Raleigh NC| AIG Wins the PR Fail of the Week
AIG Wins the PR Fail of the Week
AIG, an insurance giant, was recently the recipient of a $85 billion bailout from the federal government. The company may also gain access to an additional $37.8 billion dollars in the coming weeks. How are they spending their money? The executives are going on English hunting trips (approximately $86,000) and AIG is footing the bill for a $440,000 week-long retreat in California for their best agents. In addition to the public outcry over such spending, the New York Attorney General is investigating AIG for excessive spending which includes a $20 million package given to the CEO of AIG in March and extravagant golf outings.
AIG wins this weeks PR Disaster of the Week Award and needs to completely cut out excessive executive spending. AIG started on the road to recovery last week by saying, “all non-essential conferences, meetings and activities that do not clearly maximize value and service have been cut given the current conditions.”
So long as AIG sticks to that statement, stays out of the news and cuts expenditures at the top, the public outcry will die down. The investigation by the New York AG is another matter entirely. The best thing for AIG to do at this point is to tell the truth, tell it loudly, and tell everyone that they will do better in the future. With an 80% stake in company, the tax-payers certainly hope so.
Does your company need a public relations firm in Raleigh? In North Carolina? Visit the MMI Associates website for more information. We are a full-service public relations firm located in Raleigh. Any questions? Please give me, Patty, a call at 919-233-6600.
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