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<i> Times Staff and Wire Reports</i>

Taco Bell Talking With New York Agency: An industry source confirmed trade reports that Deutsch Inc. is talking to the Irvine-based unit of PepsiCo about picking up a piece of its $150-million advertising business--possibly a chunk of the $75 million the fast-food company is spending to promote its new low-fat line. The account is now shared by Bozell/Salvati Montgomery Sakoda of Costa Mesa and Richards Group of Dallas.

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