Save the LCMS!

Kieschnick Letter - A Failed Presidency

The long overdue public response from Pres. Kieschnick to the Issues, Etc. scandal is a testimony to the utter failure of his administration.  The synodical president fails to take leadership responsibility for the decisions made under his watch, fails to acknowledge the outrage expressed in 7200 signatures on the petition, fails to acknowledge the personal harm caused to Pr. Wilken and Mr. Schwarz, and fails to recognize that this action has contributed to the divisiveness he so decries within the synod.  At least, the letter acknowledges that his failed fiscal policies have not only caused the cancellation of Issues, Etc. but are causing the recall of deployed missionaries from the field.

With all due respect, we offer this analysis and commentary:

A decision to discontinue “Issues, Etc.” on KFUO AM Radio was made March 18, 2008, Tuesday of Holy Week, for fiscal reasons described in statements issued after the decision became public. At the April 21, 2008, meeting of the Council of Presidents (COP) of The Lutheran Church—Missouri Synod, financial details precipitating this decision were discussed in executive session by Mr. David Strand, Executive Director of the LCMS Board for Communication Services (BCS), with specific fiscal information provided by the Vice-President-Finance—Treasurer of the Synod, Dr. Thomas Kuchta. The decision was made solely by Mr. Strand after consultation with the chairman of the BCS, Mr. Dennis Clauss, with whom I subsequently spoke over the phone regarding this matter. KFUO Radio is a ministry under the umbrella of the Board for Communication Services.

Comment:  "A decision...was made."  The choice of the passive voice is interesting.  It makes it sound as though this decision was beyond anyone's control.  The "fiscal reasons" have been analyzed elsewhere on this site.

Comment:  "in executive session" - This ensures that the details of this discussion are never presented to the public.

Comment:  Mr. David Strand is held solely responsible for the decision.  He consulted Mr. Dennis Clauss, the chairman of the BCS, who then spoke with Pres. Kieschnick.  This means that Pres. Kieschnick was fully apprised of the decision and its timing.   The last sentence seems to indicate that Pres. Kieschnick has no authority whatsoever regarding the BCS, and could not even counsel or strongly urge a different course of action.

Prior to its implementation, Mr. Strand also informed me as president of the Synod of his decision. I regret that I did not counsel Mr. Strand to postpone implementation of the decision until sometime other than Holy Week. It is obvious that the timing and process connected with the discontinuation of the program have contributed to the disappointment expressed by listeners and supporters of “Issues, Etc.” in and beyond the Synod. Human Resources policies, compliance with applicable employment regulations, the process of implementation of reduction in force, accompanying severance and outplacement considerations, etc., do not allow the sharing of details about this matter. I am deeply saddened by the anxiety, worry, and consternation experienced in the Synod by those directly and indirectly affected by the decision.

Comment:  "I regret that I did not counsel Mr. Strand..."  This is a significant failure of leadership.  In this sentence, Pres. Kieschnick indicates that he had the power to counsel and failed to do so.  He seems completely unaware of the exact nature of the outrage and thinks it has to do only with the fact that it happened in Holy Week.  Holy Week simply amplified the outrage.  The outcry is over the cancellation of a "mission and ministry" of the LCMS for financial reasons during the peak of its fund raising efforts as millions of dollars are being spent on high-priced consultants and given to congregations whose teachings and practices fail to meet the confessional standards of the LCMS.

Comment:  "Human Resources policies, compliance...."  Does this include a blanket gag order on the severance package?  Resorting to left-hand language of law and business in a pastoral letter from the synodical president is an utter failure of pastoral example and leadership.

Comment:  "I am deep saddened by the anxiety, worry, and consternation...."  This shows a failure to listen.  If there is "anxiety," it is over the theological and financial condition of the LCMS.  If there is "worry," it is over the fact that a Lutheran confessional voice that was heard worldwide has been silenced.  If there is "consternation," it is over the intrusion of seeker-sensitive, purpose-driven methodologies into a "confessional and orthodox" synod of churches.

Some have interpreted the decision to discontinue “Issues, Etc.” as being theological or political in nature or purpose. Such interpretations have no basis in fact.

Comment:  Stone-walled denial does not constitute proof.  This essentially calls all who question this decision liars and slanderers.  The reason such speculations continue is the failure of the Kieschnick administration to be completely transparent to the churches to which it is accountable.

As president of the Synod, I respectfully request and pastorally encourage all in the Synod to be patient and charitable regarding this matter, putting the best construction on actions and decisions connected therewith. I pray for the day when the financial resources of our Synod do not necessitate the reduction in force of radio personnel, the return of missionaries from the foreign mission field, or any other such difficult and painful decisions. And I pray for peace and harmony in our beloved Synod.

Comment:  This is a misuse of the 8th commandment.  The 8th commandment forbids us to speak ill of persons.  It does not forbid constructive criticism of public actions in public office.  What use is the call for patience when the administration is simply engaged in patient stonewalling?

Comment:  "I pray for the day when the financial resources of our Synod do not necessitate...."  This is an admission of a failed fiscal policy that has driven the synod into debt, has caused it to borrow against its own funds, including designated world relief funds, has caused the cancellation of Issues, Etc. and the RETURN OF MISSIONARIES FROM THE FOREIGN MISSION FIELD! 

How many missionaries have been recalled since 2001, the year Pres. Kieschnick was elected?  How many missionaries are going to be recalled this fiscal year? 

How does a synod justify spending millions of dollars on high-priced consultants, giving large sums of money to congregations who set up "Satan billboards" (though not necessarily with those very dollars), while canceling a leading apologetic and evangelistic radio broadcast and recalling deployed missionaries from the field?

David's Strand of Pearls

Here are some pearls of wisdom David Strand cast yesterday as reported in today's St. Louis Post-Dispatch.

*David Strand, the executive director of the church's communications board, said the cancellation was based on economics, not politics.

The "economics" are obviously guided by the $2.1 million the LCMS shelled out to consultants in 2007.

*He said KFUO-AM (the church also runs KFUO-FM, a classical music station) has lost $3.5 million since 2001, including more than $600,000 last year.

This is not to mention questionable cross-charges, exorbitant administrative costs, excessive fund raising charges, and the fact that KFUO-FM with its 18 employees and $1.07 million salary load is supposed to help fund KFUO-AM which is considered a "mission and ministry" of the LCMS.

It's interesting to note that KFUO-AM began losing money the same year Pres. Kieschnick took office.

*"We have tried every cost-cutting measure we can think of for a long time," Strand said. "And we've tried every fundraising measure we can think of. ... 'Issues' was the largest and most obvious cut at our disposal."

 Every cost-cutting measure?  Issues, Etc. was the only fat in KFUO's $3.7 million budget?

Every fundraising measure?  Like skimming 40% of the money raised and canceling the show in the middle of its fundraising drive?

Why didn't Mr. Strand fire the station management that received a no confidence vote from the BCS?

*Strand would not say whether the church was considering a sale of its stations.

Any bets on when KFUO goes up on the auction block to pay the LCMS credit card?

*He pointed out that the 7,000 signatures make up one-third of 1 percent of the church body.

Not to mention 1,650 listeners in the St. Louis area and 64 people who listen to live stream on the internet.

It's nice to know what your opinion is worth at the Purple Palace.  Numbers.  Let's see, if 7,000 is one-third of 1% (neglecting the fact that several signatures are from folks outside the LCMS), that means we are 2.1 million and shrinking under the leadership of the Kieschnick administration.

*In the vacated time slot, the church has launched a new program called "The Afternoon Show," with topics Strand said should have a broader appeal.

Mr. Strand would be referring to this:

Another PR Embarrassment for the Kieschnick Administration

In today’s Letters to the Editor of the Wall Street Journal, an abbreviated version of Pres. Kieschnick’s rebuttal letter appears along with four other letters.  In his letter, Kieschnick takes issue with the assertion that we are a deeply divided synod.  The other four letters, which appear to be from LCMS laity and clergy, seem to share Ms. Hemingway’s view of things.

Letters to the editor usually reflect a fair sampling of the letters received.  Apparently, Kieschnick’s vision for synodical unity is not shared by the masses.

Kieschnick's Response to the Wall Street Journal

March 31, 2008

Wall Street Journal
wsj.ltrs@wsj.com

Letter to the Editor:

As President of The Lutheran Church—Missouri Synod, I express my extreme disappointment over the column “Radio Silence” published March 28 under “Houses of Worship.” Its author presents a distorted account of the reason for the discontinuation of the “Issues, Etc.” program on the Synod’s KFUO-AM Radio station. What is even more disturbing is the false and misleading picture she presents of The Lutheran Church—Missouri Synod (LCMS) as a deeply divided church regarding its mission and ministry.

First, let me say our church is happy to own and operate KFUO-AM, the oldest continuously operating religious radio station in the country, if not the world. We are proud of the ministry it has provided listeners for some 84 years, and we endeavor to continue this ministry. I must also note that all ministries of the church, of which KFUO-AM is but one, require financial support from their constituencies.

Here are the facts surrounding the termination of “Issues, Etc.” This program was cancelled by the Synod’s director of communications after years of attempts to keep the program financially solvent. In fiscal year 2007-08, KFUO-AM’s operating deficit was $620,000. Since 2001, the accumulated deficits of the station have been in excess of $3.5 million. While airing for only 18 percent of KFUO-AM’s programming week, “Issues, Etc.” in the last fiscal year accounted for more than 40 percent ($250,000) of the station’s total deficit. These figures are based on the audited financial statements of the LCMS. As of February 29, two thirds into the current fiscal year, KFUO-AM was on pace to suffer heavy loses again.

Listeners of “Issues, Etc.” have had nine years and countless invitations and opportunities to support the program financially, and some have, but not nearly enough to offset the show’s deep, ongoing losses.

More importantly, I wish to address the unfortunate comments in the column that The Lutheran Church—Missouri Synod is deeply divided and that it is pushing “church marketing” over the historic confessions of the evangelical Lutheran Church.

In truth, last summer the LCMS had its most positive and unified convention in years. Our church remains faithful to the Scriptures and Lutheran Confessions, an integral part of our identity as a church body. As stated in a resolution adopted last summer by the national Synod convention: “From the founding of our Synod 160 years ago, we have been blessed by unity in our common confession and the articles of our shared faith, such as the Trinity, the person and work of Christ, original sin, baptismal regeneration, the real presence of Christ’s body and blood in the Sacrament, the inerrancy of Scripture and many others.”

In accordance with our unity in what we believe, teach, and confess, the Synod adopted the mission and vision of Ablaze!—a focused and concentrated effort to “share the Good News of Jesus Christ with those who do not yet know him.” One goal of Ablaze! calls for the Synod to start 2,000 new congregations by the 500th anniversary of the Reformation in the year 2017. This outreach emphasis is not “marketing” as suggested by last Friday’s column; rather, it is one of many ministry endeavors developed to foster the mission of our Synod “… vigorously to make known the love of Christ by word and deed within our churches, communities, and the world.” (LCMS Mission Statement)

In summary, The Lutheran Church—Missouri Synod is more committed than ever to proclaiming the one message of Jesus Christ and his love for all (1 John 4:9-11).

On behalf of The Lutheran Church—Missouri Synod, I invite readers to visit our website at www.lcms.org for more information on God’s grace and salvation in Christ.



The Rev. Dr. Gerald B. Kieschnick, President
The Lutheran Church—Missouri Synod

C: Mr. David Strand, Director of Communications
The Lutheran Church—Missouri Synod

What David Strand Didn't Say

The Bring Back Issues Etc. Blog has done even more extensive analysis on the bootlegged download logs and has determined that David Strand had not exactly been forthright in his letter when he claimed that Issues Etc. only had 1,650 listeners plus another 64 that tuned in via live stream.

According to the Bring Back Issues Etc. Blog each 1 hour segment of Issues Etc was downloaded an average of 2,784 times, NOT including iTunes downloads or WMA file downloads.

It would appear that David Strand has some explaining to do.

Click Here to Read this Important Analysis

A Picture is Worth a 1000 Words

The graph below gives a visual analysis to the bootlegged download logs we posted earlier.

This chart shows that...

In October 2007 Issues Etc. was downloaded 171,428 times while all the other shows combined were only downloaded 1,179 times.

In Novemeber 2007 Issues Etc. was downloaded 316,115 times while all the other shows combined were only downloaded 4,685 times.

In December 2007 Issues Etc. was downloaded 152,197 times while all the other shows combined were only downloaded 8,118 times.

In other words, by canceling Issues Etc. the LCMS obliterated over 97% of KFUO's ENTIRE on-line listening audience.

This data makes it all too clear that this decision was not made for any sound business reasons. It is looking more and more like this was a political assassination!

Click on the chart to view a full sized version of it.

Obfuscation!

David L. Strand, Executive Director of the Board for Communication Services for the LCMS has posted an 'explanation' that he hopes will make the controversy surrounding the cancellation of Issues Etc. go away. However, I know for a fact that Strand's official statement is full of half-truths and bureaucratic misdirection.

Here is just a sampling.

1. Business or Ministry?

In his official statement Strand states:

In fiscal year 2007-08, KFUO-AM’s operating deficit was $620,698. Since 2001, the accumulated deficits at the station have been in excess of $3.5 million. The LCMS budget, entrusted to our care by members of our Synod’s congregations, has absorbed these shortfalls for years. After long and prayerful consideration, it became clear that measures had to be taken to stop the ongoing, staggering losses.

Please consider this, if Issues Etc. was cut because of business losses then how come it was the ONLY program on KFUO AM that ever asked for donations and support? If Strand was so concerned that KFUO AM was operating in the red then how come he didn't demand that the other programs, which constitute 82% of the total air time for KFUO, ask for donations as well?

One of my sources told me on Monday that the Synod has always considered KFUO AM to be a ministry outreach and therefore was not concerned by the expenses of keeping KFUO AM on the air.

Please also consider this fact. The treasurer of the LCMS was in Germany on the day that Issues Etc was cancelled and was shocked by the announcement that the show had been cancelled. If Issues Etc. was cancelled for financial reasons, then wouldn't it make logical sense that the treasurer of the LCMS would have been part of that decision?

2. Audience Size

Strand grossly understates the size of the Issues Etc. audience. In his statement he says:

Some may also be under a misapprehension about the size of the “Issues” audience. In 2005, station management decided it could no longer justify paying for expensive ratings reports in light of the predictably low and static nature of KFUO-AM’s audience numbers. At the time, a blending of the spring 2004 and spring 2005 “books” showed an average listening audience during the “Issues” Monday-Friday timeslot of 1,650. There is no indication these numbers have grown appreciably since.

It doesn't take a rocket scientist to notice that Strand purposely omitted the number of people who listened to Issues Etc. via podcast. Why didn't he include those numbers? Answer: by omitting those numbers he is able to make it appear like very few people ever listened to Issues Etc. But if the Issues Etc audience is a small as David Strand would have you believe, then why is there a national outcry against this decision?

Also, missing from these figures are what those in the business world call a "comparative baseline". In other words, in order to get a proper perspective of these figures then we'd need to know how many listeners each of the other shows have during their respective time slots. But that information is also missing from Strand's statement.

3. 2004 - 2005 listener data??

Please also notice that Strand sites listener data statistics from 2004 and 2005 as the basis for making the decision to cancel Issues Etc.? Here is what he said:

At the time, a blending of the spring 2004 and spring 2005 “books” showed an average listening audience during the “Issues” Monday-Friday timeslot of 1,650. There is no indication these numbers have grown appreciably since.

Ummm...that data is 3 to 4 years old. How stupid does Strand think that we are?

Where is the current Radio Ratings data? Oh yeah, Strand claimed that he doesn't have the latest ratings because they are expensive.

In other words, David Strand is claiming that this decision was based upon listener data that is 3 to 4 years old.

This doesn't make any sense.

Investors do not make decisions about which companies to buy stock in using ONLY data that is 3 to 4 years old.

Sales Managers do not create sales forecasts using ONLY data that is 3 to 4 years old.

Accountants do not make budgetary decisions using ONLY data that is 3 to 4 years old.

Why would synodical executives make the decision to cancel Issues Etc. using ONLY data that is 3 to 4 years old?

The answer is obvious. Strand is not telling us the whole truth. He has told us a fiction and is using old data and partial information to support the STORY that they've created.

4. Mis-direction

When we consider the fact that, by David Strand's own admission, KFUO AM has been losing money since 2001 and has accumulated a $3.5 million deficit the obvious question arises, "Why are Todd Wilken and Jeff Schwarz being blamed for the operating losses at KFUO AM instead of David Strand?"

When a business is losing money it is the MANAGERS AND EXECUTIVES who should be held accountable for the losses instead of those working in the trenches. In fact, if the synod was really concerned about the financial losses at KFUO AM then it would have made more sense for them to fire David Strand for mismanaging the station by allowing this situation to continue unabated for so long.

David Strand obviously had no sense of urgency when it came to raising the funds needed to staunch this bleeding. The fact that Issues Etc. was the only program on KFUO AM with a well thought out fundraising plan shows just how poorly David Strand was managing KFUO AM.

Making Todd and Jeff responsible for David Strand's mismanagement of KFUO AM is not only laughable it is criminal!

Conclusion

This statement by David Strand is a propoganda piece designed to silence critics and end the controversy. It was carefully crafted using only carefully selected bits of information while omitting data that would give people the full and complete picture.

Unfortunately, this piece because of its half truths and omitted data will do nothing more than add fuel to an already raging fire.