Menominee, Michigan, who is far away from the world's financial centers hundred years ago, as today, it is located directly in the middle of one of the hottest business barriers in the early twentieth century - šećer.Mala community who dared to plant a trace world trade takes slivered point of land that falls into lake Michigan at the moment so close near the Wisconsin who was a cartographer fingers twitched at the crucial moment, the Menominee in Wisconsin instead of Michigan.
Menominee, Michigan, who is far away from the world's financial centers hundred years ago, as today, it is located directly in the middle of one of the hottest business barriers in the early twentieth century - šećer.Mala community who dared to plant a trace world trade takes slivered point of land that falls into lake Michigan at the moment so close near the Wisconsin who was a cartographer fingers twitched at the crucial moment, the Menominee in Wisconsin instead of Michigan.
...naysayers had a point. Menominee, Michigan is probably the place to build a sugar beet factory. Located at the western end of the upper peninsula of Michigan, the vegetation is about forty days shorter than the prime sugar beet growing regions of Lower poluotoka.Kratke season can prevent the maturation of the tail, which will then reduce the sugar content of beet immature poorly prepared for stress milling process. Severe frosts in early spring are not unusual and almost always fatal for the young beet crop. Frost may occur early in the fall, too, which can make it impossible to harvest usjeva.Farmer stood to lose their entire crop or early in the growing season or close to harvest time, having invested in bringing the sugarbeet crop in the term. Investors, however, the Menominee, as in many Michigan cities, tend to discount the entry of farmers before construction of the factory and that is often interpreted too thrilled with a handful of growers to the wider farming community. Very often, as in the case of Menominee, as it will turn out, a handful do not represent the whole.
Official recognition by the United States Department of Agriculture in 1898 the importance of sugarbeet industry has caused the construction of the sugar beet factories across the nation. A year ago people could boast of only ten sugar beet factories, four of which are in California, one in Utah, two in Nebraska and three in New Yorku.Izgradnja seven sugarbeet factories in 1898 brought into focus first stirrings of a rush not unlike the dot-com boom that flourished for a hundred years kasnije.Ideja that sugar produced from sugarbeets could compete with the sugar produced from sugar cane spread in full boom of 1900, when the national number of sugarbeet factory was thirty two in eleven states.
is nowhere hotter than the fires in Michigan, where nine factories after the successful launch of the plant in Essexville, Michigan, a suburb of Bay City.Eksplozija enthusiasm caused by cyclonic mad scramble when investors, builders, bankers and farmers in the combined energy and skills to the life of eight plants in one year! They were in Holland, Kalamazoo, Rochester, Benton Harbor, Alma, West Bay City, Caro, and another plant in Essexville. Despite the paucity of plant builders and engineers to operate them, fourteen additional plants grown on the outskirts of the cities of Michigan over the next six years, some of which appeared in Menominee in 1903.
In the Menominee, a group of investors undeterred by natural flaws and buoyed by encouragement from influential investors and the knowledge of experts, set a plan in motion to maintain the economic viability of their town after the death approaching lumber industry, which had previously provided the surface Menominee gospodarstva.Plan includes design of one of the largest and most modern factory of sugarbeet to appear in America until then.
As the lumber era petered to the beginning of the 20th century, the railroad that came to her as wood, looking for new sources of revenue. Chief among them was Detroit and Mackinac Railroad whose land agent, Charles M. Garrison, collect and distribute information about the potential of sugarbeet industry. While Garrison spread the word among Detroit's financiers about the potential profits in sugarbeets, communities affected by the fall of the board looked for ways to fill funding resources. They had a lot raditi.Država he criss-crossed with railway lines and rivers, and some money left over from the wood ages. With Garrison leading the way, investors perked up. Community eager to find a quick replacement for wood rushed to attend meetings sponsored by the Garrison and faster, but to make their cities in the fold. All you need is to persuade farmers to grow beets. This is where the Michigan Agricultural College (now Michigan State University) stepped in.
Upper Peninsula farmers, encouraged by the Michigan Agricultural College to plant sugarbeet plot test, got an even bigger shot in the arm from the visit of the Minister of Agriculture James Wilson, in 1902. He explained the advantages of sugarbeets and discouraged the notion that Upper Peninsula climate change is not up to the task to produce profitable crops. Wilson has served in three presidential cabinets, McKinley, Roosevelt and Taft, serving more (1897-1913) than any other government official. He has encouraged modern farming methods, including transportation and education as they apply to agriculture. His words carried much weight. When he spoke of sugarbeets, some farmers and listened when his department publicly acknowledged that the cold northern temperatures would prevent the development of industries in their neighborhoods, investors, farmers and producers lined up to start in the industry in Menominee.
Optimism rose to a new level when the United States Department of Agriculture (USDA) announced the favorable results of the sugarbeet plots testova.Vijesti beet 15th December 1903, reported the results of tests of beet delivered about 140 poljoprivrednika.Test is revealed 15.6 to 19.9% sugar, which meant the cash value per acre than farmers from $ 5.70 to $ 7.13 per ton ($ 135 - $ 169 inflation adjusted current period). At these projected rates, no crops in human history has held the potential to create such a high rate of return of so few acres.
In the Lower Peninsula, a farmer with an above-average ability, which is located fifteen hectares of sugarbeets could earn more than $ 800 and if his family has provided the largest portion of net profits will more than take care of the family must be for the year including food, was less than $ 800. After the addition of revenue from crops in rotation and income from milk, eggs and poultry, farm family living standards of the advanced level of survival, which compared favorably with those held in mid-management positions in industry. USDA figures support the belief that the Upper Peninsula beet would exceed two percent of the average for all other 18 sugar beet factories in the Lower Peninsula.
If the tests proved reliable indicators, Menominee tail region are worth up to $ 10 more than an acre Lower Peninsula beet, providing revenue of nearly $ 1,000 a year just from sugarbeets.
While the enthusiasm was to turn over, something was needed to seal the job. To instill confidence in potential investors to put technical expertise at hand, Benjamin Boutell, who won fame as the tugboat captain and a captain of industry, arrived in Menominee from Bay City, Michigan headquarters for the single purpose of transferring the interested investors to the Bay County where could see the sleek beet fields and factories effectively spinning out of white crystal sugar. Eleven potential investors in the Boutell Bay City, where credible evidence is at hand. The four sugar beet factory, more than in any other city in the United States, was built in the city environs. Bay City practically hummed with the economic activity due to the presence of sugar factories. Palaces peopled former lumber baron who had converted to sugar barons, lined the city center of the prestigious Avenue.
Boutell announced that it will become one of the investors, provided that the other investors had no objection to have a factory designed and installed Joseph Kilby, who was in line with Boutell, builder of the finest sugar beet factory in the United States. Many others agreed with the assessment Boutell, Kilby built nine possibly noon factory built in Michigan. Local investors are lined up behind Boutell organize Menominee River Company šećera.Po dozen major supporter came forward, each of whom subscribed to more than $ 25,000 in stocks Menominee River Sugar Company.
Heads up list of local shareholders was Samuel M. Stephenson, a former lumber manufacturer and a native of New Brunswick, Canada, who made a home for himself, his wife, Jennie, and four daughters and one son in Menominee. He was then seventy-one years of age, but in no mood to retire. After a successful career in the wood and banking, he served three consecutive terms in Congress (Michigan's 11th District 1889-93 and the 12th District from 1893 to 1897). He invested $ 100,000 ($ 2 million modern standards), the plant sugar beets, taking heart, not only in the low land of the test results and the enthusiasm of his neighbors, but also the interest of the American sugar refining corporation, mostly known for his time popular nickname, Sugar Trust. Several years later the Sugar Trust to fall into disfavor as a result of allegations of unfair business practices, but in 1903, the trust of the public and investors, and controls the production and sale of 98% of sugar consumed in the United States. Trust executives, Arthur Donner, and Charles R. Heike, invested $ 300,000 to acquire 36% of the Menominee River Sugar Company's shares.
All members of the management and players of officers other than Bay City resident, Benjamin Boutell, Menominee listed as his home track. Menominee population makes up 74% of shareholders. Together, they control 53% of the shares. In addition to Stephenson, the other major shareholders who have also accepted the position, or as officers and directors are: William A. Carpenter who invested $ 55,000 and a sugar company differently as president and vice president. Gustave A. Blesch invested $ 15,000, and served as treasurer. John Hennessy, brewery owner, invested $ 25,000, and served as a director. August Spies was the second largest investor after Stephenson and Sugar Trust. He also served as a director.
spies provide an excellent example of hardy pioneer spirit that prevailed in Menominee. He was born in the Grand Duchy of Hessen-Darmstadt, Germany, where fertile soil and mild climate allowed the production of grain and wine. He participated in the founding of Stephenson National Bank in partnership with future U.S. Congressman Samuel M. Stephenson and his brother Samuel, as a U.S. senator, Isaac Stephenson. In addition, it is owned by Spies Wood and several large areas of forest, and he is an investor in First National Bank, Menominee, Marinette and Menominee paper company and president of the Menominee Light Railway and Power Company. When the fledgling sugar company got under way, he stepped forward with $ 75.000 ($ 1.5 million in current dollars ).
Menominee support the rich class, who also share the distinction making good business decisions and rises on its own merit, not inherited wealth was so great that there is no need to raise funds from the public. With its shares over-subscribed by $ 35,000, Menominee River Sugar Company is in the enviable position of having adequate capital for investment. Not only that it has enough capital, but it has enjoyed the added benefit of experience Benjamin Boutell and representatives of the sugar trust. Menominee would not have wished for a technical or business expertise.
Gustave Blesch, such as August Spies, owes its success inherent qualities of hard work, honesty and respect for their peers. He will become a sugar company's first treasurer. Born in Green Bay, Wisconsin in 1859, son of Francis Blesch, a native of Germany and Antoinette Schneider, a native of Belgium. Gustave became office boy in the Kellogg National Bank of Green Bay, rising on the counter at the age of twenty. Five years later, he moved to Menominee to assist in establishing the first National Bank, Menominee where he started as a cashier before he became bank president. He became president of the Menominee Brick Company, vice president of Menominee-Marinette Light & Traction Company, and treasurer of the Society of the peninsula of land.
In January 1903, newly elected Board of Directors approved a $ 800,000 (almost $ 19 million in the current era of dollars) construction contract for the Kilby was designed and built a factory that will slice 1,000 tons of beets per day. Of the 48 beet sugar factories in operation in the United States in 1903, only two are greater than the Menominee new factories, one in Salinas, California and another in Fort Collins, Colorado.
average sugar factory in Michigan in 1903 may be a slice of six tons of sugar in the twenty-four hours. Four thousand acres of beets would easily supply season run factory. That investors surveyed farmers first, would certainly have been advised to build smaller plants, and perhaps would have been convinced that no construction. Farmers delivered beets from approximately 1,500 acres, and less than 9,000 hectares of investment required.
Menominee factory first factory ride (hereinafter referred to as "campaigns" in the sugar industry) ended quickly, after he had received only 14,263 tons, enough for a production run of fourteen days for the factory investors are planning to work on at least one hundred days. However, the farmers gave up sugar beet has been reported by the company during the first campaign, 15.04 percent - about 20 percent more than average and enough to allow a small gain of lean beet supply. As with almost all factories, records that would inform us of the profits, if any, earned during that first campaign, did not survive over time. However, it would be a reasonable estimate, based on the known cost supplies of coal, coke, limestone and labor costs, the profit of $ 36,000 is achievable, particularly under the management style that pays close attention to expenses, particularly in light of the very high percentage of sugar the tail.
The second campaign was better off with enough sugar for a month, still well short of supply needed to generate enough profit to justify the investment. By 1911, the local supply has reached a level that has enabled a stable economy, but it is insufficient to encourage the spread, under the condition that persisted until 1926 when a farmer apathy fell to a level that required the closure of the factory until 1933, when it reopened for the final run of the twenty years during which the factory is behind the industry in technology and growth. Year after year, due to inadequate supply of sugar beet, cultivated mainly in Wisconsin, under the factory closed his campaign weeks earlier than necessary to produce healthy profits which could then reinvest in the plant. Menominee investors learned, like many other investors, sugar factory, the mantra "build it and they will come" fell on deaf ears among the farmers, who often shows a better understanding of the economics of sugar rather than investors.
time brought no harm nor good Menominee factory as he was able to expand or modernize. It is situated in a graceful aging process. Profit awaiting the opportunity to gradually accumulated thanks to the company's tight-fisted management style and dedicated cadre of farmers.
George W. McCormick, the company's first manager, opened a cautious management style that has gone a long way toward keeping the company profitable, despite the shortcomings in the annual supply of sugar beet. He managed the company during its first thirty-two years of work, starting from when he was twenty-four years old. He met Benjamin Boutell Bay City, when he moved there to work the district manager for the travelers insurance company. Boutell thought the young man belonged to the rapidly growing sugar industry, and encouraged him to assist in establishing a sugar factory in Wallaceburg, Ontario. After completing the task successfully, Boutell recommends it for the manager job in Menominee.
Menominee is the hardest place in the United States for processing sugarbeets.Niskim temperatures took a toll on workers, machines and tail that is usually passed through a cutting machine such as boulders, equipment damage, which robbed the factory slender resources. It was hard to find replacement parts, because the distance separating Menominee from suppliers and the Lower Peninsula of sugar factories, where it was common for factory managers to borrow spare parts to one another.
worth of attention to controlling costs paid in 1924, when the sugar factory is located in Green Bay and Menominee Falls, Wisconsin went on the market. Menominee River Sugar Company was purchased, and then invested substantial sums in restoring Menominee Falls plant was closed for three years immediately prior to its sale.
restored Menominee Falls plant in conjunction with Green Bay and Menominee, Michigan factories have created more capacity than is needed for the available surface area. One of the factories will have to close. Menominee won the loop after the accountants calculated the cost to extract the tail load for each tvornicu.Menominee factory remained closed until 1933, when Michigan farmer relented and agreed to return to sugarbeets, a decision that came too late to save the hides of the sugar business owners who have lost their company holding bonds three years ago.
chaos in Europe beginning in the early 1930s brought a new name in Michigan in the fields of sugar beet and corporate offices - Flegenheimer. Albert Flegenheimer was the son of Samuel Flegenheimer who immigrated to the United States was 1864 or 1866 and became a naturalized citizen in 1873.Iduće year, however, he returned to Germany, settling in Wurttemberg. He lived from his life, dying in 1929 at the age of 81 His short stay in the United States and his U.S. citizenship status, however, one day save his descendants from German death camps.
In February 1939, Albert Flegenheimer carried his family for the safety of Canada and the U.S. claims of nationality as the son of a naturalized citizen. He had planned to raise his family and devote their time to the sugar industry in the United States and Canada. His plans met with great success and in 1954, he was under the control of the sugar factory in Menominee, and one in Green Bay, Wisconsin.
Despite Albert Flegenheimer efforts, lack of interest by farmers keep plant small and outdated. She struggled from year to year, until finally in 1955 with his worn out equipment, its tattered buildings in repair and agricultural implements other crops, Menominee River Sugar Company, based on hopes and dreams and work with courage and determination for more than half a century , closed its doors forever.
Sources:
GUTLEBEN, Dan, Sugar Rogue-1954-Michigan, Printing: Bay City duplication Co., San Francisco, 1954
1962 Twin City funds the Community Workshop, the section entitled renowned leader helped build Menominee, prepared by Irene Swain, Dr. Leo J. Alilunas, director.
Henley, Robert L., sweet success. . . Story of Michigan sugar beet industry in 1898 - 1974, Michigan historical center, Department of History, Arts and Libraries
INFLATION settings: before 1975 the Consumer Price Index data from Statistics Historical Statistics of the United States (USGPO, 1975). All data since then are from the annual Statistical Abstracts of the United States. Recorded in the
ANNUAL REPORT Michigan, Michigan Archives, Lansing, Michigan
© 2009 Thomas Mahar
About the Author:
Thomas Mahar served as executive vice president of Monitor Sugar Company between 1984 and 1999 and as president of Gala Food Processing, Packaging Sugar Company, 1993 - 1998. He retired in 1999 and now devotes his free time writing about the history of the sugar industry. He is the author, Sweet Energy, Story of Monitor Sugar Company in 2001.
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