Aaron Feuerstein
Aaron Feuerstein | |
|---|---|
| Born | December 11, 1925[1] |
| Died | November 4, 2021 (aged 95) Brookline, Massachusetts, U.S. |
| Nationality | American |
| Alma mater | Yeshiva University[3] |
| Occupation | Businessman |
| Known for | CEO Malden Mills, Polartec fabric |
| Spouse |
Louise Feuerstein
(m. 1988; died 2013) |
| Parent | Samuel (father)[3] |
| Relatives | Rabbi Moses Feuerstein (brother)[5] |
Aaron Feuerstein (December 11, 1925 – November 4, 2021) was an American industrialist, philanthropist, and the third-generation owner[6] and CEO of Malden Mills in Lawrence, Massachusetts.
Early life and education
He was born in Brookline, Massachusetts in 1925, attended the Boston Latin School and graduated from Yeshiva University, majoring in English and philosophy, in 1947.[7][8] Feuerstein was Jewish.
Career
When the Malden Mills factory burnt down on December 11, 1995, Feuerstein used his insurance money to rebuild it, and to pay the salaries of all the now-unemployed workers while it was being rebuilt. Feuerstein spent millions keeping all 3,000 employees on the payroll with full benefits for six months. By going against common CEO business practices, especially at a time when most companies were downsizing and moving overseas, he achieved global fame.[citation needed]
Feuerstein said that he could not have taken another course of action due to his study of the Talmud and the lessons he learned there:
I have a responsibility to the worker, both blue-collar and white-collar. I have an equal responsibility to the community. It would have been unconscionable to put 3,000 people on the streets and deliver a deathblow to the cities of Lawrence and Methuen. Maybe on paper our company is worthless to Wall Street, but I can tell you it's worth more.
— Parade Magazine, 1996
This cost Feuerstein $25,000,000, his CEO position, and a November 2001 filing of chapter 11 bankruptcy. The company achieved solvency again with the help of creditor generosity and government subsidies. Malden Mills later garnered some lucrative Department of Defense (DOD) contracts for 'smart' products that interweave fiber optic cabling, electronic biosensors, and USB ports into polar fleece fabric. Malden Mills was awarded a $16 million DOD contract in 2006.[9] In January 2007, however, Malden Mills filed for bankruptcy again and ended production in July.[10] The company's underfunded (by 49%) pension was abandoned due to sale of corporate assets.[11]
Personal life
Feuerstein was an alumnus of Camp Modin in Belgrade, Maine, and the keynote speaker at the 75th annual reunion in 1997.[citation needed] Feuerstein was also a member of Young Israel of Brookline.[12]
On October 27, 2021, Feuerstein fell and was taken to hospital the next day. He died at his home in Brookline, Massachusetts on November 4, at the age of 95.[13][14]
Honors
An industrialist and philanthropist, for setting the standard for commitment to employees following a devastating fire at his Malden Mills manufacturing plant, he was awarded the Peace Abbey Courage of Conscience Award on March 13, 1998.[15]
References
- ^ Vaughn, Susan Firms Find Long-Term Rewards in Doing Good, Los Angeles Times, November 3, 1997. Accessed February 25, 2013.
- ^ Forbes Great Success Stories: Twelve Tales of Victory Wrested from Defeat (2000), pg. 12
- ^ a b Kerber, Ross, "Aaron Feuerstein's labor of love: A throwback to a patrician era fights an uphill battle to regain control of company his grandfather founded", The Boston Globe, September 14, 2003
- ^ McKenna, Kathleen, "Louise Feuerstein, 76; worked with husband to rebuild Malden Mills", The Boston Globe, September 26, 2013
- ^ Karasick, Joseph, Rabbi "Obituary of Rabbi Moses Feuerstein" Archived March 3, 2013, at the Wayback Machine, Orthodox Union News, March 18, 2009
- ^ Polartec: Polartec® Promise
- ^ "Aaron Feuerstein, Founder, Chair, CEO, Malden Mills, awarded Honorary Doctor of Humane Letters Degree at Graduation Ceremonies in New York".
- ^ http://www.people.com/people/archive/article/0,,20102719,00.html
- ^ Congress Awards Malden Mills Major Military Contracts for 2006
- ^ Bloomberg News. Malden Mills Returns to Bankruptcy, The New York Times, January 11, 2007. Accessed February 25, 2013.
- ^ PBGC Protects Pensions at Malden Mills
- ^ "Despite bankruptcy, former Malden Mills owner glad he saved jobs after historic fire". 12 December 2015.
- ^ Aaron Feuerstein, who paid Malden Mills workers after the factory burned down, dies at 95
- ^ Aaron Feuerstein dies at 95, paid idled workers after mill fire
- ^ Courage of Conscience Award Recipients Archived 2014-06-10 at the Wayback Machine
Further reading
- Jennings, Marianne M., Business: Its Legal, Ethical, and Global Environment, Cengage Learning, 2005. Cf. p.775 for a biography of Aaron Feuerstein.