Koch, Inc.

Koch, Inc.
Company typePrivate
IndustryConglomerate
FoundedFebruary 8, 1940; 84 years ago (1940-02-08)
FounderFred C. Koch
Headquarters
Wichita, Kansas
,
U.S.
Area served
Worldwide
Key people
Charles Koch (chairman & co-CEO)
Dave Robertson (co-CEO & vice chairman)
Jim Hannan (president & COO)
[1][2][3][4]
ProductsAsphalt, chemicals, raw materials trading, energy, fibers, fertilizers, finance, minerals, natural gas, plastics, petroleum, pulp and paper, ranching[5]
RevenueUS$125 billion (2021)[6]
OwnerCharles Koch (42%)
Heirs of David Koch (42%)
Trusts for the benefit of Elaine Tettemer Marshall, Preston Marshall, and E. Pierce Marshall Jr. (16%)[7]
Number of employees
120,000 (2022)[8]
SubsidiariesGeorgia-Pacific, Guardian Industries, Flint Hills Resources, Invista, Molex, Infor, Matador Cattle Company
Websitewww.kochind.com
Footnotes / references
[5][9]

Koch, Inc. (/koʊk/ KOHK) is an American multinational conglomerate corporation based in Wichita, Kansas, and is the second-largest privately held company in the United States, after Cargill.[6] Its subsidiaries are involved in the manufacturing, refining, and distribution of petroleum, chemicals, energy, fiber, intermediates and polymers, minerals, fertilizer, pulp and paper, chemical technology equipment, cloud computing, finance, raw materials trading, and investments. Koch owns Flint Hills Resources, Georgia-Pacific, Guardian Industries, Infor, Invista, KBX, Koch Ag & Energy Solutions, Koch Engineered Solutions, Koch Investments Group, Koch Minerals & Trading, and Molex. The firm employs 122,000 people in 60 countries, with about half of its business in the United States.[6][5][9]

The company was founded by its namesake, Fred C. Koch, in 1940 after he developed an innovative crude oil refining process.[10] Fred C. Koch died in 1967 and his majority interest in the company was split amongst his four sons. In June 1983, after a bitter legal and boardroom battle over the amount of dividends paid by the company, the stakes of Frederick R. Koch and William "Bill" Koch were bought out for $1.1 billion and Charles Koch and David Koch became majority owners in the company.[11] Charles owns 42% of the company; trusts for the benefit of Elaine Tettemer Marshall (the daughter in-law of J. Howard Marshall) and Elaine's children, Preston Marshall and E. Pierce Marshall Jr., own 16% of the company.[7][12] David Koch died on August 23, 2019, and his heirs own the remaining 42% balance of the corporation.

Charles Koch has stated that the company would go public "over my dead body" and that the company has used its freedom from the pressures of public markets to make long-term investments and concentrate on growth.[13][14]

  1. ^ Cite error: The named reference cbsleadership was invoked but never defined (see the help page).
  2. ^ Cite error: The named reference ksnleadership was invoked but never defined (see the help page).
  3. ^ Cite error: The named reference yahooleadership was invoked but never defined (see the help page).
  4. ^ Cite error: The named reference kcprleadership was invoked but never defined (see the help page).
  5. ^ a b c "Koch Industries: What We Do". Koch Industries. Archived from the original on March 14, 2018.
  6. ^ a b c "America's Largest Private Companies". Forbes.
  7. ^ a b "Elaine Marshall". Forbes. Archived from the original on October 4, 2017.
  8. ^ "What we're about". Koch Industries.
  9. ^ a b "Koch Industries: Companies Overview". Koch Industries. Archived from the original on July 27, 2017.
  10. ^ Cite error: The named reference SEC_2005 was invoked but never defined (see the help page).
  11. ^ Wayne, Leslie (April 28, 1998). "Brother Versus Brother; Koch Family's Long Legal Feud Is Headed for a Jury". The New York Times. Archived from the original on March 26, 2018.
  12. ^ "The Billionaire's Party". New York. August 2010. Archived from the original on February 24, 2018.
  13. ^ "Dissecting the Kochtopus". The Economist. June 7, 2014. Archived from the original on February 24, 2018.
  14. ^ Guerrera, Francesco (May 25, 2007). "Lunch with the FT: Charles Koch". Financial Times. Archived from the original on February 24, 2018.