In a transaction that has reportedly been under discussion
for 18 months, Chiat/Day -- one of the "hottest creative
agencies" in the '80s -- has agreed to merge with Omnicom Group's
TBWA Int'l, an agency known more for its print than TV
advertising.  Terms of the deal were not disclosed, but several
industry execs estimated Omnicom is paying in the "tens of
millions" for Chiat/Day, including the agency's debt, which is
said to be "far less" than $50M.  Bill Targos, co-founder and
chair of TBWA, will be the new chair and CEO of the combined
operations called TBWA Chiat/Day, while Jay Chiat will become a
consultant to Omnicom, now the 3rd largest world-wide ad agency
holding company.  Some of Chiat's major clients:  Nissan's
Infiniti division, Eveready Battery, Coca-Cola's Fruitopia and
Quaker State.  TBWA's major clients:  Absolut, Sara Lee's
Wonderbra, Nissan Motor and Evian Water.  One note:  BBDO, an
Omnicom subsidiary, handles Pepsi-Cola and Diet Pepsi, and
Omnicom officials concede it is unlikely Pepsi "will stand for"
another Omnicom agency handling a rival in Coca-Cola's Fruitopia
(Kevin Goldman, WALL STREET JOURNAL, 2/1).   SOFT DRINKS:
Because it appears diet cola sales have "reached a plateau" of
about 26% of the $49B U.S. soft drink market, Coca-Cola will
sponsor, "for the first time," three separate ad campaigns by
three agencies to promote three different diet cola brands around
the world.  The "troika of campaigns is indicative" of the
broadening of Coca-Cola's ad messages and agency relationships
during the '90s.  By contrast, PepsiCo is taking an opposite tack
-- combining campaigns for Diet Pepsi and Pepsi under the theme
"Nothing else is a Pepsi."  The Diet Coke campaign will run in
the four countries where it is sold:  U.S., Australia, Britain
and Canada.  A second campaign will concentrate on Coca-Cola
Light, as Diet Coke is known in 93 countries; the third will help
sell caffeine-free varieties of Diet Coke and Coca-Cola Light
(Stuart Elliott, N.Y. TIMES, 2/1).  The caffeine-free Diet Coke
ads target consumers over 40 (USA TODAY, 2/1).
     MILLER ICES TWO AGENCIES:  Miller Brewing shuffled its
agency lineup again yesterday, "parting ways" with J. Walter
Thompson Chicago and reassigning its Miller Lite Ice beer brand
from Bates USA in New York to the Leap Partnership of Chicago.
Miller moved several smaller brands handled by Thompson Chicago,
including Reserve, Lowenbrau and Sharp's to Young & Rubicam
Chicago (N.Y. TIMES, 2/1).

     Dorna USA's AdTime rotational signage system, a visible
presence at 15 NBA arenas, was recently utilized at courtside
during the recent Foot Locker Slam Fest at America West Arena in
Phoenix.  The annual Slam Fest features well known pro athletes
from all sports competing in a one-day slam dunk competition.
The event is being broadcast as a series during halftime of ABC
Sports' college basketball telecasts.  The series culminates with
the finals during ABC's "Wide of World of Sports" telecast on
April 8.  In addition to Foot Locker -- Nike, Yamaha, Visa,
Spalding and The Phoenician Resort will also be featured on the
AdTime system during Slam Fest (Dorna USA).

     California Pro Sports Inc., makers of in-line skates and
snowboards, announced it has begun preliminary negotiations for
the possible acquisition of an unnamed distributor of numerous
lines of leisure activity and recreational apparel (CA Pro
Sports)....To celebrate the 49ers Super Bowl victory, Southwest
Airlines is offering $49 fares between Oakland Int'l Airport and
any of its 12 nonstop destinations.  The fare must be purchased
by February 14, with travel through May 23 (Southwest)....
"Dateline NBC" ran a feature on the making of Reebok's "Shaq vs.
Shaq" commercial (NBC, 1/31)....Eastman Kodak reported its net
income "plunged" 91% in the 4thQ as it took charges for cost-
cutting moves that will include the elimination of an additional
3,200 workers (WALL STREET JOURNAL, 2/1).

     Nike announced two exclusive licensing agreements with H.H.
Cutler Company and Jantzen for children's apparel, swimwear and
related activewear.  Cutler Sports Apparel, a division of H.H.
Cutler, will design, manufacture and market a full line of Nike
infant, toddler and 4-7 children's athletic wear for the U.S.
market beginning in the '95 holiday season.  Jantzen will design,
manufacture and market a full line of Nike performance and team
swimwear and related activewear for men and women beginning fall
'95.  Both H.H. Cutler and Jantzen are divisions of VF Corp.
Nike VP/Apparel Division Stephen Gomez: "This represents our
first significant apparel licensing venture.  Jantzen's dominance
in the swimwear business and Cutler's leadership in children's
apparel, combined with Nike's authentic athletic heritage, will
allow us to diversify our apparel business while leveraging
Jantzen's and Cutler's design know-how and manufacturing
efficiencies" (Nike Inc.).
     NOTHING BUT OPEN ICE FOR CANSTAR DEAL:  Nike also reported
the Canadian Bureau of Competition Policy will not oppose Nike's
proposed acquisition of Canstar Sports.  Nike also noted that the
government's review of the acquisition should be complete in the
next several days.  In the U.S., the FTC has terminated its
review of the deal, allowing Nike to proceed with the merger
under U.S. antitrust laws (Nike).       NEWEST NIKE ENDORSER --
CAM NEELY:  According to this morning's BOSTON GLOBE, Bruin Cam
Neely will sign a two-year endorsement contract with Nike
sometime this week.  Nike reportedly will shoot a national TV
spot with Neely as soon as Sunday or Monday.  Nike will use Neely
to help launch the company's new street hockey sneaker to be in
stores this June.  As of now, Nike does not plan to design a
separate Neely sneaker (Kevin Paul Dupont, BOSTON GLOBE, 2/1).

     The Raptors "will unveil a secondary team logo" today,
according to today's TORONTO SUN.  A source in the sports apparel
industry says that the new logo will appear on the leg of the
shorts while "at least a portion of the old logo" will be
featured on the chest of the jersey.  Colors of the home jersey
are expected to be "predominately" white and trimmed in the
team's primary colors of red, purple and "Naismith silver" (Craig
Daniels, TORONTO SUN, 2/1).

     Reebok International Ltd. topped its '91 profits peak last
year with net earnings of $254M, "an underlying increase" of 10%
from '93.  Earnings per share, which have risen each year as a
result of share buy-backs, were up 16% at $3.02.  Final quarter
earnings for the year rose 5% to $53M, or 64 cents per share.
Sales were up 18% at $709M.  In the U.S., footwear sales rose 14%
in the 4thQ; sportswear sales rose 24% (Tony Jackson, FINANCIAL
TIMES, 2/1).

     Wimbledon, USA -- a wholly owned subsidiary of RI-based
Quadrax Corp. -- announced that former tennis great Ilie Nastase
will endorse the first Conqueror Wimbledon tennis racquet to be
manufactured with the Quadrax's "Tennis System."  The racquet
will be introduced at the SuperShow in Atlanta on February 4.  In
November '94, Quadrax Corp. acquired licensing rights to
distribute rackets, apparel & accessories in the U.S. under the
Wimbledon name (Quadrax).