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CAN IOC ESCAPE FROM N.Y. UNSCARRED FROM SPONSOR OUTCRY

          Representatives of the IOC's 11 corporate sponsors will
     meet as a group today in N.Y. "for the first time to discuss
     the bribery allegations that have rocked the Games,"
     according to Stefan Fatsis in a front-page report in today's
     WALL STREET JOURNAL.  They will meet in IBM's corporate
     offices and then go to another site to meet with IOC
     officials, including Marketing Dir Michael Payne.  In the
     talks, the sponsors "hope to gain an advantage in their
     business dealings with the Olympics establishment."  Fatsis
     writes that for "years, sponsors have complained of shoddy
     and arrogant treatment at the hands of Olympics organizers. 
     Now, they are preparing a list of demands" for deals that
     are up after the 2000 Summer Games.  They include "lower
     fees, more marketing opportunities, better services from
     Olympics business executives and a morals clause in
     contracts."  Chris Welton, a Managing Dir of Meridian
     Management SA, the IOC's marketing arm in Atlanta, dismisses
     the notion that the IOC doesn't treat its sponsors well: "If
     that's the perception, whether it's reality or not ... it's
     very important that we change that" (WALL STREET JOURNAL,
     2/11).  In Atlanta, Melissa Turner notes "tension surfacing
     in the tight ranks of worldwide sponsors."  Coca-Cola
     continues to monitor the situation.  Spokesperson Ben
     Deutsch: "This is a very serious issue.  We are very
     concerned and continue to be concerned about anything that
     can tarnish the Olympics, and we won't be fully satisfied
     until this issue has been completely put to rest."  Payne:
     "Has the IOC been damaged?  Yes, clearly it has" (ATLANTA
     CONSTITUTION, 2/11).  USA TODAY's Horovitz & Farrell write
     today's meeting "could either open the door for defections
     or help quell concerns of key Olympic sponsors."  While no
     sponsor has "talked as tough" as John Hancock, "the
     grumbling seems to have gotten louder" (USA TODAY, 2/11).  
          THE ROLE OF D'ALESSANDRO: John Hancock Mutual Life
     Insurance President David D'Alessandro has been an outspoken
     critic against the IOC's investigation into the bribery
     scandal and said Tuesday that he has halted talks with NBC
     regarding an advertising package.  But D'Alessandro tells
     the N.Y. TIMES' Richard Sandomir that he is not trying to
     force the IOC to rebate any of Hancock's fee: "This isn't
     about forcing the price down.  But if the rings devalue in
     the consumers' minds, then they decline in value to the
     sponsors and to television" (N.Y. TIMES, 2/11).  USA TODAY's
     Melanie Wells profiles D'Alessandro and calls John Hancock
     the "only Olympics sponsor stepping into the spotlight." 
     But the IOC's Payne notes that John Hancock is "not one of
     its largest ad spenders."   The company reportedly spent
     $12.2M on advertising during the Atlanta Games and $13.3M
     during the Nagano Games.  In contrast, IBM "bought about"
     $40M during those Games (USA TODAY, 2/11).   Susan
     Rosenberg, a spokesperson for TOP sponsor UPS, said that the
     company will keep the Olympic rings on packages, uniforms
     and vehicles, but "we remain concerned, as we have since
     December."  Rosenberg: "We don't want to make premature
     conclusions, but I think the IOC clearly got our message. 
     We believe change is in order" (Toronto GLOBE & MAIL, 2/11).
          A FORCE? A N.Y. TIMES editorial states that "corporate
     America can, and should, bring its collective clout to bear
     in reforming the I.O.C. now" (N.Y. TIMES, 2/11).
          OUTSIDE THE U.S.: In Canada, Chris Zelkovich reports
     that some potential Olympic advertisers "have raised
     concerns" with the CBC about the scandal, but CBC President
     Perrin Beatty issued a statement "aimed at reassuring
     advertisers that the CBC remains committed" to the Games.  
     CBC Dir of National/Sports Sales Adam Litzinger said the
     network "has sold more" than 40% of the advertising for the
     2000 Games and is "expecting to sell out."  Litzinger:
     "Sales have been exceptional" (TORONTO STAR, 2/11)....GM-
     Holden, a "major" sponsor of the 2000 Games, is concerned
     about the impact of the scandal on its sponsorship.  GM-
     Holden Public Affairs Manager John Morrison: "It's difficult
     for a sponsor in the current environment to maximize its
     associations with the Games for as long as these revelations
     keep coming to the surface" (REUTERS, 2/11).
          LEAVITT LEAVES IT: UT Gov. Mike Leavitt yesterday
     "abandoned support for dramatically deregulating" Bell
     telephone company US West after "allegations that US West
     had asked for the effort in exchange for its continued
     sponsorship" of the USOC and the 2002 Salt Lake Games.  An
     official for the Governor said, "The governor has reached a
     conclusion that he cannot feel comfortable ... taking
     deregulatory steps."  US West continued to deny the two
     issues were connected (Mike Mills, WASHINGTON POST, 2/11).

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