THIS OLD HOUSE: HARRY WINSTON GOES CORPORATE
by Erik Jay
Standing tall among the world's largest, most prestigious jewelry empires is The House of Harry Winston. Unique among high-fashion jewelers, the company operates both wholesale and manufacturing divisions as well as exclusive salons in Geneva, Paris, New York, Beverly Hills, and Japan. The exacting process of creating finished jewels — cutting and polishing, designing and creating – is done at the firm’s New York headquarters on Fifth Avenue. The exacting, and expensive, process of selecting a rare and unique Winston piece, however, is now being done in many cities around the world.
The Winston legacy embodies the talents and gifts of three generations of Winston jewelers going back over a century, although the company we know today was founded in 1932 by Harry Winston (1896-1978). His jewelry empire was born with the acquisition of Arabella Huntington's famed jewelry collection. The wife of railroad tycoon Henry Huntington had assembled what was arguably the world's most exclusive collection of jewels, largely from Parisian jewelers such as Cartier.
When Winston purchased the collection after her death, the designs of the collection were quite outdated and out of style. Winston redesigned the jewelry into more contemporary styles to showcase his singular artistic gift for crafting creative jewelry — and for getting the most mileage out of every gem. According to the Huntington museum, Winston “frequently boasted that Arabella’s famous necklace of pearls now adorned the necks of at least two dozen women around the world."
The man and his gems
Winston owned any number of famous jewels during his lifetime, including the Hope Diamond, which he donated to the Smithsonian Institution in 1958 after owning it for a decade. Two of Winston’s most famous jewelry sales were the 69+ carat diamond that Richard Burton bought for Elizabeth Taylor and the canary diamond earrings that the Duchess of Windsor purchased.
Winston truly loved gems, and it is rumored that he often carried a multi-million-dollar diamond in his pocket. However, he often treated them as mundane, common objects, and once sent a 726 carat rough diamond, "The Jonker," through the U.S. mails, rather than use a more secure means of transport such as a Brink’s armored car.
According to news reports, an unknown portion of the Winston collection was stored in the secured basement vaults of New York City’s World Trade Center. It is unclear what happened to these items following the towers’ collapse in the attack of September 11, 2001. But the firm itself, after several years of languishing sales, is now on a solid rebound with new ownership.
The House has a new home
Aber Diamond Corporation, a Canadian firm with interests in diamond mines and real estate, purchased a 51% controlling interest of The House of Harry Winston for some $85 million in 2004, following a long legal battle between Winston's sons. According to industry analysts, that litigation had a deleterious effect on business practices, starved the company of operating capital, and made such a sale inevitable.
In September of this year, Aber acquired the remaining minority interest of the Winston firm for $157 million. One result of this transaction is that, for the first time in 74 years, a Winston family member will not be heading this famous, iconic company. Aber estimated the chain's total value to be $330 million, and is committed to restoring The House of Winston to unrivaled supremacy in the world of high-fashion jewelry.
Following the Aber acquisition, the company has undertaken an aggressive international retail expansion, with plans to open as many as 40 new stores. This year alone, the company opened new Harry Winston boutiques in Beverly Hills, London, and Osaka.
Harry Winston was quoted as saying, "People will stare. Make it worth their while." With both historic pieces and newly designed trendsetters, there is no question that the eyes of the world will once again be fixed on the glittering array of preternaturally exquisite jewelry from The House of Harry Winston.
Originally published in CelebStaff in December 2006 in its December/January issue.
