NEW YORK: In the wake of Donaldson, Lufkin & Jenrette (DLJ) barring members of the press from its media industry conference earlier this month, the debate over access to often sensitive financial information has flared up anew.
NEW YORK: In the wake of Donaldson, Lufkin & Jenrette (DLJ) barring
members of the press from its media industry conference earlier this
month, the debate over access to often sensitive financial information
has flared up anew.
Media relations experts applauded the stand taken by Dow Jones & Co.,
which pulled out of the conference (during which media companies were to
reveal their financial results to DLJ) after DLJ refused to slacken its
no-media policy.
Much of the controversy surrounds the practice of selective disclosure
of company operations and projects, which favors large investors. In the
era of online trading - which has led to an exponential increase in
small investors - the practice has come under fire for limiting access
to essential company information. Without journalists being included in
conferences like the DLJ event, the likelihood of information being made
available to small investors diminishes substantially.
’We feel immediate disclosure is in the best interest of both
shareholders and the investing public.’ said Dow Jones VP of corporate
communications Richard Tofel.
Responded DLJ director of corporate communications Cathy Conroy, ’The
media is generally not invited to industry conferences, often at the
request of companies presenting information.’
Still, the media industry has traditionally been an exception. The two
most prominent industry conferences with sell-side analysts in
attendance - the Mid-Year Media Conference and the Paine Webber
conference - are both open to reporters, although no questions are
allowed.
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