[Congressional Record Volume 148, Number 96 (Tuesday, July 16, 2002)]
[House]
[Page H4680]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]




                              {time}  1030
                     COCA-COLA DOES THE RIGHT THING

  The SPEAKER pro tempore (Mr. Ballenger). Pursuant to the order of the 
House of January 23, 2002, the gentleman from Georgia (Mr. Isakson) is 
recognized during morning hour debates for 5 minutes.
  Mr. ISAKSON. Mr. Speaker, most of us in Congress utilize these 
moments of Special Orders and morning hour debates to speak about 
correcting a problem. We oftentimes rise and chastise others. We even 
sometimes use it for political gain or political statement.
  Five weeks ago I made a speech in this well on a Thursday, and I 
spent that 5 minutes talking about the silence of the good in corporate 
America who had not begun to take action to correct what are the 
perceived and, in fact, in some cases real problems on Wall Street and 
corporate America. I asked the rhetorical question why in the world 
cannot the companies that are good, the CEOs that are responsible, 
speak out and take actions to restore the confidence of the American 
people.
  We can create all of the laws and disclosures and regulations in the 
world, but we all know morality and integrity is the propriety of the 
man and woman, and their responsibility.
  I listened and waited for 4\1/2\ weeks and got more disappointed as 
the days went on. I just could not understand why actions could not be 
taken to send the signal to the American people that corporate America 
had gotten the American people's message. Then yesterday it happened.
  I rise today to respond to that speech by heaping praise on the Coca-
Cola Company. And some will think that is because they are housed in 
Atlanta, Georgia, and I represent Georgia in Congress. That is not the 
reason. Yesterday they did what the rest of corporate America should 
do; they came out and said they will begin recognizing in the fourth 
quarter of this year stock options as expenses on their financial 
statements, and take the cost of those options prior to reporting the 
profitability of their company.
  In other words, they are going to make it clear when they use stock 
options for compensation, it is disclosed and expensed in a timely 
fashion so that the profitability of the company is real, as real as it 
can be. There are only three Fortune 500 companies that do that, with 
Coca-Cola now joining the other two. It is a step in the right 
direction, it is a step for a company to take the voluntary initiative 
to respond to the crisis in confidence and do what is right.
  I hope in the weeks and months ahead, corporate America will take 
those steps to take the disciplined and conservative approach to 
financial reporting and financial accounting that will ensure those too 
few wrongdoers who have so drastically impacted America's investment 
and economic interest over the past year will be truly just a small 
minority and that the actions of companies like the Coca-Cola Company 
will become pervasive, so that instead of rhetoric from this well, men 
and women of morality and integrity in corporate America will come 
forward and do what is right for the right reasons, and this great 
engine that we know as capitalism and the great free enterprise system 
will enjoy the credibility and the confidence of investment that it so 
richly deserves.
  Mr. Speaker, I pause 5 weeks after the first speech asking where are 
the good voices to respond to the first one I have heard, the Coca-Cola 
Company, and say thank you for doing the right thing at the right time 
in the right way for America, its economy, and her investors.

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