Rolex History

[Tools]

A Brief History of Rolex:

Rolex SA was founded in London in 1905 by the German Hans Wilsdorf and his brother-in-law, Alfred Davis. Contrary to popular belief, Hans Wilsdorf was neither Swiss, nor a watchmaker. Wilsdorf & Davis was the original name of what later became the Rolex Watch Company. They originally imported Hermann Aegler's Swiss movements to England and placed them in quality cases made by Dennison and others. These early wristwatches were then sold to jewellers, who then put their own names on the dial. The earliest watches from the firm of Wilsdorf and Davis are usually marked "W&D" – inside the caseback only.

Hans Wilsdorf registered the trademark name "Rolex" in La Chaux-de-Fonds, Switzerland during 1908. The word was made up, but its origin is obscure. One story, which was never confirmed by Wilsdorf, is that the word "Rolex" came from the French phrase horlogerie exquise, meaning exquisite watch industry.

The Wilsdorf & Davis company moved out of Great Britain in 1912. Wilsdorf wanted his watches to be affordable, but taxes and export duties on the case metals (silver and gold) were driving costs up. From that time to the present, Rolex has been headquartered in Geneva, Switzerland, though the company owns facilities in other cities (Bienne, etc) and continents (North America, Asia, Australia, etc).

The company name Rolex was officially registered on 15 November 1915. It is thought this change was part of a drive to popularize wristwatches, which at the time were still considered a novelty largely for women (pocket watches were more common). Wilsdorf was said to desire his watch brand's name to be easily pronounceable in any language. The company name was officially changed to the Rolex Watch Company during 1919. It was later changed to Montres Rolex, SA and finally Rolex, SA.

Rolex SA is a foundation initiated and originally funded by Hans Wilsdorf and the Aegler family. According to foundation documentation, the Rolex SA company can never be sold, nor traded on any stock market.
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LINKS:
The Rolex Company (http://www.rolex.com/en/inside-rolex/rolex-company/index.jsp#/en/xml/inside-rolex/rolex-company/index)

[Tools]

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January 2008:
No input yet....links to press releases etc., that the membership may submit or find interesting..

[Tony-GB]

Is it true Rolex only makes a moderate annual profit? It's bulk of profit going to charity?

[Tools]

Is it true Rolex only makes a moderate annual profit? It's bulk of profit going to charity?

No, that is not exactly true.

Rolex is a Foundation Trust. As such the exact details are private and need not be disclosed (and they are not) whereas a Charity does disclose because of their non-tax status.

Foundations are set up with certain provisions that must be met to maintain their status with tax deferments, or tax write-offs (different countries have different requirements). Some of those things in the Foundation requirements are thought to be.

. Supporting Charities and Charity work

. Supporting Horological advancement and technology.

. Supporting inernational sports.. Golf, Racing, Tennis, etc.

Once a Foundation meets it's obligations, the "profit" is turned back into the main foundation to increase it's worth, or to increase it's spending on those obligations.

The Foundation can pay the administrators and employees of the foundation whatever wage or salary they vote to pay themselves

[Mudmistress]

Very neat. I am so looking forward to collecting vintage watches! (Because I really do need another hobby LOL)

[Tony-GB]

No, that is not exactly true.

Rolex is a Foundation Trust. As such the exact details are private and need not be disclosed (and they are not) whereas a Charity does disclose because of their non-tax status.

Foundations are set up with certain provisions that must be met to maintain their status with tax deferments, or tax write-offs (different countries have different requirements). Some of those things in the Foundation requirements are thought to be...

Thanks Larry :thumbsup:

[GMTII Owner]

Thanks for the history and clarification on Rolex.

[Lol-x]

I was told that Rolex has enough financial resources to dismiss all its employees and still have enough to pay each such employee their full wages for the next 100 years.
(Somehow I don't think this is going to happen :chuckle:)

[Tools]

It's good to be the King.........:thumbsup:

[slc1310]

great info, thanks

[tcnjay]

awesome info !!! I always wondered about the history of rolex.

[HunterST]

Thanks for the history lesson. I had always heard that Rolex had been established as a non-profit, so I really appreciate the clarification.

[JToddH]

I'm curious about watches produced by Wilsdorf & Davis. Is there much of a collectors following for them? I understand W&D were usually sold under individual store brands, but I wonder if there is a list of names that W&D were sold under. Could be interesting twist on a Rolex collection by searching out W&D timepieces. Any input?

[Speed Metal Army]

I was told that Rolex has enough financial resources to dismiss all its employees and still have enough to pay each such employee their full wages for the next 100 years.
(Somehow I don't think this is going to happen :chuckle:)


Maybe they should donate a nice watch to everyone on the forum!

Ill take an YG Gmt II C!:agree:

[Alcan]

I'm curious about watches produced by Wilsdorf & Davis. Is there much of a collectors following for them? I understand W&D were usually sold under individual store brands, but I wonder if there is a list of names that W&D were sold under. Could be interesting twist on a Rolex collection by searching out W&D timepieces. Any input?


We have at least one W&D collector here. This is my W&D ladies pendant watch, significant because it bears a hallmark stamp of 1908, the same year that Wilsdorf registered the Rolex tradename.

http://i28.photobucket.com/albums/c244/Alcan3/WD020.jpg

http://i28.photobucket.com/albums/c244/Alcan3/WD010.jpg

The full restoration process is photo documented here:

http://www.rolexforums.com/showthread.php?t=79599


There doesn't seem to be much of interest in, or market for, these earlier watches, which is a shame. They represent the history of the brand. On the flip side, it makes them more obtainable for old geezers like me. :chuckle:

[Leasky]

I heard a story that during World War 2, Rolex supplied (sold) new watches to any and all Allied POW's (perhaps only Officers) who wanted one, on the understanding that they be paid for after the war finished and when the men got home again.

It sounds a very noble thing to do but was it true??

[brkanand]

I have a feeling that up to 50% of what we pay for each watch is what makes this company rich. How they spend these profits is not known. But what is known is their cash inflow is so impressive, a small part is only being spent for charities.

[Alcan]

I heard a story that during World War 2, Rolex supplied (sold) new watches to any and all Allied POW's (perhaps only Officers) who wanted one, on the understanding that they be paid for after the war finished and when the men got home again.

It sounds a very noble thing to do but was it true??


Here's the TZ article:

http://www.timezone.com/library/extras/200704246126

[unclesallie]

We have at least one W&D collector here. This is my W&D ladies pendant watch, significant because it bears a hallmark stamp of 1908, the same year that Wilsdorf registered the Rolex tradename.

http://i28.photobucket.com/albums/c244/Alcan3/WD020.jpg

http://i28.photobucket.com/albums/c244/Alcan3/WD010.jpg

The full restoration process is photo documented here:

http://www.rolexforums.com/showthread.php?t=79599


There doesn't seem to be much of interest in, or market for, these earlier watches, which is a shame. They represent the history of the brand. On the flip side, it makes them more obtainable for old geezers like me. :chuckle:


Well, Al, as someone who loves pocket watches(my favorite is my Pa. Keystone), let me tell you...that watch is a knockout!:chuckle::cheers:
when I was at the Lexington, Kentucky, GTG, this past June, the owner of the shop where we gathered to view watches, showed me his private collection of Patek pocket watches....wonderful. take care!
Dan

[Leasky]

Here's the TZ article:

http://www.timezone.com/library/extras/200704246126

Alcan, thank you very much indeed for finding and supplying that link.

It is a story I had heard for years but dared not repeat it incase in was untrue.

Kindest regards,

Colin.

[Alcan]

Alcan, thank you very much indeed for finding and supplying that link.

It is a story I had heard for years but dared not repeat it incase in was untrue.

Kindest regards,

Colin.


Best Christmas wishes to you and yours, Colin. :cheers:

The link provides as accurate information as I have access to.

best regards,

Al

[Alcan]

Well, Al, as someone who loves pocket watches(my favorite is my Pa. Keystone), let me tell you...that watch is a knockout!:chuckle::cheers:
when I was at the Lexington, Kentucky, GTG, this past June, the owner of the shop where we gathered to view watches, showed me his private collection of Patek pocket watches....wonderful. take care!
Dan

Hi Dan :cheers:

I would have loved to see those PP pocket watches, I'll bet they were spectacular!

best wishes,

Al

[JToddH]

http://www.rolexforums.com/picture.php?albumid=74&pictureid=195As American Soldiers heard what Rolex was doing for the British troops, the brand built a following with American soldiers who started buying them. This loyalty not only helped bring the Rolex brand to America, it fostered brand loyalty that is still intact today's military. Rolex is an unofficial requirement in Army Special Forces lore.
When I went through SF training in 1987/88, I told myself if I completed the training, I would buy myself a Rolex. It took 16 years to make good on that promise and now I'm working on my third Rolex. As for SF, I have counted about 20 since I've been in Afghanistan this tour, so I guess there must be something to it. I figure for every Rolex I see here, there are probably 5-10 safe back home.

[Cosmographer]

Great history lesson here, thanks for sharing.
Cos

[Actsulb]

Thanks for the historical information, it is very interesting.

[Bob from GVA]

Rolex SA is a foundation initiated and originally funded by Hans Wilsdorf and the Aegler family. According to foundation documentation, the Rolex SA company can never be sold, nor traded on any stock market.
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I just checked on the Geneva Commercial Register site and can provide the following precision :

Rolex SA is not a foundation, but a limited company (société anonyme, in French) wholly owned by a private trust, the Hans Wilsdorf Foundation.

The statute of Rolex SA confirms that the shares can not be sold or traded on any stock exchange.