Situation
JM Capital, an Indianapolis-based financial services company, had designed, developed
and assembled a corporate merger between two well-known and respected businesses.

Problem An errant local newspaper story was picked up by several key industry publications that reported the pending merger between the two companies and placed the merger in jeopardy. The writer accurately quoted a company spokesperson, whose comments were arranged poorly, inadvertently casting a less-than-favorable light on the merger. Some information that had been intended to be “off-the-record” also appeared in the article, disclosing sensitive financial information.

Quotes in the local story also inaccurately announced one company’s intentions to sell its present businesses in three states – a major announcement given the fact that the company employed workers at multiple locations.

The company’s employees grew restless as rumors of the article began to circulate. JM Capital was concerned that the merger would unravel, diminishing the corporate brands and circulating further inaccuracies as additional publications sought to pick up the story. All of the components of the merger were unsettled at a time when the transaction was scheduled to be completed in less than a month.

Solution
JM Capital requested public relations services and crisis communications counsel from MillerWhite Integrated Marketing’s Public Relations service line. MillerWhite made an initial evaluation of whether the situation required the preparation of a crisis communication plan or a strategic communications plan designed to save the merger, increase the brand awareness of the two merging entities and develop counter-target messages to rebuff the reported comments.

MillerWhite counseled JM Capital to allow the preparation of corporate statements to be used by new spokespersons, and began to prepare a strategic communications plan to support the successful merger announcement and increase brand awareness of the partners and newly formed entity.

MillerWhite performed research, identified goals and publics, and devised a plan to address the four key communication goals identified: 1) assist the finalization of the pending merger transaction; 2) rebuff negative press regarding the initial announcement of the merger; 3) communicate the importance and value of the merging partners; and 4) gain positive brand-building media support for the completed merger. Client target messages were identified and sample releases were written for review. In addition, media training was conducted with spokespersons for both of the merging companies. Media outlets were selected for their target-reaching potential and strategic business importance. The story of the merger was pitched to media outlets and scheduled for announcement by the media on the day of the anticipated merger.

The plan was executed before and on the anticipated merger date. A statewide announcement was delivered through various radio stations, television broadcasts and in multiple eMail newsletters, raising the importance of the story to one of multi-state significance.

Results
As a result of the strategic communications plan and the media training provided to both companies, the pending merger was successfully completed and announced statewide. Radio, television and electronic media announced news of the successful merger, gaining more than $17,400 in earned media for the merging companies and the newly formed entity. The financial transaction regarding the merger – the primary goal of the immediate client, JM Capital – took place, and the brand equity of both partners was increased throughout their respective states as well as regionally and locally.

As a result of its work to help JM Capital complete and announce the successful merger transaction, the League of American Communications Professionals awarded the 2005 Bronze Magellan Award to MillerWhite for Corporate Organizational Communications. As many as eight other firms from Indiana were among the 500 entries in the competition, and MillerWhite was the only Indiana firm to be honored with the award.

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