countries and 20 cities

    - Razorfish is led by Bob Lord (CEO), Dave Friedman (President of
      Americas), Darin Brown (President of Europe), Lee Sherman (President of
      APAC), Jeff Lanctot (Chief Strategy Officer), Colin Kinsella (Chief
      Innovation Officer), Ray Velez (Chief Technology Officer), Sydney
      Hunsdale (Client Operating Officer)


    - Razorfish helps industry leaders build great brands by creating
      engaging experiences for consumers wherever they live in the digital

    - With a focus on innovation, technology and ROI, Razorfish helps build
      its clients' businesses by applying offerings such as:

        - Advertising & Branding
        - Analytics
        - Email Marketing & eCRM
        - Emerging Media
        - Interaction Design
        - Search Marketing
        - Strategy & Planning
        - Social Influence Marketing
        - Technology Architecture & Integration


        - Automotive
        - Consumer goods
        - Financial Services
        - Healthcare & Life Science
        - Media & Entertainment
        - Retail
        - Technology & Telecom
        - Travel & Leisure


    - AT&T, Ben & Jerry's, Best Buy, Carnival Cruise Lines, Conde Nast,
      MillerCoors, Dell, Disney, JCPenney, Kraft, Levi's, McDonald's,
      Mercedes-Benz USA, Microsoft/MSN, Nike, Nortel, Olympus, Purina, Ralph
      Lauren, Samsonite, Starwood Hotels & Resorts, Toshiba, Victoria's
      Secret, Visa.

SOURCE Publicis Groupe Services

Source: newswire

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