CNNfn's Beverly Schuch reported last night that shares
of Nike were "soaring [yesterday], and investors must like
the money Nike will save by halting the donations" to the
Univ. of OR. On Monday, Nike Chair PHIL KNIGHT said he
would not donate any more money to his alma mater, which
joined the monitoring group, the WORKERS RIGHTS CONSORTIUM.
Shares of Nike were up 2 7/16 yesterday, to close at 45 5/8
("Biz Buzz," CNNfn, 4/25). Knight said Univ. of OR
President DAVID FROHNMAYER's decision to join the group had
"shredded ... the bonds of trust" formed in the past, during
which Knight says he donated $50M to the university. In
Portland, Andy Dworkin wrote, "That statement wounds
university officials' dreams of receiving millions of
dollars more from Knight for projects including an ongoing
$80 million renovation of UO's football stadium." Dworkin
wrote that a "focus" of the dispute has been "why Frohnmayer
did not call Knight before joining the consortium."
Frohnmayer said that "he regretted that his travel schedule
did not let him make that call." But UO VP Duncan McDonald
said he had advised Frohnmayer not to talk to Knight
beforehand, so that it would not look as though Knight had
"undue influence" on the decision. McDonald later said that
move was a "mistake" and added that, "technically, UO hasn't
joined the consortium" (OREGONIAN, 4/25). In Eugene, Greg
Bolt wrote that Knight's move "was a stunning blow" to a
school that "already has benefited from" $50M in Knight
donations. His "family name is on two campus buildings, and
he was expected to be a major contributor to the planned
expansion of Autzen Stadium" (REGISTER-GUARD, 4/25). But
CNNfn's Stuart Varney said that Knight's "cutoff drew
demonstrators to the streets of New York and revived
accusations that the company exploits workers in its
factories around the world" ("Moneyline," CNNfn, 4/25).
