The founder of popular outdoor apparel company Patagonia has announced that he, along with his partner and children, will donate the entire company towards the fight for climate change.
In describing his decision, Yvon Chouinard says that more needs to be done to fight “the crisis while keeping the company’s values intact.”
“While we’re doing our best to address the environmental crisis, it’s not enough,” said Chouinard.
“One option was to sell Patagonia and donate all the money. But we couldn’t be sure a new owner would maintain our values or keep our team of people around the world employed.”
Patagonia, which is valued at around $3 billion, will now be owned by the Patagonia Purpose Trust and a group of climate-focused nonprofit organizations called the Holdfast Collective, which will own 98% of non-voting stock.
Through the shift in ownership, all earnings that are “not reinvested back into Patagonia will be distributed as dividends to protect the planet.”
The company projects that it will donate around $100 million annually if the business remains healthy. Prior to selling ownership, Patagonia was known for its participation in grassroots activism, having donated 1% of its sales to various causes.
“Despite its immensity, the Earth’s resources are not infinite, and it’s clear we’ve exceeded its limits,” said Chouinard. “But it’s also resilient. We can save our planet if we commit to it.”