Tag: James Graham Brown Foundation

KFC puts $218M U.S. advertising media buying account up for grabs; Papa John’s loses Rupp Arena rights, and more drama engulfs UofL Foundation

A news summary focused on 10 big employers; updated 3:23 p.m.

KFC is looking for more bang for its bucks in a just-launched review of its U.S. spending for advertising and marketing across all channels, including print, broadcast, digital and social media. The review, which in theory could end with the chicken-chain keeping its current agency for the work — ad and marketing giant WPP’s MEC unit — doesn’t include creative work now being done by Wieden & Kennedy since 2015; that agency is responsible for the current campaign of rotating actors and comedians portraying a resurrected Colonel Harland Sanders. KFC’s U.S. division said it’s looking for an agency “capable of deploying innovative media strategies while leveraging cost efficiencies and maximizing return on investment” (AdAge). KFC just launched its latest Sanders TV commercials, featuring a fictional Kentucky Buckets pro football team.

PAPA JOHN’S has given up concession rights at Rupp Arena in Lexington starting this fall, and will be replaced by Hunt Brothers Pizza (Herald-Leader).

jack-daniels-150th-anniversary-whiskeyBROWN-FORMAN‘s Jack Daniel’s has unveiled a new version to celebrate its major birthday this year: Jack Daniel’s 150th Anniversary Whiskey, which is priced around $100 per one-liter bottle (The Whiskey Wash). Jack Daniel’s is the top seller among Brown-Forman’s 19 brands of spirits and wine.

UPS: Utah is giving UPS $5 million in tax incentives for the shipper’s plan to build a $200 million regional package operations center at a yet-to-be-determined site in the state that will create nearly 200 jobs (Salt Lake Tribune). UPS is the single-biggest private employer in Louisville, with 22,000 workers at it Louisville International Airport hub.

TEXAS ROADHOUSE is opening a Bubba’s 33 in east of Dallas in Mesquite as the Louisville-based steakhouse chain expands its new sports bar division. First launched in Fayetteville, N.C., in 2013, there are now a dozen Bubba’s locations, including outlets in Houston and Waco (Culture Map Dallas).

In other news: the University of Louisville board of trustees, escalating its battle with the independent UofL Foundation, today approved a threat to sue the foundation unless it accedes to demands to clean up its act. Board of Trustees Chairman Larry Benz said as many as 70 donors have called the university over the past few days to say they won’t give any more money unless the foundation shows that it is “clean” (Courier-Journal). Those donors’ threats followed similar ones last week by the James Graham Brown Foundation and the C.E. & S. Foundation led by Humana co-founder David A. Jones Sr.

David Jones Sr., his alma mater UofL, and the politics of money and power in Louisville

By Jim Hopkins
Boulevard Publisher

David Jones Sr
Jones

If there’s anything surprising about David A. Jones Sr. formally entering the high-stakes fray over the University of Louisville yesterday, it’s the fact it took this long to become public.

Nearly three months ago, when Gov. Matt Bevin shocked the community by seizing control of the school and dismissing the 20-member governing board he declared “dysfunctional,” the first person I thought of was Jones, the Louisville native, co-founder of Humana, and one of the state’s leading philanthropists.

That June 17, Bevin said his decision was the “culmination of all the conversations I’ve had with everybody on all fronts.” He didn’t reveal the names of those he’d spoken with, but it certainly would have included alumni whose opinion mattered. And few among that select group matters more than Jones.

“One of the university’s most influential and wealthiest graduates,” I wrote the day Bevin moved against the 22,000-student school, “is Humana co-founder David A. Jones Sr., who received a bachelor’s degree in business there in 1954.”

Jones and his wife, Betty Ashbury Jones, have long and extensive ties to UofL. She received a bachelor’s degree from the school in 1955, and the two went on to graduate school: David to Yale Law; and Betty, much later, to the French School at Vermont’s Middlebury College. (More on those two schools in a moment). Back in Louisville, Jones and a law partner, Wendell Cherry, launched the health-care company in 1961 that would become the Humana empire, starting with a single nursing home; they became millionaires after it went public in 1968.

david-and-betty-jones
Betty and David Jones.
A Depression-poor childhood

David served on the board of trustees for a time, and Betty taught French Conversation in the Continuing Education Department from 1993 to 2003. For their service to the school, the couple were among the first to be made members of the Arts and Sciences Hall of Honors, in 2007.

David didn’t come from money, and UofL — which he attended on a ROTC scholarship Continue reading “David Jones Sr., his alma mater UofL, and the politics of money and power in Louisville”

In a sharp rebuke, JG Brown foundation asks whether UofL foundation funds were improperly diverted, threatens to cut off future gifts

By Jim Hopkins
Boulevard Publisher

The white-shoe world of philanthropy is usually collegial and rarely combative, which makes the $355 million James Graham Brown Foundation‘s public accusations yesterday against the University of Louisville Foundation so extraordinary.

The Brown foundation, which has given $72 million to the school over the past six decades, sent the broadside in a letter from Chairman and CEO R. Alex Rankin and President Mason Rummel, according to The Courier-Journal.

They expressed concern that “expenditures may have been made that were not exclusively for the charitable and educational purposes of the university,” or were not consistent with UofL rules barring donors, members or trustees from personally profiting from the UofL foundation, according to the CJ’s Andrew Wolfson.

Alex Rankin
Rankin

Established in 1943, the Brown is second only to UofL’s among the city’s biggest philanthropic foundations based on asset size; UofL’s has about $820 million. That gives the Brown and Rankin extra clout, and could spur other big donors to also threaten funding cutoffs. Rankin is well-connected in the city’s power structure, sitting on the boards of Churchill Downs and Glenview Trust Co., where fellow directors have very strong UofL connections.

In their letter, Rankin and Rummel also said the Brown foundation is troubled the university hasn’t honored open- records requests from the chairman of the university’s board of trustees, Larry Benz, concerning UofL foundation accounting records, the CJ says.

Underscoring the gravity of their concerns, Rankin and Rummel threatened to cut off funding unless UofL hires a nationally recognized forensic accounting firm to review its finances. The specific request for a forensic accounting is striking because Continue reading “In a sharp rebuke, JG Brown foundation asks whether UofL foundation funds were improperly diverted, threatens to cut off future gifts”

A surprise at Appliance Park, and cutting risk at Texas Roadhouse

News about Louisville’s major employers; updated frequently.

GE: Qingdao Haier Co., is — get this — adding jobs at Appliance Park, which the China-based company agreed to buy from GE in a $5.4 billion deal in January. New owners often do the opposite: cutting upper management jobs. But Qingdao says it needs the 85 new jobs to create a standalone company. (Courier-Journal).

TEXAS ROADHOUSE operators have a direct line to the 483-location Louisville-based restaurant chain’s risk management chief. Patrick Sterling’s so serious about his job, he keeps photos of his risk management team alongside those of his three daughters. (Business Insurance.)

Caldwell's Quirky CookeryIn other news, the Russell neighborhood hopes to grow 100 new businesses with a kitchen incubator backed by the Community Foundation of Louisville, the James Graham Brown Foundation and other philanthropic groups. Already, Chef Space is home to 20 small businesses, from Caldwell’s Quirky Cookery to Younique Soul (Broken Sidewalk).