3-YEAR NBC AD DEAL FOR $250 MILLION IS SET
The American Home Products Corporation, the maker of Anacin and several other well-known consumer products, has agreed to purchase $250 million worth of advertising air time from NBC-TV over the next three years, the companies announced yesterday. The agreement, believed to be the largest forward commitment made by an American advertiser for television time, is apparently intended to shield American Home, the fourth-largest corporate spender on advertising, from rate increases over the next three years. The three major television networks are believed to be considering a 15 percent increase in advertising rates for the new season. The agreement, which would cover time in all parts of the broadcast day, is scheduled to begin this fall when the second of two contracts for two years between NBC and American Home expires.