According to The New York Times, the founder of ready-to-wear company Patagonia announced on Wednesday that his family would turn over the company to a foundation that uses its profits to fight climate change.
The newspaper pointed out that Yvonne Chouinard, who has been described as an “eccentric” climber with a net worth of $1.2 billion, along with her wife and two children, will transfer the company’s family property to a trust and non-profit organization. organization.
Patagonia is known for its sports and climbing apparel, its interest in making apparel from recyclable materials, and its commitment to repairing customers’ clothing to last longer rather than encouraging them to buy new clothing.
The company is valued at about $3 billion.
The founder explained in an open letter on the company’s website that each year he will distribute the money “that we receive after reinvesting in the company as dividends to help fight the climate crisis.”
Patagonia will continue to operate as a privately held for-profit company, but the Chouinard family, who controlled the company until last month, no longer owns the company and has an estimated annual income of $100 million.
The company’s voting shares were transferred to the Patagonia Purpose Trust, while the non-voting shares were transferred to Holdfast Collective, a non-profit organization dedicated to combating the environmental crisis and protecting nature.
The New York Times reported that Patagonia’s new business structure means that the founder of the company and his family will not receive any financial benefit.
