Jim, I've been in this business for a long time, a long time, and experience suggests that what you're proposing would be a big mistake. A big mistake. >> Linda we've already been through your lecture on how the PR process works. >> I'm simply trying to avoid a repeat of the mistake you made by taking that call from the SoCal Times. >> Linda I screwed up. I admitted as much to you earlier. I understand how carefully SMA's Communication Department orchestrated my introduction as the new CEO. >> Do you understand Jim? >> Of course. I'm not an idiot. >> First we composed announcements for customers, employees, investors, the press, and other interested parties each specially targeted to its audience. We carefully selected by a graphical information and we vetted and tested the message from our new CEO designed to inspire confidence but avoid making promises. We planned the timing of release with impeccable precision. >> Yes, and I filed that, >> Second, we discreetly contacted reporters at the Wall Street Journal, The Financial Times, and other prominent outlets to give them advanced warning. Our timing allows these newspapers to prepare thorough and well researched stories which are then published in sync with the SMA announcement. The particular reporters chosen understand and honor a tacit agreement. They get the scoop as long as they cooperate with us on timing. We've done it this way a thousand times. >> Yeah, I do know how the process- >> Third, shortly before the announcement, the communication staff alerted a group of friendly writers that important information would soon be released. These writers were to be given privileged access for interviews with our new CEO. PR developed a schedule of that, controlled when, and how long you would speak to each reporter. In the process, enforcing an understanding of how a journalist got added to the favored list, and how one moved up the list to get earlier access when there was breaking news from SMA. PR also designed the schedule to provide maximum access to you while making the best use of your limited time. All of this, too, went completely according to plan. Indeed, every thing conformed to plan until you went and- >> Yes, until a mistakenly took a phone call from certain Miss Veronica Perez of the SoCal times. I went off the reservation. I made a rookie mistake. There I said it. But Perez could've written that editorial whether she talked to me or not. >> You made a mistake. If you had simply asked, I could've told you of her past misbehavior. >> I'm asking for your advice now, Linda. >> And here it is. I don't think you should say two words to Miss Perez at the event this evening. She's been trouble in the past, she'll be trouble again in the future. There's simply no upside for SMA in engagement with her. >> If we ignore our critics, we antagonize them, and we have no channel through which to influence them. >> That's simply not true. Maybe that's the way a financial services firm works, but we're in the defense business. We have secrets that must be kept. We have to control information. >> Linda, I've had some experiences too. Once upon a time in an earlier life I presided over a team responding to an attack on our computer system. We had trouble figuring out what was going on, and that created serious disclosure issues for us. We tried to control information about the incident, but in the weeks that followed we discovered that several examples of ways the information had gotten out, despite our best efforts. Employees blogged about it, analysts put two and two together, and none of it had the negative effects that we feared. In these times we have no choice. We're going to have to be more open, more transparent. >> Well, maybe we should post all of our national security secrets out on the public internet. >> Of course we're not going to do that. I'm not saying that at all. It's not that black and white. We're gonna have to be smarter than that. >> Smarter than I am, I guess. >> If Veronica Perez has been a problem in the past that is all the more reason to engage her. Yes, she'll cause us more trouble but if we engage with her maybe we'll have a better sense of what she's up to, and maybe even have some influence over what she writes. >> That's optimistic to say the least. Perhaps even naive. >> Well, how about if we try it my way, hm? Rather than ignore Perez, which hasn't been working very well, let's surprise her by approaching her. What do you think? >> I well understand that a lot of men would like to approach Veronica Perez. She's an attractive woman. >> Oh, come on. That's not remotely what I meant. I've never met the woman. And how she looks has nothing to do with what we're talking about. >> Fine. I've made my recommendations, you're the boss. Try it your way. I think it's a mistake, but go ahead. >> I'll use my judgment. You're just going to have to trust me. >> And you, me. >> Fair enough. >> Under no circumstances should you allow her and her media gang to videotape you. You do not want to appear on her vlog.