Notre Dame Reconstruction Funds Roll In After Fire
April 16 2019 - 4:01PM
Dow Jones News
By Cristina Roca, Mischa Frankl-Duval and Paul J. Davies
A flood of pledges from France's richest people will help pay to
reconstruct Notre Dame Cathedral, whose structure was likely
uninsured, though the valuable collection of art and objects inside
may have some coverage.
By late Tuesday, donors had promised more than EUR700 million
($790 million) for the reconstruction of the fire-damaged Parisian
landmark. French officials are still assessing the damage to the
cathedral and its contents. Some paintings and priceless artifacts
were removed for safety.
Donations from the country's business elite began early Tuesday.
François-Henri Pinault, who controls fashion group Kering SA, said
his family would give EUR100 million to the reconstruction fund.
Kering's luxury brands include Gucci and Alexander McQueen.
His longtime rival and France's richest person, Bernard Arnault,
who heads LVMH Moët Hennessy Louis Vuitton SE, said his family and
the luxury-goods company it controls would contribute EUR200
million. LVMH also offered the skills of "all of its teams --
including creative, architectural and financial specialists" to
help with the reconstruction and fundraising.
L'Oréal SA said the company, the Bettencourt Meyers family --
the biggest shareholder in the cosmetics group -- and the
Bettencourt Schueller Foundation would donate EUR200 million in
total. French oil giant Total SA will donate EUR100 million,
according to a tweet by its chairman and chief executive, Patrick
Pouyanné. In the U.S., private-equity tycoon Henry Kravis and his
wife, Marie-Josée Kravis, offered $10 million.
In France, as in other countries, making charitable donations
can reduce the amount of tax individuals or companies owe.
Sylvain Charlois, chief executive of oak grower Groupe Charlois,
told the FranceInfo radio station that the reconstruction would
take years or even decades and require millions of cubic meters of
wood. He offered to provide wood, saying he would start sourcing
the best oak trees and setting aside the best specimens.
Public money has also been pledged. The city of Paris said it
would give EUR50 million. The regional government said it would
provide EUR10 million.
"In 2024, Paris will host the world for the Olympic and
Paralympic Games. We need to do everything we can so that Notre
Dame Cathedral is returned to all its splendor for this occasion,"
said Paris Mayor Anne Hidalgo.
The donations will be needed as there is likely no insurance
cover for the cathedral itself, which is owned by the French
government that tends not to buy cover for its properties,
according to insurance experts.
Robert Read, an underwriter who heads the art and private client
division of London-based insurer Hiscox, estimated that it will
take at least 15 years and more than EUR1 billion to renovate the
space. He based his estimates in part on renovations planned for
London's Houses of Parliament. "It's going to be a monster job," he
added.
When it comes to the contents -- including the pews, drapes,
artworks and religious artifacts -- there is some insurance
coverage, but it remains to be seen how much and for what. A main
insurer used by the Catholic church in France is Mutuelle
Saint-Christophe, a mutual company that provides priests and the
faithful with health-care and auto insurance, as well as covers
property belonging to the church.
"It's impossible for us to tell you what's been affected, almost
certainly some of the furniture will have been affected, it's a bit
early to tell what was covered and what wasn't," said Philippe
Duvignac, communications director at the insurer. "At this point,
it's very premature to give you any accurate figure about the value
of the loss," Mr. Duvignac said.
He said Mutuelle Saint-Christophe doesn't yet know what was in
Notre Dame that belonged to the diocese that the firm covers. Some
valuable items may have belonged to organizations other than the
diocese, such as the government or religious orders, which would
have responsibility for their own insurance.
Linda Selvin, executive director of the Appraisers Association
of America, said it is too early to gauge the value of whatever
might be lost because much will depend on how successfully these
artifacts might be conserved or restored -- a process that could
take years.
On Tuesday, some gilded candelabra, red-velvet chairs, kneeling
benches and a few shrines were shuttled from the cathedral to the
Louvre Museum's conservation lab, where experts will assess their
condition and recommend measures for restoring them.
Kelly Crow and Denise Roland contributed to this article.
Write to Paul J. Davies at paul.davies@wsj.com
(END) Dow Jones Newswires
April 16, 2019 15:46 ET (19:46 GMT)
Copyright (c) 2019 Dow Jones & Company, Inc.
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