stats Making the Business of Life Easier

   Finance globeinvestor   Careers globecareers.workopolis Subscribe to The Globe
The Globe and Mail /
Home | Business | National | Int'l | Sports | Columnists | The Arts | Tech | Travel | TV | Wheels


  This site         Tips

  The Web Google


  Where to Find It

Breaking News
  Home Page

  Report on Business



Subscribe to The Globe

Shop at our Globe Store

Print Edition
  Front Page

  Report on Business




  Arts & Entertainment



   Headline Index

 Other Sections

  Births & Deaths






  Facts & Arguments




  Real Estate









  Food & Dining




  Online Personals

  TV Listings/News

 Specials & Series
  All Reports...


   Where to Find It
 A quick guide to what's available on the site



  Customer Service

  Help & Contact Us



 Web Site

  E-Mail Newsletters

  Free Headlines

  Globe Store New

  Help & Contact Us

  Make Us Home

  Mobile New

  Press Room

  Privacy Policy

  Terms & Conditions


Leveraging fame and a vast fortune amassed in business, the brash Navy man's forays into national politics, and focus on the federal deficit, left a lasting imprint

Email this article Print this article
Wednesday, July 10, 2019 – Page B18

DALLAS -- Henry Ross Perot, the colourful, self-made Texas billionaire who rose from a childhood of Depression-era poverty and twice ran for president as a third-party candidate, has died. He was 89.

Mr. Perot, whose 19 per cent of the vote in 1992 stands among the best showings by an independent candidate in the past century, died early on Tuesday at his home in Dallas surrounded by his devoted family, family spokesman James Fuller said.

As a boy in Texarkana, Tex., Mr. Perot delivered newspapers from the back of a pony. He earned his billions in a more modern way, however. After attending the U.S. Naval Academy and becoming a salesman for IBM, he went his own way - creating and building Electronic Data Systems Corp. (EDS), which helped other companies manage their computer networks.

Yet the most famous event in his business career didn't involve sales and earnings; he financed a private commando raid in 1979 to free two EDS employees who were being held in a prison in Iran.

The tale was turned into a book and a movie.

"I always thought of him as stepping out of a Norman Rockwell painting and living the American dream," said Tom Luce, who was a young lawyer when Mr.Perot hired him to handle his business and personal legal work. "A newspaper boy, a midshipman, shaking Dwight Eisenhower's hand at his graduation, and he really built the computer-services industry at EDS."

"He had the vision and the tenacity to make it happen," Mr. Luce said. "He was a great communicator. He never employed a speech writer - he wrote all his own speeches. He was a great storyteller."

Mr. Perot first became known to Americans outside of business circles by claiming that the U.S. government left behind hundreds of American soldiers who were missing or imprisoned at the end of the Vietnam War. Mr. Perot fanned the issue at home and discussed it privately with Vietnamese officials in the 1980s, angering the Reagan administration, which was formally negotiating with Vietnam's government.

Mr. Perot's wealth, fame and confident prescription for the country's economic ills propelled his 1992 campaign against president George H.W. Bush and Democratic challenger Bill Clinton. Some Republicans blamed him for Mr. Bush's loss to Mr. Clinton as Mr. Perot garnered the largest percentage of votes for a third-party candidate since former president Theodore Roosevelt's 1912 bid.

During the campaign, Mr. Perot spent US$63.5-million of his own money and bought 30-minute television spots. He used charts and graphs to make his points, summarizing them with a line that became a national catchphrase: "It's just that simple."

Mr. Perot's second campaign four years later was far less successful. He was shut out of presidential debates when organizers said he lacked sufficient support. He got just 8 per cent of the vote, and the Reform Party that he founded and hoped to build into a national political force began to fall apart.

However, Mr. Perot's ideas on trade and deficit reduction remained part of the political landscape. He blamed both major parties for running up a huge federal budget deficit and allowing American jobs to be sent to other countries. The movement of U.S. jobs to Mexico, he said, created a "giant sucking sound."

Mr. Perot continued to speak out about federal spending for many years. In 2008, he launched a website to highlight the country's debt with a ticker that tracked the rising total, a blog and a chart presentation.

Henry Ross Perot was born in Texarkana on June 27, 1930. His father was a cotton broker; his mother a secretary. Mr.Perot said his family survived the Depression relatively well through hard work and by managing their money carefully.

Young Henry's first job was delivering papers in a poor, mostly black part of town from his pony, Miss Bee. When the newspaper tried to cut his commission, he said he complained to the publisher - and won. He said that taught him to take problems straight to the top.

From Texarkana, Mr. Perot went to the U.S. Naval Academy, even though he had never been on a ship or seen the ocean.

After the Navy, Mr. Perot joined International Business Machines in 1955 and quickly became a top salesman. In his last year at IBM, he filled his sales quota for the year in January.

In 1962, with US$1,000 from his wife, Margot, Mr. Perot founded Electronic Data Systems. Hardware accounted for about 80 per cent of the computer business, Mr.Perot said, and IBM wasn't interested in the other 20 per cent, including services.

Many of the early hires at EDS were former military men, and they had to abide by Mr. Perot's strict dress code - white shirts, ties, no beards or mustaches - and long workdays. Many had crew cuts, like Mr. Perot.

The company's big break came in the mid-1960s when the federal government created Medicare and Medicaid, the health programs for seniors, the disabled and the poor. States needed help in running the programs, and EDS won contracts - starting in Texas - to handle the millions of claims.

EDS first sold stock to the public in 1968, and overnight, Mr. Perot was worth US$350-million. His fortune doubled and tripled as the stock price rose steadily.

In 1984, he sold control of the company to General Motors Corp. for US$2.5-billion and received US$700-million in a buyout.

In 2008, EDS was sold to Hewlett-Packard Co.

Mr. Perot went on to establish another computer-services company, Perot Systems Corp. He retired as chief executive officer in 2000 and was succeeded by his son, Ross Perot Jr. In 2009, Dell Inc.

bought Perot Systems.

Forbes magazine this year estimated Mr. Perot's wealth at US$4.1-billion.

Mr. Perot was not immune to mistakes in business. His biggest might have been a 1971 investment in duPont Glore Forgan, then one of the biggest brokerage houses on Wall Street. The administration of president Richard Nixon asked Mr. Perot to save the company to head off an investor panic, and he also poured money into another troubled brokerage, Walston & Co., but wound up losing much of his US$100-million investment.

It was during the Nixon administration that Mr. Perot became involved in the issue of U.S. prisoners of war in Southeast Asia. Mr. Perot said then secretary of state Henry Kissinger asked him to lead a campaign to improve the treatment of POWs held in North Vietnam. Mr. Perot chartered two jets to fly medical supplies and the wives of POWs to Southeast Asia.

They were not allowed into North Vietnam, but the trip attracted enormous media attention.

After their release in 1973, some prisoners said conditions in the camps had improved after the failed missions.

In 1979, the Iranian government jailed two EDS executives and Mr. Perot vowed to win their release.

"Ross came to the prison one day and said, 'We're going to get you out,' " one of the men, Paul Chiapparone, told the Associated Press. "How many CEOs would do that today?" Mr. Perot recruited retired U.S. Army Special Forces Colonel Arthur (Bull) Simons to lead a commando raid on the prison. A few days later, the EDS executives walked free after the shah's regime fell and mobs stormed the prison. Mr. Simons's men sneaked the executives out of the country and into Turkey. The adventure was recalled in Ken Follett's bestselling book On Wings of Eagles and a TV miniseries.

In later years, Mr. Perot pushed the U.S. Veterans Affairs Department to study neurological causes of Gulf War syndrome, a mysterious illness reported by many soldiers who served in the 1991 Persian Gulf war.

He scoffed at officials who blamed the illnesses on stress - "as if they are wimps" - and paid for additional research.

Mr. Perot received a special award from Veterans Affairs for his support of veterans and the military in 2009.

Mr. Clinton and former president George W. Bush praised Mr. Perot's patriotism and support for veterans.

Mr. Clinton said Mr. Perot wanted to tackle budget deficits and rising national debt that kept interest rates too high for middle-class Americans. Mr. Bush said he "epitomized the entrepreneurial spirit" and "gave selflessly of his time and resources to help others in our community."

In Texas, Mr. Perot led commissions on education reform and crime. He was given many honorary degrees and awards for business success and patriotism.

Former president George W. Bush said in a statement that "Texas and America have lost a strong patriot."

"Ross Perot epitomized the entrepreneurial spirit and the American creed. He gave selflessly of his time and resources to help others in our community, across our country, and around the world," Mr. Bush said. "He loved the U.S. military and supported our service members and veterans.

Most importantly, he loved his dear wife, children, and grandchildren."

While he worked at Perot Systems in suburban Dallas, entire hallways were filled with memorabilia from soldiers and POWs that Mr. Perot had helped. His personal office was dominated by large paintings of his wife and five children and bronze sculptures by Frederic Remington.

Several original Norman Rockwell paintings hung in the waiting area, and Mr. Perot once told a visiting reporter that he tried to live by Mr. Rockwell's ethics of hard, honest work and family.

Associated Graphic

As an independent candidate for president, Henry Ross Perot, seen on the campaign trail in Austin, Tex., in 1992, achieved a historic 19 per cent of the vote, drawing the rancour of some Republicans who blamed him for George H. W. Bush's loss to Bill Clinton. AP

Huh? How did I get here?
Return to Main David_Macfarlane Page
Subscribe to
The Globe and Mail

Email this article Print this article

space  Advertisement

Need CPR for your RSP? Check your portfolio’s pulse and lower yours by improving the overall health of your investments. Click here.


7-Day Site Search

Breaking News

Today's Weather


Rick Salutin
Merrily marching
off to war
Roy MacGregor
Duct tape might hold
when panic strikes

Where Manley is going with his first budget



For a columnist's most recent stories, click on their name below.


Roy MacGregor arrow
This Country
Jeffrey Simpson arrow
The Nation
Margaret Wente arrow
Hugh Winsor  arrow
The Power Game

Rob Carrick arrow
Personal Finance
Drew Fagan arrow
The Big Picture
Mathew Ingram arrow
Brent Jang arrow
Business West
Brian Milner arrow
Taking Stock
Eric Reguly arrow
To The Point
Andrew Willis arrow

Stephen Brunt arrow
The Game
Eric Duhatschek arrow
Allan Maki arrow
William Houston arrow
Truth & Rumours
Lorne Rubenstein arrow
 The Arts

John Doyle arrow
John MacLachlan Gray arrow
Gray's Anatomy
David Macfarlane arrow
Cheap Seats
Johanna Schneller arrow

Murray Campbell arrow
Ontario Politics
Lysiane Gagnon arrow
Inside Quebec
Marcus Gee arrow
The World
William Johnson arrow
Pit Bill
Paul Knox arrow
Heather Mallick arrow
As If
Leah McLaren arrow
Generation Why
Rex Murphy arrow
Japes of Wrath
Rick Salutin arrow
On The Other Hand
Paul Sullivan arrow
The West
William Thorsell arrow

Home | Business | National | Int'l | Sports | Columnists | The Arts | Tech | Travel | TV | Wheels

© 2003 Bell Globemedia Interactive Inc. All Rights Reserved.
Help & Contact Us | Back to the top of this page