Extinguishing a crisis that engulfed an acoustics company

In the wake of the Rhode Island nightclub fire that killed dozens of concert-goers, The New York Times named an acoustics manufacturer as a possible source of the material that appeared to burn so quickly. Because people generally believe news when they hear it — regardless of its accuracy — the company turned to Padilla Speer Beardsley to help it navigate the crisis.

As the company's stock price plummeted and media inquiries flooded in from around the world, Padilla's investor-relations experts moved quickly to get stock trading halted and investors' fears calmed. Meanwhile, Padilla's media and litigation counsel quickly gathered facts, developed key messages and asserted control with the media.

Our team rebutted The New York Times report with the facts: The manufacturer's products were not present in the night club.

In the recovery phase, the company relied on Padilla for myriad services, including employee communications, Web site re-design, branding work and other strategic communications.

As a result, the company weathered the crisis and is prospering today.

Case Study


Crisis and Critical Issues Management

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