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The New Philanthropists
How business leaders are changing the rules of giving
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Giving Even When Profits are Zero
Amylin Pharmaceuticals considers the community part of its inve
By Helen Kaiao Chang
NAME Ginger Graham

TITLE CEO

COMPANY Amylin Pharmaceuticals, Inc. (Nasdaq: AMLN)

EMPLOYEES 1,700

MARKET CAPITALIZATION Nearly $500 billion

PROFITS 2006 $0

CHARITY SPENDING 2006 $300,000

CHARITABLE AREAS patients, such as diabetes organizations; education, particularly math and science programs; and community events.

PIONEER PROGRAM A grant-matching program for charities that employees choose. The company offers $250 in grant money for every $250 or more that each employee gives to a charity. Since the program was rolled out in May 2006, the company has given $3,750 in matching grants to $6,000 donated by employees for breast cancer walks, heart associations and alma maters.

WHY THEY DO IT “I’m very convinced that it’s good for shareholders, it’s good for the company and it’s good for the community,” said Graham.
    “Amylin is now 19 years old. Do we participate in the community, and do we engage in business, but for 20 years give nothing back? To me, that would be a very short-sighted approach for the business. ”
    “Like many other investments we make that have a long-term payoff, this is an appropriate investment for the long-term future of Amylin ’s success in Southern California.”

BUSINESS BENEFITS Philanthropy benefits Amylin’s employees, the biotech industry and San Diego as a whole, said Graham.
    “One of the reasons we believe that philanthropy is appropriate, even before the company is profitable, is that we want to advance the efforts that make the community a great feeder system for the company over time. ”
    “We require a lot of scientific talent, medical talent, analytical, technologically capable individuals. We think it is important for the school system to focus on science and medicine, and we support efforts in California to attract kids who want to study math, science and other technologies that would allow them to be very capable employees someday in the health care sciences. ”
    “We believe [science and medicine] is so critical to America’s competitiveness, to the life sciences industry and to Amylin as an organization, ” said Graham.
    Community involvement also helps San Diego’s biotech industry, said Graham. “One of the important things about biotech is to get a critical mass of successful companies, so there is talent sharing and a good reason for people to move to San Diego, ” she said. This way, even as businesses grow and change, employees can find career opportunities throughout the industry.
    “Community giving also makes employees happy to work at the company,” she said. Employees like to know the company supports their charitable efforts, which in turn increases retention rates and quality of job applicants. “Appropriate philanthropy increases the work pool from which we can draw,” said Graham. “We attract passionate people who want to make a difference.”

BOARD SUPPORT “Amylin has had a philosophy of giving right from the start,” said Graham. One of the co-founders, Ted Green, still sits on the board.
 
ROI “Amylin’s philanthropic efforts have translated to high employee satisfaction and performance, ” said Graham. Employee retention rates at Amylin are 93 percent, far greater than the industry benchmark of 80 percent.  Amylin was named one of the city’s top-five best largest companies to work for in 2006 by San Diego Magazine. Scientist magazine ranked Amylin one of the nation ’s top 10 companies for scientists to work in 2006. Bouyed by two new product launches, Amylin ’s stock price jumped nearly 45 percent in 2006
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WEB amylin.com P
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CEO Ginger Graham offers a corporate matching-grants program, which multiplies employee contributions to the charities of their choice.
PHOTOGRAPHER: Kenneth Probst
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