Do you notice any similarities in the current economic industry and the fall of Enron? "Mainly the speed with which everything happened. With Enron, it was truly the best of times and then almost immediately, it was the worst of times. Things deteriorated very rapidly. I think we are seeing that in our current economic environment."

What was the best decision you made after the Enron failure for the credit union? "Communicate. Communicate. Communicate. And, do it in person as much as possible. People like to hear "it" straight from the horse's mouth."

What was the worst? "I invested in Enron stock...and I continued to buy it as it went to 0! Stupid!"

What was the most effective way you were able to differentiation your credit union from the Enron company? "I think it was the communication thing. We/I spoke to people in person and over the phone as much as possible. We also sent letters and of course web, but constantly and repeatedly told the story of how we were different and independent. Safe and Sound!"

What did members have the most trouble understanding? "That we really were separate from Enron and that Enron couldn't take us down with them. That Enron didn't have control of our members' money."

How should credit unions plan to differentiate their credit union if there is a major headline concerning another credit union? "Communication is key. Be ready for it. Have handouts and talking points printed and ready. Know what you will say to staff, board and members. Know your plan and what you will say today, but wait. Stay ready but don't create a crisis by scaring everybody before something happens. We all hope there will not be that "headline", but be ready if there is. When and if, you will have it all set. Then be personally available and make sure your management team does the same."

How much of a role did front line staff have in the process? "Enormous, but they have to be informed. We literally had a "run on the bank." They were afraid for their jobs as well. They didn't understand what was happening. Communication is critical for them as well. They need to know what is happening, so they can confidently handle situations with members. Be confident and honest with them. And, communicate frequently!"

Often the grapevine will out strip the "official" channels during a crisis - how did you handle internal unofficial communication? "I don't think you can completely control it, but it can be managed. This is where the crisis management person or team needs to be very clear and tough. Everyone must understand that nothing may be communicated unless it has been previously approved. If the person in charge has not said it or written it, it may not be communicated. This needs to be strictly enforced. Of course the person responsible (in our case this was me) for approving communications must be constantly available to handle situations not previously discussed or approved. And all inquiries from media, etc. must be handled by only designated individuals. One more thing I insisted on... I did not give interviews either by phone or in person. All official communications were done by me and in writing."

What do you see for credit unions future today through this current economy? "Change. Change we can all count on." Kind of tongue-in-cheek, but a lot of truth. I'm not smart enough to see the future for credit unions, but I think it is safe to say we will see a lot of changes."

What do you think can break us (the cu industry)? "Lack of confidence. Lack of understanding. Lack of communication."

What do you think can make us? "The opposite of the above. But also in that, we all need to make it a priority to visit with our politicians and make sure they know how we feel, what the credit union industry really is, why we are different and who actually owns us."

If you could get one message out to every credit union CEO about what you learned at Enron FCU what would it be? "Diversify, be ready, and communicate."

Any other closing comments? "We made it through the Enron debacle because we planned. We actually planned for the inevitable (it even had a name- “Starting Over”), the implosion of Enron, and we had a high level plan for this scenario. None of us thought it would ever happen. We gave it a probability of near 0 of happening, but we had a plan. Guess what? It happened. I would encourage everyone to dare yourself or allow yourself to think about the unthinkable. Give consideration to what you would do. Then put together a high level plan addressing the issue. Even though it seemed kind of silly for us at the time, I'm sure glad we did it."

Thanks Jack! Tell us what your communication strategies are at your credit union. What do you tell your members when they hear negative press?