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Summa Corporation

From Alfawiki
Summa Corporation
Company typeHolding company
IndustryConglomerate (casino resorts, aviation, television stations, mining, oil, film rights)
Founded1972
FounderHoward Hughes
Defunct1996
FateRenamed The Howard Hughes Corporation in 1994; acquired by The Rouse Company in 1996
Headquarters
Las Vegas
,
United States
ProductsCasino resorts, aviation enterprises, television stations, mining operations, oil company, film rights

Summa Corporation functioned as a holding company overseeing the commercial ventures of Howard Hughes after he divested the tool division of Hughes Tool Company in 1972. Its assets spanned casino resorts, aviation enterprises, and television stations. Following Hughes's passing in 1976, the majority of these holdings were sold off, and the corporation redirected its efforts toward developing the master-planned community of Summerlin, Nevada. In 1994, Summa adopted the name The Howard Hughes Corporation and was subsequently acquired by The Rouse Company in 1996.

Properties

Summa's portfolio included a variety of investments such as:

History

Prior to 1972, the company operated as Hughes Tool Company, established in 1908 focusing on manufacturing oil drilling equipment. Under Howard Hughes's leadership, it diversified into sectors including aviation, media, and casino hotels.

In 1972, Hughes divested the tool business through an initial public offering, creating a new entity also named Hughes Tool Company; meanwhile, the original parent company was renamed Summa Corporation. The name "Summa," derived from Latin meaning "highest," was selected by employees without Howard Hughes's endorsement.

Upon Hughes's death in 1976 at age 70 without a will, estate administrators led by his cousin William Lummis initiated the process of asset liquidation. By late 1976, unprofitable Nevada mining operations were sold; subsequently, in 1978, KLAS-TV and Hughes Sports Network were divested. In October 1980, Hughes Airwest was acquired by Republic Airlines for $38.5 million. Later, in January 1984, Hughes Helicopters was sold to McDonnell Douglas for $470 million. Throughout the 1980s, casino holdings were progressively disposed of. Following these sales, Summa repositioned itself as a real estate developer capitalizing on extensive undeveloped land near Las Vegas.

In September 1994, the corporation adopted the name The Howard Hughes Corporation to pay tribute to its founder and reflect his original aspirations.

By February 1996, Hughes's descendants sold The Howard Hughes Corporation to the Rouse Company for $520 million plus entitlement to half of future profits from undeveloped properties.

The Rouse Company was later acquired by General Growth Properties in 2004. In 2010, a newly formed entity named The Howard Hughes Corporation was spun off from GGP with a focus on master-planned community development.

References

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