NEW YORK: InfoUSA has hired Sloane & Company to provide strategic and crisis communications support, as the company counters negative press coverage and activist hedge funds challenging senior leadership.
InfoUSA, a provider of customer information databases, received unwanted news coverage in May, when the company was accused of selling lists with names like "Suffering Seniors" to companies under investigation for fraud that eventually allegedly bilked elderly victims out of their money. Authorities have not accused the company of any wrongdoing.
InfoUSA countered the news with a statement reiterating that the story was based on a closed Iowa investigation. In addition, they said, "There are many legitimate reasons for direct market to senior citizens (or any other demographic group). That said, we understand the sensitivity of age information, and for that reason our policy is to pre-screen direct marketing materials intended to reach older customers."
"Ultimately, we're going to support infoUSA's branding and reputation in the marketplace," said Sloane CEO Elliot Sloane. "We're going to talk to the long-term strength of the business, the 40-year track record of this company. We're going to promote the depth and strength of management."
He would not name the activist hedge funds that are challenging infoUSA's management. The value of the contract is undisclosed.