PR - Crisis and Management

Thursday, March 02, 2006

Enron: The Aftermath

Prior to its bankruptcy in late 2001, Enron employed around 21,000 people and was one of the world's leading electricity, natural gas, and communications companies, with claimed revenues of $101 billion in 2000. Fortune Magazine named Enron "America's Most Innovative Company" for six consecutive years. It became most famous at the end of 2001 when it was revealed that it was sustained mostly by institutionalized, systematic, and well-planned accounting fruad. After what is now known as one of the biggest scandals not to metion crisis PR sitautions of all time, Enron is working to re-estalbish themselves in the aftermath of the scandal.

According to Enron's website, "Enron is in the midst of restructuring various businesses for distribution as ongoing companies to its creditors and liquidating its remaining operations. " This statement while encouraging will be hard to maintain because when there's a public relations crisis the magnitude of Enron's it is almost impossible to regain customer confidence.


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