CEBC IN THE NEWS

Press Release

Mergers and Corporate Philanthropy 
– Challenges Ahead for Minnesota

For Immediate Release
January 7, 2002

Contact: 

David Rodbourne
Vice President
Phone: (651) 962-4120/4122
Email: dhrodbourne@cebcglobal.org  

MINNEAPOLIS, Minn. – The Center for Ethical Business Cultures (CEBC) announces publication of a discussion paper, Mergers: Implications for Corporate Philanthropy and The Community. High profile corporate mergers and continuing economic changes in recent years prompted the Center to undertake this study. A product of interviews with 60-plus local and national leaders from business, nonprofit, and civic institutions, the paper identifies several developments that might in the long run undercut Minnesota’s reputation for active corporate citizenship.

Two distinct perspectives emerged from the interviews. On one hand, some nonprofits cite mergers as a cause of diminished funding, lost executive talent from business for boards and civic projects, and reductions in the number of volunteers. On the other hand, business giving has grown in Minnesota, and leading corporate grant makers give at significantly higher rates than the national average. However, business giving has changed and mergers are only one piece of a complex story. And despite a generally positive perspective from business leaders, even some businesses have struggled to convince out-of-state merger partners of the value of giving and community engagement.

CEBC President and CEO Ron James remarked, “These changes challenge all of us in Minnesota and the Twin Cities. We need to find ways to sustain the outstanding business leadership and giving that have helped build our communities, but we also need to inspire new generations of business leaders to step forward. My take-away from this preliminary look at the problem is that, as a community, we need to begin talking and developing a strategy to manage these changes.”

The interviews and background research for the paper were funded in part by a $3,500 grant from The Minneapolis Foundation. A copy of the full report is available online at www.cebcglobal.org.  The Center for Ethical Business Cultures is a nonprofit organization whose mission is assisting business leaders in creating ethical and profitable business cultures at the enterprise, community and global levels. CEBC, which is governed by a business-led board of directors, works in partnership with the University of St. Thomas College of Business and with the University of Minnesota Carlson School of Management.

Center for Ethical Business Cultures

1000 LaSalle Avenue, TMH 331 ▪ Minneapolis, MN 55403-2005 ▪ USA

Phone: 651 962 4120 or 800 328 6819 Ext. 2-4120 ▪ Facsimile: 651 962 4042

Email: mail@cebcglobal.org

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