Penny Sue Pritzker (born May 2, 1959) is an American business executive, entrepreneur, civic leader, and philanthropist who is currently serving as the 38th United States Secretary of Commerce. She is the founder of PSP Capital Partners and Pritzker Realty Group.[1] She is also co-founder of Artemis Real Estate Partners.[2] She is a member of the Pritzker family.
In 2012, Chicago magazine named her one of the 100 most powerful Chicagoans.[3] In 2011, the Forbes 400 list of America's wealthiest showed her as the 263rd richest person in the U.S., estimated net worth of US $1.8511 billion,[4] and the world's 651st richest person. In 2009, Forbes named Pritzker as one of the 100 most powerful women in the world.
Pritzker was born in Chicago to a Jewish family[5] in 1959, the daughter of Sue (née Sandel)[6] and Donald N. Pritzker (1932–1972), one of the co-founders of Hyatt hotels, which grew dramatically under his leadership as President from 1959 until his death in 1972. Pritzker is a member of the Pritzker family of Chicago, an influential business family. She attended Castilleja School until 1977.[7][8] She earned an A.B. in Economics from Harvard College in 1981 and both a J.D. and an M.B.A. from Stanford University in 1984.[9] She has two brothers: Anthony Pritzker and Jay Robert Pritzker.
In 1989, Ms. Pritzker's late uncle, Jay Pritzker, purchased a 50% stake in Hinsdale, Illinois-based Superior Bank of Chicago from the Federal Deposit Insurance Corporation, which had taken over the bank when it failed.[13] Penny Pritzker was Superior's chairperson from 1991–1994. In 1993, the bank "embarked on a business strategy of significant growth into subprime home mortgages," according to a report by the United States Treasury Department.[13] In 2000, it became clear the bank was faltering. In the months leading up to 2001, the Pritzkers tried to work out a recapitalization plan.[13] In July 2001, FDIC seized the bank after the recapitalization could not be resolved.[14][15][16] Subsequently, the Pritzker family reached an agreement with regulators to pay $460 million.[13][17][18][19]
According to the FDIC, by 2011, the uninsured depositors of Superior had each received 81% of their uninsured monies, in addition to the $100,000 each previously received of their insured amount.[20] Industry experts have criticized the Pritzkers in regard to Superior.[21] Consumer advocates and government investigators asserted Superior "engaged in unsound financial activities and predatory lending practices."[13] Responding to the Wall Street Journal, Pritzker noted she had no ownership in the bank, either direct or indirect, and that the bank's reasons for failure "were complex, including changes in accounting practices, auditing failures, reversals in regulatory positions and general economic conditions."[13] She said the bank complied with "fair lending laws" and ethical business practices.[13] A 2001 Business Week article described the bank's other owner, Alvin Dworman, as the more dominant partner in its operation as a result of agreements made by Jay Pritzker.[14] Quoted in the New York Times, a Pritzker family friend observed Pritzker was trapped in a deal of her uncle's making: "Penny got sucked into this…this was really the legacy of Jay"[15] Jay Pritzker died in 1999.[22]
Pritzker was a member of the President's Council on Jobs and Competitiveness. She also served on the President's Economic Recovery Advisory Board.
She was national co-chair of Obama for America 2012 and was the national finance chair of President Obama's presidential campaign in 2008.[23] A campaign under her direction reached out to small donors. On November 20, 2008, CNN reported that Pritzker was Barack Obama's top choice for Commerce Secretary, quoting "multiple" unnamed sources.[24] However, it was later reported that Pritzker took herself out of the running.[25][26][27] According to the Chicago Tribune, she withdrew her name from consideration "due to obligations to her family, for whom she was still overseeing billions in assets, and the financial crisis, which was putting some of those assets at risk."
Pritzker has contributed to numerous campaigns. Among the recipients have been the presidential campaigns and exploratory committees, including those of George W. Bush, Joe Lieberman, Bill Bradley, Rudy Giuliani, John McCain (2000), Al Gore, John Kerry and Hillary Clinton.[28] On July 2, 2008, Ms. Pritzker and her husband hosted a $28,500 per plate fundraiser for Mr. Obama's campaign in Chicago with Warren Buffett and his wife, and Obama advisor Valerie Jarrett.[29]
She was also on the Board of Directors of the Council on Foreign Relations,[30] a nonpartisan think tank focused on world affairs and U.S. foreign policy.
Pritzker was nominated as United States Secretary of Commerce by PresidentBarack Obama on May 2, 2013.[31][32] After an uneventful confirmation hearing on May 23, 2013,[33] Pritzker was confirmed by the full Senate on June 25, by a vote of 97 to 1.[34] Pritzker was sworn in as Secretary on June 26, 2013.
Pritzker is involved in public education. She was a member of the Chicago Board of Education and is past chair of the Chicago Public Education Fund.[35]
Pritzker was Advisory Board Chair of Skills for America's Future (SAF), a policy initiative of the Aspen Institute.[36] Pritzker is a former chair of the Museum of Contemporary Art, Chicago.[37]
On March 26, 2014, Elle honored Pritzker, with others, at the Italian Embassy in the United States during its annual “Women in Washington Power List.”[38]