From: SteveWard6@aol.com Date: Wed, 18 Jun 1997 16:30:07 -0400 (EDT) Subject: Largest Tanqueray retailer in DC asks $$$$???? the following letter was written by the owner of DC's largest Gay and Lesbian bar to the distributors of Tanqueray in response to questions he had about the AIDS ride. Tanqueray was so concerned that they sent their head of public relations from NY to DC to speak with him that night. The Circle C. Dean Horvath, Owner June 16, 1997 VIA FACSIMILE & US MAIL Ms. Peggy Bernstein Director of Public Relations Schieffelin & Somerset Co. Two Park Avenue New York, NY 10016 Re: AIDS Rides sponsored by Tanqueray Dear Ms. Bernstein: This letter is in response to yours dated April 24, 1997. I apologize for the delay in responding to you but, as I's sure you are aware, this is our busiest season and other projects have necessarily taken priority. First. let me say that I consider Tanqueray Gin a fine product. We are the largest Gay and Lesbian bar in the District of Columbia and feathure it daily in our premium happy hour. In fact, we boast the largest point of sales of that product in the metropolitan area. Our Hennessy sales are also second highest in the area. And we certainly have no problem with the manner in which Foreman Brothers services the account locally. I do, however, have serious concerns about the DC AIDS Ride sponsored by Tanqueray. I believe it is admirable that Schieffelin & Somerset has recognized the importance of the issue and has been willing to put money behind it, but the issues around the finances of these events (as reported in the Washington Post, US News & World Report, the Wall Street Journal and other reputable publications) have cause us to take a second look at the entire project. The amount of money you allocate to overhead from the Rides is a major problem for me. No matter how you spin it, 48% overhead for a non-profit event is unacceptable. That means that if I as an individual rider raise $1,500, approximatly $720 goes to paying overhead costs. That simply will not do. If I donate $1,000 to an AIDS charity, I expect $1,000 to go to serving people living with AIDS or, alternatively to AIDS research. If I know that almost half of it will go to overhead, I generally choose another charity. In fact, when my customers approach me about sponsoring then for the AIDS Ride, I always encourage then to raise the money but I always feel compelled to suggest that they donate it ti an AIDS charity of their choice that will actually benefit the HIV-affected community in greater measure. For the record, I have been contacted by a number of activist groups including ACT UP Washington, requesting that I support a boycott of Tanqueray and its family of products because of the issues raised here. I have not yet taken a public position on the issue, but I must tell you that unless you give me some concrete reasons why I shouldn't I am inclined to lend my name to their efforts. I, too, have public relations people on my staff and I completly understand how to read between the lines in PR spin/damage control messages. Reading your letter, it seems to me that the complete truth is still not being told. In fact, the chairman of the Fiscal Oversight Committee of the Metropolitan Washington HIV Health Services Planning Council has indicated the projects noted as beneficiaries of the Ride are alread fully-funded by the Ryan White CARE Act. So where does the ride money actually go? I should also point out that the Gay and Lesbian media, while accepting your advertising, seems to be remiss in investigating and reporting on this issue. I and others will call a press conference in Washington to address these issues. Please contact me at your earliest convenience regarding the foregoing so that we may have the benefit of your input by that time. Sincerely yours C. Dean Horvath cc ACT UP Washington The Washington Blade The Washington Post The Washington Times Washington City Paper The Raleigh News & Observer The InnTowner Metro Weekly Schieffelin & Somerset responds... Schieffelin& Somerset Co. 2 Park Avenue New York, NY 10016 phone 212-251-8200 fax 212-251-8283 from Peggy Bernstein FAX Transmission Dear Dean: Thank you for you fax. I greatly appreciate you taking the time to discus this matter and gather the facts before acting. I have attached a number of messages that have been posted over the internet over the past week or so regarding the US News and World Report feature and other articles. These messages are from Riders and other citizens - not PR people - and include some of the facts about the AIDS Rides that were unfortunatly left out of much of the recent press coverage. I hope that you will take the time to read them and consider their message - that cost of fundraising is only one part of a very complex formula and cannot be the sole measure by which an event is judged. i further hope that you will consider speaking to the beneficiaries and the Ride producers to answer any more questions that you might have. I am on my way to DC this afternoon and will call you when I get in to discuss. Thanks agains for your consideration. NOTE from Steve Michael It is interesting to note that the owner of the Circle Bar asked financial questions about the ride. Bernstein did not respond to those questions---instead saying that "fundraising is only one part of a vary complex formula." It is impossible to get answers to money questions from the ride or Tanqueray. I met with Peggy Bernstein briefly at the Circle the evening she jumped on a plane to deal with their largest retailer. She backtracked from our phone conversation. Bernstein is not willing to release any financial figures. But I did learn a lot from here assistants. More in the next e-mail. I and others also doing research into Tanqueray's and Pallotta's involvement in the "Landmark" educational forum.