Falling fortunes

If the German company Adidas goes through with its buyout of Canton–based sneaker rival Reebok, the Bay State will be the home of just nine Fortune 500 companies, down from 17 in 1998. While Massachusetts remains a hub for nonprofit institutions, it is quickly becoming a minor player in the world of big business. The state ranked 17th on this year’s Fortune 500 list (19th in the number of public companies headquartered here per capita), but that tally did not take into account the departures of Reebok or shaving-product giant Gillette, which is being taken over by Cincinnati–based Procter & Gamble. Gillette’s departure means that only two Fortune 500 companies will be based in the city of Boston—compared with seven in Milwaukee and eight in Charlotte, NC, two cities of comparable size.

The state lost two other Fortune 500 mainstays, Fleet Financial and John Hancock Financial, last year.That leaves Mass Mutual Insurance (83rd), defense contractor Raytheon (103rd), Liberty Mutual Insurance (111th), and retailer TJX Companies (141st) as our highest ranked companies on the list, which is based on annual revenue, assets, and market value.

Massachusetts does much better on the Chronicle of Philanthropy’s list of the 400 largest nonprofit organizations in the US (which are ranked by the amount of donations they receive from private individuals), but some fear that our rapidly dwindling number of corporate headquarters will eventually affect the level of charitable giving here. For now, the Bay State has the fourth-largest contingent on the Chronicle’s list, headed by the Fidelity Investments Charitable Gift Fund (7th) and Harvard University (10th).

But while we rank ninth in number of residents on Forbes magazine’s list of the 400 wealthiest Americans—with Abigail Johnson (12th) and father Edward Crosby Johnson (28th), who run Fidelity Investments, ensconced near the top— the Bay State is not so impressive in the category of major philanthropic donations. The Chronicle of Philanthropy reported that in fiscal year 2004, the nation’s 60 largest donations to charitable causes added up to more than $10 billion, but not a single Massachusetts resident is found on that list of donors.

 

Rank State Number of Fortune 500 Companies (Per capita rank*) Number of Philanthropic 400 Nonprofits (Per capita rank**) Forbes 400 Richest Americans (Per capita rank***)
1. New York 54 (3) 72 (1) 49 (2)
2. California 51 (24) 47 (13) 98 (1)
3. Texas 47 (14) 17 (27) 34 (15)
4. Illinois 33 (6) 16 (14) 21 (12)
5. Ohio 30 (5) 14 (15) 7 (31)
6. Pennsylvania 27 (11) 14 (17) 12 (22)
7. New Jersey 24 (4) 3 (38) 5 (33)
8. Michigan 22 (12) 6 (32) 13 (18)
9. Virginia 18 (7) 24 (3) 5 (30)
10. Georgia 17 (16) 18 (6) 4 (37)
10. Minnesota 17 (2) 5 (21) 11 (5)
12. Connecticut 14 (1) 5 (10) 6 (11)
12. Florida 14 (30) 11 (31) 21 (20)
12. North Carolina 14 (20) 7 (26) 5 (32)
15. Missouri 12 (15) 8 (12) 6 (21)
15. Wisconsin 12 (10) 2 (37) 9 (13)
17. Massachusetts 11 (19) 21 (2) 9 (16)
18. Colorado 10 (13) 9 (7) 9 (7)
19. Washington 9 (21) 6 (22) 10 (14)
20. Indiana 6 (28) 11 (7) 3 (36)
20. Kentucky 6 (22) 4 (23) 0 (NA)
20. Tennessee 6 (27) 6 (20) 4 (29)
23. Arkansas 5 (18) 2 (28) 7 (3)
23. Maryland 5 (29) 13 (5) 4 (27)
23. Oklahoma 5 (25) 6 (8) 2 (34)
26. Arizona 4 (32) 6 (19) 5 (24)
26. Nebraska 4 (9) 2 (16) 3 (9)
28. Alabama 3 (34) 2 (36) 1 (40)
28. Nevada 3 (26) 0 (NA) 4 (10)
30. Delaware 2 (8) 2 (4) 0 (NA)
30. Idaho 2 (23) 0 (NA) 1 (28)
30. Iowa 2 (33) 2 (30) 0 (NA)
30. Rhode Island 2 (17) 1 (24) 1 (23)
34. Kansas 1 (36) 3 (18) 5 (8)
34. Louisiana 1 (39) 1 (39) 1 (39)
34. New Hampshire 1 (31) 2 (9) 1 (26)
34. Oregon 1 (37) 5 (11) 2 (35)
34. South Carolina 1 (38) 2 (35) 1 (38)
34. Utah 1 (35) 2 (25) 3 (19)
40. Alaska 0 (NA) 0 (NA) 0 (NA)
40. Hawaii 0 (NA) 0 (NA) 1 (25)
40. Maine 0 (NA) 0 (NA) 0 (NA)
40. Mississippi 0 (NA) 2 (29) 0 (NA)
40. Montana 0 (NA) 0 (NA) 2 (4)
40. New Mexico 0 (NA) 1 (34) 0 (NA)
40. North Dakota 0 (NA) 0 (NA) 0 (NA)
40. South Dakota 0 (NA) 0 (NA) 1 (17)
40. Vermont 0 (NA) 0 (NA) 0 (NA)
40. West Virginia 0 (NA) 1 (33) 0 (NA)
40. Wyoming 0 (NA) 0 (NA) 1 (6)
Meet the Author
* Two Fortune 500 companies are headquartered in the District of Columbia.
** Nineteen Philanthropic 400 organizations are headquartered in the District of Columbia.
*** Two of the Forbes 400 currently live in the District of Columbia, and 11 live abroad.

Sources: Fortune 500 data from the print edition of Fortune; Philanthropic 400 and charitable-donation data from the print edition of the Chronicle of Philanthropy; Forbes 400 data from www.forbes.com.