Gallup: Americans down on Andersen, ENE; up on MSFT

Doug Henwood dhenwood at panix.com
Wed May 1 09:50:00 PDT 2002


[all you MSFT-haters out there - there ain't many of you!]

Gallup - May 1, 2002

Americans Decidedly Negative Toward Arthur Andersen, Enron Have very positive view of Microsoft

by Jeffrey M. Jones

GALLUP NEWS SERVICE

PRINCETON, NJ -- News about corporations has moved beyond the business pages to the front pages of most newspapers in 2002. For much of the earlier part of the year, the collapse of the Enron energy corporation and the role its accounting firm, Arthur Andersen, played in its demise were major news stories. Last week, Bill Gates, the chairman of the Microsoft Corporation, testified in a federal court against proposed changes to the company's software products. These changes are sought by nine state attorneys general who have refused to accept a consent decree between Microsoft and the Justice Department that would resolve the company's antitrust case.

A recent Gallup poll shows the public has very negative views of Enron and Arthur Andersen, though many Americans are not familiar with the accounting firm. The poll shows that the public is not negative toward all large corporations, however. Nearly eight in 10 Americans say they have a favorable opinion of the Microsoft Corporation, the most positive reading Gallup has recorded for Microsoft over the five years these attitudes have been measured.

Arthur Andersen, Enron Images Suffering From Energy Company's Collapse

The poll, conducted April 22-24, shows that nearly half of Americans, 49%, have an unfavorable opinion of the Arthur Andersen accounting firm, while just 11% have a favorable opinion. A substantial number of Americans, 40%, are not familiar enough with Arthur Andersen to rate it. A federal grand jury indicted Arthur Andersen for obstruction of justice for the destruction of evidence related to a federal investigation into the Enron collapse. A trial is scheduled to begin later this month. The company just announced layoffs of roughly one-quarter of its workforce.

Nearly three in four Americans, 74%, have an unfavorable opinion of the Enron energy corporation, while only 8% have a positive view. The Houston-based energy company filed the largest bankruptcy claim in U.S. history last December, leaving many employees jobless and without much of their retirement savings. Several Enron executives have already testified before Congress about the company's collapse. About one in five Americans do not have an opinion on Enron.

Microsoft Rated Positively

In stark contrast to Enron and Andersen, the vast majority of Americans have a favorable opinion of Microsoft. The poll finds 79% of the public giving Microsoft positive ratings, while just 12% have a negative view of the computer software company. Microsoft produces the Windows series of operating systems, used on most personal computers. A federal judge found Microsoft guilty of violating antitrust laws, and the federal government and Microsoft negotiated a settlement last year to end the case. However, the settlement is still awaiting court approval, and nine states are seeking to impose tougher penalties on the software company. Last week, Microsoft chairman Bill Gates testified in Washington against those states' proposals.

Microsoft's current rating is up sharply from a poll conducted last summer, at which time 60% of Americans held a positive view of Microsoft, and is the highest Gallup has recorded in nine polls dating back to 1998. The previous high was a 67% favorable rating in November 1999.



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