The civic CEO
Frank Cahouet, a model for business leaders
Frank Cahouet came to Pittsburgh in 1987 to rescue Mellon Bank, a storied institution on its way to losing $1 billion that year. Pittsburgh was in free fall, with corporate headquarters fleeing as the industrial base rooted in steel imploded. The Boston-born and Harvard-educated banker, who had made most of his career in sunny California, must have had his doubts. But Mr. Cahouet did more than turn around the ailing bank. Planting himself in Pittsburgh, he became the model of a civic leader, a role that he pursued well after retirement in 1998.
Mr. Cahouet died last week at the age of 85, of complications from Parkinson’s disease. In a telling display of his approach to life and work, one of his last charitable causes was creating the Center for Comprehensive Parkinson’s Care in the Allegheny Health Network. Following his diagnosis, he realized that dealing with the neurological disorder was daunting even for take-charge guys like himself. “You know you’ve got it, but you don’t know what to do,” he said. “You’ve got to have a feeling there’s a team around you.”
His work with the hospital (where he had been chairman of the board) was just one of his serious commitments to the region. Mr. Cahouet served as a trustee for both the University of Pittsburgh and Carnegie Mellon University. He was founding chairman of the Pittsburgh Regional Alliance, the Allegheny Conference affiliate that promotes business development. The World Affairs Council, Historical Society of Western Pennsylvania and the Boy Scouts of America received his time and attention. Underpinning all of his actions was a devotion to the Catholic Church and the Diocese of Pittsburgh. “Frank had great passion for the work of the church from the moment he arrived,” said Bishop David Zubik. “He was a major contributor, always to programs that helped people directly — education, the elderly, Catholic Charities. He never missed a meeting. When he spoke, it was like that old E.F. Hutton commercial: Everyone listened.”
Mr. Cahouet exercised a firm hand at his bank, slashing jobs and relishing his reputation as a tightwad, even as he left the bank on solid ground. Getting lax “is a good way to get back in trouble,” he said in an interview upon retirement as CEO of Mellon, which could not stay independent as mergers reordered the industry. Pittsburgh was fortunate to have Frank Cahouet show up when he did — and just as important, stick around and display the best practices of civic leadership.