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Under Armour: No More Expensing Strip Club Visits

A report found that, until recently, company credit cards were used by employees for the outings.

REUTERS

The party's over for Under Armour Inc. executives and employees who used the company credit card to pay for visits to strip clubs.


There's now a restriction for the long-time practice, according to a report by The Wall Street Journal published on Monday. The company sent an email earlier this year, informing employees that corporate cards to pay for strip clubs, gambling and other adult entertainment is now prohibited.

Under Armour Chairman and CEO Kevin Plank leads a predominantly male executive leadership team, except for the company's interim CHRO, Michele Campion. The Baltimore-based retailer is said to have fostered a culture degrading to women.

In comparison, on average, 30 percent of the CEO and direct reports level at the DiversityInc Top 10 and Hall of Fame companies are women, while 24.2 percent are racially diverse (11.2 percent Black, 8 percent Latino and 5 percent Asian). Under Amour has never participated in DiversityInc's Top 50 competition.

Plank and President Patrik Frisk told employees on Monday that The Wall Street Journal article was "tough to read."

"This is not the culture we envision for Under Armour," they wrote, in a letter obtained by CNN Business.

The men also said that a "meaningful cultural transformation" is already taking place at the company. "We can and will do better," they added.

Plank participated in some of the strip club visits with athletes and co-workers, according to the report, which quoted interviews with more than a dozen mostly anonymous current and former employees and executives. Under Armour told the Journal that Plank didn't conduct business at strip clubs or use company funds.

However, these outings "were symptomatic of practices women at Under Armour found demeaning," the report said.

The company has partnerships with prominent women, including Misty Copeland.

In 2017, Copeland and other athletes with Under Armour endorsement deals, including Dwayne Johnson and Stephen Curry, slammed Plank for stating his support for President Trump.

"I think [President Trump] is highly passionate," Plank said in a CNBC interview. "To have such a pro-business president is something that is a real asset for the country. People can really grab that opportunity."

The Conversation (2)
votetocorrect08 Nov, 2018

This doesn't surprise me because years ago this was par for the course for most large businesses.

Trump Cancels Visit to WWI Cemetery Because of Rain

"It's incredible that a president would travel to France for this significant anniversary — and then remain in his hotel room watching TV," David Frum said on Twitter.

Aisne-Marne American Cemetery dedicated to the U.S. soldiers killed in the Belleau Wood battle during World War I / YOUTUBE

Light, steady rain resulted in President Trump cancelling plans to attend a commemoration in France on Saturday to honor U.S. soldiers killed during World War I.

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Congresswoman Slams Trump for Racist Attack on Black Female Journalists

Rep. Sheila Jackson Lee and others come to the defense of April Ryan, Abby Phillip and Yamiche Alcindor.

From left to right: April Ryan, Abby Phillip and Yamiche Alcindor. / TWITTER

This week, President Trump reserved vitriol-filled comments for Black journalists Abby Phillip and April Ryan from CNN, and Yamiche Alcindor from PBS Newshour, who were just trying to do their jobs. Trump was slammed on Twitter for his overt appeal to racists by disrespecting the women.

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It's Not Over for Andrew Gillum: Florida Governor Race Could Head to Recount

"Florida law requires an automatic machine recount in any race where the margin of victory is within one half of one percentage point."

Screenshot from CNN

The Florida governor race between Democrat Andrew Gillum and Republican Ron DeSantis wasn't decided on Tuesday night, as it appears there may be a recount on the ballots.

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Native Americans Marched to Vote, ​Many Were Still Turned Away

North Dakota's Heidi Heitkemp, historically a Native American voter's choice, loses in landslide to Trump ally.

Despite record numbers of Native Americans to the polls in North Dakota (thanks to the voter ID efforts), the candidate that had overwhelming support from them in previous elections, Heidi Heitkamp, lost in a landslide to Trump supporter Kevin Cramer (44.6%. vs. 55.4%).

Native voters topped turnouts from 2008 election with 5,100 votes from Native Americans, but activists still said poll workers turned away voters because of tribal identification letters or address discrepancies.

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Attorney General Jeff Sessions Forced Out By Trump

Trump announced on Twitter a new acting attorney general.

U.S. Attorney General Jefferson Beauregard Sessions III, the man who the late civil rights leader Coretta Scott King warned the country about in 1986, and who was once the face of Trumpism, is now out of a job.

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The New Congress Must Change 'Appalling Lack of Diversity Among Top Staff'

"The American public was more likely to elect a person of color to the House than House members were to hire top staff of color," according to a Joint Center for Political and Economic Studies report.

As a result of Tuesday's midterm elections, Democrats have won a majority in the House of Representatives, and Republicans will remain in control of the Senate, but Congress, as a whole, needs to make diversity a priority when it comes to hiring top staff members.

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Stacey Abrams Will Not Concede: 'Every Voice Matters'

85,000 votes were suppressed by Brian Kemp; Abrams is holding out to make sure no one gets shut out of being counted.

REUTERS

In an election where corruption coated democracy, racism threatened freedom, and where Oprah Winfrey felt the need to take her billion-dollar self to the doors of voters, Stacey Abrams, the Georgia Democratic gubernatorial candidate, is making sure that every single voter's voice is heard.

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Brookwood High School in Snellville, Georgia's marching band, whose instrument covers spell out their mascot "Broncos," rearranged them to spell a racial slur that once again shocked fans and had band directors under the microscope.

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