Private funds will support reconstruction, aid to children
By Lauren Monsen, Washington File Staff Writer
Washington - The chief executive officers (CEOs) of four U.S. corporations jointly announced on July 13 that their firms would distribute $3.8 million in grants to assist the victims of the 2005 Atlantic hurricane season, which devastated the Central America and Mexico region.
U.S. Assistant Secretary of State Dina Habib Powell applauded the move at a July 13 reception and thanked the executives for their companies' efforts on behalf of all those who were affected by the storms. In 2005, Hurricanes Stan, Beta and Gamma took nearly 800 lives, brought suffering to more than 850,000 people, and left damages estimated in excess of $1.5 billion.
The $3.8 million "will go to people who desperately need this aid," including children, Powell said. "This is really about the kids: kids who - if they can just get a pair of shoes this year - can go to school," she said.
She also hailed the generosity of the U.S. private sector in contributing to relief organizations. "The American private sector is exemplary" in responding to humanitarian disasters around the world, said Powell.
The four CEOs spearheading these latest efforts are Robert Lane, chairman and CEO of Deere & Company; Michael G. Morris, chairman, president and CEO of American Electric Power; Steven S. Reinemund, chairman and CEO of PepsiCo, Inc.; and Maria Lagomasino, CEO of Asset Management Advisors, LLC/SunTrust Bank, Inc.
According to the Central America and Mexico Hurricane Relief Fund (www.HurricaneAction.org), a private sector-led and White House-supported partnership that encourages private donations for reconstruction of the affected communities, the grants will support three key areas: education for displaced children; microfinance, to help generate incomes for people operating very small businesses; and infrastructure and reconstruction, as well as future-preparedness assistance.
"When I learned of the horrific devastation that last year's hurricanes brought to Central America and Mexico, I felt compelled to do something to help the many thousands of people" who were affected, said Lagomasino. "I am proud to be part of this great effort."
Reinemund echoed that sentiment. "The devastation caused tremendous suffering in Central America and Mexico," he said. "These are our next-door neighbors and we need to do what every good neighbor should do - help out." Lane, who had seen much of the destruction first-hand, added: "These funds will support the many families I met when I traveled to the region last year and help communities better prepare for future hurricane seasons."
Morris noted that his firm has a tradition of promoting good stewardship of the environment, and will continue that vital work in Central America and Mexico. "When we became aware of the devastation in this region, we knew we had to do something to help," he said. "AEP [American Electric Power] has a long history of planting trees in the United States and helping restore and protect areas of significant international biodiversity. So we're pleased to be able to target our support to reforestation programs that are designed to help restore this region's natural hurricane defense mechanisms and lessen the impact of future storms."
The Central America and Mexico Hurricane Relief Fund has set a goal of raising $5 million to help survivors of Hurricanes Stan, Beta and Gamma. "These three storms ... [caused] flooding, mudslides and an estimated $1 billion in damage in the five countries - Guatemala, El Salvador, Honduras, Nicaragua and Mexico - that bore the brunt of the storms," the Fund said. To date, 30 corporations have donated to the Fund.
The $3.8 million raised thus far has been awarded as grants to the following organizations: $2 million to The Nature Conservancy, to be used for reforestation to help prevent mudslides in Guatemala; $250,000 to Save the Children in Guatemala to support educational programs; $250,000 to CARE in El Salvador to support microfinance loans focused on women in Usulutan; $500,000 to CARE in Honduras for repairs to infrastructure and promotion of gender equity; $400,000 to CARE in Nicaragua to construct and rehabilitate refugee and evacuation centers; and $400,000 to AlSol in Mexico to support microfinance programs designed to provide the poorest women in the Chiapas area with access to basic financial services. The AlSol fund will also support a nutritional program for more than 1,000 children.
(The Washington File is a product of the Bureau of International Information Programs, U.S. Department of State. Web site: http://usinfo.state.gov)