At least that’s one expert’s opinion. Allan Koltin, CEO of PDI Global, Inc., based in Chicago, thinks RSM McGladrey and McGladrey & Pullen will eventually be getting back together.
“I think what you’re seeing now is just the flexing of some muscles,” [said Koltin.] “What (RSM’s termination notice) does is reinforce what [RSM Parent, H&R] Block said before, which is that, if need be, they will go to the mat with them on this one.”
That’s a fine assessment but we all know what this is really about. The Gulbis factor. RSM/Block can go on and on about ‘administrative services’ and whatever hell else they think that’s in M&P’s ‘best interest’ but we understand the unmentionable factor here.
Sooner, rather than later, M&P had better come to their senses in this whole mess and realize that being associated with Natalie Gulbis is by far the best thing any accounting firm has been able to pull off since…yeah, pretty much anything. McGladrey, RSM move to reconciliation [KCBJ (Subscription Required)]
In the best example that we’ve seen of accounting firm make-up sex, today the RSM McGladrey and McGladrey & Pullen announced that they will now be branded under one name…McGladrey. Since the deciders on the name checked imagination at the door, the firms make it up to all of us with the best possible solution – building a giant putting green cake.
One of the duffers sponsored by McGladrey, Chris DiMarco, will attempt to chip in on the green later today and with any luck you’ll be able to watch it above as it happens.
As exciting as that is, it isn’t entirely clear whether or not this also serves as a tasty distraction from the layoffs and restructuring that is going on McGladrey. Kick that around if you like but also consider the fact that Natalie Gulbis doesn’t seem to be jumping out of this thing at any point in time, and that is a travesty that cannot go unnoticed.
UPDATE: We’ve been assured that the cake’s tastiness or lack thereof will be communicated to us later today. Whether or not there will be pre-cake jays, gallons of Vitamin D milk to wash it down or couches to pass out on has not been determined. Discuss and keep us updated. Spare no details – flavor, frosting, texture, etc.
UPDATE 2: Okay you guys – who witnessed this sorry-ass display? Natalie wouldn’t have disappointed the crowd like these losers. And then someone skulls one right into the camera? Video is completely gone right now. Unbelievable. Get back to us on this cake.
UPDATE 3: The report on the cake is in:
1) The cake is, actually, pretty big. And, it’s all cake, except for the part of the logo, which is made of rice krispie treats.
2) As for a slice of that cake…quite good, actually. The cake part is marble, and very soft and tasty. I nabbed what might be a corner piece with the “rough” frosting. It’s a lot of frosting. A lot.
I’d give the cake a solid A-. There will be a lot to save in the next few days!
Two minutes later we got his follow-up:
I had to stop eating it halfway through — I think I’d go into diabetic shock if I ate any more of it. The grade gets downgraded to a B+.
– Update includes response from RSM McGladrey spokesperson
Well, it’s official. RSM McGladrey and McGladrey & Pullen are back together, having signed a new definitive agreement and putting the brief fallout behind them.
Both RSM President C.E. Andrews and M&P Managing Partner Dave Scudder are putting this whole misunderstanding behind them.
“With the completion of these agreements, our focus is on moving forward and building the success of our respective firms by enhancing client service and accelerating growth,” said C.E. Andrews, president of RSM McGladrey, a wholly-owned subsidiary of H&R Block. “We have a clear opportunity to enhance our competitive position by taking the collaboration between our firms to a new level.”
“We now have the framework to build on our heritage of delivering the highest quality services to all our clients, while providing growth opportunities for our people and ensuring the independence of M&P,” said Dave Scudder, managing partner of McGladrey & Pullen. “We look forward to increased collaboration with RSM McGladrey and the renewed sense of enthusiasm and commitment that both firms have brought to this process.”
In spite of the boilerplate statements, it’s not entirely clear if the new agreement between the two firms puts each of them back in the same position prior to the breakup. An RSM spokesperson did not immediately return our email seeking comment on these details. A RSM spokesperson returned our email and informed us that the new agreement is the same as the old arrangement and it is effective for five years, at that time it will automatically renew for additional five years. H&R Block, RSM McGladrey’s parent company, will be filing an 8-K this week with the SEC that will include the signed agreement.
Additionally, some developments that we ponder for personal amusement: will the recombined forces of the two firms be enough to break the absence from the Fortune 100 List? Will M&P will reap any benefits from the Natalie Gulbis ad campaign bonanza? We’ll stay on these…
At the end of the day, we’re sure everyone at both firms is pleased that the issue is resolved for the rest of busy season. Who knows, maybe it was just a distraction for partners but at least you won’t be getting any more emails about it.