Bloomberg L.P. today released a report resulting from an external review of the company?s client data policies and procedures, led by the law firm Hogan Lovells and the regulatory compliance firm Promontory Financial Group, which concluded that Bloomberg has appropriate client data policies and controls in place. The company also announced the adoption of additional new procedures consistent with recommendations stemming from the review.
Former IBM Chairman and CEO Samuel J. Palmisano has provided independent advice to Bloomberg?s Board of Directors on the company?s client data policies and practices since May 2013. Commenting on the Hogan Lovells/Promontory report, Mr. Palmisano stated, ?The report issued today is thorough, objective and comprehensive. Bloomberg?s leadership recognized the need for a more comprehensive set of policies and procedures. They acted quickly to enhance their existing structures and put more resources behind this critical priority. Based on my own observations, I support the report?s conclusion that Bloomberg currently has appropriate policies and controls in place.?
Additionally, Clark Hoyt, previously Editor-at-Large at Bloomberg News and a former Public Editor of?The New York Times, led an internal review of the relationship between Bloomberg?s news and commercial operations. The company released Mr. Hoyt?s findings and recommendations, and has begun to implement them. Mr. Hoyt said, ?Based on my review, I have offered recommendations to Bloomberg with the intention of helping news and the whole company adhere fully and consistently to their already-high standards, as well as to highlight areas where policies and practices should be revisited in a rapidly-changing world.?
CEO and President Daniel L. Doctoroff, said, ?We know we needed to evolve, and we have learned from our mistakes. We are already implementing many of the recommendations we received. Most importantly, we have carefully listened to our clients and other constituencies, and their suggestions are helping make us a better partner.?
Peter T. Grauer, Chairman of Bloomberg, said, ?Our Board of Directors placed a high priority on ensuring the experts had full and complete access to Bloomberg employees and the company?s operations to identify areas of concern and address how could we fix them.?
The reviews included:
- Examination of more than 500,000 news stories
- 425 interviews of Bloomberg employees
- 230,000 separate tests of client data systems
- In-depth examination of more than 350 documents, including internal policy manuals, policy notes, training guides and client visit logs
Matthew Winkler, Editor-in-Chief of Bloomberg News, commented, ?These changes are part of a natural evolution at Bloomberg News and will only make us stronger.?
The Hogan Lovells/Promontory report, which includes Mr. Palmisano?s statement on the report, and the findings and recommendations from Mr. Hoyt can be found on the Bloomberg terminal at RVWS and online at?www.bloomberg.com/reviews.?(BUSINESS WIRE)
