Valueclick settles with ftc for $2.9 million

ValueClick's long-awaited colony with the Federal soldier Trade committee has eventually come to pass. The firm announced today it agreed to cough up $2.9 1000000 to the committee as a consequence of the FTC's probe into lead coevals ad pattern alleged to have violated the CAN-SPAM and FTC Acts. The company also released its Q4 2007 and full year 2007 net income today, noting net income for the fourthly quarter termination December 31, 2007 was $18.1 1000000.

ValueClick recorded the $2.9 1000000 charge related to the colony in Q4 '07. The colony involved only past pattern of ValueClick's Hi-Speed Media division and no other pattern or units, the firm said. During its net income call, executive director noted the colony is "awaiting approval from the section of justness and the presiding court."

As a consequence of the colony, the firm must adopt new criterion for revelation on lead coevals ad landing pages and in electronic mail marketing copy. "We believe these criterion will set guidelines for the stallion industry," said CEO Tom Vadnais. "It's not going to take us much time to get fully up and run with them," he added.

"The inquiry is what will happen now that the FTC determination is buttocks us... And we just don't know," said Vadnais. He went on to add the impact of the colony on ValueClick's lead gen concern and hereafter revenues is "still slightly in a prelim state," and slightly dependent on blessing of the colony by the DOJ and presiding court.

The company cited strong growth in U.S. And U.K. Show ad gross in Q4 2007; nevertheless, that growing was tempered by a diminution in lead coevals ad dollars. The firm expects continued strength in show ad gross in the approach year.

In add-on, the company announced the surrender of Chief Administrative Officer Sam Paisley, who will depart as of March 2. Paisley will be joining local video ad firm Spot Runner as CFO.

According to ValueClick, executive chairman James Zarley will continue running corporate development while VP of Investor Relations Gary Fuges and Vadnais will continue handling the firm's investor relations program. CFO John Pitstick will also join the investor relations team.

The fresh FTC settlement may draw renewed interest in ValueClick from acquisitive suitors, coming as it does against the backdrop of Microsoft's recent bid for Yahoo and industry consolidation in general. ValueClick is the largest remaining independent ad network. Alluding to Microsoft's bid for Yahoo, Vadnais said, "We really don't see that it has much of an impact for us," suggesting the potential acquisition deals primarily with paid search, which is outside of ValueClick's business.

Still, many industry watchers have recognized Microsoft's grab for Yahoo as one very much aimed at boosting both companies' display ad businesses.