Civil Society Steps Up

Sunday, September 4th, 2005

As the local, state, and federal government has abdicated its responsibility to protect its people, evil Big Business has taken up the slack. We’ve already noted here how Wal-Mart managed to get thirteen tractor trailers full of supplies to hurricane victims even as the federal government insisted that accessing the area was impossible (only to be turned away by FEMA). The Washington Post takes note of what else corporate America has done:

The biggest single promise of support has come from Wal-Mart Stores Inc., the country’s largest retailer. Chief executive H. Lee Scott Jr. called the White House to pledge $15 million to “jump-start” the rescue efforts, the company said. Wal-Mart has a significant presence in the South and is conducting a national campaign to improve the public’s perception of the company.

As part of its commitment, Wal-Mart said it would establish mini-Wal-Mart stores in the ravaged region to give out clothing, diapers, baby wipes, food, baby formula, toothbrushes, bedding and water to people in need. The company also said it would provide food, clothing, shelter and money to employees who have been dislocated by the storm.

[...]

The funds are coming mostly from the firms’ treasuries, but several companies have also agreed to match employee contributions. A few, such as Verizon Communications Inc. and Booz Allen Hamilton Inc., are matching employee donations on a 2-for-1 basis — a rate that is unusually high, even for circumstances as tragic as these.

A lot of corporate assistance will come in kind as well as in cash. General Motors Corp. is making 150 vehicles available to the Red Cross. Navistar International Corp., a producer of heavy trucks, is working with its dealers and customers to direct trucks to the affected areas. Toyota Motor Corp. said it would ease terms on leases for customers near the Gulf Coast who have trouble making payments.

Many corporate gifts are practical and tailored to the greatest needs of the moment. Anheuser-Busch Cos. is sending nearly 2.5 million cans of drinking water each week to the region, and Culligan International Co. is sending five truckloads of water. DTE Energy Co. is sending tree trimmers.

General Electric Co. is working with the Federal Emergency Management Agency to provide electrical generators, trucks, trailers, modular space, medical equipment and water filtration.

[...]

Sprint Nextel Corp. is deploying satellite equipment and 3,000 walkie-talkie handsets to accelerate restoration of emergency communications. SBC Communications Inc. will expend more than $4 million a month to help New Orleans evacuees who have been relocated to Houston and San Antonio. At the Astrodome, SBC has set up 1,000 telephones with free local and long-distance calling, as well as free wireless phones and computers with high-speed Internet access.

Cendant Corp., which owns Avis and Budget rental car companies and Ramada and Days Inn hotels, agreed to provide cars and unused hotel rooms to rescue personnel and, potentially, to victims of the hurricane as well. It may also make some of its timeshare resorts available outside affected areas.

Drug companies have been especially active. Abbott Laboratories Inc. has pledged $2 million in cash, as well as $2 million in nutritional and medical products. Pfizer Inc. and Bayer will give millions of dollars in cash and products. Eli Lilly & Co. said it would donate 40,000 vials of refrigerated insulin. Bristol-Myers Squibb Co. is sending baby formula.

The nation’s retailers have also swung into full charity mode. Target Corp. said it would donate $1.5 million and offered land in Louisiana to the Red Cross to help it to coordinate relief efforts. Home Depot Inc. and its charitable foundation donated $1.6 million, while home-improvement rival Lowe’s Cos. activated its customer-donation program, which matches gifts dollar for dollar.

J.C. Penney Co. said it will donate $350,000 to the Red Cross.

Wal-Mart dispatched 10 truckloads of water, 20,000 batteries and 20,000 emergency kits to Baton Rouge. It handed over two of its buildings in Louisiana to emergency-relief workers and created a message board system on its Web site for anyone trying to reach family members.

DHL, the express-delivery and logistics company, is donating up to $500,000 of shipping services into and out of the region. FedEx Corp. offered to use its fleet to airlift tons of donated goods. Nationwide is sending truckloads of ice, water, food, diapers, toilet paper and paper towels.

The airline industry is mounting what could become a massive airlift. Several carriers, including US Airways, began sending aircraft to New Orleans on Friday to help take thousands of stranded people to safer territory.

Among the oil companies, Exxon Mobil Corp. is leading the field with $7 million in promised contributions. ConocoPhillips and Shell Oil Co. have pledged $3 million each. Marathon Oil Corp. said it would deliver $1.5 million to the Red Cross. The BP Foundation gave $1 million.

Financial services companies are weighing in and, as might be expected, they are providing largely cash. Citigroup Inc. said it would donate up to $3 million. J.P. Morgan Chase & Co. said it would donate up to $3 million. Merrill Lynch & Co. has committed $1.5 million, and the T. Rowe Price Associates Foundation, $250,000.

With so many children on the street and without prospects, one company’s beneficence is likely to be deeply appreciated. Mattel Inc. said it would distribute several thousand toys to children in the stricken Gulf Coast.

“We, at Mattel, understand the power of ‘play,’ ” said Kevin Farr, chief financial officer of Mattel and chairman of the Mattel Children’s Foundation. “We will be working with organizations to ensure children have access to toys that will provide moments of much-needed relief during the difficult months ahead.”

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One Response to “Civil Society Steps Up”

  1. #1 |  Dispatches from the Culture Wars | 

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