Omnicom Group Reports First Quarter 2002 Results

NEW YORK, April 30 /PRNewswire-FirstCall/ -- Omnicom Group Inc. (NYSE: OMC) today announced that net income for the first quarter of 2002 increased 11% to $128.6 million from $115.3 million in the first quarter of 2001 and diluted earnings per share for the first quarter of 2002 increased 10% to $0.68 per share from $0.62 per share in the first quarter of 2001. Effective January 1, 2002, in compliance with SFAS No. 142, the Company ceased recording goodwill amortization. 2001 amounts were adjusted to assume that the cessation of goodwill amortization required by SFAS No. 142 occurred on January 1, 2001.

Compared to our previously reported results for 2001, net income for the first quarter of 2002 increased 35% from $95.3 million in the first quarter of 2001 and diluted earnings per share increased 31% from $0.52 per share.

Worldwide revenue increased 8% to $1,732.4 million from $1,601.1 million in the first quarter of 2001. Domestic revenue for the first quarter of 2001 increased 14% to $1,022.1 million compared to $896.6 million in 2001. International revenue for the first quarter of 2001 increased 1% to $710.3 million compared to $704.5 million in 2001.

Omnicom Group Inc. (NYSE: OMC) (http://www.omnicomgroup.com), is a leading global marketing and corporate communications company. Omnicom's branded networks and numerous specialty firms provide advertising, strategic media planning and buying, direct and promotional marketing, public relations and other specialty communications services to over 5,000 clients in more than 100 countries.

For a live webcast and/or a replay of our first quarter earnings conference call, go to http://www.omnicomgroup.com/InvestorRelations.

                                           As Reported          Adjusted (a)
    Three Months Ended March 31        2002            2001          2001

    Revenue                      $1,732,426      $1,601,134    $1,601,134

    Operating and net interest
      expense                     1,514,890       1,430,159     1,407,488

    Income before income taxes      217,536         170,975       193,646

    Income taxes                     79,858          67,723        71,536

    Income after income taxes       137,678         103,252       122,110

    Equity in affiliates/Minority
      interests                      (9,112)         (7,972)       (6,780)

    Net income                     $128,566         $95,280      $115,330


    Earnings per share
      Basic                          $ 0.69           $0.52         $0.63
      Diluted                         $0.68           $0.52         $0.62


    Weighted average shares (in thousands)
      Basic                         186,671         181,842       181,842
      Diluted (b)                   189,490         188,423       188,423


    Dividend declared per share      $0.200          $0.175        $0.175

     (a)  To present 2001 on a comparable basis with 2002, amounts are
          adjusted to assume that the cessation of goodwill amortization
          occurred on January 1, 2001.

     (b)  Diluted earnings per share for 2002 was calculated using an assumed
          increase in net income of $271,000 related to the after-tax
          compensation expense from dividends on restricted shares.  Diluted
          earnings per share for 2001 was calculated using an assumed increase
          in net income of $2,088,000 related to the after-tax interest cost
          of our 2-1/4% Convertible Debentures and the after-tax compensation
          expense from dividends on restricted shares.  The Company's 2-1/4%
          Convertible Debentures were redeemed in the fourth quarter of 2001.

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SOURCE Omnicom Group Inc.
Web site: http: //www.omnicomgroup.com
CONTACT: Randall Weisenburger of Omnicom Group Inc., +1-212-415-3393

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