2012 CEO Candor SurveyTM Confirms that Companies Excelling in Candor Substantially Outperform the Market

  2012 CEO Candor SurveyTM Confirms that Companies Excelling in Candor
  Substantially Outperform the Market

Business Wire

NEW YORK -- July 25, 2013

For the seventh consecutive year, the top-quartile companies in the
Rittenhouse Rankings 2012 Candor and Corporate Culture Survey^TM outperformed
the S&P 500 Index of 17.9 percent, increasing an average of 34.2 percent. The
bottom-ranked quartile’s year-over-year average increase was 17.1 percent.

Companies in the top-quartile reporting the most improved market performance
were: Eaton, Whirlpool, Citigroup, and Ford Motor Company. L.J. Rittenhouse,
Rittenhouse Rankings CEO said, “These companies have created leadership
communications that nurture accountability cultures, provide excellent
context, and realize tangible results.”

Companies in the bottom quartile with the lowest returns were: AMD, Pitney
Bowes, Dow Chemical, and Tim Hortons. “These companies,” noted Rittenhouse,
“created communications that were less focused and relevant.”

Companies posting the steepest declines in the 2012 rankings were: Google
(4^th to 50^th), Lowe’s Corporation (16^th to 45^th) and Alcoa (2^nd to
44^th). Those gaining the most were 3M (64^th to 13^th), Lockheed Martin (71st
to 21^st ) and SAP (74^th to 24^th). Software giant SAP’s original vocabulary
was evident in its focus on sustainable consumption. And as a gauge of market
sentiment, more than one-third of the survey companies reported concerns about
political and business uncertainty, the most since 2009.

The Rittenhouse Rankings’ representative survey sample of 100 Fortune 500
companies was selected ten years ago based on industry grouping,
capitalization size and financial reputations. Candor is quantified
systematically by awarding points for informative, relevant disclosure and
deducting points for jargon, confusing statements and clichés. The top and
bottom-decile companies in the 2012 survey are:

        Top-Ranked                     Bottom-Ranked
        Rank   Company               Rank   Company
        1        Costco                 91       ConAgra Foods
        2        Southwest Air          92       AIG
        3        Travelers              93       Cisco Systems
        4        Honeywell              94       Tim Hortons
        5        Thermo Fisher          95       Avon
        6        Home Depot             96       L’Oreal
        7        Ford Motor             97       Bank of America
        8        Sherwin-Williams       98       Hewlett-Packard
        9        Time Warner            99       Humana
        10       Amazon.com             100      Cigna

Rittenhouse Rankings works with Fortune 500 and small cap-companies to boost
execution and strengthen financial performance. L.J. Rittenhouse coaches
executive teams to expose corporate blind spots and build effective engagement
strategies. Her new book, Investing Between the Lines, (McGraw 2013), was
endorsed by Warren Buffett in his 2013 shareholder letter and reveals the
strategic advantages of leading with Candor.

For more information visit www.RittenhouseRankings.com and follow us at


Rittenhouse Rankings, Inc.
Stephen Dandrow, (212) 580-9176
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