April 16, 2006

Operation Perish Hilton: Questions For Hilton Management

Crossposted at Blackfive

Andi at Andi's World has heard from Brian Kelleher, the General Manager of the Capital Hilton. He has agreed to take questions from the Milblog Community in regards the eviction of Fran O'Brien's -- which will terminate their longstanding Friday night meals for wounded veterans. You can submit your questions for him here at Andi's for submission on Monday. Please ask questions not already asked and do so in the comments, per her request. My own advice remains to keep it rational, reasonable, and polite -- which does not rule out asking hard questions.

As I noted here in the comments, this smells to me. First, I have questions about due diligence. In any business decision, there are various elements of due diligence. Most apply it to the financial end, but true due diligence involves looking at non-financial obligations, good will, and impacts. Second, I have questions about the process of the lease renewal/non-renewal. There are some conflicting reports, but generally such things are handled openly and reasonable efforts are made to keep everyone updated so that whatever happens does so in a reasonable and orderly manner. I will note that giving a two-week notice of non-renewal of a lease is not something nice, and is most especially something you don't do unless you are trying to use the rotary connector to attach someone to a wall. Not nice, and a couple of the reports are such that I want to know about the process. Third, I want to know when Hilton began to truly care about the veterans and the dinners. I have a strong suspicion, though I will say that I hope I am wrong.

Given my concerns, my questions are as follows:

1. Was the impact to the veterans considered as a part of due diligence in the decision not to renew the lease?

2. There are reports that indicate that during the lease renewal process, the owners of Fran O'Brien's were told that a new lease was being developed, then no information, then a two-week notice. Is this accurate, and if not, please describe the steps taken to keep the parties informed?

3. Is a two-week notice of non-renewal of a lease standard procedure for Hilton Corporation? If not, what is the normal period of notice?

4. When, precisely, did planning begin to keep hosting the veterans?

5. When, precisely, did Hilton reach out to WRAMC and/or the Assistant SecDef?

6. Was anyone with corporate communications/public relations involved in this decision prior to it getting publicity?

7. Who from corporate communications/public relations and legal were involved in reviewing and/or vetting the answers to these questions?

8. Was this a local business decision, i.e. made by you or within the management of the Capital Hilton; or, was this decision made on a corporate level? If the latter, where in the corporate hierarchy was this decision made?

9. When was the decision made?

It will be interesting to see what answers are received. Go on over, read the questions there, and add your own. Keep it reasonable, and pour it on. Fire for effect.

LW

Posted by wolf1 at April 16, 2006 01:34 AM | TrackBack
Comments

A PR representative for Hilton is reported as saying that the reason for terminating Fran O'Brien's lease is that the resteraunt was "behind on its rent by several months."

Is this true?

Is this at the rent level set in the now expired lease?

If this is not true, will the PR 'flack' be summarily dismissed?

If Fran O'Brien's and its owners were not behind on their rent, do you recognise that such a statement may render it impossible for them to secure a lease on alternative premises? That such a statement is seriously defamatory?

Does this person report to you? normally? in connection with the Fran O'Brien's issue?

Is Hilton going to rely on an argument that Fran O'Brien's or its owners are public figures, to seek to avoid any liability arising out of the statement (if incorrect) that they were several months behind on their rent?

Will Hilton indemnify you personally, if you are held responsible for the PR persons actions?

Posted by: Mack at April 26, 2006 09:36 AM
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