Please express your support for the ASO musicians to the following people and ask for a reasonable solution to preserve not only the financial health but also the artistic future of the ASO.




We would appreciate a copy of any correspondence you send on our behalf to be sent also to ATLSymphonyMusicians@gmail.com.

Thank you for your support!

The ATL Symphony Musicians


Stanley E. Romanstein, Ph.D.

President

Atlanta Symphony Orchestra

1280 Peachtree Street NE

Suite 4074

Atlanta, GA 30309

404/733-4906

Stanley.Romanstein@woodruffcenter.org

Jim Abrahamson

Chair of the ASO Board

Jim.Abrahamson@interstatehotels.com

Virginia Hepner

President & CEO

Woodruff Arts Center

Virginia.Hepner@woodruffcenter.org



Please write e-mails to the WAC Executive Board:

Woodruff Arts Center Executive Board, c/o

Virginia.Hepner@woodruffcenter.org

Chair

Larry Gellerstedt, III Larrygellerstedt@cousinsproperties.com

President & CEO

Virginia A. Hepner

Vice Chair

M. Douglas Ivester

Alliance Theatre Chair

Victoria Palefsky

Atlanta Symphony Orchestra Chair

Jim Abrahamson

High Museum of Art Chair

Louise Sams

Young Audiences Chair

Anne Game

Finance Chair

Howard Feinsand Howard.Feinsand@dukerealty.com

Investment Chair

Barry N. Berlin

Audit Chair

Gary Price

Compensation & HR Chair

J. Veronica Biggins

Nominating & Governance Chair

Lynda B. Courts

Development Chair

Ingrid Saunders Jones

Education Chair

Dr. Beverly Daniel Tatum



To submit a letter to the editor of the AJC:

          http://www.ajc.com/news/news/opinion/letters-editor/nRBGw/

Creative Loafing:

                   letters.atl@creativeloafing.com

Atlanta Business Chronicle, click on the contact the editor tab to submit:

          http://www.bizjournals.com/atlanta/about-us/contact/

Atlanta, GA, September 5, 2012: ASO CEO Stanley Romanstein mischaracterizes the musicians’ September 4 press release as “erroneously seek[ing] to drive a wedge between the Atlanta Symphony Orchestra (ASO) Board and the Woodruff Arts Center (WAC) Governing Board,” which he further asserts “have been united” in their demands of the musicians. Romanstein’s misstatement actually illustrates why it was important for the musicians honestly to explain what has transpired in negotiations with the ASO since August 24. The e-mail messages appended to this statement speak for themselves in addressing Mr. Romanstein’s attempt to reinterpret that reality. Not only did ASO top management express their appreciation for the musicians’ agreement with their proposal of $4 million in concessions over two years, but they promptly and openly celebrated reaching an agreement with their administrative staff.

His condescending accusation that “ASOPA representatives continue to oversimplify the complexity of the ASO’s annual budget and deficit to suit their argument” reflects more – and poorly -- on accuser Romanstein than on the musicians. In an article in the August 9, 2012 edition of the AJC, ASO management made these same tired claims: "Compensation for the musicians totals $12.5 million against the $45 million budget," and "Musician salaries have gone up by 23% since 2006, a period in which staff salaries declined 1.7%, according to management."

Unfortunately for the truth, the $12.5 million figure for musician compensation deceptively quoted by ASO management is the figure for budgeted musician compensation for FY 2012, not actual compensation. In fact, the total musician compensation line item in the ASO’s budget comes in consistently under budget, year after year. According to July 24, 2012 ASO Finance Committee documents, the actual FY 2012 amount for total musician compensation was actually $11.7 million, almost $800,000 under budget for the year just completed. [Sources: ASO Finance Committee documents and/or official data supplied to ASOPA by ASO management in the course of negotiations.]

The raw, uninterpreted numbers don't lie. According to ASO management's own numbers reported to ASOPA during the current negotiation, the increase in Total Musician Compensation between 2006 and 2012 was actually only 16%, barely above the inflation rate of approximately 14% during that period. And that includes quickly rising health insurance premiums.

Actual Total Musician Compensation in FY 2006 = $10,133,510 Actual Total Musician Compensation in FY 2012 = $11,778,444 (Total Musician Compensation Budget Line for FY 2012 = $12,555,900)

The raw numbers on actual ASO administrative staff compensation also paint a very different picture from the ASO's claim of a 1.7% decrease in staff salaries. Depending on a number of variables, almost any number from 0% to 70% can be teased out of the staff compensation numbers reported to ASOPA by ASO management.

These variables include: --Allocations of management salaries to the Symphony Center project up until it was dropped; --Whether or not salaries relating to Verizon Wireless Amphitheatre are included; --Various ways of allocating staff headcount numbers; --The fact that as many as 5 employees who were previously included in ASO payroll figures are now on the WAC payroll instead, resulting in lower ASO staff compensation numbers.

Here is a representative calculation of ASO Staff Compensation from 2006-2012, derived from ASO management’s own numbers, and leaving out Symphony Center and Verizon Amphitheatre compensation:

Actual Staff Compensation in FY 2006 was $4,013,628 (not including over $950,000 allocated to management of the abandoned Symphony Center project, including large amounts allocated to former CEO Allison Vulgamore, CFO Donald F. Fox and others).

Actual Staff Compensation in FY 2012 was $6,000,155 (not including over $860,000 for management of Verizon Wireless Amphitheatre).

Again, the raw numbers don't lie. Total ASO Staff Compensation increased by 49.5% from 2006 to 2012.

The ASO’s deceptive description contrasting its offer and musician vs. administrator compensation misleads in many ways. It totally ignores the fact that all ASO musicians are among the very top musicians in the nation on their instruments, which they must provide at their own expense. Yet under the WAC’s demands the ASO will fall from 14th to 17th among America’s premier 18 American orchestras – a ranking that could not be stretched to characterize itself as overpaid, as Romanstein implies.

Going on to assert that “the musicians allowed their contract to expire on August 25, despite an offer,” that they “are now inactive employees, and therefore ineligible for benefits” couches deliberate bullying in administrator talk. The truth is that there was a clear agreement to continue to negotiate on August 25th, the communication to substantiate which is provided below.

Finally, Romanstein further falsely claims that the ASO “presented the Musicians’ Union with [its] last, best, and final offer — they have yet to respond.” It was to Romanstein that the musicians made a full proposal at the conclusion of the negotiations meeting on August 25, which included the sought after and delivered $4 million in concessions over two years that Romanstein had requested. The complete proposal document can be made available for fact- checking.

-----------------------------

----Original Message----- From: Stanley Romanstein [mailto:Stanley.Romanstein@woodruffcenter.org] Sent: Saturday, August 25, 2012 3:13 PM To: Daniel Laufer Subject: Media

Danny,

Let's try this as a starting point:

While the current contract between the Atlanta Symphony Orchestra and the Atlanta Federation of Musicians has expired, both parties are continuing to work towards a solution. Negotiations are ongoing. We will gladly make comments to the media once we have reached an agreement.

Thanks, Danny. Stanley

Stanley E. Romanstein, Ph.D. President Atlanta Symphony Orchestra 1280 Peachtree Street NE Suite 4074

Atlanta, GA 30309 404/733-4906 Sent from my iPad, which sometimes auto fills in ways that create strange syntax.

-----Original Message----- From: Virginia A. Hepner [mailto:Virginia.Hepner@woodruffcenter.org] Sent: Saturday, August 25, 2012 4:54 PM To: lauferaso@aol.com; Stanley Romanstein Subject: Media blackout agreement

Danny and Stanley, I support your agreement on a media blackout as you continue negotiations. Thanks to you both for your leadership to find a solution.

Virginia

Virginia Hepner President & CEO Woodruff Arts Center 404-550-3131

------------------------------------

From: Stanley Romanstein [mailto:Stanley.Romanstein@woodruffcenter.org] Sent: Friday, August 24, 2012 4:35 PM To: Daniel Laufer Subject: Fwd: draft EC memo

Stanley E. Romanstein, Ph.D. President Atlanta Symphony Orchestra 1280 Peachtree Street NE Suite 4074

Atlanta, GA 30309 404/733-4906 Sent from my iPad, which sometimes auto fills in ways that create strange syntax.

Begin forwarded message:

From: "Abrahamson, Jim" <Jim.Abrahamson@interstatehotels.com> Date: August 24, 2012 15:57:29 EDT To: Stanley Romanstein <Stanley.Romanstein@woodruffcenter.org> Subject: RE: draft EC memo

Good idea, pls forward to him, thanks

Jim Abrahamson

Chief Executive Officer

Office: 703.387.3334 Fax: 703.842.8425 Email: jim.abrahamson@interstatehotels.com Web: www.interstatehotels.com

Our Experience. Your Success. ® 4501 N. Fairfax Dr. Arlington, VA 22203
------------------------------------
From: Stanley Romanstein [mailto:Stanley.Romanstein@woodruffcenter.org] Sent: Friday, August 24, 2012 3:56 PM To: Abrahamson, Jim Cc: Karole F. Lloyd; Johnson, Ben; Abrahamson, Jim

Subject: Re: draft EC memo I would suggest, just to be safe, that we ask Tom Kilpatrick to review this prior to our sending it.

I want to be sure that we do not inadvertently cross any legal trip wires.

Stanley E. Romanstein, Ph.D. President Atlanta Symphony Orchestra 1280 Peachtree Street NE Suite 4074

Atlanta, GA 30309 404/733-4906

Sent from my iPad, which sometimes auto fills in ways that create strange syntax. On Aug 24, 2012, at 15:50, "Abrahamson, Jim" <Jim.Abrahamson@interstatehotels.com> wrote:

Stanley, Ben and Karole, Here is a draft note to the ASO EC......Pls provide any comments or suggestions....thanks, Jim

To the ASO Executive Committee:

Thank you for joining our call this morning and voicing your support for Stanley and the ASO management bargaining team. I do not think anyone expected a little over two weeks ago at our Board meeting that we would be down to a $600K gap on August 24th. However, while the gap has been substantially reduced, after numerous calls and meetings today, the WAC Governing Board has made the final decision that the “best and final offer” due to the musicians Saturday morning can be no less than the $2.6M in concessions presented in our last offer. As you know, the WAC signs the union agreement so they do have the last word in these matters. They are fully prepared for a work stoppage.

With regard to the points raised on our call earlier today.....I have spoken with Doug and Stanley has been in communication with Virginia. Here is a summary of their comments and decision:

1. While the support of the ASO Executive Cmte would be preferred, the final decision lies with the WAC Governing Board. Due to representations made to investors and key donors as well as the rating agencies, we must achieve and balanced budget and we require that half of the $5M gap comes from the contract with the musicians.

2. The alternative solution was crafted this morning by the ASO was reviewed by Howard Finesand and Virginia Hepner. After their meeting, they reviewed with Doug H and Larry G and that option was rejected as the union concession was still less than the $2.6M that they are requiring.

3. With regard to negative PR, they feel that the ASO and the WAC are sufficiently prepared and ready to deal with this matter. They consider the risk of not achieving a balanced budget is far greater than any negative PR. This applies to considering the implication to fundraising, ticket sales and the negative impact to other divisions of the WAC.

4. Therefore WAC Governing Board has decided that there is no need for an extension to further internally discuss options or PR implications, the senior team at the WAC Governing Board has reviewed the matter and has made a final decision.

The ASO will deliver its final offer tomorrow morning, we expect it to be rejected and there will be a work stoppage at midnight tomorrow. While we are disappointed that we could not find a path to a negotiated solution, we are still at the point that we thought we would be two weeks ago and the team is making plans to deal with the impact of the work stoppage. Therefore we will redirect our energies in that direction, continue to update and execute on our PR plan and determine next steps on negotiations.

Please advise if you have any questions or comments. Jim Abrahamson

Atlanta, GA, September 4, 2012:  On August 24, in an unprecedented effort to reach agreement on terms of a new collective bargaining agreement, the Atlanta Symphony Orchestra Players Committee (ASOPA) offered very deep cuts in the Orchestra to the Atlanta Symphony Management negotiating team and the ASO Board. The $4 million in concessions offered by the 88 current Musicians of the ASO would be combined with parallel income cuts for those on the approximately 75-member ASO administrative staff who are paid at least the minimum salary of ASO musicians.  

ASO negotiators and staff, together with ASO board members, applauded with appreciation the musicians’ enormous offer of concessions, expressing privately that musicians have given enough - that the musicians should hold firm while an agreement was worked out with others. They also asked ASOPA to avoid talking with the press or even releasing full details of the talks to the Orchestra musicians, a request with which ASOPA agreed and has cooperated fully. Meanwhile, the WAC cancelled the musicians’ August 31 paychecks, as well as their health, dental, and disability insurance. 

Despite behind-the-scenes efforts by ASO Board and community leaders in communication with the WAC Executive Board, many frustrated ASO board members and staff now stand beside ASO musicians in dismay at the WAC Executive Board’s refusal to allow any compromise. 

As informal discussions continued into last week about how to close the dramatically reduced gap between the musicians’ and ASO’s proposals, an ASO Executive Board Committee member communicated the reaction of the Woodruff Arts Center Executive Board to the progress in an e-mail message shared with musicians by ASO CEO Stanley Romanstein.  “…[W]hile the gap has been substantially reduced, … the WAC Governing Board has made the final decision that the ‘best and final offer’… can be no less than the $2.6M in concessions presented in our last offer. As you know, the WAC signs the union agreement so they do have the last word in these matters. They are fully prepared for a work stoppage”. 

The message goes on to say that “while the support of the ASO Executive Cmte would be preferred, the final decision lies with the WAC Governing Board. Due to representations made to investors and key donors as well as the rating agencies, we must achieve and balanced budget and we require that half of the $5M gap comes from the contract with the musicians.” Acknowledging an “alternative solution…crafted…by the ASO [that] was reviewed by [WAC Executive Board members and staff]…that option was rejected as the union concession was still less than the $2.6M that they are requiring.” 

The e-mail added: “With regard to negative PR, they feel that the ASO and the WAC are sufficiently prepared and ready to deal with this matter. They consider the risk of not achieving a balanced budget is far greater than any negative PR. This applies to considering the implication to fundraising, ticket sales and the negative impact to other divisions of the WAC. Therefore WAC Governing Board has decided that there is no need for an extension to further internally discuss options or PR implications, the senior team at the WAC Governing Board has reviewed the matter and has made a final decision.” 

The communication ends with the assertion that “the team is making plans to deal with the impact of the work stoppage. Therefore we will redirect our energies in that direction, continue to update and execute on our PR plan and determine next steps on negotiations.” 

The WAC’s assertion that there is a $5 million budget gap misstates the facts: According to the ASO’s own budget documents, the deficit for Fiscal Year 2012 was $2.7 million, and a $1.5 million deficit is budgeted for Fiscal Year 2013. The Musicians have offered $2 million in concessions for each of the 2012-13 and 2013-14 contract years. Additional administrative staff cuts that the parties have agreed to would further bridge the gap, as would aggressive initiatives to review all costs and expenditures of the ASO and its subsidiary entities, Verizon Wireless Amphitheatre  and SD&A Teleservices, to reduce waste and find other savings. Yet, somehow finding that half of the made-up $5 million gap equals $2.6 million, the WAC punitively insists that the musicians alone – the costs of whom comprise only 28% of the ASO budget -- bear the entire budget burden.

Most arts executives and boards across the nation realize that for a non-profit to deeply cut and demean its primary product is not effective either for fundraising or fulfillment of its mission to the community. Community leaders and the musicians wonder when the ASO as an institution will be able to chart its own destiny, in light of the clear evidence that the WAC cares only about penalizing the musicians, regardless of how much damage is done to the award-winning legacies of ASO artistic leaders Robert Shaw, Yoel Levi, Robert Spano and Donald Runnicles.

The Musicians’ reality is that:

• As of August 26th, ASO musicians have been without any pay or benefits, also known as being locked out. 
• On August 31, health, dental, and disability insurance policies for all musicians, several of whom are battling cancer and other debilitating health crises, have also been cancelled by the WAC as threatened. This is contrary to Stanley Romanstein’s denial of that fact reported in the August 26 edition of the AJC:  “The musicians — who are full-time employees — had feared that if a deal was not made, they would be locked out without pay and health benefits. ASO president Stanley Romanstein has denied that, but in a letter to the musicians from executive vice president for business operations Donald Fox, he indicated that they had no authority to continue benefits beyond Aug. 25.” 
• All musicians’ access cards to Symphony Hall and parking decks have been deactivated. 
• Extra off-duty police have been hired at an undisclosed cost to patrol the WAC campus, creating the armed camp effect apparently sought by the WAC, despite no statements, threats or actions by ASO musicians that would necessitate such tactics and expense.
• All scheduled work for the Orchestra through September 24 has been canceled.
• The WAC Executive Board's actions threaten the ASO and the WAC itself, especially coming at a time when the WAC admits that the ASO budget gap is so close to being bridged. Their insistence on $2.6 million in cuts to the musicians alone, regardless of any other factors, certainly implies a misplaced priority of budgeting over mission, and suggests that they do not have in mind the best interests of the Atlanta Symphony, the communities it serves, or Atlanta itself, whose world-wide reputation the ASO enhances.  

###

Contact: Colin Williams 
(404) 275-4997 
ASOPASpokesperson@gmail.com
Or 
Daniel Laufer
ASOPAPresident@gmail.com
www.ATLsymphonymusicians.com
Facebook: ATLSymphonyMusicians
Twitter: @ATLSymphonyMusicians