Lost somewhat amidst the tectonic shifts that JP Morgan Chase’s acquisition of Bear Stearns had on global capital markets was the far-sighted and proactive legal and communications initiative JP Morgan put in place to quell any negative fallout from the all-too-easy to anticipate shareholder litigation that is sure to follow. Indeed, JP Morgan Chase moved aggressively to build a firebreak around any issue that could have distracted regulators, shareholders, analysts, employees, and countless other key audiences. ... Read More

From Capitol Hill to the White House, federal lawmakers and regulators are talking tougher than ever about regulation. The crisis in the nation’s housing market, the roller-coaster ride on Wall Street and the series of safety scares and recalls involving spinach, toys, toothpaste, beef and pet food are driving both political parties to call for stricter regulation of consumer products and financial services. "We’re in for a potentially significant regulatory response," Glenn Hubbard, dean of Columbia ... Read More

When rumors were swirling and investors were feeling nervous about an impending cash crunch at investment banking giant Bear Stearns last week, CEO Alan Schwartz was quick to try and reassure the market, a move right out of the crisis communications playbook. Unfortunately, he didn't read the part in the playbook where it warned against obfuscation and/or lying when he made the following statements: "Our balance sheet has not weakened at all." "We don't see any pressure ... Read More

The world moves faster today than it has ever before. And while that’s good in some cases, it can prove disastrous in others. Investment bank Bear Stearns recently learned a hard lesson when it comes to how quickly news travels. The rise of online media, the increasing interconnectedness of global financial markets, and healthy dose of fear all played a large part in nearly bankrupting that venerable institution -- and scarring global markets in the ... Read More

A colleague of ours in Buffalo, NY has observed something extraordinary going on in his local media market. Comments by consumers -- especially comments they’ve posted on media blogs -- are having an unprecedented effect on what the newspapers and especially Buffalo’s three local TV news stations are choosing to cover. The good news is that the Internet is allowing the public to directly feed the dominant mainstream media with story ideas and tips, and that ... Read More

If a company does all the right things in a crisis, yet still loses, there's only one explanation: It failed to communicate its actions. In the recent Westland/Hallmark Meat Company recall of 143 millions pounds of beef -- the largest food recall in U.S. history -- President Steve Mendell immediately cooperated with the U.S. Department of Agriculture as soon as he learned that two 'downer' cattle had been videotaped on their way to the slaughter line ... Read More