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23 Feb 2009

Steven Greenhouse, New York Times

Michigan Is the Latest University to End a Licensing Deal With an Apparel Maker [USA]

The University of Michigan announced on Monday that it was ending its apparel licensing agreement with the Russell Corporation [subsidiary of Fruit of the Loom, part of Berkshire Hathaway], becoming the 12th university to do so in response to the company’s decision to close a unionized factory in Honduras...In a report issued Feb. 16, Russell said the closing was the result of “economic considerations and was not caused by the presence of the union at the factory.”...In its report...Russell wrote, “We acknowledge that management mistakes were made that led to a failure to adhere” to “standards on freedom of association.” The company vowed to improve its compliance...