ROANOKE TIMES 
                      Copyright (c) 1996, Roanoke Times

DATE: Wednesday, March 13, 1996              TAG: 9603140036
SECTION: BUSINESS                 PAGE: B-6  EDITION: METRO 
DATELINE: SAN FRANCISCO


APPLE COMPUTER HIRES PR FIRM TO POLISH IMAGE

Apple Computer Inc., still recovering from its public relations debacle during merger talks with Sun Microsystems Inc. and the ouster of its chief executive, said Tuesday it has retained Burson-Marsteller to manage its worldwide public relations.

During years of affiliation with Regis McKenna Inc., the seminal Silicon Valley public relations firm, Apple had made little use of outside agencies. But Regis has switched its focus to marketing consulting, and last month Apple announced that its two top public relations executives, Barbara Krause and Betty Taylor, were leaving.

Now the company has turned to Burson, a unit of Young & Rubicam Inc., Satjiv Chahil, Apple's senior vice president of corporate marketing, said in a telephone interview.

Heidi Sinclair, who will head the Apple team at Burson, said she thought Apple's weaknesses have been exaggerated and its strengths underplayed. ``What I've seen in my contacts is an incredible focus and sense of purpose,'' she said. ``I expected a company that was sort of blue; instead they seem energized.''

Apple had been briefly involved with other agencies before settling on Burson. Last January, before she left Apple, Krause briefly hired Cunningham Communications Inc., another Silicon Valley firm, as the company's primary public relations agency, but a contract was never signed.

Apple had briefly retained Kekst & Co. while rumors about the talks with Sun - which began last December - were flying thick and fast.

Apple, which faces stiff competition and is still hampered by its refusal until recently to license its technology, had its debt rating lowered last month and announced a $69 million loss for its first quarter.

Shareholders were angered by Apple's delay in responding to rumors of talks with Sun, which reportedly offered to buy Apple at a fire-sale price.

- The New York Times


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