Profile feature on the media magnate and billionaire mayor of New York City.

1. 20
Profile
Portfolio
Cover Story
The
BILLIONAIRE
MAYOR
Michael Bloomberg has spent over $150 million to get a job
that pays him a yearly salary of $1. But as he gave away $235
million to charity last year, making him the leading individual
donor in the US, rest assured he can afford it. Nick Rice reports
on the media magnate mayor of New York City, who loves his
job so much that he wants a third term.
Portfolio

2. 21
March 2009

3. 22
Profile
A
s the mayor of New York president took place four decades on from
City, Michael Bloomberg evokes the murder of Dr. Martin Luther King.
a few clichés. But in the interest January 20, 2009 was a monumental
of avoiding all but one, lets just day that represented a huge step towards
say he has made it there – and Dr. King’s dream of a non-violent
perhaps he could have made it anywhere realisation of racial equality.
– but the point is that Bloomberg is not The shifting winds of time cannot
interested in anywhere. He quite clearly be taken for granted though and to
loves the Big Apple. And that is where he quote Dr. King, “Change does not roll
definitely wishes to remain as he recently in on the wheels of inevitability, but
had a controversial bill passed by the City comes through continuous struggle.
Council that will allow him to run for an And so we must straighten our
unprecedented third term as mayor. backs and work for our freedom.”
Bloomberg is a self-made multi-
billionaire media mogul who took on
the role of mayor less than four months
after the World Trade Center attacks of
September 9, 2001. He is not only the
richest resident of the ‘capital city of the
world,’ but also the hands-on man who
toils for the good of all New Yorkers and
accepts only a dollar a year for a salary.
He’s not a caped crusader, more a subway
rider with acute business acumen and a
billion dollar bank account.
His persistent personal ambition and
commitment to New York continues to
usher in new challenges and prospects. In
these dramatic historical times one word
has risen to the surface over and over again
– change. Change was the integral message
upholding Barack Obama’s Presidential
“He is not only the richest resident of the ‘capital
city of the world,’ but also the hands-on man
who toils for the good of all New Yorkers and
accepts only a dollar a year for a salary.”
campaign and his election is evidence the Hard work is something that Michael
USA is hungry for it. Bloomberg is familiar with and few would
The voters weren’t alone. The rest of the contest his dedication to giving New
world watched with bated breath, hoping Yorkers the opportunity to lead the best life
that the US administration would do possible. He has improved many aspects of
exactly that – change. the great city and aims to forge many more
And it happened. The world tuned in changes, thereby leading the rest of the
as the first black president in American nation by example.
history was inaugurated. Obama’s entry Equality for all has always been high on
into the annals of history as the 44th the agenda since Bloomberg took office
Portfolio

4. 23
and he is faced with no small task there.
Forty per cent of New York’s population
was born outside the United States. Such
diversity could potentially be a breeding
ground for prejudice, intolerance and high
crime rates. The statistics, however, show
quite the opposite to be true. According to
the FBI, New York is the safest big city in
the country. Crime is at a 40-year low and
almost 30 per cent lower than it was when
Bloomberg became mayor.
Bloomberg recognises the important
contribution made by immigrants to the
city and takes a clear position on issues
of homeland and domestic security. He
has criticised social conservatives for the
New York Mayor Michael Bloomberg at the Memorial Day Parade in Douglaston to
unrealistic aim of deporting some commemorate US service people.
March 2009

5. 24
12 million people instead of granting legal associates with bureaucracy and repay, Bloomberg took a job with Salomon
and permanent status. government institutions, but Bloomberg Brothers. He started in the trenches
In support of immigration reform to delivered the service successfully. Three counting bonds and stock certificates
secure the rights of ‘law-abiding’ illegal simple numbers created an immensely in the basement vaults. He quickly rose
immigrants he has quoted the Declaration valuable method of making millions of through the ranks to salesman, next he
of Independence, saying: “As long as New Yorkers feel closer to their city and ran his own trading desk, before finally
America remains a nation dedicated to the made assimilation easier. assuming control of the trading firm’s
proposition that ‘all men are created equal, It is a remarkable service but it wasn’t information systems.
endowed by their Creator with certain exactly new ground for Bloomberg. He With a lifelong love of technology it was
unalienable Rights, that among these are is certainly no stranger to providing only natural for Bloomberg to question
Life, Liberty and the pursuit of Happiness,’ information on demand to millions of how investors and traders got access to
people from near and far will continue to people. In fact that is exactly how he essential market data. This was an era
seek entry into our country.” built his eponymous media empire – of pencils and paper, calculators and
Bloomberg L.P. ticker tape machines. No computers or
One bold and unifying move Bloomberg learned the value of hard interlinked networks, and certainly no
Bloomberg took early on in his first term work from a young age. Born in 1942 in world wide web. If Bloomberg needed
as mayor was the implementation of Boston to middle-class parents, he was to check the price of a commodity
the 311 number. This service allows any brought up in Medford, Massachusetts. from three weeks ago he had to find
citizen to call up a live operator and ask He studied electrical engineering at John an old copy of the Wall Street Journal.
“I don’t owe
any unions,
I don’t owe any
newspapers,
I didn’t ask
anybody for any
money, and I’m
a question or report a problem regarding Hopkins University and paid his not a political
their neighbourhood, city, or city own education fees by working as
government. That’s eight million people a car park attendant and taking
guy, I don’t even
in the ‘city that never sleeps’ who are able out loans. From college he went care about the
to call for information that is available in on to Harvard Business School
no less than 170 languages. And let’s be and gained a Masters in Business parties.”
honest, New Yorkers are not shy about Administration. The next stop
making a complaint. was Wall Street. Arriving in New
Innovative and efficient customer York in 1966 with little money
service is not something one normally and a string of student loans to
Portfolio

6. 25
Profile
Trades were recorded in oversized was renamed Bloomberg L.P. and by of Bloomberg’s beliefs run contrary to the
ledgers and even by the standards of 1987 it had installed 5,000 Bloomberg Republican platform – he is staunchly
the day, Bloomberg felt the system to terminals. The number continued to grow, pro-choice, in favour of stricter gun laws
be archaic and in need of overhaul. doubling and trebling over the years. To and regards the Republican position on
His chance came in 1981 when, after date Bloomberg L.P. has sold more than stem cell research as ‘insanity’. However he
15 years at Salomon, the company 250,000 subscriptions to its information has often stated that he is not a politically
retrenched him during a merger with service and employs more than 10,000 driven person.
Phillip Brothers. He received a $10 people in more than 135 offices He funded his campaign for the mayor’s
million severance package and soon after worldwide. In the early 90s Bloomberg position entirely with his own money,
his dismissal he laid the foundation of diversified and launched radio, TV, spending somewhere in the region of
his future success. In a one-room office publishing and Internet operations that $75 million and remaining beholden to
in New York with a view of an alleyway, collectively reach hundreds of millions no one. Commenting on this he said, “I
a coffee machine, and three employees, of people around the globe. don’t owe any unions, I don’t owe any
he founded Innovative Market Systems. With the huge success of his company newspapers, I didn’t ask anybody for any
With no technology available to
execute the idea of providing real time,
consistent market data to multiple
recipients simultaneously, they created it
themselves. They devised a machine that
(L-R) New York Giants Michael Strahan, Mayor Michael bloomberg and Giants
Quarterback, Eli Manning, during the New York Giants Victory Parade.
was essentially a financial information Bloomberg began to concentrate on civic money, and I’m not a political guy, I don’t
computer. It revolutionised how Wall and philanthropic endeavours, giving even care about the parties.”
Street did business by collecting, storing generously both his time and funds to Clearly, Bloomberg is more a man of
and analysing past and present securities numerous charitable, educational and facts and pragmatism rather than politics
information and delivering it to multiple cultural institutions. and ideology.
users on demand. Initially named the Bloomberg entered into public life Bloomberg’s aim was to succeed
MarketMaster it came to be known as officially when he decided to run for the lauded Rudy Giuliani who’s two
the Bloomberg terminal. In 1982 Merrill mayor in 2001. Despite being a lifelong consecutive terms was at the mayoral limit.
Lynch became the first client by ordering Democrat, he decided to run for mayor as Voting in the primary election to see who
22 MarketMasters. In 1986 the company a Republican. This was surprising as many would win the Republican nomination
March 2009

7. 26
Profile
to run for Mayor began on the morning instigated a boom of building development own money on the campaign but it was a
of September 11, 2001. The tragedy of and revitalised many public spaces. The landslide victory that saw the most diverse
that fateful day postponed the voting, crime rate dropped by 20 per cent and coalition of support in New York’s history.
but eventually Bloomberg beat former he supported small businesses that in It was also the first time that two successive
congressman Herman Badillo and became turn created more jobs. People expected a Republican Mayors had been elected in the
the Republican nominee. crippled economy but Bloomberg turned predominantly Democratic city.
the budget from billions in deficit into Bloomberg continued to build on the
A major theme in Bloomberg’s billions in surplus. successes of his first term and added major
subsequent campaign to secure the Such was the level of success and public new initiatives in reducing poverty and
Mayor’s position was that with the city’s approval for his first term that Bloomberg tackling illegal guns, as well as developing
economy plunged into jeopardy following stormed into office for a second term. a sustainable future for New York with
the attacks, New York needed a mayor He still spent around $80 million of his his PlaNYC plan. This constitutes an
with business experience. With a huge
spending advantage and Giuliani’s
endorsement, Bloomberg was inaugurated
as the 108th mayor on January 1, 2002
with Giuliani’s words ringing in his ears –
“Don’t fail our people”.
Bloomberg was thrust into the spotlight
with a less than enviable task at hand. He
was replacing a man who had been at the
helm for eight years and whom the entire
nation upheld as a national hero for the
steady and compassionate leadership in
the aftermath of the attacks. Bloomberg
also faced an economic slump and grim
predictions of a slow and painful recovery.
After a period of cold, intense
scrutiny by politicians, media and New
Yorkers, Bloomberg began to effect
positive change in his beloved city and
capitalised on the defiance and spirit
of unity that defined New York after
9/11. The city dusted itself off and came
back faster and stronger than ever.
Bloomberg focussed his efforts on
several central issues. Beginning with
public health, he implemented ambitious
strategies and banned smoking in
restaurants and bars. With education he
managed what previous mayors had been
unable to do for decades and wrestled
back mayoral control of a failing and
unaccountable Board of Education. Before
long standards in schools and classrooms
across the city improved and graduation
rates began to rise. The education system
has since seen a complete turn around with
results at record levels. Bloomberg also From left: Washington Mayor Anthony Williams, New York City Mayor Michael
concentrated on affordable housing and Bloomberg and New York City Police Commissioner Raymond Kelly.
Portfolio

8. 27
environmental promise to confront the
issue of global warming, plant one million
trees and slash greenhouse gases 30 per
cent by 2030.
Bloomberg posits environmental issues
as being of the utmost importance and
prior to the Presidential election he
criticised the candidates positions as too
weak and unfocused. Addressing a UN
summit on climate change he proclaimed
the issue as equally important, if not
more so, than nuclear proliferation and
terrorism as in the long term it “has the
potential to kill everybody”.
In 2007 Bloomberg declared himself
an independent. Not being affiliated with
either party fuelled speculation that he may
one day run for president. If he formed
his own party he would be able to fund his
own campaign, but he consistently refutes
any designs on the White House. remain a contentious issue but there can
“Time and again, we
be little disagreement that Bloomberg
For now, Bloomberg’s sights are firmly
have faced moments of has the financial clout to face the current
set on that unprecedented third term as truth. And each time, we economic challenges and that he is
New York City’s mayor. Over the past eight have pulled together as dedicated to seeing New York prosper.
years he has done a great job in unifying New Yorkers and come
New Yorkers, but his unwavering desire to Delivering the State of the City
stay in office has acutely divided opinion.
out stronger, together. Address in January this year his conviction
Many citizens bemoan that the decision to An economic recession to triumph in the face of adversity was clear.
overturn the two-term limit wasn’t made has never stopped New “Time and again, we have faced
by a public vote in a referendum, but rather Yorkers from being bold moments of truth. And each time, we
approved by City Council with backing have pulled together as New Yorkers and
and ambitious.”
from the business community. come out stronger, together. An economic
As when he first took office post 9/11, highs. One thing that is not in doubt is that recession has never stopped New Yorkers
Bloomberg cites his business experience Bloomberg is willing to invest over $100 from being bold and ambitious. If it had,
as qualifying him to be the best person million of his own money in the city. This we wouldn’t have built Central Park, or the
for confronting the current adverse would result in the strange fact that since Empire State Building or Brooklyn College.
economic circumstances. Addressing a first running for mayor he will have spent a Over the history of our city – no matter
news conference he said, “Handling this quarter of a billion dollars to ensure he has how severe the blow we’ve been dealt, no
financial crisis while strengthening services a job that pays him $1 a year. matter how uncertain the future – we have
is a challenge I want to take on. I plan to Still, that is cheap for three terms always found the strength and optimism
ask New Yorkers to look at my record of as mayor considering that Bloomberg to rise to new heights, as New Yorkers,
independent leadership and then decide if donates a similar amount in a single together. No one better exemplifies that
I have earned another term.” year to select causes. According than Franklin Delano Roosevelt. We all
When the mayoral election comes around to The Chronicle of Philanthropy, know how in his first speech as President,
in November he may have a chance given Bloomberg donated $235 million FDR reminded us that the only thing we
how well New York is faring in the global to more than 1,200 organisations had to fear was fear itself. But you may not
crisis. In 2008, New York City garnered an in 2008, making him the leading know that on the last full day of his life, he
estimated 47 million visitors and $30 billion individual donor in the United States. wrote: ‘The only limit to our realisation of
in total spending, both of which are record The granting of a third term may tomorrow will be our doubts of today’.” n
March 2009