ROANOKE TIMES 
                      Copyright (c) 1996, Roanoke Times

DATE: Friday, November 8, 1996               TAG: 9611080063
SECTION: BUSINESS                 PAGE: A12  EDITION: METRO 
DATELINE: DALLAS 
SOURCE: CHRIS NEWTON ASSOCIATED PRESS 


TEXACO STAR MAY JUST BE TARNISHED

SOME CUSTOMERS say they'll take their business elsewhere as a result of the Texaco incident. Others say racism is everywhere; Texaco simply was unlucky enough to get caught on tape.

Adam Nelson had heard the talk about racist language in Texaco's executive suites before he got to a Dallas Texaco station Thursday morning.

But he wasn't angry enough to take his business elsewhere.

``This isn't some big deal,'' said Nelson, 26, as he filled his tank. ``This is corporate America. These folks just happened to get caught on tape.''

But at a Mobil station across the street, Kason Delaney, a 42-year-old black dentist, said he felt forced to stop buying at Texaco.

``I like Texaco. I don't want to boycott ... but I really feel like they don't deserve to have my money,'' Delaney said.

Earlier this week, transcripts of recordings were revealed, quoting high-level Texaco executives making racist remarks about employees. The tapes were turned over to a lawyer who is suing the White Plains, N.Y.-based company for discrimination. The $540 million class-action lawsuit was brought on behalf of 1,500 black workers of the oil company who claim they were denied promotions and advancement opportunities because of their race.

Texaco, which got its start with a gusher in Texas nearly 100 years ago, also has received subpoenas from a grand jury investigating whether the executives illegally destroyed documents on minority hiring.

In the Roanoke Valley, Texaco dealers said customers were not blaming them for reports of racial discrimination at the petroleum company.

"Fortunately, I've got old and faithful customers," said Richard Poff, owner of Hollins Texaco on Williamson Road. "I haven't heard a word about it."

"Nobody's mentioned it," said Bob Hall, owner of Grandin Texaco Servicenter. He said he's heard "no comment on anything."

A spokeswoman at Oak Grove Texaco, however, declined to discuss the situation and said she was "not sure" about customer reaction.

Texaco chairman Peter I. Bijur has issued an apology and announced that two executives were suspended.

``I want to offer an apology to our fellow employees who were rightly offended by these statements ... and to people throughout America and elsewhere around the world,'' Bijur said Wednesday at a news conference.

``If they apologized, then I think we can't hold a grudge,'' said Herbert Wright, a 47-year-old black salesman. ``I'm sick of black people feeling like they have to hold a grudge forever. God calls us all to forgive.''

``I've called white people some things I probably wouldn't want to be caught on tape saying, and I would hope they wouldn't hold it against me forever.''

Business has shown no signs of dropping off since the remarks became public, employees said. A Texaco spokesman said the company could not immediately characterize sales since the remarks were reported Monday.

The company's stock initially fell about 5 percent, but has since recovered. Texaco common shares closed Thursday on the New York Stock Exchange at $96.50, up 50 cents on trading of nearly 1.9 million shares.

``People come in here talking about it, but they don't say that they're not going to come back,'' said one black attendant, who would only identify himself as Chris. ``This is not something new. I get called `nigger' three to four times a day.''

Meanwhile, officials with the National Association for the Advancement of Colored People were discussing what action they might take against the company, including a boycott.

NAACP president Kweisi Mfume said in a statement that the organization is ``considering a number of actions to be instituted against Texaco.''

Jim Rhodes, a 29-year-old black demolition worker, said boycotting would be silly.

``This stuff goes on everywhere,'' he said. ``I usually go to Racetrack because that's where gas is the cheapest, but they might be saying the same things there. You can't boycott the whole world.''

Peter M. Sandman, a Boston consultant who occasionally advises businesses on public outrage situations, said Texaco should go beyond an apology toward ``meaningful restitution'' to minimize customer backlash.

``Most companies do survive these disasters having paid a heavy price,'' he said. ``The question is how much of a price will it pay?''

Staff writer Mag Poff contributed to this report.


LENGTH: Medium:   88 lines
ILLUSTRATION: PHOTO:   1. AP Joe Alfred, 50, prepares to pump gas at a Texaco 

gas station in the Oak Cliff section of Dallas on Thursday. In spite

of the scandal, Texaco stations in predominantly black neighborhoods

have seen no slowing in their business.

2. headshot of Bijur

by CNB