Saul Steinberg (businessman) facts for kids
Quick facts for kids
Saul Steinberg
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| Born |
Saul Phillip Steinberg
August 13, 1939 New York City, U.S.
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| Died | December 7, 2012 (aged 73) New York City, U.S.
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| Alma mater | Wharton School of the University of Pennsylvania |
| Occupation | Founder of Leasco CEO of Reliance Insurance Company |
| Spouse(s) |
Barbara Herzog
(m. 1957; div. 1974)Laura Sconocchia Fisher
(m. 1974, divorced)Gayfryd McNabb MacLean Johnson
(m. 1983) |
| Children | 6 |
| Relatives | Maria Bartiromo (daughter in-law) Liz Lange (niece) |
Saul Phillip Steinberg (August 13, 1939 – December 7, 2012) was an American businessman. He was known for his smart financial moves. He became a millionaire before he turned 30. He was a billionaire before he turned 40. He started a computer leasing company called Leasco. He used this company to take over a much bigger company, Reliance Insurance Company, in 1968. He also tried to take over Chemical Bank in 1969 and Walt Disney Productions in 1984, but these attempts were not successful.
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Early Life and Education
Saul Steinberg was born on August 13, 1939. He grew up in Brooklyn, New York. His parents were Julius and Anne Cohen Steinberg. He had one brother and two sisters. Saul went to the Wharton School of the University of Pennsylvania in Philadelphia. He earned his degree from Wharton.
Saul Steinberg's Career
Starting Leasco
In 1961, when Saul was 22, he started his first company. It was called Leasco Data Processing Equipment Corporation. This company leased out IBM computers. Saul had learned that IBM charged high prices to rent its computers. He realized he could offer lower prices. He could still get banks to lend him money to buy the computers. He used the signed leases as a promise to pay back the loans. Leasco grew very quickly. By 1965, it became a public company. This meant its shares could be bought and sold by anyone.
Taking Over Reliance Insurance
Leasco soon tried to buy Reliance Insurance Company. Reliance was an old company, started in 1817. It was ten times bigger than Leasco. Insurance companies have a lot of money, which Leasco needed. Saul offered Reliance shareholders a mix of company shares. The people running Reliance didn't want to be taken over. But eventually, Leasco succeeded in 1968. Saul Steinberg was only 29 years old when he took control of Reliance.
Other Business Ventures
In 1969, Saul tried to take over Chemical Bank. At that time, it was one of the biggest banks in the country. However, his attempt to buy the bank did not work out.
Saul also successfully took over Pergamon Press. This was a company owned by British businessman Robert Maxwell. Saul was able to get other investors to remove Maxwell from his position. Later, Maxwell bought Pergamon back in 1974.
Saul became the CEO of Reliance. He and his brother managed the company for the next thirty years. Reliance grew by taking on a lot of debt. It also offered insurance policies at very low prices. The company paid out money to its shareholders. This included Saul's family, who owned many shares. Saul also received a lot of money as CEO.
At Reliance, Saul hired a skilled dealmaker named Henry Silverman. Henry later became the CEO of other big companies. In 1986, Saul and Henry helped create Telemundo. This is a large Spanish-language media company.
Later Challenges
In 1995, Saul Steinberg had a serious stroke. This meant he had to step back from managing Reliance. The company faced financial problems. It had too much debt and had offered insurance too cheaply. Management tried to sell the company. Reliance Group tried to sell to Leucadia National in 2000. But this deal fell apart. Reliance then filed for bankruptcy in 2001. This led to a long process of selling off its assets.
Saul had to sell his large art collection. He also sold his huge apartment in Manhattan. The apartment was bought by Stephen A. Schwarzman in 2000.
Support for Education
Saul Steinberg was a big supporter of the Wharton School. He was the chairman of Wharton's Board of Overseers for over 15 years. He stayed on the board until he passed away. His name is very visible at Wharton. For example, there is Steinberg-Dietrich Hall. This building has classrooms and computer labs. The Steinberg Conference Center is also there. It is used for executive education. Saul also helped fund a special teaching position called the Saul P. Steinberg Professor of Management.
Charity Work
In 2000, Saul Steinberg gave a famous painting to the Israel Museum in Jerusalem. The painting was called The Death of Adonis (1614) by Peter Paul Rubens.
Family Life
Saul Steinberg met his first wife, Barbara Herzog, in high school. They had three children. They later divorced in 1974.
- Their son, Jonathan, is the CEO of an investment company called WisdomTree. He married CNBC host Maria Bartiromo in 1999.
- Their daughter, Laura, married Loews Hotels executive Jonathan Tisch. They later divorced. In 2001, she married Stafford Broumand.
- Their son, Nicholas, owns comic-book stores in Philadelphia.
Saul later married Laura Bordoni Sconocchia Fisher in 1974. They had a son named Julian. They later divorced.
In 1983, Saul married Gayfryd McNabb MacLean Johnson. She was a businesswoman from Canada. Gayfryd became Jewish before they married. Saul adopted Gayfryd's son, Rayne. They also had a daughter together named Holden. Gayfryd is a trustee for the New York Public Library.
Saul Steinberg passed away on December 7, 2012. He was 73 years old.
