Vollmer Public Relations

							“We have always known that
heedless self-interest was bad
morals; we know now that it is
      bad economics.”
“We have always known that
heedless self-interest was bad
morals; we know now that it is
      bad economics.”
          Franklin D. Roosevelt
What the Heck is Going On?

          Jennifer Tweeton
       V.P. Investor Relations
      Vollmer Investor Relations
Background

• Started in 1984 with BFI
• First IPO – US Delivery Systems
• Second IPO – American Residential
  Services
• Exited corporate America in 2000
Why Does a Company Decide to Go Public?
Why Does a Company Decide to Go Public?

•   Access to capital
•   Fund growth
•   Image awareness
•   Employee attraction
•   Exit strategy
Who are the Stakeholders & Influencers?

• Management
Who are the Stakeholders & Influencers?

• Management
• Mutual fund managers
  – Mutual fund analysts (buy-side)
  – Research analysts (sell-side)
The Legal Obligations to Stakeholders

• Insider trading laws – SEC and exchanges
• Forms 8-K, 10-Q, 10-K and Annual Report
• Proxy / Annual shareholders‟ meeting
The Role of IR
• Primarily a financial function
Market Changes
• The advent of the Internet
• Stock options
Who are the Stakeholders & Influencers?

• Management
• Mutual fund managers
  – Mutual fund analysts (buy-side)
  – Research analysts (sell-side)
Who are the Stakeholders & Influencers?

• Management
• Mutual fund managers
  – Mutual fund analysts (buy-side)
  – Research analysts (sell-side)
• Individual investors
  – Financial and business media
     “Wall Street‟s brokerages were
     overflowing with a new type of
  speculator,…the inexperienced – the
„suckers,‟…men who had been attracted
  by newspaper stories of the big, easy
 profits to be made in a tremendous bull
                 market.”
     “Wall Street‟s brokerages were
     overflowing with a new type of
  speculator,…the inexperienced – the
„suckers,‟…men who had been attracted
  by newspaper stories of the big, easy
 profits to be made in a tremendous bull
                 market.”
                The Nation, 1928
The Legal Obligations to Stakeholders

• Insider trading laws – SEC and exchanges
• Form 10-Q, 10-K and Annual Report
• Proxy / Annual shareholders‟ meeting
The Legal Obligations to Stakeholders

•   Insider trading laws – SEC and exchanges
•   Form 10-Q, 10-K and Annual Report
•   Proxy / Annual shareholders‟ meeting
•   Regulation FD
The Role of IR
• Originated as a financial function
The Role of IR
• Originated as a financial function
• Add a public relations function
The Role of IR
• Originated as a financial function
• Add a public relations function
• Add a corporate communications function
Market Changes
• The advent of the Internet
• Stock options
Market Changes
• The advent of the Internet
• Stock options
• IPO insurgence
Who are the Stakeholders & Influencers?

• Management
• Mutual fund managers
  – Mutual fund analysts (buy-side)
  – Research analysts (sell-side)
• Individual investors
  – Financial and business media
Who are the Stakeholders & Influencers?

• Management
• Mutual fund managers
  – Mutual fund analysts (buy-side)
  – Research analysts (sell-side)
• Individual investors
  – Financial and business media
• Investment bankers
  – Research analysts (sell-side)
With the Crash…, public confidence in
 the markets plummeted. There was a
   consensus that for the economy to
recover, the public‟s faith in the capital
markets needed to be restored. Congress
 held hearings to identify the problems
        and search for solutions.
The Legal Obligations to Stakeholders

•   Insider trading laws – SEC and exchanges
•   Form 10-Q, 10-K and Annual Report
•   Proxy / Annual shareholders‟ meeting
•   Regulation FD
The Legal Obligations to Stakeholders

•   Insider trading laws – SEC and exchanges
•   Form 10-Q, 10-K and Annual Report
•   Proxy / Annual shareholders‟ meeting
•   Regulation FD
•   Sarbanes-Oxley
Sarbanes-Oxley
Primary goal: return credibility to the marketplace
•   Certification of financials
•   Accelerated filing periods – movement towards real-time
•   Increased filing requirements
•   Audit restrictions
•   Accounting language
•   Internal controls
•   Regulation G
•   Forfeiture of bonuses
•   Separation of investment banking to sell-side
•   Corporate governance
Sarbanes-Oxley
Corporate Governance
• Board members and committees
• Code of ethics
• SEC filings
• Whistle blower
How will the Market Change?
•   Tighter regulations
•   More information
•   Increased accountability
•   Greater transparency
•   Still subject to interpretation
The Role of IR
• Originated as a financial function
• Add a public relations function
• Add a corporate communications function
The Role of IR
•   Originated as a financial function
•   Add a public relations function
•   Add a corporate communications function
•   Add a regulatory function
    – Tighter regulations
    – Greater transparency
    – Increased accountability
The New Role of IR
• Expanded counsel on all communications
• Counsel to board members/management
• Language auditor
• Merging of IR/PR/corporate
  communications functions
• Web site host