Disaster! A fire broke out and sparked a devastating explosion in a client’s facility. Montpellier Public Relations were called in to dampen the effect any media fallout would have on the client’s reputation. Montpellier and the client had an added headache – the imminent quarterly results of their US parent company. Montpellier’s crisis management programme contained and dealt with media coverage. This helped our client concentrate on the task at hand.
“Without Montpellier there was no way we would have coped. The division of labour with Montpellier taking the lead on communications not only greatly assisted my team but has been seen as an immensely professional operation by our stateside colleagues, who have had previous experience of serious chemical explosions.”
Managing Director
The client is a subsidiary of an NYSE quoted chemicals group, with worldwide sales over $3.7 billion. In the UK, the business has a leading position in the market for pool and spa chemicals, provides products, which protect people as they pursue leisure activities in public and private swimming pools, health and fitness clubs, spas, saunas and hot tubs. Montpellier had been contracted to provide trade and consumer PR and advertising programmes for the client and during September a call came in from the managing director: “I think I need your help; the production facility has exploded, luckily no casualties but I need you guys to help me out.”
A fire had started in the production line and quickly sparked a chain reaction explosion, which ripped through the facility. As a consequence fire tenders were called out, roads blocked, residents evacuated with the fear of toxic fumes as a three-mile high plume emanated from the site and was carried across surrounding rural areas. In the ensuing days, the Environmental Agency reported pollution of nearby waterways, with the loss of trout and other wildlife.
From the first alert Montpellier’s crisis programme swung into action, which required director-level support to tackle the incident and its strategic communications requirements, whilst allowing the core team to tackle on-going trade communications, and promoting the ‘business as normal message’. An added imperative that Montpellier needed to build into the programme was that the parent company, was due to announce its quarterly results to the New York Stock Exchange. Widespread negative coverage in the States, for example picked up from news agencies, would adversely affect the stock price.
• To provide full communications and media support
• To contain coverage to the UK (and ideally the region)
• To protect NYSE quarter Stock announcement by parent company.
• To address concerns of local community including business neighbours
and residential areas affected by the ‘fallout’
• To provide the communications lead for the US/UK incident team
• To manage communications with the trade supply chain, trade outlets and
consumers
From day one the crisis framework was agreed with the senior management team on-site and lines of communication established with the US communications team, together with the CEO of the parent company, HR management, legal, insurance, operations and sales functions. At the first planning meeting it was clear that the media frenzy needed to be satisfied with regular dialogue; Montpellier therefore researched all elements from background facts to the environmental impact provisions. In addition, the senior team comprising client’s UK MD, commercial and operations director were briefed on responsibilities. All media and communications would be cleared through Montpellier’s incident room. A US team were flown in within 48 hrs to help on operational and HR issues and were briefed by Montpellier prior to arrival.
An intranet was established with password protection to ensure that all coverage and approved statements, including TV, radio and press comments/coverage were accessed and reviewed at the daily US/UK conference call, with on-site meetings and remote meetings ensuring that all senior team members could participate and were briefed on the status of communications. These conference calls also ensured that other professional advisors (both in-house and external) were linked including solicitors, insurance underwriters and loss adjustors.
Statements were prepared and approved to address communications with a number of stakeholders, principally: employees at the affected site and other UK facilities, local community (neighbours on the industrial estate and residents affected), Statutory authorities (Parish Council, District & County Council: Health & Safety Executive; Environment Agency; Severn Trent Water; landowners; police, fire and emergency planning authorities), trade customers, end users.
The media relations strategy required the MD to be briefed by Montpellier director Philip Hicks and to take media calls and requests for interviews with TV and radio stations including BBC West/BBC Midlands/ITV Central – with regular coverage on Points West and Central News – in addition to radio stations (BBC Radio Gloucestershire/Star Radio/Severn Sound plus regional newspapers including Gloucestershire Echo, The Citizen, Oxford Times, Swindon Advertiser, Evesham Journal amongst others.
Montpellier’s team activities included: drafting of statements; briefing executives; stand in spokesman on radio and newspaper interviews; preparation of Q&As; single point contact for media; co-ordination of all communications activities for UK and lead counsel to US communications team.
Montpellier Public Relations set up a hotline from day one for public enquiries, linking with public information provided from the health authorities. In the first few days of the incident, an individual at a Parish Council Meeting created a number of scaremongering stories. Montpellier immediately arranged for a BBC Radio Gloucestershire interview to put the record straight, which coincided with a leaflet drop to the community, with a personal message and update from the MD. Senior management were briefed by Montpellier and all business neighbours were visited and details down to insurance claims were discussed. Letters to local press were monitored along with residents’ interviews on TV and radio, with appropriate responses produced.
The entire facility was lost as a result of the explosion so it was vital that staff were reassured about their status. After a few weeks, numerous feasibility discussions together with a consideration of the costs of reinstituting production and the hostility of local communities to the resumption of chemical production, management decided to outsource production to other sites. This included sub contractors and other group companies primarily in South Africa, France and Germany. Montpellier advised on letters to staff and the consultation process required – working with the HR team – to ensure that communications were timely and addressed legal and statutory requirements. A strategy was developed to handle PR issues over potential redundancies/redeployment of staff. Around 30 people were made redundant at the end of the process, with another 30 remaining in the administrative, logistics coordination and sales and marketing functions. There was an obvious need to ensure that all matters were dealt with sensitively, including how this was announced to local and trade media.
Montpellier acted as point of contact for communications with the Environmental Agency communications group established to monitor water contamination to the water system.
In parallel with the incident management activities, full time support dedicated to issues programmes and media handling – the core trade activities, including newsletters, trade and consumer media relations, features, advertising and support communications, were run by account director Lisa Pringle. This allowed focus of activities on a twin track with incident management self-contained but feeding information to the trade and consumer communications team.
With crisis management programmes, the volume of media interest is often difficult to gauge let alone control. The key objective is to provide open communications within agreed message frameworks. The Montpellier team’s experience of crisis management programmes for clients including Emirates airline, Coca-Cola and the Russian Government enabled the consultancy to rapidly deploy and roll out an effective and highly professional crisis management for BioLab and met the high standards demanded by this international client. Daily evaluation of Montpellier’s strategy and activities was undertaken by the US team headed by Mary-Anne Dunnell, vice president of corporate communications at the parent company, and an acknowledged expert in international communications programmes.
Montpellier contained media coverage to the region (one mention as a news in brief in a national – Daily Mirror - did not name the company). There was no coverage in the US (one reference on a specialist pool chemical web site in Canada). There was no adverse affect on the parent company stock price.
Community relationships have been restored with continued support for the local school. Montpellier worked on reassuring local communities, isolating the one hostile voice and strengthening of relationship with local media.
Business as usual trade message was received and covered by core trade media, to help minimise production and delivery issues at a time when competitors were busy in the market unashamedly attacking the client’s accounts.
Within three months, the client fulfilled 85 per cent of orders and in four months was on top of all orders, supported by trade PR activities. The client continues to be the UK’s leading provider of swimming pool, spa and hot tub chemicals – albeit supplied from other sources. Trade relations continue with a trade education programme rolled out in the New Year in time for the summer season.