The Week in PR

Senator Jeanne Shaheen, D-NH
Senator Jeanne Shaheen, D-NH

‘USOC Doth Protest Too Much, Methinks.’ As Kevin Elliott, U.S. director, risk & crisis communications practice, Hill+Knowlton Strategies, says in our lead story, irony can be an accelerant for crisis. Perhaps USOC’s defiant attitude in condemning USAG led senators (above story) to raise the heat on Blackmun and USOC. Moments after Nassar was sentenced Jan. 25, USOC blasted USAG, demanding its board resign and calling for the group’s culture to undergo a “fundamental rebuilding.” Yet USOC apparently did nothing to stop Nassar’s reign of abuse. In addition, no USOC member was in the courtroom when some 150 athletes spoke out against Nassar prior to his sentencing. Blackmun apologized for that absence in a letter, but failed to acknowledge directly USOC’s failure to police Nassar. Instead he wrote to the athletes, “The Olympic family is among those that have failed you.” Should Blackmun and his board be forced to step down, their defiant stance could be seen as a failed attempt at misdirection à la Kevin Spacey.The actor attempted to deflect attention from his alleged predatory activities by using his apology statement to break news that he’s gay ( PRN, Oct. 31, 2017).

Timothy Sloan, CEO, Wells Fargo
Timothy Sloan,
CEO, Wells Fargo

All’s Not Wells. Still.Our apologies for referring again to Kevin Elliott, U.S. director, risk & crisis communications practice, Hill+Knowlton Strategies, but the man makes some great points.To paraphrase something he says in our lead article,If you treat a crisis like a bad day, you’ll make it worse. Is former Wells Fargo CEO John Stumpf the paradigmatic example of treating a crisis like a bad day? Recall his initial response to the September 2016 bogus credit card scandal (now at 3.5 million accounts) was to downplay it as an aberration. He insisted the bank’s culture was clean, despite having had to fire more than 5,000 employees over the faux credit card incident. Recall, too, how poorly this attitude played on Capitol Hill. Stumpf became a former CEO very soon after that. Yet many critics say his laissez-faire attitude continues at Wells, where Timothy Sloan, a Stumpf deputy, now is heading things. Those critics received evidence to bolster their opinion late Friday when the Federal Reserve blasted Wells with an unprecedented punishment, ordering it not to grow beyond its 2017 asset levels. In gross terms, this means the bank can’t write new loans, CNBC reports. The bank also will need to replace 4 board members and improve its governance, risk management and board oversight, the Fed said. Analysts say the penalties could cost Wells $400 million in earnings this year.

Growth: Hawkins International Public Relations of NY opened a West Coast office in LA and named managing director Lucy Zepp (photo 3 page 1) to lead it. -- Henson Consulting rebranded as Agency H5 as it moves from traditional PR to an integrated marketing and communications agency. – Women-owned advertising/marketing firm Osborn Barr joined the MAGNET Global Network. – The National Urban League will begin a podcast Monday called For the Movement designed to “elevate the discussion of policy, social and civil rights issues affecting African Americans and communities of color.”

Platform Prater: Instagram said Jan. 30 it would begin allowing brands to schedule posts through Hootsuite, Sprinklr or Sprout Social. Eventually the ability to schedule will be extended to people. The challenge for marketers and communicators will be to craft messages in a way that enhance the Instagram experience. – Former Facebook and Google employees formed the Center for Humane Technology, designed to highlight tech’s dangers and possible depression resulting from heavy social media use. Look for ads, websites and a congressional report on social media and children’s health.

Jill Zuckman, President, D.C. Public Affairs, SKDKnickerbocker
Jill Zuckman, President, D.C. Public Affairs,
SKDKnickerbocker

People:Congrats to our friend Jill Zuckman, named D.C. president of public affairs at SKDKnickerbocker. Kerri Lyon (photo 2, page 1) was named president of public affairs for NY. -- Congrats to the Plank Center for Leadership in Public Relations on its 13th birthday Feb. 4. And the same to Moss Networks on 15 years in business.