Sorry!! The article you are trying to read is not available now.
Thank you very much;
you're only a step away from
downloading your reports.

Ahead of the Curve: Public Companies Whose CEOs Supported Gay Rights From the Start


Companies like Apple, Goldman Sachs, and Ben & Jerry's were supporting gay rights long before Hewlett-Packard's Meg Whitman flipped her position on same-sex marriage.


When she ran as a Republican candidate in the 2010 California gubernatorial election, Hewlett-Packard (NYSE:HPQ) CEO Meg Whitman supported Proposition 8, which proposed a ban on same-sex marriage in the state. Since then, a lot has changed.

Nine states in total have approved same-sex marriage in the last two years, and the Democratic Party made gay rights a major platform in the last presidential race. This week, even Whitman changed her position on the issue, agreeing to sign an amicus brief in support of gay marriage that was recently filed by California's attorney general. Whitman said she signed the brief because she believes marriage promotes values that are beneficial to society, such as commitment, fidelity, and stability. In all, 75 Republicans signed the brief, including Jon Huntsman, the former Utah governor.

"The amicus brief argues that oft-cited claims that civil marriage between same-sex couples will somehow hurt traditional marriage and be detrimental to children have been rejected by social science," Whitman posted on LinkedIn (NYSE:LNKD). "Rather we know that children who grow up in intact, married families are much more likely to do well in school, achieve professional success, and enjoy the benefits of healthy, stable adult family lives."

Her reversal on gay marriage rights reminded us of the eventful and even more newsworthy day last spring when the US president announced he would fully support same-sex marriage. The decision was considered politically risky at the time, but it reflects the opinion of 53% of Americans, according to a recent Gallup poll.

Obama's reversal prompted us to publish Highly Evolved: Public Companies That Were Already Supporting Gay Rights by Minyanville contributor Diane Bullock. From hippy-dippy ice cream makers to tech giants to the most conservative financial institutions, Bullock profiled companies that are sticking their necks out to help blaze the trail for equal rights, even when the position isn't always economically expedient. Here's a look at that story again.

Public Companies Whose CEOs Supported Gay Rights From the Start

Ben & Jerry's
No surprise here. The self-described "activist brand" owned by Unilever (NYSE:UL) has used its products to reflect its politics. Based in South Burlington, Vermont, the ice cream maker celebrated the Green Mountain State's passage of same-sex marriage in 2009 (the first state to do so through legislation without a court ruling) with a makeover of its Chubby Hubby flavor. Hubby Hubby sundaes were served throughout Vermont store locations.

In March 2012, in response to the United Kingdom's announcement to enact gay marriage legislation, Ben & Jerry's began dubbing its Oh My Apple Pie flavor (not available in the US) the matrimonially-minded Apple-y Ever After. Ben & Jerry's people "believe love is love," said company spokeswoman Liz Stewart: "Marriage should just be defined by love and commitment."

Apple and Google
In the 2008 presidential election, the very same electorate that voted for Obama by historic margins -- not seen since the 1936 election of FDR -- also voted on a ballot initiative that banned same-sex couples from marrying. But in an effort to prevent Prop 8 from appearing on the California ballot, Apple (NASDAQ:AAPL) and Google (NASDAQ:GOOG) were among a group of Silicon Valley leaders -- including Intuit (NASDAQ:INTU), Yahoo (NASDAQ:YHOO), Adobe (NASDAQ:ADBE), Cisco (NASDAQ:CSCO), eBay (NASDAQ:EBAY), Omidyar Network, and Facebook (NASDAQ:FB)-- that joined the No on Prop 8 campaign.

Cupertino donated $100,000 to the effort. "We strongly believe that a person's fundamental rights -- including the right to marry -- should not be affected by their sexual orientation," the company said in a statement issued on its Hot News site. "Apple views this as a civil rights issue, rather than just a political issue, and is therefore speaking out publicly against Proposition 8."

Mountain View's Sergey Brin and Larry Page also put their profits where their politics were with a combined $140,000 contribution to the cause. In its own blog statement, the search engine giant explained its position: "[F]urther government encroachment on personal lives, ambiguously written text -- it is the chilling and discriminatory effect of the proposition on many of our employees that brings Google to publicly oppose Proposition 8. While we respect the strongly-held beliefs that people have on both sides of this argument, we see this fundamentally as an issue of equality."

It's unlikely that JCPenney (NYSE:JCP) anticipated the amount of controversy that would result from hiring an openly-gay spokesperson. The department store was trying to reinvent itself when it brought on the incredibly likeable and charismatic Ellen DeGeneres to breathe new life into its outdated brand. Far from polarizing, DeGeneres is a mainstream figure, having hosted an NBC (NASDAQ:CMCSA) talk show for the last nine years, while also serving as a judge on the Fox (NYSE:NWS) hit American Idol, and appearing in commercial campaigns from American Express (NYSE:AXP) and CoverGirl (NYSE:PG).

So Ellen seemed like a pretty safe bet for JCPenney -- a "no-brainer," in fact -- said the company's CEO Ron Johnson in a CBS This Morning interview.

But the endorsement was the wrong move, cried the One Million Moms organization, a project of the American Family Association, which threatened to boycott JCPenney unless the retailer dropped DeGeneres. JCPenney not only refused to cave to their demands -- Johnson sought to more closely align his company with gay rights, saying it "shares the same values" as its celebrity sponsor.

Last century, when public opinion was still far from being on the side of gay rights, the last place one may have expected to find forward-thinking on the issue would be inside an aerospace and defense corporation. That's why, in 1999, Boeing (NYSE:BA) made headlines for being an early adopter of same-sex domestic partner benefits for employees.

A decade later, Boeing took up the legislative fight to extend domestic partnership rights in its state. Joining a Washington-based corporate coalition that included Microsoft (NASDAQ:MSFT), Nike (NYSE:NKE), Puget Sound Energy, RealNetworks (NASDAQ:RNWK), Vulcan Inc., and, later, Starbucks (NASDAQ:SBUX), Boeing publicly supported the state's 2009 ballot measure, Referendum 71, that turned a domestic-partnership bill into law.

A joint statement from the coalition read: "Overturning this law would undo years of equal rights progress made in Washington state. We do not believe that this step backward would be in the best interest for the future of our state."

Referendum 71 passed and set a precedent for a state's voters approving a gay rights measure in the voting booth.

Goldman Sachs
Back in February, Lloyd Blankfein made an announcement that floored pro- and anti-gay camps alike. The much-maligned Goldman Sachs (NYSE:GS) CEO became the "Wall Street face of marriage equality" when he signed on to be the Human Rights Campaign's first national corporate spokesman on the issue.

But that endorsement didn't come "without a price," Blankfein reportedly told Out on the Street, a gay rights advocacy group based in the financial sector. When speaking to the group last week, Blankfein revealed that his firm has already lost one client. "There was some adverse reaction by someone," Blankfein said. "They didn't want to continue a relationship that they had with us in money management."

Blankfein opted to protect the client's anonymity but his remarks suggest the account was a high profile one: "[I]f you heard the name it wouldn't surprise you," he said.

Marriage equality isn't exactly a new passion of Blankfein's. Before lending his name to the Human Rights Campaign, he'd successfully lobbied the New York State Legislature to pass a same-sex marriage law last summer. And, as an employer, Blankfein has created policies that reimburse Goldman employees for extra taxes they pay on domestic partner benefits.

Twitter: @Minyanville

Follow the markets all day every day with a FREE 14 day trial to Buzz & Banter. Over 30 professional traders share their ideas in real-time. Learn more.

< Previous
  • 1
Next >
No positions in stocks mentioned.

The information on this website solely reflects the analysis of or opinion about the performance of securities and financial markets by the writers whose articles appear on the site. The views expressed by the writers are not necessarily the views of Minyanville Media, Inc. or members of its management. Nothing contained on the website is intended to constitute a recommendation or advice addressed to an individual investor or category of investors to purchase, sell or hold any security, or to take any action with respect to the prospective movement of the securities markets or to solicit the purchase or sale of any security. Any investment decisions must be made by the reader either individually or in consultation with his or her investment professional. Minyanville writers and staff may trade or hold positions in securities that are discussed in articles appearing on the website. Writers of articles are required to disclose whether they have a position in any stock or fund discussed in an article, but are not permitted to disclose the size or direction of the position. Nothing on this website is intended to solicit business of any kind for a writer's business or fund. Minyanville management and staff as well as contributing writers will not respond to emails or other communications requesting investment advice.

Copyright 2011 Minyanville Media, Inc. All Rights Reserved.

Featured Videos