Nearly 50 years after founding Patagonia, Yvon Chouinard and his family (along with his children Claire and Fletcher) have decided to give away their company to ensure that all proceeds are used to fight climate change. The Chouinard family has transferred all of their property to two new entities: the Patagonia Purpose Trust and the Holdfast Collective. The new ownership concept is designed to ensure that any profits not reinvested in the company are distributed as dividends to protect the planet.
According to a company release, Patagonia will remain a B Corp and will continue to donate one percent of sales each year to grassroots activists through the 1% for the Planet project once founded by Chouinard. There are also no changes at the top of the company. Ryan Gellert will continue as CEO, and the Chouinard family will remain on Patagonia’s board of directors, along with Kris Tompkins, Dan Emmett, Dr. Ayana Elizabeth Johnson, Charles Conn (chairman of the board) and Gellert. The Chouinard family will also lead the company’s major shareholder, the Patagonia Purpose Trust, and will elect and oversee Patagonia’s board of directors. They will also lead the philanthropic work of the Holdfast Collective. Together, Patagonia’s board and the Patagonia Purpose Trust intend to work for the company’s long-term success while ensuring it remains true to the purpose and values defined by its founder.
More details in our sister publication The Outdoor Industry Compass.
