BLOG: You have the right to remain silent...
Tuesday, May 13, 2008
Philanthropy: head of the class or dunce cap?
Competing oil and gas drilling companies both promised a sizable donation to a school district, but only one followed through. Guess which one people are likely to sell drilling rights to?Yup, it’s the one that followed through with a breathtakingly large donation, at least in the history of the school district. Fort Worth-based XTO donated a record-breaking $50,000 to the Carroll Education Foundation, an independent nonprofit that benefit the district. The single largest contribution to the group previously was $10,000.
There are several other reasons why this donation is interesting, as pointed out by the Fort Worth Star-Telegram.
Oklahoma City-based Chesapeake, XTO's rival, has the mineral-rights lease to drill for natural gas under all 402 acres owned by the district itself. The XTO donation, which was made last week without fanfare, will make XTO the "presenting sponsor" at the foundation's only fundraiser this year.
The foundation had been talking with Chesapeake officials about a donation since December. Chesapeake even gave a verbal commitment in February, but despite numerous requests for a signed contract, the foundation still never got a dime.
This isn't the first donation race between these two.
Chesapeake announced in late March that it would donate $1 million to the United Way to establish the Barnett Shale Endowment Fund. Also that day, the YMCA rushed out a news release saying that XTO was donating $500,000 to help modernize and expand its workout space.
As memorable as the $1 million donation is, will it neutralize the negative feelings caused by Chesapeake reniging on a promised donation?
Labels: branding, Chesapeake, crisis_communications, customer service, media relations, philanthropy, XTO
Comments: