Medical News

January 22 2004–
Portland Oregon based Interstate Meat Dist. Inc. Seeks PR Counsel and Employs Salmon Creek Public Relations Inc. of Vancouver Washington.

It was December 23, the busiest time of the year; the plant was processing at close to capacity and team members were getting ready for the holiday and much deserved time off. The phone rang and a customer reported that BSE-probable (mad cow) beef may have been inspected and approved. Some product was shipped and processed by Interstate Meat Distributor Inc.

Contact: Anita Woodley
Salmon Creek Public Relations Inc.
360-571-5560
awoodley@salmoncreekpr.com

Portland, OR
The first phone call came in from a customer at around 10am, a local radio station reported that beef from the state of Washington was being tested for BSE (mad cow) and some of the beef that had been inspected and approved was shipped to Interstate and one other processor in the Portland area.

Within minutes, the on-site USDA Inspector at Interstate walked into the office of Interstate President, Jerry Meng and confirmed that he was also called by the USDA office in Denver. All products from a shipment on December 12th were under review and a hold order was placed on the product. Interstate began pulling all information related to the shipment. The team at Interstate began informing all customers to pull and hold the product in question. The media was making attempts to inform the public but information was not yet conclusive and Interstate was fielding calls from customers, consumers and media representatives from around the globe. Late the evening of the 23rd, the USDA called and said they were meeting in an emergency recall committee and more information would be available the following morning. While information was inconclusive, one thing was certain: every customer was informed and arrangements were in place to accept returns of all product that was at grocers and other outlets. The number of phone calls was incredible with team members pitching in to answer phones and provide whatever details were available in the early hours of the crisis. It appeared that there was over ten thousand pounds of products that would be re-called. Because of the positive relationships with customers, all customers were told that all returns would be accepted regardless of whether the product was part of the shipment in question or not.

The total returned product jumped to 250,000 pounds and checks totaling hundreds of thousands of dollars were written to customers within forty eight hours of notification of the BSE issue.

On the 24th of December the product in question was being referred to officially as BSE ? Probable. Nevertheless, all Interstate products were being pulled from shelves at grocers throughout the Northwest. It was apparent that lay offs would become necessary.

Interstate has enjoyed a highly regarded reputation built over thirty-five years and there was not a question that the business would go on even with this terrible challenge. But, for Interstate, having a large lay-off of team members was not something they had experienced before. It was right before the holiday and the decision was made to provide extended health benefits and extra pay for team members. Additionally, members were told that they would be called back as soon as possible.

The phones continued to ring but the customers were all cared for and product recalls were proceeding well under the circumstances. It was now members of the media who wanted interviews, opinions and details. This created a challenge for a closely managed family business that was primarily a business to business firm with little experience dealing with a global news story. In addition, there were also concerns and regulations that required the protection of the investigative process and the rights of suppliers and individuals. The USDA suggested that a blanket no comment should be issued regarding all inquiries. Members of the media were suggesting correctly that ?No Comment? may not be in the best interest of Interstate.

Members of the Salmon Creek Public Relations Inc. team were acquainted with the owners of Interstate and keenly aware of the complexities of their situation. As an effort to help, Salmon Creek Public Relations Inc. volunteered to provide whatever support would be needed to help them protect their reputation and provide needed information to representatives of the media. Immediately Interstate requested that Salmon Creek Public Relations Inc. get involved and start fielding questions and providing as much information as possible taking into consideration the directives of the USDA.

Salmon Creek Public Relations Inc. developed a general analysis of the issues and challenges in communications in crisis with a complicated issue like BSE. ?We ascertained the core values and vision of Interstate and we incorporated the culture, vision and values into our strategy for communications?, according to Loran Hickton of Salmon Creek Public Relations Inc.

Salmon Creek met in groups and individually with members of the Interstate team to better understand the effects this crisis had on the company and the individual team members.

Salmon Creek created a series of potential questions that were likely to be asked under the circumstances. Again, meeting in groups and individually to seek accurate responses and to better understand the rationale and philosophy of the company.

Clearly Interstate was not to blame for what had occured. The beef in question was inspected and approved by the USDA at two facilities before arriving at Interstate.

We agreed that we should not communicate regarding how BSE product got into the system, but rather support the process of communications and investigation underway by the USDA.

We quickly implemented standards for speaking to members of the media and consumers. All inquires were provided with USDA web-sites, documents, press releases and phone numbers. All information was factual and documented and we provided no speculation or hypothetical opinions. We expressed a willingness to work with any and all individuals that had an interest or concern.
It was stated (and repeated if possible) that ?Interstate made decisions based on scientific evidence, providing optimally healthy, safe and wholesome products?.

The following ?Question & Answer? was also created to anticipate the general questions.

Q: Tell us about Interstate Meat Distributor Inc.

A: Interstate was incorporated in 1967 by Jack Meng. The company has enjoyed consistent growth of 3-8% per year. The company processes ground beef and pork products for patties and sausage. Today Interstate is still family owned and managed by Jack?s two sons serving in leadership and management roles. In addition to second-generation ownership, many team members are second generation or have been employed since the inception of Interstate. There are currently 120 employees of Interstate, though there was a recent lay-off of 40 team members. Interstate hopes to be calling back team members in the coming weeks.

Q: How has the BSE situation affected Interstate?

A: Safety is always first at Interstate. Receiving inspected beef that was potentially BSE positive is still completely unbelievable and totally unacceptable. Even after many days of dealing with the issue, it still makes no sense and is very frustrating. The beef had been inspected and passed by USDA two times prior to our receiving the product.

It placed us in the center of an issue of which we had no control, but the way it was reported in the media did not explain that any company could have received the product.

It damaged our business. It has required that we spend large amounts of time to protect our excellent reputation.

- It has caused lay-offs.
- It has caused a reduction in business.
- We operate a very close group of team members and we try to create a family environment. We have never had to lay off team members due to business reductions before and this has been painful for our team and most importantly to team members without a paycheck.

Interstate has built the company from the ground-up with over 35 years of service. We are very proud of the positive and committed relationships we have built with our customers. The damage that inspected and approved USDA beef came through the system as BSE positive is harmful to the entire industry. For us it means that many good, caring and committed team members lose their jobs through no fault of theirs or the company. We consistently do everything possible to assure the safety and wholesomeness of products. We not only meet requirements, we exceed them!

Q: What actions did you take when notified that BSE meat came through the system?

A: On the 23rd at 2:00PM the USDA provided us with notification that we may have received products that were associated with the BSE recall. The USDA informed us that the USDA was meeting in ?Recall Committee? and we would be informed the following morning as to actions that should be taken.

On the morning of the 24th we were informed by the USDA of the decisions of the Recall Committee. The Recall Committee asked for all information regarding a load of boneless beef that we received on December 12.We immediately provided requested information. Interstate was already communicating with all customers. The USDA stated that we should draft a document to all affected customers requesting return of product in question. We did so immediately.

We are currently working with the USDA on products being returned.

Q: How much beef was involved or sold to through Interstate?   

A:The USDA informed us that the total amount of beef processed at the first stage was 10,410 pounds. For Interstate, that means our stage of processing expanded to 20,000 pounds. The total returned ground beef will be in excess of 250,000 pounds, with a wholesale market value in excess. $300,000.

Q: What has changed at Interstate as a result of this issue?

A: Interstate has always met and exceeded regulations and standards within our industry. We want to assure consumers that Interstate will increase and redouble all efforts to make certain a safe and wholesome food supply. Further, we await proposed additional actions and safeguards by the USDA to make sure our products are as safe as technologically possible as well. We are encouraged by the immediate changes to testing protocol of BSE. This includes ?Test & Hold? which would have avoided this current issue.

Interstate is back to work and business is coming back. In time it appears that full recovery will occur. Customers understand that Interstate had virtually zero opportunity to know the product was BSE because of multiple inspections and approvals by the USDA. Customers understand that the product could have come through any other
provider and the same situation would have occurred. The damage to business caused by this situation has been costly and only time will reflect the entirety of its effects.

About Salmon Creek Public Relations Inc.: Salmon Creek Public Relations is a Portland Oregon / Vancouver Washington based public relations firm specializing in cause-related communication strategies. Media relations, crisis response, marketing, research, branding, and trade negotiations are just a sample of the services we provide. Salmon Creek is a small firm with proven results in animal health & welfare, entertainment and sporting events.

January 22 2004–
Portland Oregon based Interstate Meat Dist. Inc. Seeks PR Counsel and Employs Salmon Creek Public Relations Inc. of Vancouver Washington.

It was December 23, the busiest time of the year; the plant was processing at close to capacity and team members were getting ready for the holiday and much deserved time off. The phone rang and a customer reported that BSE-probable (mad cow) beef may have been inspected and approved. Some product was shipped and processed by Interstate Meat Distributor Inc.

Contact: Anita Woodley
Salmon Creek Public Relations Inc.
360-571-5560
awoodley@salmoncreekpr.com

Portland, OR
The first phone call came in from a customer at around 10am, a local radio station reported that beef from the state of Washington was being tested for BSE (mad cow) and some of the beef that had been inspected and approved was shipped to Interstate and one other processor in the Portland area.

Within minutes, the on-site USDA Inspector at Interstate walked into the office of Interstate President, Jerry Meng and confirmed that he was also called by the USDA office in Denver. All products from a shipment on December 12th were under review and a hold order was placed on the product. Interstate began pulling all information related to the shipment. The team at Interstate began informing all customers to pull and hold the product in question. The media was making attempts to inform the public but information was not yet conclusive and Interstate was fielding calls from customers, consumers and media representatives from around the globe. Late the evening of the 23rd, the USDA called and said they were meeting in an emergency recall committee and more information would be available the following morning. While information was inconclusive, one thing was certain: every customer was informed and arrangements were in place to accept returns of all product that was at grocers and other outlets. The number of phone calls was incredible with team members pitching in to answer phones and provide whatever details were available in the early hours of the crisis. It appeared that there was over ten thousand pounds of products that would be re-called. Because of the positive relationships with customers, all customers were told that all returns would be accepted regardless of whether the product was part of the shipment in question or not.

The total returned product jumped to 250,000 pounds and checks totaling hundreds of thousands of dollars were written to customers within forty eight hours of notification of the BSE issue.

On the 24th of December the product in question was being referred to officially as BSE ? Probable. Nevertheless, all Interstate products were being pulled from shelves at grocers throughout the Northwest. It was apparent that lay offs would become necessary.

Interstate has enjoyed a highly regarded reputation built over thirty-five years and there was not a question that the business would go on even with this terrible challenge. But, for Interstate, having a large lay-off of team members was not something they had experienced before. It was right before the holiday and the decision was made to provide extended health benefits and extra pay for team members. Additionally, members were told that they would be called back as soon as possible.

The phones continued to ring but the customers were all cared for and product recalls were proceeding well under the circumstances. It was now members of the media who wanted interviews, opinions and details. This created a challenge for a closely managed family business that was primarily a business to business firm with little experience dealing with a global news story. In addition, there were also concerns and regulations that required the protection of the investigative process and the rights of suppliers and individuals. The USDA suggested that a blanket no comment should be issued regarding all inquiries. Members of the media were suggesting correctly that ?No Comment? may not be in the best interest of Interstate.

Members of the Salmon Creek Public Relations Inc. team were acquainted with the owners of Interstate and keenly aware of the complexities of their situation. As an effort to help, Salmon Creek Public Relations Inc. volunteered to provide whatever support would be needed to help them protect their reputation and provide needed information to representatives of the media. Immediately Interstate requested that Salmon Creek Public Relations Inc. get involved and start fielding questions and providing as much information as possible taking into consideration the directives of the USDA.

Salmon Creek Public Relations Inc. developed a general analysis of the issues and challenges in communications in crisis with a complicated issue like BSE. ?We ascertained the core values and vision of Interstate and we incorporated the culture, vision and values into our strategy for communications?, according to Loran Hickton of Salmon Creek Public Relations Inc.

Salmon Creek met in groups and individually with members of the Interstate team to better understand the effects this crisis had on the company and the individual team members.

Salmon Creek created a series of potential questions that were likely to be asked under the circumstances. Again, meeting in groups and individually to seek accurate responses and to better understand the rationale and philosophy of the company.

Clearly Interstate was not to blame for what had occured. The beef in question was inspected and approved by the USDA at two facilities before arriving at Interstate.

We agreed that we should not communicate regarding how BSE product got into the system, but rather support the process of communications and investigation underway by the USDA.

We quickly implemented standards for speaking to members of the media and consumers. All inquires were provided with USDA web-sites, documents, press releases and phone numbers. All information was factual and documented and we provided no speculation or hypothetical opinions. We expressed a willingness to work with any and all individuals that had an interest or concern.
It was stated (and repeated if possible) that ?Interstate made decisions based on scientific evidence, providing optimally healthy, safe and wholesome products?.

The following ?Question & Answer? was also created to anticipate the general questions.

Q: Tell us about Interstate Meat Distributor Inc.

A: Interstate was incorporated in 1967 by Jack Meng. The company has enjoyed consistent growth of 3-8% per year. The company processes ground beef and pork products for patties and sausage. Today Interstate is still family owned and managed by Jack?s two sons serving in leadership and management roles. In addition to second-generation ownership, many team members are second generation or have been employed since the inception of Interstate. There are currently 120 employees of Interstate, though there was a recent lay-off of 40 team members. Interstate hopes to be calling back team members in the coming weeks.

Q: How has the BSE situation affected Interstate?

A: Safety is always first at Interstate. Receiving inspected beef that was potentially BSE positive is still completely unbelievable and totally unacceptable. Even after many days of dealing with the issue, it still makes no sense and is very frustrating. The beef had been inspected and passed by USDA two times prior to our receiving the product.

It placed us in the center of an issue of which we had no control, but the way it was reported in the media did not explain that any company could have received the product.

It damaged our business. It has required that we spend large amounts of time to protect our excellent reputation.

- It has caused lay-offs.
- It has caused a reduction in business.
- We operate a very close group of team members and we try to create a family environment. We have never had to lay off team members due to business reductions before and this has been painful for our team and most importantly to team members without a paycheck.

Interstate has built the company from the ground-up with over 35 years of service. We are very proud of the positive and committed relationships we have built with our customers. The damage that inspected and approved USDA beef came through the system as BSE positive is harmful to the entire industry. For us it means that many good, caring and committed team members lose their jobs through no fault of theirs or the company. We consistently do everything possible to assure the safety and wholesomeness of products. We not only meet requirements, we exceed them!

Q: What actions did you take when notified that BSE meat came through the system?

A: On the 23rd at 2:00PM the USDA provided us with notification that we may have received products that were associated with the BSE recall. The USDA informed us that the USDA was meeting in ?Recall Committee? and we would be informed the following morning as to actions that should be taken.

On the morning of the 24th we were informed by the USDA of the decisions of the Recall Committee. The Recall Committee asked for all information regarding a load of boneless beef that we received on December 12.We immediately provided requested information. Interstate was already communicating with all customers. The USDA stated that we should draft a document to all affected customers requesting return of product in question. We did so immediately.

We are currently working with the USDA on products being returned.

Q: How much beef was involved or sold to through Interstate?   

A:The USDA informed us that the total amount of beef processed at the first stage was 10,410 pounds. For Interstate, that means our stage of processing expanded to 20,000 pounds. The total returned ground beef will be in excess of 250,000 pounds, with a wholesale market value in excess. $300,000.

Q: What has changed at Interstate as a result of this issue?

A: Interstate has always met and exceeded regulations and standards within our industry. We want to assure consumers that Interstate will increase and redouble all efforts to make certain a safe and wholesome food supply. Further, we await proposed additional actions and safeguards by the USDA to make sure our products are as safe as technologically possible as well. We are encouraged by the immediate changes to testing protocol of BSE. This includes ?Test & Hold? which would have avoided this current issue.

Interstate is back to work and business is coming back. In time it appears that full recovery will occur. Customers understand that Interstate had virtually zero opportunity to know the product was BSE because of multiple inspections and approvals by the USDA. Customers understand that the product could have come through any other
provider and the same situation would have occurred. The damage to business caused by this situation has been costly and only time will reflect the entirety of its effects.

About Salmon Creek Public Relations Inc.: Salmon Creek Public Relations is a Portland Oregon / Vancouver Washington based public relations firm specializing in cause-related communication strategies. Media relations, crisis response, marketing, research, branding, and trade negotiations are just a sample of the services we provide. Salmon Creek is a small firm with proven results in animal health & welfare, entertainment and sporting events.