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Omnicom ANNUAL REPORT 98 Omnicom COMPARATIVE HIGHLIGHTS 1998 1997 % CHANGE (Amounts in Thousands Except Per Share Amounts) Domestic billings $14,199,620 $10,894,800 30% International billings 14,264,680 11,096,300 29% Worldwide billings* 28,464,300 21,991,100 29% Domestic commissions and fees 2,098,220 1,616,768 30% International commissions and fees 1,993,822 1,508,045 32% Worldwide commissions and fees** 4,092,042 3,124,813 31% Domestic operating expenses 1,795,772 1,398,121 28% International operating expenses 1,736,096 1,323,146 31% Worldwide operating expenses 3,531,868 2,721,267 30% Domestic operations–net income 164,747 124,732 32% International operations–net income 120,321 97,683 23% Worldwide net income 285,068 222,415 28% Common stock data: Net income per share—Basic 1.72 1.40 23% —Diluted 1.68 1.37 23% Dividends declared per share 0.525 0.45 17% Weighted average number of common shares and common equivalent shares outstanding during the year—Basic 165,685 159,419 4% —Diluted 175,844 169,484 4% Shares outstanding at year end 168,593 162,115 4% *The term “billings” is commonly used in the industry to describe the volume of advertising purchased on behalf of clients. In this report, billings were computed by multiplying all income from commissions and fees by 6.67–the reciprocal of the customary 15 percent commission which media commonly grant advertising agencies. Commission rates are not uniform, however, and are negotiated with clients. For calculating billings for majority-owned subsidiaries, total subsidiary commissions and fees are used.
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