Saatchi & Saatchi Expects Lower Profits: The...

Saatchi & Saatchi Expects Lower Profits: The world’s largest advertising agency, Saatchi & Saatchi Co., said this year’s pretax profits are expected to be lower than in 1988, which sent its shares sharply lower on Wall Street and in London. The company said its operating profits are expected to be hit by uncertainty in its U.S. divisions and weaker earnings in the consulting business--an area where the company has rapidly expanded. The company said a strong recovery is expected in the second half of this year after substantially lower profits in the first half.