The Canadian operations of J. Walter Thompson and Ogilvy & Mather are examining the viability of a media alliance similar to the one forged by their u.s. parent companies last month.

The two agencies, both part of WPP Group plc, formed the JWT/O&M Alliance with combined national television billings of about us$2 billion.

Ted Nation, president and ceo of JWT Canada, says talks with o&m’s Brian Fetherstonhaugh, who recently moved to New York to head up the ibm business for o&m, were in the early stages.

He says he will give Dennis Stief, O&M Canada’s new president and ceo, a chance to settle into the job before re-initiating the discussion.

Nation says while an alliance would realize efficiencies for both agencies, the key concern in a venture of this type is to avoid any confusion in the minds of clients.