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Mayer LehmanAmerican businessman, banker and philanthropist originally from Germany
Date of Birth: 09.01.1830
Country:  USA |
Content:
- Biography of Mayer Lehman
- Expansion into Cotton Trading
- Support for the Confederacy
- Move to New York and Lehman Brothers as an Investment Bank
- Personal Life and Legacy
Biography of Mayer Lehman
Early Life and CareerMayer Lehman, an American businessman, banker, and philanthropist, was born on January 9, 1830, in the small Franconian town of Rimpar, near Würzburg, Germany. He was the son of Abraham Loeb Lehmann, a seller of large horned cattle. In 1850, Mayer emigrated to the United States and joined his brothers, Henry Lehman and Emanuel Lehman, in Montgomery, Alabama. Henry had left Germany in 1844 and opened a dry goods store called 'H. Lehman'. Emanuel left Germany in 1847 and joined Henry's business. The brothers renamed the firm 'H. Lehman and Bro.' and when Mayer arrived in 1850, the trio became 'Lehman Brothers'.
Expansion into Cotton Trading
As cotton was a crucial crop in the southern part of the United States, and the global demand for the fiber led to a profitable business, 'Lehman Brothers' transformed into cotton factories, accepting bales of cotton from clients as payment for their goods. Cotton trading eventually became the primary focus of the Lehman brothers' business. Mayer Lehman was also one of the twenty men who installed the first iron furnaces in the southern region of the United States before the American Civil War.
Support for the Confederacy
During the Civil War, Mayer sided with the South. According to the 1860 United States Census, he owned seven slaves ranging in age from 5 to 50 years old. In 1864, Mayer was appointed a special commissioner by the Governor of Alabama, Thomas H. Watts, to care for the interests of Alabama Confederate soldiers who had become prisoners of the North. Other government positions were offered to Lehman, but he declined. In 1855, his brother Henry died from yellow fever while on a trip to New Orleans.
Move to New York and Lehman Brothers as an Investment Bank
In 1867, Mayer and Emanuel relocated the headquarters of 'Lehman Brothers' to New York City, where the company eventually transformed into an influential investment bank that remained operational for over 150 years. Mayer played a key role in establishing the New York Cotton Exchange, the oldest commodities exchange in New York, and served as its president. Lehman's business interests extended to railroads, land ownership, and industrial and mining enterprises. He served as a director of 'The Hamilton Bank', 'The American Cotton Oil Company', 'The Union Oil Company' in Providence, Rhode Island, and 'The N.K. Fairbank Company' in Chicago. Mayer was actively involved in charitable activities, serving as a trustee of the New York Temple Emanu-El and a generous donor to the Mount Sinai Hospital in New York City. Additionally, Lehman was a member of the private social club 'Harmonie Club'.
Personal Life and Legacy
In 1858, Mayer married Babette Newgass. The couple were Reform Jews who celebrated religious holidays but disapproved of many other religious customs and Jewish practices aimed at teaching children the Hebrew language, history, and culture. They had eight children, seven of whom survived infancy. Their son Sigmund became one of the founders of Montefiore Hospital. Their son Arthur co-founded the Federation of Jewish Philanthropies and the Museum of the City of New York. Their son Irving served as the Chief Judge of the New York Court of Appeals from 1940 to 1945. Their son Herbert H. Lehman served as the 45th Governor of New York and a United States Senator from New York.
Mayer Lehman passed away on June 21, 1897. The history of 'Lehman Brothers' served as the basis for the 2011 film 'Margin Call'.
