Frugal Billionaire

[joyb]

GENEVA (Reuters) - IKEA founder Ingvar Kamprad, ranked 4th richest man in the world, drives a 15-year-old car and always flies economy class, in part to inspire his 90,000 employees worldwide to see the virtue of frugality.

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The billionaire Swede, who turns 80 on March 30, explained his legendary habits during a rare television interview in Switzerland, his adoptive home for nearly 30 years.

His fortune was recently estimated at $28 billion by Forbes magazine -- trailing only Microsoft co-founder Bill Gates, U.S. investor Warren Buffett and Mexican industrialist Carlos Slim.

"People say I am cheap and I don't mind if they do. But I am very proud to follow the rules of our company," Kamprad told French-language Swiss Broadcasting Corporation.

Asked to confirm he drove an old Volvo, he said: "She is nearly new, just 15 years old, or something like that."

Interviewer Darius Rochebin teased that Ikea employees were always told to write on both sides of the paper.

"Why not? If there is such a thing as good leadership, it is to give a good example. I have to do so for all the Ikea employees," Kamprad retorted.

"Everything we earn we need as a reserve. We have to still develop the IKEA group. We need many billions of Swiss francs (dollars) to take on China or Russia," he added.

Ikea is the world's biggest furniture retailer, with 202 stores in 32 countries.

Known for its inexpensive self-assembly furniture, the family-owned business claims its hefty catalog is the most widely read publication after the Bible.

[dwallyfam]

Well at least he is setting an example.

Kellie

[FrugalMomof3]

[Shell]

That was interesting. Thank you.

[homesteadmamma]

Great article. It's nice to see that he isn't afraid to talk about being frugal.

[pecunierrant]

I saw him featured on some show on ikea and he really was frugal there too. Good for him, his employees have a good example.

[AmyBoz]

Interesting!