Peter George Peterson
Encyclopedia
Peter G. Peterson is an American businessman, investment banker, fiscal conservative, author, and politician whose most prominent political position was as United States Secretary of Commerce
from February 29, 1972, to February 1, 1973 under Richard Nixon
. He is most well known currently as founder and principal funder of The Peter G. Peterson Foundation
, which he established in 2008 with a $1 billion endowment. The group focuses on raising public awareness about U.S. fiscal-sustainability issues related to federal deficits, entitlement programs, and tax policies.
Before serving in the White House, Peterson was Chairman and CEO of Bell & Howell
, from 1963 to 1971. From 1973 to 1984 he was Chairman and CEO of Lehman Brothers
. In 1985 he co-founded the private equity
firm, the Blackstone Group
. Peterson was Chairman of the Council on Foreign Relations
until retiring in 2007, after being named chairman emeritus. In 2008, Peterson was ranked 149th on the "Forbes 400
Richest Americans" with a net worth of $2.8 billion.
to Greek immigrant parents. His father opened and ran a diner in 1923 after changing his name from Georgios Petropoulos to George Peterson. He is married to Joan Ganz Cooney
, a creator of Sesame Street
, and a stepmother to Peterson's five children. In his autobiography he recalls his business and private life in which he blames himself for the failure of two of his three marriages but is now proud of having at last grown close to his children and grandchildren
, graduating in 1947, summa cum laude. He joined Market Facts, a Chicago-based market research firm, in 1948. In 1951, he received an M.B.A.
degree from the University of Chicago Booth School of Business, before returning to Market Facts as an executive vice president.
in 1953, again in Chicago, where he served as a director. He joined movie-equipment maker Bell and Howell Corporation in 1958 as Executive Vice President. He later succeeded Charles H. Percy
as Chairman and CEO, positions he held from 1963 to 1971. He has been a director of a number of other corporations.
In 1969, he was invited by philanthropist John D. Rockefeller 3rd
, CFR Chairman John J. McCloy
, and former Treasury Secretary Douglas Dillon
to chair a Commission on Foundations and Private Philanthropy, which became known as the Peterson Commission. Among its recommendations adopted by the government were that foundations be required annually to disburse a minimum proportion of their funds.
In 1971, he was named Assistant to the President for International Economic Affairs by U.S. President
Richard Nixon
. In 1972, he became the Secretary of Commerce
, a position he held for one year. At that time he also assumed the Chairmanship of President Nixon’s National Commission on Productivity and was appointed U.S. Chairman of the U.S.–Soviet Commercial Commission.
He was Chairman and CEO of Lehman Brothers
(1973–1977) and Lehman Brothers, Kuhn, Loeb Inc. (1977–1984).
In 1985, he co-founded with Stephen A. Schwarzman
the prominent private equity and investment management firm, the Blackstone Group
, and was for many years its chairman. It was the fortune he made at Blackstone, including the $1.9 billion he received when it went public in 2007, that funded many of his charitable and political causes.
In 1992, he was one of the co-founders of the Concord Coalition
, a bipartisan citizens' group that advocates reduction of the federal budget deficit. Following record deficits under President George W. Bush
, Peterson commented in 2004: "I remain a Republican
, but the Republicans have become a far more theological, faith-directed party, not troubling with evidence."
In February 1994, President Bill Clinton
named Peterson as a member of the Bi-Partisan Commission on Entitlement and Tax Reform co-chaired by Senators Bob Kerrey
and John Danforth
. He also serves as Co-Chair of the Conference Board Commission on Public Trust and Private Enterprises (Co-Chaired by John Snow).
He succeeded David Rockefeller
as Chairman of the Council on Foreign Relations
in 1985 and served until his retirement in 2007. He currently serves as Trustee of the Rockefeller family
's Japan Society and of the Museum of Modern Art
, and was previously on the board of Rockefeller Center Properties, Inc..
He is founding Chairman of the Peterson Institute for International Economics (formerly the "Institute for International Economics", renamed in his honor in 2006), and a Trustee of the Committee for Economic Development
. He was also Chairman of the Federal Reserve Bank of New York
between 2000 and 2004.
In 2008, he founded the Peter G. Peterson Foundation (PGPF), an organization devoted to spreading public awareness on fiscal sustainability issues related to the national debt, federal deficits, entitlement programs, and tax policies. PGPF distributed the 2008 documentary film I.O.U.S.A.
, and did outreach to the 2008 presidential candidates.
Peterson funds The Fiscal Times
, a news website that reports on current economic issues, including the federal budget, the growing deficit, entitlements, health care, personal savings, taxation, and the global economy. Fiscal Times contributors and editors include several veteran economics reporters for the New York Times and the Washington Post.
On August 4, 2010, it was announced that he had signed "The Giving Pledge
." He was one of 40 billionaires, led by Bill Gates
and Warren Buffett
, who agreed to give half their wealth to charity.
of the Smithsonian Institution
. The same year he was elected as a fellow of the American Academy of Arts and Sciences
.
United States Secretary of Commerce
The United States Secretary of Commerce is the head of the United States Department of Commerce concerned with business and industry; the Department states its mission to be "to foster, promote, and develop the foreign and domestic commerce"...
from February 29, 1972, to February 1, 1973 under Richard Nixon
Richard Nixon
Richard Milhous Nixon was the 37th President of the United States, serving from 1969 to 1974. The only president to resign the office, Nixon had previously served as a US representative and senator from California and as the 36th Vice President of the United States from 1953 to 1961 under...
. He is most well known currently as founder and principal funder of The Peter G. Peterson Foundation
The Peter G. Peterson Foundation
The Peter G. Peterson Foundation is an American foundation established in 2008 by Peter G. Peterson, a co-founder of the Blackstone Group – an American-based financial-services company...
, which he established in 2008 with a $1 billion endowment. The group focuses on raising public awareness about U.S. fiscal-sustainability issues related to federal deficits, entitlement programs, and tax policies.
Before serving in the White House, Peterson was Chairman and CEO of Bell & Howell
Böwe Bell & Howell
Bell & Howell is a U.S.-based former manufacturer of motion picture machinery, founded as Bell & Howell in 1907 by two projectionists, and headquartered in Wheeling, Illinois. The company merged with Böwe Systec Inc...
, from 1963 to 1971. From 1973 to 1984 he was Chairman and CEO of Lehman Brothers
Lehman Brothers
Lehman Brothers Holdings Inc. was a global financial services firm. Before declaring bankruptcy in 2008, Lehman was the fourth largest investment bank in the USA , doing business in investment banking, equity and fixed-income sales and trading Lehman Brothers Holdings Inc. (former NYSE ticker...
. In 1985 he co-founded the private equity
Private equity
Private equity, in finance, is an asset class consisting of equity securities in operating companies that are not publicly traded on a stock exchange....
firm, the Blackstone Group
Blackstone Group
The Blackstone Group L.P. is an American-based alternative asset management and financial services company that specializes in private equity, real estate, and credit and marketable alternative investment strategies, as well as financial advisory services, such as mergers and acquisitions ,...
. Peterson was Chairman of the Council on Foreign Relations
Council on Foreign Relations
The Council on Foreign Relations is an American nonprofit nonpartisan membership organization, publisher, and think tank specializing in U.S. foreign policy and international affairs...
until retiring in 2007, after being named chairman emeritus. In 2008, Peterson was ranked 149th on the "Forbes 400
Forbes 400
The Forbes 400 or 400 Richest Americans is a list published by Forbes Magazine magazine of the wealthiest 400 Americans, ranked by net worth. The list is published annually in September, and 2010 marks the 29th issue. The 400 was started by Malcom Forbes in 1982 and treats those in the list like...
Richest Americans" with a net worth of $2.8 billion.
Life and career
Peterson was born in Kearney, NebraskaKearney, Nebraska
Kearney is a city in and the county seat of Buffalo County, Nebraska, United States. The population was 30,787 at the 2010 census. It is home to the University of Nebraska-Kearney....
to Greek immigrant parents. His father opened and ran a diner in 1923 after changing his name from Georgios Petropoulos to George Peterson. He is married to Joan Ganz Cooney
Joan Ganz Cooney
Joan Ganz Cooney is an American television producer. She is one of the founders of the Children's Television Workshop , the organization famous for the creation of the children's television show Sesame Street. Cooney received her B.A...
, a creator of Sesame Street
Sesame Street
Sesame Street has undergone significant changes in its history. According to writer Michael Davis, by the mid-1970s the show had become "an American institution". The cast and crew expanded during this time, including the hiring of women in the crew and additional minorities in the cast. The...
, and a stepmother to Peterson's five children. In his autobiography he recalls his business and private life in which he blames himself for the failure of two of his three marriages but is now proud of having at last grown close to his children and grandchildren
Education
Peterson received an undergraduate degree from Northwestern UniversityNorthwestern University
Northwestern University is a private research university in Evanston and Chicago, Illinois, USA. Northwestern has eleven undergraduate, graduate, and professional schools offering 124 undergraduate degrees and 145 graduate and professional degrees....
, graduating in 1947, summa cum laude. He joined Market Facts, a Chicago-based market research firm, in 1948. In 1951, he received an M.B.A.
Master of Business Administration
The Master of Business Administration is a :master's degree in business administration, which attracts people from a wide range of academic disciplines. The MBA designation originated in the United States, emerging from the late 19th century as the country industrialized and companies sought out...
degree from the University of Chicago Booth School of Business, before returning to Market Facts as an executive vice president.
Career
Peterson joined advertising agency McCann EricksonMcCann Erickson
McCann Erickson is a global advertising agency network, with offices in more than 130 countries. McCann is a subsidiary of the Interpublic Group of Companies, one of the four large holding companies in the advertising industry....
in 1953, again in Chicago, where he served as a director. He joined movie-equipment maker Bell and Howell Corporation in 1958 as Executive Vice President. He later succeeded Charles H. Percy
Charles H. Percy
Charles Harting "Chuck" Percy was president of the Bell & Howell Corporation from 1949 to 1964. He was elected United States Senator from Illinois in 1966, re-elected through his term ending in 1985; he concentrated on business and foreign relations...
as Chairman and CEO, positions he held from 1963 to 1971. He has been a director of a number of other corporations.
In 1969, he was invited by philanthropist John D. Rockefeller 3rd
John D. Rockefeller 3rd
John Davison Rockefeller 3rd was a major philanthropist and third-generation member of the prominent Rockefeller family. He was the eldest son of John D. Rockefeller, Jr. and Abby Aldrich Rockefeller, and the grandson of John D. Rockefeller...
, CFR Chairman John J. McCloy
John J. McCloy
John Jay McCloy was a lawyer and banker who served as Assistant Secretary of War during World War II, president of the World Bank and U.S. High Commissioner for Germany...
, and former Treasury Secretary Douglas Dillon
C. Douglas Dillon
Clarence Douglas Dillon was an American diplomat and politician, who served as U.S. Ambassador to France and as the 57th Secretary of the Treasury...
to chair a Commission on Foundations and Private Philanthropy, which became known as the Peterson Commission. Among its recommendations adopted by the government were that foundations be required annually to disburse a minimum proportion of their funds.
In 1971, he was named Assistant to the President for International Economic Affairs by U.S. President
President of the United States
The President of the United States of America is the head of state and head of government of the United States. The president leads the executive branch of the federal government and is the commander-in-chief of the United States Armed Forces....
Richard Nixon
Richard Nixon
Richard Milhous Nixon was the 37th President of the United States, serving from 1969 to 1974. The only president to resign the office, Nixon had previously served as a US representative and senator from California and as the 36th Vice President of the United States from 1953 to 1961 under...
. In 1972, he became the Secretary of Commerce
United States Secretary of Commerce
The United States Secretary of Commerce is the head of the United States Department of Commerce concerned with business and industry; the Department states its mission to be "to foster, promote, and develop the foreign and domestic commerce"...
, a position he held for one year. At that time he also assumed the Chairmanship of President Nixon’s National Commission on Productivity and was appointed U.S. Chairman of the U.S.–Soviet Commercial Commission.
He was Chairman and CEO of Lehman Brothers
Lehman Brothers
Lehman Brothers Holdings Inc. was a global financial services firm. Before declaring bankruptcy in 2008, Lehman was the fourth largest investment bank in the USA , doing business in investment banking, equity and fixed-income sales and trading Lehman Brothers Holdings Inc. (former NYSE ticker...
(1973–1977) and Lehman Brothers, Kuhn, Loeb Inc. (1977–1984).
In 1985, he co-founded with Stephen A. Schwarzman
Stephen A. Schwarzman
Stephen Allen Schwarzman is an American businessman and investor and the chairman and co-founder of the Blackstone Group, the private-equity and financial advisory firm.-Early life and education:...
the prominent private equity and investment management firm, the Blackstone Group
Blackstone Group
The Blackstone Group L.P. is an American-based alternative asset management and financial services company that specializes in private equity, real estate, and credit and marketable alternative investment strategies, as well as financial advisory services, such as mergers and acquisitions ,...
, and was for many years its chairman. It was the fortune he made at Blackstone, including the $1.9 billion he received when it went public in 2007, that funded many of his charitable and political causes.
Concord Coalition
The Concord Coalition is a political advocacy group in the United States, formed in 1992. A bipartisan organization, it was founded by former U.S. Senator Warren Rudman, former Secretary of Commerce Peter George Peterson, and the late U.S. Senator Paul Tsongas. The Concord Coalition's advocacy...
, a bipartisan citizens' group that advocates reduction of the federal budget deficit. Following record deficits under President George W. Bush
George W. Bush
George Walker Bush is an American politician who served as the 43rd President of the United States, from 2001 to 2009. Before that, he was the 46th Governor of Texas, having served from 1995 to 2000....
, Peterson commented in 2004: "I remain a Republican
Republican Party (United States)
The Republican Party is one of the two major contemporary political parties in the United States, along with the Democratic Party. Founded by anti-slavery expansion activists in 1854, it is often called the GOP . The party's platform generally reflects American conservatism in the U.S...
, but the Republicans have become a far more theological, faith-directed party, not troubling with evidence."
In February 1994, President Bill Clinton
Bill Clinton
William Jefferson "Bill" Clinton is an American politician who served as the 42nd President of the United States from 1993 to 2001. Inaugurated at age 46, he was the third-youngest president. He took office at the end of the Cold War, and was the first president of the baby boomer generation...
named Peterson as a member of the Bi-Partisan Commission on Entitlement and Tax Reform co-chaired by Senators Bob Kerrey
Bob Kerrey
Joseph Robert "Bob" Kerrey was the 35th Governor of Nebraska from 1983 to 1987 and a U.S. Senator from Nebraska . Having served in the Vietnam War, earning the Medal of Honor for his actions, he moved into politics. He was an unsuccessful candidate for the Democratic presidential nomination in 1992...
and John Danforth
John Danforth
John Claggett "Jack" Danforth is a former United States Ambassador to the United Nations and former Republican United States Senator from Missouri. He is an ordained Episcopal priest. Danforth is married to Sally D. Danforth and has five adult children.-Education and early career:Danforth was born...
. He also serves as Co-Chair of the Conference Board Commission on Public Trust and Private Enterprises (Co-Chaired by John Snow).
He succeeded David Rockefeller
David Rockefeller
David Rockefeller, Sr. is the current patriarch of the Rockefeller family. He is the youngest and only surviving child of John D. Rockefeller, Jr. and Abby Aldrich Rockefeller, and the only surviving grandchild of oil tycoon John D. Rockefeller, founder of Standard Oil. His five siblings were...
as Chairman of the Council on Foreign Relations
Council on Foreign Relations
The Council on Foreign Relations is an American nonprofit nonpartisan membership organization, publisher, and think tank specializing in U.S. foreign policy and international affairs...
in 1985 and served until his retirement in 2007. He currently serves as Trustee of the Rockefeller family
Rockefeller family
The Rockefeller family , the Cleveland family of John D. Rockefeller and his brother William Rockefeller , is an American industrial, banking, and political family of German origin that made one of the world's largest private fortunes in the oil business during the late 19th and early 20th...
's Japan Society and of the Museum of Modern Art
Museum of Modern Art
The Museum of Modern Art is an art museum in Midtown Manhattan in New York City, on 53rd Street, between Fifth and Sixth Avenues. It has been important in developing and collecting modernist art, and is often identified as the most influential museum of modern art in the world...
, and was previously on the board of Rockefeller Center Properties, Inc..
He is founding Chairman of the Peterson Institute for International Economics (formerly the "Institute for International Economics", renamed in his honor in 2006), and a Trustee of the Committee for Economic Development
Committee for Economic Development
The Committee for Economic Development is an independent, non-profit, non-partisan think tank based in Washington, DC. Its membership consists of some 200 senior corporate executives and university leaders...
. He was also Chairman of the Federal Reserve Bank of New York
Federal Reserve Bank of New York
The Federal Reserve Bank of New York is one of the 12 Federal Reserve Banks of the United States. It is located at 33 Liberty Street, New York, NY. It is responsible for the Second District of the Federal Reserve System, which encompasses New York state, the 12 northern counties of New Jersey,...
between 2000 and 2004.
In 2008, he founded the Peter G. Peterson Foundation (PGPF), an organization devoted to spreading public awareness on fiscal sustainability issues related to the national debt, federal deficits, entitlement programs, and tax policies. PGPF distributed the 2008 documentary film I.O.U.S.A.
I.O.U.S.A.
I.O.U.S.A. is a 2008 American documentary film directed by Patrick Creadon. The film focuses on the shape and impact of the United States national debt. The film features Robert Bixby, director of the Concord Coalition, and David Walker, the former U.S...
, and did outreach to the 2008 presidential candidates.
Peterson funds The Fiscal Times
The Fiscal Times
The Fiscal Times is an English-language digital news, news analysis and opinion publication based in New York, NY and Washington, D.C., founded and initially funded in 2010 by Peter G. Peterson, founder of the Peter G. Peterson Foundation...
, a news website that reports on current economic issues, including the federal budget, the growing deficit, entitlements, health care, personal savings, taxation, and the global economy. Fiscal Times contributors and editors include several veteran economics reporters for the New York Times and the Washington Post.
On August 4, 2010, it was announced that he had signed "The Giving Pledge
The Giving Pledge
The Giving Pledge is a campaign to encourage the wealthiest people in the United States to make a commitment to give most of their money to philanthropic causes...
." He was one of 40 billionaires, led by Bill Gates
Bill Gates
William Henry "Bill" Gates III is an American business magnate, investor, philanthropist, and author. Gates is the former CEO and current chairman of Microsoft, the software company he founded with Paul Allen...
and Warren Buffett
Warren Buffett
Warren Edward Buffett is an American business magnate, investor, and philanthropist. He is widely regarded as one of the most successful investors in the world. Often introduced as "legendary investor, Warren Buffett", he is the primary shareholder, chairman and CEO of Berkshire Hathaway. He is...
, who agreed to give half their wealth to charity.
Honors
In 2006 Peterson was honored with the Woodrow Wilson Award for Corporate Citizenship by the Woodrow Wilson International Center for ScholarsWoodrow Wilson International Center for Scholars
The Woodrow Wilson International Center for Scholars , located in Washington, D.C., is a United States Presidential Memorial that was established as part of the Smithsonian Institution by an act of Congress in 1968...
of the Smithsonian Institution
Smithsonian Institution
The Smithsonian Institution is an educational and research institute and associated museum complex, administered and funded by the government of the United States and by funds from its endowment, contributions, and profits from its retail operations, concessions, licensing activities, and magazines...
. The same year he was elected as a fellow of the American Academy of Arts and Sciences
American Academy of Arts and Sciences
The American Academy of Arts and Sciences is an independent policy research center that conducts multidisciplinary studies of complex and emerging problems. The Academy’s elected members are leaders in the academic disciplines, the arts, business, and public affairs.James Bowdoin, John Adams, and...
.
Writings
- "Why I’m Giving Away $1 Billion", NewsweekNewsweekNewsweek is an American weekly news magazine published in New York City. It is distributed throughout the United States and internationally. It is the second-largest news weekly magazine in the U.S., having trailed Time in circulation and advertising revenue for most of its existence...
, May 30, 2009 - "You Can't Take It with You", Newsweek, April 7, 2008
- "Old habits must change", The BankerThe BankerThe Banker is an English-language monthly international financial affairs publication owned by The Financial Times Ltd. and edited in London...
, 3 January 2005 - Articles published in "Foreign Affairs" 1994–2004.
Books
- Facing Up: How to Rescue the Economy from Crushing Debt and Restore the American Dream. Simon & Schuster; First Edition edition (November 8, 1993). ISBN 978-0-671-79642-6
- Will America Grow up Before it Grows Old: How the Coming Social Security Crisis Threatens You, Your Family and Your Country. Random House; 1 edition (October 8, 1996). ISBN 978-0-679-45256-0
- Gray Dawn: How the Coming Age Wave Will Transform America—and the World. Three Rivers Press (September 26, 2000). ISBN 978-0-8129-9069-0
- On Borrowed Time: How the Growth in Entitlement Spending Threatens America's Future with Neil Howe. Transaction Publishers (May 1, 2004). ISBN 978-0-7658-0575-1
- Running on Empty: How the Democratic and Republican Parties Are Bankrupting Our Future and What Americans Can Do About It. Picador (June 16, 2005). ISBN 978-0-312-42462-6
- The Education of an American Dreamer: How a Son of Greek Immigrants Learned His Way from a Nebraska Diner to Washington, Wall Street, and Beyond. Twelve (June 8, 2009). ISBN 978-0-446-55603-3
See also
- Private equityPrivate equityPrivate equity, in finance, is an asset class consisting of equity securities in operating companies that are not publicly traded on a stock exchange....
- Blackstone GroupBlackstone GroupThe Blackstone Group L.P. is an American-based alternative asset management and financial services company that specializes in private equity, real estate, and credit and marketable alternative investment strategies, as well as financial advisory services, such as mergers and acquisitions ,...
- David RockefellerDavid RockefellerDavid Rockefeller, Sr. is the current patriarch of the Rockefeller family. He is the youngest and only surviving child of John D. Rockefeller, Jr. and Abby Aldrich Rockefeller, and the only surviving grandchild of oil tycoon John D. Rockefeller, founder of Standard Oil. His five siblings were...
- Council on Foreign RelationsCouncil on Foreign RelationsThe Council on Foreign Relations is an American nonprofit nonpartisan membership organization, publisher, and think tank specializing in U.S. foreign policy and international affairs...
- Peterson Institute
- University of Chicago Graduate School of Business
- The Peter G. Peterson FoundationThe Peter G. Peterson FoundationThe Peter G. Peterson Foundation is an American foundation established in 2008 by Peter G. Peterson, a co-founder of the Blackstone Group – an American-based financial-services company...
External links
- Biography from Blackstone Group
- The Concord Coalition biography
- Brandt 21 Forum biography
- "A Crusader in Clover: Pete Peterson, Enemy of Social Security, Counts Journalists as Friends", 1997 profile by Fairness and Accuracy in Reporting.
- "Conversation with a Conservative: Peter G. Peterson", Mother JonesMother Jones (magazine)Mother Jones is an American independent news organization, featuring investigative and breaking news reporting on politics, the environment, human rights, and culture. Mother Jones has been nominated for 23 National Magazine Awards and has won six times, including for General Excellence in 2001,...
magazine, October, 2004 - Transcript: Bill Moyers Interviews Peter Peterson
- "The Tri-Deficits: Why They Matter and What to Do About Them"
- Audio-Interview with Peter Peterson by German Journalist Wolfgang Blau, a.k.a. Harrer, Deutsche Welle, November 2004 (English interview with short German intro)
- Pete Peterson on Charlie RoseCharlie Rose (talk show)Charlie Rose is an American television interview show, with Charlie Rose as executive producer, executive editor, and host. The show is syndicated...
(PBS), 1994–2009. - A Conversation with Peter Peterson at charlierose.com
- I.O.U.S.A.: The Movie a Peter G. Peterson Foundation -supported documentary