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These are the user uploaded subtitles that are being translated: 1 00:00:13,847 --> 00:00:18,137 - Over 250 million HERSHEY Bars a year. 2 00:00:18,143 --> 00:00:21,613 More than 650 million bottles of HEINZ Ketchup. 3 00:00:23,565 --> 00:00:26,935 1.9 billion servings of Coca-Cola a day. 4 00:00:28,654 --> 00:00:31,954 Over 300 billion McDonald's burgers sold. 5 00:00:35,410 --> 00:00:38,246 These iconic brands fuel modern America, 6 00:00:38,247 --> 00:00:40,957 helping to drive the most powerful economy on Earth. 7 00:00:42,167 --> 00:00:45,837 But 150 years ago, they don't exist. 8 00:00:46,922 --> 00:00:49,340 At a time of unimaginable change, 9 00:00:49,341 --> 00:00:52,551 it takes brave visionaries risking everything 10 00:00:53,428 --> 00:00:54,808 to create some of the most 11 00:00:54,809 --> 00:00:57,845 recognizable empires on the planet. 12 00:00:57,849 --> 00:00:59,479 - I call it the MILKY WAY. 13 00:01:02,604 --> 00:01:03,771 - Well that's a first. 14 00:01:04,611 --> 00:01:05,476 - It's chaos out there. 15 00:01:05,482 --> 00:01:06,649 - Fire, fire! 16 00:01:06,650 --> 00:01:08,070 - Get out everything, the back door! 17 00:01:09,611 --> 00:01:11,487 - Start working! 18 00:01:12,614 --> 00:01:14,202 - This is a federal seizure. 19 00:01:14,203 --> 00:01:17,449 - Innovators like Henry Heinz, Milton Hershey 20 00:01:17,452 --> 00:01:21,252 and Clarence Birdseye push the limits of technology. 21 00:01:22,791 --> 00:01:24,751 - This is the future and I need it. 22 00:01:26,044 --> 00:01:29,510 - American dynasties like Post and Kellogg's, 23 00:01:29,511 --> 00:01:32,296 battle each other to build their fortunes. 24 00:01:32,301 --> 00:01:33,721 - We should be making stacks of money off of this. 25 00:01:33,722 --> 00:01:35,886 - You're not capable. 26 00:01:35,887 --> 00:01:37,387 - I'm going to bury you. 27 00:01:37,389 --> 00:01:39,974 - And bold pioneers like the McDonald brothers. 28 00:01:39,975 --> 00:01:40,975 - Flip 'em, let's go. 29 00:01:40,976 --> 00:01:42,685 - And Colonel Sanders. 30 00:01:42,686 --> 00:01:43,766 Face the challenges 31 00:01:43,770 --> 00:01:46,358 of a cutthroat new era of opportunity. 32 00:01:46,359 --> 00:01:48,976 - Hershey isn't our supplier, they're our competition. 33 00:01:48,984 --> 00:01:50,534 - These billion dollar empires 34 00:01:50,535 --> 00:01:52,027 are American icons. 35 00:01:52,029 --> 00:01:54,869 - The American people will never forget the name McDonalds. 36 00:01:56,074 --> 00:01:57,244 - That help transform the country 37 00:01:57,245 --> 00:01:59,994 into the most powerful nation on Earth. 38 00:01:59,995 --> 00:02:03,035 This is the story of how they all began. 39 00:03:00,639 --> 00:03:01,599 - It's been ten years 40 00:03:01,600 --> 00:03:03,138 since the end of the Civil War 41 00:03:04,476 --> 00:03:06,726 and one of the most important eras of America's history 42 00:03:06,728 --> 00:03:08,308 is just getting started. 43 00:03:13,318 --> 00:03:15,488 It'll be called the Industrial Revolution, 44 00:03:15,489 --> 00:03:18,447 and it will usher in a wave of unbridled entrepreneurship. 45 00:03:20,117 --> 00:03:23,117 - I look at those early days of burgeoning industry 46 00:03:23,120 --> 00:03:26,620 and I think this is an amazing opportunity, you know? 47 00:03:26,623 --> 00:03:28,129 Who doesn't wanna be successful? 48 00:03:28,130 --> 00:03:30,415 Who does wanna, you know, change the world 49 00:03:30,419 --> 00:03:32,799 and make quite a bit of money doing it? 50 00:03:32,800 --> 00:03:35,506 I think that's the brass ring. 51 00:03:35,507 --> 00:03:38,797 You might come up with this great iconic American brand 52 00:03:38,802 --> 00:03:40,472 and the brand that shapes America. 53 00:03:41,972 --> 00:03:44,142 - Before industrialization, when people live on farms, 54 00:03:44,143 --> 00:03:45,979 they're pretty nearly self-sufficient. 55 00:03:45,980 --> 00:03:47,596 But all the people who live in cities 56 00:03:47,602 --> 00:03:50,190 for the first time in history of the United States, 57 00:03:50,191 --> 00:03:52,688 they've got to be fed by somebody else. 58 00:03:55,527 --> 00:03:57,486 - The Industrial Revolution is a time 59 00:03:57,487 --> 00:04:00,865 when you start seeing factories developing, 60 00:04:00,866 --> 00:04:03,536 but part of that is the phenomenon of urbanization. 61 00:04:03,537 --> 00:04:05,785 People were coming together as a workforce 62 00:04:05,787 --> 00:04:08,367 and living in cities more and more. 63 00:04:10,125 --> 00:04:11,625 Life was changing for people 64 00:04:11,626 --> 00:04:13,416 and it was changing very quickly. 65 00:04:14,921 --> 00:04:17,221 - Nearly a third of Americans flood into cities 66 00:04:17,222 --> 00:04:19,545 without space to grow their own food, 67 00:04:19,551 --> 00:04:22,301 causing a crisis and an opportunity. 68 00:04:25,182 --> 00:04:27,391 - No longer could you go to your hen house, get egg. 69 00:04:27,392 --> 00:04:30,352 No longer would your wife cook you up some fresh chicken 70 00:04:30,353 --> 00:04:33,319 that she just slaughtered on your front porch. 71 00:04:33,320 --> 00:04:35,855 There was this need to sort of feed the masses. 72 00:04:37,194 --> 00:04:39,744 - People were moving to cities from farms in America. 73 00:04:39,745 --> 00:04:43,698 And the mass production of food was very unusual. 74 00:04:43,700 --> 00:04:46,410 In fact, it didn't exist and this was a really big deal. 75 00:04:48,789 --> 00:04:51,079 - In one of the fastest growing cities, 76 00:04:52,417 --> 00:04:54,587 one struggling entrepreneur pursues his ambition 77 00:04:54,588 --> 00:04:56,956 of selling his products all across the country. 78 00:04:58,965 --> 00:05:00,625 But he's about to hit rock bottom. 79 00:05:02,093 --> 00:05:04,053 His name is Henry Heinz. 80 00:05:04,054 --> 00:05:05,934 - Where are the rest of the checks? 81 00:05:05,935 --> 00:05:07,890 The checks, where are they? 82 00:05:20,028 --> 00:05:21,528 Give me half. 83 00:05:21,530 --> 00:05:22,410 Hurry. 84 00:05:26,535 --> 00:05:28,075 Listen to me. 85 00:05:28,078 --> 00:05:29,998 These paychecks will clear but only if they go out today. 86 00:05:29,999 --> 00:05:32,996 You have to get to the post office before it closes. 87 00:05:34,584 --> 00:05:36,085 - Pittsburgh Police. 88 00:05:36,086 --> 00:05:38,376 We have a warrant for the arrest of Henry Heinz. 89 00:05:38,380 --> 00:05:39,839 - Sir? 90 00:05:39,840 --> 00:05:43,970 - Here, go to the post office, then straight home. 91 00:05:45,387 --> 00:05:47,217 Families are depending on this, do you understand me? 92 00:05:47,222 --> 00:05:48,597 Go. 93 00:06:01,152 --> 00:06:05,239 - On December 15, 1875 local authorities arrest 94 00:06:05,240 --> 00:06:07,280 31 year old Henry Heinz. 95 00:06:08,410 --> 00:06:10,369 A company built on his name will someday sell 96 00:06:10,370 --> 00:06:12,580 for 23 billion dollars. 97 00:06:19,796 --> 00:06:22,666 But for now, after taking out loans to expand production 98 00:06:22,674 --> 00:06:26,513 on his horse radish sauce, he has overreached on a product 99 00:06:26,514 --> 00:06:29,471 that doesn't sell enough to keep it in business. 100 00:06:29,472 --> 00:06:31,515 - With every new development, 101 00:06:31,516 --> 00:06:33,684 every innovation in the food production process, 102 00:06:33,685 --> 00:06:35,345 when you're sort of near the cutting edge 103 00:06:35,353 --> 00:06:39,023 of the way things are going, this is the riskiest edge. 104 00:06:39,024 --> 00:06:41,824 - Heinz started buying more and more produce. 105 00:06:41,825 --> 00:06:43,944 He bought out whole farms. 106 00:06:43,945 --> 00:06:47,485 But when creditors came calling, he couldn't pay. 107 00:06:47,490 --> 00:06:50,240 So he was arrested for fraud. 108 00:06:50,243 --> 00:06:52,494 But, it wasn't his fault. 109 00:06:52,495 --> 00:06:56,455 At the time, packaged foods were not commonly eaten 110 00:06:56,458 --> 00:06:57,828 in the United States. 111 00:06:59,711 --> 00:07:01,049 - In the late 1800's, 112 00:07:01,050 --> 00:07:03,466 food preservation is still primitive. 113 00:07:03,467 --> 00:07:06,884 Small, local farmers bring their products into cities, 114 00:07:06,885 --> 00:07:10,804 where they sit on shelves or in barrels for days, 115 00:07:10,805 --> 00:07:12,425 or sometimes even weeks. 116 00:07:13,725 --> 00:07:17,895 - The state of food in America was pretty deplorable. 117 00:07:17,896 --> 00:07:20,436 Remember, there's no refrigeration. 118 00:07:20,440 --> 00:07:22,358 Grocers often didn't care 119 00:07:22,359 --> 00:07:25,069 where their products were coming from. 120 00:07:25,070 --> 00:07:27,570 They were selling spoiled meat. 121 00:07:27,572 --> 00:07:29,740 Fish was a little bit off. 122 00:07:29,741 --> 00:07:31,991 When people bought things in barrels, 123 00:07:31,993 --> 00:07:34,503 you never knew what you were gonna get. 124 00:07:34,504 --> 00:07:37,036 - Pickles were colored with copper 125 00:07:37,040 --> 00:07:39,208 to make them look more green. 126 00:07:39,209 --> 00:07:43,754 They'd put laundry bluing in milk to make it look white. 127 00:07:43,755 --> 00:07:45,585 You had to trust your own ability 128 00:07:45,590 --> 00:07:48,130 to tell what was good and what was not. 129 00:07:49,260 --> 00:07:50,510 - Most Americans don't trust 130 00:07:50,512 --> 00:07:51,932 the food they're being sold 131 00:07:57,018 --> 00:08:00,268 and Heinz's bold attempt to expand his business 132 00:08:00,271 --> 00:08:02,021 ends in disaster. 133 00:08:02,023 --> 00:08:05,192 - H. J. Heinz found his name in the newspaper 134 00:08:05,193 --> 00:08:10,283 not for a budding entrepreneur, but as a criminal. 135 00:08:10,824 --> 00:08:13,794 This really humiliated H. J. Heinz. 136 00:08:16,621 --> 00:08:19,206 - His parents' home got repossessed. 137 00:08:19,207 --> 00:08:22,835 He had to watch his mother cry as they took furniture 138 00:08:22,836 --> 00:08:25,756 and he had been the root cause of this. 139 00:08:28,174 --> 00:08:30,184 It all exploded. 140 00:08:31,261 --> 00:08:32,761 He failed. 141 00:08:32,762 --> 00:08:34,891 - Henry Heinz is ruined 142 00:08:34,892 --> 00:08:37,849 but he's determined to pick himself up and start again 143 00:08:41,312 --> 00:08:45,232 520 miles to the south, in Atlanta, Georgia, 144 00:08:45,233 --> 00:08:47,818 the scars of the Civil War are still raw. 145 00:08:49,988 --> 00:08:51,568 - And tens of thousands of veterans 146 00:08:51,573 --> 00:08:53,743 are dealing with the pain of their injuries. 147 00:08:55,910 --> 00:08:59,410 - Never forget what a horrific experience 148 00:08:59,414 --> 00:09:02,174 that Civil War was for the American people. 149 00:09:02,175 --> 00:09:05,917 It's very difficult to imagine the carnage. 150 00:09:05,920 --> 00:09:07,550 People were suffering. 151 00:09:08,757 --> 00:09:10,297 - Almost all the fighting took place 152 00:09:10,300 --> 00:09:13,760 below the Mason-Dixon Line leaving the South, 153 00:09:13,762 --> 00:09:16,138 and its economy, in ruins. 154 00:09:16,139 --> 00:09:18,679 - The disparity between North and South is huge. 155 00:09:18,683 --> 00:09:22,153 In the South the primary economic driver was agriculture, 156 00:09:22,154 --> 00:09:24,185 and cotton is no longer king. 157 00:09:24,189 --> 00:09:26,149 The war devastates agriculture 158 00:09:27,275 --> 00:09:30,275 and the South's gonna have to reinvent itself. 159 00:09:30,278 --> 00:09:32,488 - In the heart of this unstable environment, 160 00:09:33,865 --> 00:09:36,985 a local entrepreneur struggles to keep his business afloat. 161 00:09:36,993 --> 00:09:41,997 He's a civil war veteran and pharmacist named John Pemberton 162 00:09:41,998 --> 00:09:44,998 - John Pemberton was kind of a creative genius 163 00:09:45,001 --> 00:09:47,501 who is tragic in his own way. 164 00:09:47,504 --> 00:09:50,047 He was never a great businessman. 165 00:09:50,048 --> 00:09:53,838 He would go bankrupt and would start over again. 166 00:09:53,843 --> 00:09:56,393 His signature invention will someday be served 167 00:09:56,394 --> 00:09:59,387 over ten thousand times per second. 168 00:10:05,146 --> 00:10:06,976 - But for now, Pemberton works 169 00:10:06,981 --> 00:10:09,820 late into the night, hoping perfect a formula 170 00:10:09,821 --> 00:10:11,988 that'll help him cash in on the latest craze 171 00:10:11,989 --> 00:10:16,316 sweeping the country, miracle health tonics 172 00:10:16,324 --> 00:10:17,704 called patent medicine. 173 00:10:18,868 --> 00:10:21,248 - Patent medicines were very popular 174 00:10:21,249 --> 00:10:23,996 but also fairly adulterated. 175 00:10:23,998 --> 00:10:27,918 The claims of any particular product were outlandish, 176 00:10:27,919 --> 00:10:31,379 claiming to cure everything from tuberculosis to cancer, 177 00:10:31,381 --> 00:10:35,175 to itchy scalp, you know, all on the same product. 178 00:10:35,176 --> 00:10:38,216 - They contain all sorts of toxic chemicals 179 00:10:38,221 --> 00:10:40,391 and substances that you wouldn't even 180 00:10:40,392 --> 00:10:44,640 wash your floor with it, let alone take it or ingest it. 181 00:10:47,772 --> 00:10:49,272 - John Pemberton's war wounds 182 00:10:49,274 --> 00:10:51,074 have left him addicted to morphine. 183 00:10:53,069 --> 00:10:55,069 Hoping to create a safer alternative, 184 00:10:55,071 --> 00:10:57,571 he gambles on a plant extract from South America. 185 00:10:59,117 --> 00:11:02,577 For thousands of years, Natives have chewed its leaves, 186 00:11:02,579 --> 00:11:05,619 as part of religious rituals and as a powerful stimulant. 187 00:11:06,457 --> 00:11:08,997 It's called the coca leaf. 188 00:11:10,545 --> 00:11:12,795 The same thing used to make cocaine. 189 00:11:14,090 --> 00:11:16,340 - Cocaine was supposed to be this wonder drug 190 00:11:16,342 --> 00:11:19,552 and nobody recognized its potential harm 191 00:11:19,554 --> 00:11:21,014 or addictive quality. 192 00:11:22,265 --> 00:11:24,425 A wine infused with coca leaf 193 00:11:24,434 --> 00:11:28,145 was wildly successful internationally, 194 00:11:28,146 --> 00:11:31,815 in the 1860s, 70s and 80s. 195 00:11:31,816 --> 00:11:33,226 Everybody drank this stuff, 196 00:11:33,234 --> 00:11:34,904 it was supposed to be a cure-all. 197 00:11:34,905 --> 00:11:38,447 It even had endorsements from three different popes, 198 00:11:38,448 --> 00:11:40,278 including Pope Leo the 13th. 199 00:11:42,911 --> 00:11:44,451 - Pemberton hasn't yet perfected 200 00:11:44,454 --> 00:11:47,294 the formula that will someday launch an American empire. 201 00:11:51,544 --> 00:11:54,423 Far from major cities like Pittsburgh and Atlanta, 202 00:11:54,424 --> 00:11:56,512 in a small town of just 7,000 people 203 00:11:58,092 --> 00:12:00,180 there's an institution designed to treat mental 204 00:12:00,181 --> 00:12:02,218 and physical pain in a much different way. 205 00:12:04,349 --> 00:12:06,519 It's called the Battle Creek Sanitarium. 206 00:12:06,520 --> 00:12:09,267 One, there you are. 207 00:12:09,270 --> 00:12:10,150 Two. 208 00:12:12,148 --> 00:12:13,357 Three. 209 00:12:13,358 --> 00:12:14,728 - It's run by a renowned doctor 210 00:12:14,734 --> 00:12:18,324 and medical innovator named John Kellogg 211 00:12:19,197 --> 00:12:20,947 - Everyone follow me. 212 00:12:20,949 --> 00:12:22,908 Arms out, down. 213 00:12:22,909 --> 00:12:24,284 Lower, lower. 214 00:12:24,285 --> 00:12:26,495 Hold and up. 215 00:12:27,872 --> 00:12:29,372 Well done. 216 00:12:29,374 --> 00:12:31,462 - People came from all around the world 217 00:12:31,463 --> 00:12:33,089 to the Battle Creek Sanitarium. 218 00:12:34,295 --> 00:12:36,415 Amelia Earhart, 219 00:12:36,422 --> 00:12:39,091 Thomas Edison, 220 00:12:39,092 --> 00:12:41,551 Henry Ford, 221 00:12:41,552 --> 00:12:43,181 they came to Battle Creek to get well 222 00:12:43,182 --> 00:12:46,139 but they also came to see Dr. John Harvey Kellogg, 223 00:12:46,140 --> 00:12:47,557 who was world famous. 224 00:12:47,558 --> 00:12:50,058 He was one of the most famous physicians of his day. 225 00:12:50,061 --> 00:12:52,061 - Everything okay, sir? 226 00:12:52,063 --> 00:12:55,065 - People followed the doctor long distance 227 00:12:55,066 --> 00:12:56,726 through his magazine Good Health 228 00:12:56,734 --> 00:12:59,611 or his many, many books or his lectures. 229 00:12:59,612 --> 00:13:02,741 Dr. Kellogg's prescriptions and ideas about medicine 230 00:13:02,742 --> 00:13:05,580 were very much out of the norm of his colleagues. 231 00:13:07,120 --> 00:13:09,079 - Dr. Kellogg holds a degree from the prestigious 232 00:13:09,080 --> 00:13:11,707 Bellevue Medical School in New York. 233 00:13:11,708 --> 00:13:13,918 But some of his methods are unorthodox. 234 00:13:15,003 --> 00:13:17,213 - He famously supported sexual abstinence. 235 00:13:19,173 --> 00:13:22,683 He never consummated his 40-year marriage with his wife. 236 00:13:22,684 --> 00:13:26,427 Winter or summer he would work out in a thong. 237 00:13:26,431 --> 00:13:30,684 - The Battle Creek Sanitarium was a crazy place! 238 00:13:30,685 --> 00:13:35,645 Some of the things that went on were wacko. 239 00:13:37,025 --> 00:13:38,984 - Treatments include experimental therapies 240 00:13:38,985 --> 00:13:43,985 like hot air baths, slapping machines, foot vibration 241 00:13:47,118 --> 00:13:49,286 and daily yogurt enemas. 242 00:13:51,998 --> 00:13:55,208 - He invented the first exercise tape if you will. 243 00:13:55,209 --> 00:13:58,086 They were on 78-rpm records 244 00:13:58,087 --> 00:14:00,627 and he had a brass band behind him 245 00:14:00,631 --> 00:14:03,761 and he would give instructions for people at home 246 00:14:03,762 --> 00:14:05,719 to exercise the Kellogg way. 247 00:14:05,720 --> 00:14:08,180 So, he was a very, very inventive guy. 248 00:14:09,307 --> 00:14:12,227 And he had the idea that for the sick stomach, 249 00:14:12,228 --> 00:14:14,976 you had to make food more easily digestible. 250 00:14:18,107 --> 00:14:19,566 - Now, Dr. Kellogg is working 251 00:14:19,567 --> 00:14:21,437 on a totally new medicine that he believes 252 00:14:21,444 --> 00:14:24,864 will prevent nervous disorders, tooth decay, even cancer. 253 00:14:26,949 --> 00:14:29,159 But in the end it won't cure disease, 254 00:14:29,160 --> 00:14:32,287 it'll launch a 37 billion dollar industry. 255 00:14:32,288 --> 00:14:34,288 And tear his family apart 256 00:14:52,308 --> 00:14:57,187 By the 1880s Americans are flooding into cities 257 00:14:57,188 --> 00:14:58,728 in unprecedented numbers, 258 00:15:00,525 --> 00:15:02,234 and eating local food from butchers, 259 00:15:02,235 --> 00:15:05,195 or what's sold in bulk by clerks at general stores. 260 00:15:06,864 --> 00:15:09,244 Food is often preserved with dangerous chemicals 261 00:15:10,159 --> 00:15:12,789 like formaldehyde or borax. 262 00:15:14,038 --> 00:15:16,418 - There was a high incidence of stomach cancer 263 00:15:16,419 --> 00:15:20,745 in the turn of the century that outpaces what we see today. 264 00:15:20,753 --> 00:15:23,763 I think a lot of that was tied to the American diet. 265 00:15:24,924 --> 00:15:27,884 There were all sorts of toxic chemicals 266 00:15:27,885 --> 00:15:30,345 that most Americans consumed. 267 00:15:30,346 --> 00:15:33,216 It's no wonder that every American had a stomachache. 268 00:15:34,183 --> 00:15:36,017 They didn't eat well. 269 00:15:39,063 --> 00:15:40,733 - People are suffering even more 270 00:15:40,734 --> 00:15:42,691 in the Civil War torn South, 271 00:15:42,692 --> 00:15:45,072 turning to miracle health tonics to cure them. 272 00:15:46,571 --> 00:15:49,411 John Pemberton is desperate to cash in on the craze 273 00:15:50,700 --> 00:15:53,080 but he still hasn't perfected his formula. 274 00:15:55,413 --> 00:15:57,293 Already working with the coca leaf, 275 00:15:57,294 --> 00:16:00,750 he adds an exotic seed with medicinal qualities, 276 00:16:00,751 --> 00:16:03,044 called the kola nut. 277 00:16:03,045 --> 00:16:06,045 - If you think about old school pharmacy, 278 00:16:06,048 --> 00:16:07,628 it was all plant based. 279 00:16:07,633 --> 00:16:11,761 Kola nuts originate on the African continent, in Senegal. 280 00:16:11,762 --> 00:16:14,062 It was considered improper for a man 281 00:16:14,063 --> 00:16:17,475 to offer women kola because it was a stimulant, 282 00:16:17,476 --> 00:16:19,516 because it was intoxicating. 283 00:16:20,980 --> 00:16:23,318 - The kola nut is chewed by local tribes 284 00:16:23,319 --> 00:16:25,106 to combat hunger and fatigue 285 00:16:26,485 --> 00:16:29,485 and they're so valuable 286 00:16:29,488 --> 00:16:31,818 some even use them as currency. 287 00:16:37,663 --> 00:16:40,832 Kola extract has a strong, bitter taste. 288 00:16:40,833 --> 00:16:44,252 So, Pemberton experiments with other flavors to temper it. 289 00:16:44,253 --> 00:16:49,174 - He was fine-tuning it and working in nutmeg oils, 290 00:16:49,175 --> 00:16:54,215 lemon oils, lime oils, and coriander. 291 00:17:02,688 --> 00:17:04,518 - He added a great deal of sugar to it 292 00:17:04,523 --> 00:17:06,193 because it was too bitter, 293 00:17:06,194 --> 00:17:09,819 and he added a number of essential oils, 294 00:17:09,820 --> 00:17:13,530 like oil of neroli, oil of cinnamon, 295 00:17:13,532 --> 00:17:15,032 seven different substances, 296 00:17:15,034 --> 00:17:18,254 which eventually were known as the 7X flavor. 297 00:17:19,622 --> 00:17:22,962 - After months of work, his formula is improving. 298 00:17:28,547 --> 00:17:32,467 But Pemberton slides further into his morphine addiction. 299 00:18:13,593 --> 00:18:17,563 Retracing his work, on May 8th, 1886 300 00:18:18,681 --> 00:18:20,641 Pemberton pieces together the formula 301 00:18:22,059 --> 00:18:26,559 and names his new product after its two main ingredients. 302 00:18:28,691 --> 00:18:29,901 - Use this one for now. 303 00:18:31,193 --> 00:18:32,453 We'll have to design something more permanent, 304 00:18:32,454 --> 00:18:34,275 but this will be fine for the meantime. 305 00:18:34,280 --> 00:18:37,699 - He calls it, Coca-Cola. 306 00:18:39,452 --> 00:18:41,452 - John Pemberton was a morphine addict 307 00:18:41,454 --> 00:18:44,956 and he was actually looking for a substitute 308 00:18:44,957 --> 00:18:49,957 but he created that magic secret original recipe 309 00:18:49,962 --> 00:18:53,048 and that was the genesis of Coca-Cola, 310 00:18:53,049 --> 00:18:55,925 which I think, is sort of amazing. 311 00:18:55,926 --> 00:18:57,966 - There are a few brands in the world 312 00:18:57,970 --> 00:19:00,140 that don't require any explanation. 313 00:19:00,141 --> 00:19:02,059 Sort of like those few celebrities 314 00:19:02,060 --> 00:19:04,434 that only need to go by one name. 315 00:19:04,435 --> 00:19:06,475 Coke is certainly one of those brands. 316 00:19:07,563 --> 00:19:08,983 - Pemberton plans to sell his drink 317 00:19:08,984 --> 00:19:11,319 as a health tonic at nearby soda fountains. 318 00:19:11,320 --> 00:19:13,067 Hoping his cocaine based concoction 319 00:19:13,069 --> 00:19:14,649 will catch on locally. 320 00:19:14,654 --> 00:19:18,164 Little does he know it'll become a global phenomenon. 321 00:19:18,165 --> 00:19:20,825 And someone else will take the credit. 322 00:19:28,417 --> 00:19:30,917 At the Battle Creek Sanitarium, 323 00:19:30,920 --> 00:19:34,170 self-made man Dr. John Kellogg's unorthodox treatment 324 00:19:34,173 --> 00:19:37,683 have made him one of the most famous physicians of his day 325 00:19:37,684 --> 00:19:40,927 but one innovation from the sanitarium kitchens 326 00:19:40,930 --> 00:19:43,100 will soon turn him into a household name. 327 00:19:43,101 --> 00:19:46,599 - The chief complaint of people coming to the sanitarium 328 00:19:46,602 --> 00:19:50,146 was some type of stomach or gastrointestinal problem 329 00:19:50,147 --> 00:19:53,147 and so he had the notion that eating meat 330 00:19:53,150 --> 00:19:54,529 was dangerous to your health, 331 00:19:54,530 --> 00:19:57,567 and that a grain and vegetable diet was far better. 332 00:19:58,698 --> 00:20:00,158 - Served as medicinal food, 333 00:20:00,159 --> 00:20:01,987 the product is made of flour, oatmeal 334 00:20:01,992 --> 00:20:03,872 and cornmeal baked into brittle cakes 335 00:20:03,873 --> 00:20:06,037 then smashed into granules. 336 00:20:06,038 --> 00:20:08,668 It's unlike anything most Americans have ever seen. 337 00:20:10,209 --> 00:20:12,039 He calls it granola. 338 00:20:14,797 --> 00:20:17,676 - John Harvey Kellogg considered his food invention 339 00:20:17,677 --> 00:20:19,295 to be preventive medicine. 340 00:20:19,301 --> 00:20:21,801 He didn't add sugar because he thought 341 00:20:21,804 --> 00:20:23,974 too much sugar consumption was bad for you. 342 00:20:23,975 --> 00:20:27,475 But granola was new and exciting and people loved it. 343 00:20:27,476 --> 00:20:29,346 - Kellogg's products will someday be eaten 344 00:20:29,353 --> 00:20:32,397 by 350 million people each morning, 345 00:20:32,398 --> 00:20:35,068 completely redefining the American breakfast 346 00:20:40,573 --> 00:20:42,579 - Breakfast wasn't a particul 347 00:20:42,580 --> 00:20:44,284 identifiable meal in those days. 348 00:20:44,285 --> 00:20:47,745 It didn't have foods all that much associated with it. 349 00:20:47,747 --> 00:20:50,167 Often it was leftovers from the night before. 350 00:20:50,168 --> 00:20:53,084 You couldn't say "That's what people eat for breakfast." 351 00:20:53,085 --> 00:20:55,085 - In some cases, breakfast was really just a luxury 352 00:20:55,087 --> 00:20:57,466 that middle-class or upper-class people ate. 353 00:20:57,467 --> 00:20:59,255 It was very, very time consuming. 354 00:20:59,258 --> 00:21:02,137 In many cases, it was women who woke up early, 355 00:21:02,138 --> 00:21:03,426 spent hours and hours and hours 356 00:21:03,429 --> 00:21:05,929 before the family arose preparing breakfast 357 00:21:05,931 --> 00:21:08,981 - It was a major effort and took a ton of time. 358 00:21:08,982 --> 00:21:11,596 It became a huge undertaking, 359 00:21:11,604 --> 00:21:14,439 just the simple meal of breakfast cereal 360 00:21:14,440 --> 00:21:17,150 was something that could be served hot or cold. 361 00:21:17,151 --> 00:21:20,571 And would take a very short amount of time to consume. 362 00:21:27,328 --> 00:21:28,698 - That one's a little overcooked, 363 00:21:28,704 --> 00:21:29,913 but we'll still use it. 364 00:21:29,914 --> 00:21:31,623 - To help with day to day tasks, 365 00:21:31,624 --> 00:21:33,458 - Which one is this from? 366 00:21:33,459 --> 00:21:35,459 - John works his assistant hard, 367 00:21:35,461 --> 00:21:38,171 a former employee at a broom factory. 368 00:21:38,172 --> 00:21:40,422 It's his younger brother William. 369 00:21:41,509 --> 00:21:43,889 - Even as a young boy, John was brilliant. 370 00:21:43,890 --> 00:21:46,506 He is the golden child. 371 00:21:46,514 --> 00:21:48,973 His brother Will was nearsighted 372 00:21:48,974 --> 00:21:50,894 but people thought he was dim-witted 373 00:21:50,895 --> 00:21:54,150 because he sat in the back of the room and he couldn't see. 374 00:21:54,151 --> 00:21:56,976 And his parents didn't want to put a lot of investment 375 00:21:56,982 --> 00:21:58,529 in his education 'cause they thought, 376 00:21:58,530 --> 00:21:59,986 well, he's not worth it. 377 00:22:02,363 --> 00:22:04,873 - Will oversees bookkeeping, 378 00:22:04,874 --> 00:22:06,445 staffing, maintenance, 379 00:22:08,035 --> 00:22:10,495 and preparation and service of John's granola. 380 00:22:11,664 --> 00:22:15,500 - Granola was designed to be just eaten as is 381 00:22:15,501 --> 00:22:17,341 but William was the one who thought 382 00:22:17,342 --> 00:22:19,876 of putting milk on their products, 383 00:22:19,880 --> 00:22:24,008 and that's sort of when it really becomes more popular. 384 00:22:24,009 --> 00:22:28,059 But William was really lost in his older brother's shadow. 385 00:22:29,515 --> 00:22:31,845 - I'm giving a talk on Saturday. 386 00:22:31,851 --> 00:22:33,891 Abstinence and physical health this time. 387 00:22:35,354 --> 00:22:38,574 - Dr. Kellogg was such an unpleasant, curmudgeonly, 388 00:22:39,733 --> 00:22:42,026 kind of a lousy big brother. 389 00:22:42,027 --> 00:22:43,397 - Are you getting all of this? 390 00:22:43,404 --> 00:22:45,032 - Yeah yeah, I think I got it. 391 00:22:45,033 --> 00:22:48,030 - You know, he used to make W. K. take dictation 392 00:22:48,033 --> 00:22:50,368 while he was using the toilet. 393 00:22:50,369 --> 00:22:51,539 - You know, it would be a lot easier 394 00:22:51,540 --> 00:22:53,867 if I could just wait until you're out. 395 00:22:53,873 --> 00:22:56,383 - So W. K. had this desire to get out 396 00:22:56,384 --> 00:22:58,205 from his brother's shadow. 397 00:23:15,394 --> 00:23:17,774 - John, John. 398 00:23:21,734 --> 00:23:22,574 I'm listening. 399 00:23:23,903 --> 00:23:26,070 - We should sell the cereal. 400 00:23:26,071 --> 00:23:28,451 Market it to every man, woman and child. 401 00:23:30,910 --> 00:23:35,750 - No, it's part of a carefully controlled regimen. 402 00:23:37,082 --> 00:23:38,422 - You're helping every single patient 403 00:23:38,423 --> 00:23:40,957 who comes through the doors. 404 00:23:40,961 --> 00:23:44,971 But we could help more people and make a killing doing it. 405 00:23:47,134 --> 00:23:48,801 Would you just at least consider? 406 00:23:48,802 --> 00:23:49,722 - No! 407 00:23:51,263 --> 00:23:52,473 And that's the end of it. 408 00:23:53,474 --> 00:23:55,774 - It was Will Kellogg who recognized 409 00:23:55,775 --> 00:23:58,478 there are a lot more healthy people 410 00:23:58,479 --> 00:24:01,939 who want a nutritious, easy to prepare breakfast 411 00:24:01,941 --> 00:24:06,611 than ill people who need an easy to digest breakfast. 412 00:24:06,612 --> 00:24:08,362 And he would say to his brother, 413 00:24:08,364 --> 00:24:10,661 "Look, we're leaving money on the table. 414 00:24:10,662 --> 00:24:12,488 "Money that could help the sanitarium. 415 00:24:12,493 --> 00:24:13,993 "That could help us." 416 00:24:13,994 --> 00:24:17,124 But there was a real risk for John Harvey Kellogg 417 00:24:17,125 --> 00:24:20,959 of marketing cereal as a regular product. 418 00:24:20,960 --> 00:24:24,000 Doctors themselves did not advertise. 419 00:24:24,004 --> 00:24:27,465 That was against medical ethics at that time. 420 00:24:27,466 --> 00:24:28,836 And he had enough problems 421 00:24:28,842 --> 00:24:31,012 with the medical profession of being accepted. 422 00:24:31,013 --> 00:24:35,181 He thought that if he sold this product to the mass market 423 00:24:35,182 --> 00:24:38,142 that would be a red flag to the medical profession. 424 00:24:38,143 --> 00:24:40,190 So, he was very careful about that. 425 00:24:40,191 --> 00:24:42,687 - Will knows they're sitting on a cash cow, 426 00:24:42,690 --> 00:24:46,484 but under John's thumb he can't act on it, yet. 427 00:24:54,326 --> 00:24:56,826 In Pittsburgh, fledgling entrepreneur Henry Heinz's 428 00:24:56,829 --> 00:24:59,497 ambition to expand beyond local markets 429 00:24:59,498 --> 00:25:02,328 has left him bankrupt. 430 00:25:02,334 --> 00:25:04,294 - So, how are Sarah and the kids? 431 00:25:07,047 --> 00:25:08,217 - It hasn't been easy. 432 00:25:09,675 --> 00:25:10,715 Thank you for dinner. 433 00:25:12,011 --> 00:25:13,351 - That's what family's for. 434 00:25:15,389 --> 00:25:16,889 - But he has the relentless ambition 435 00:25:16,890 --> 00:25:19,890 to build a new company and risk it all again, 436 00:25:19,893 --> 00:25:22,353 he just needs the right product. 437 00:25:25,733 --> 00:25:29,068 - During Heinz's day, not all the meat 438 00:25:29,069 --> 00:25:31,904 was ready for human consumption. 439 00:25:31,905 --> 00:25:35,365 Some of it had a pretty strong smell and people would say, 440 00:25:35,367 --> 00:25:38,947 "We've got to eat it, it's expensive." 441 00:25:40,914 --> 00:25:42,584 - Will you pass the catsup please? 442 00:25:43,917 --> 00:25:46,207 - To mask the taste and smell of tainted meat 443 00:25:46,211 --> 00:25:49,300 people use a variation on fish sauce used in china 444 00:25:49,301 --> 00:25:50,508 for thousands of years. 445 00:25:51,592 --> 00:25:52,717 - John? 446 00:25:52,718 --> 00:25:53,588 - Yes, please. 447 00:25:54,553 --> 00:25:56,393 - It's called catsup. 448 00:25:57,806 --> 00:26:00,475 - Walnut and mushroom's all they had at the store. 449 00:26:08,442 --> 00:26:10,192 - The catsup really helps. 450 00:26:16,784 --> 00:26:21,621 - In the Americas ketchup was made out of celery 451 00:26:21,622 --> 00:26:24,749 or nuts like walnuts. 452 00:26:24,750 --> 00:26:29,754 This lumpy gray product that had saw dust in it 453 00:26:29,755 --> 00:26:32,755 and all kinds of artificial preservatives 454 00:26:32,758 --> 00:26:34,378 and things that could harm you. 455 00:26:40,682 --> 00:26:43,521 - Heinz realizes that if he can create 456 00:26:43,522 --> 00:26:46,019 a new product that people actually trust, 457 00:26:47,064 --> 00:26:50,280 there's no one in America who won't want to buy it. 458 00:26:50,281 --> 00:26:52,485 And his dream of creating the first mass produced 459 00:26:52,486 --> 00:26:54,986 national food product is reborn. 460 00:27:03,122 --> 00:27:05,460 At the end of the 19th century people are moving 461 00:27:05,461 --> 00:27:08,247 to industrialized cities in record numbers 462 00:27:08,252 --> 00:27:11,212 and safe, reliable food is suddenly scarce. 463 00:27:13,632 --> 00:27:15,842 - You have to remember you're not self-shopping. 464 00:27:15,843 --> 00:27:17,303 There's no supermarket. 465 00:27:17,304 --> 00:27:20,805 You went to a store and you encountered a clerk. 466 00:27:20,806 --> 00:27:23,306 And you told the clerk what you wanted, 467 00:27:23,308 --> 00:27:26,598 and they offered a lot of kind of iffy food. 468 00:27:28,647 --> 00:27:31,816 Food is literally dangerous to your physical wellbeing 469 00:27:31,817 --> 00:27:32,817 during this period. 470 00:27:36,655 --> 00:27:38,445 - The Industrial Revolution has opened the door 471 00:27:38,448 --> 00:27:40,578 to all kinds of daring entrepreneurs. 472 00:27:43,662 --> 00:27:45,331 And Henry Heinz still has a dream 473 00:27:45,332 --> 00:27:47,959 of being the first to mass produce a food product 474 00:27:47,960 --> 00:27:49,918 that will appeal to every American, 475 00:27:51,336 --> 00:27:53,836 and be sold in every corner of the nation. 476 00:27:56,341 --> 00:27:58,841 Even though his first attempt drove him bankrupt 477 00:27:58,844 --> 00:28:00,511 less than a year ago. 478 00:28:00,512 --> 00:28:02,852 - In earlier times, business failure 479 00:28:02,853 --> 00:28:06,684 was seen as a sign of moral failure. 480 00:28:06,685 --> 00:28:08,845 There was something wrong with you if your business failed. 481 00:28:08,854 --> 00:28:10,813 But by the period of the Industrial Revolution 482 00:28:10,814 --> 00:28:12,192 this attitude was changing. 483 00:28:12,193 --> 00:28:15,359 For every John D. Rockefeller there were a hundred 484 00:28:15,360 --> 00:28:17,860 would be John D. Rockefellers. 485 00:28:17,863 --> 00:28:20,660 There was much more willingness to take risks. 486 00:28:20,661 --> 00:28:23,197 Along with risks comes the possibility of failure. 487 00:28:26,705 --> 00:28:28,495 - Along with his brother, John, 488 00:28:28,498 --> 00:28:29,707 he takes his last shot 489 00:28:29,708 --> 00:28:31,958 in a makeshift test kitchen in his own home. 490 00:28:33,378 --> 00:28:36,047 Draining his family's savings, desperate to create a safe, 491 00:28:36,048 --> 00:28:38,007 reliable version of a product 492 00:28:38,008 --> 00:28:41,177 the world knows today as tomato ketchup. 493 00:28:41,178 --> 00:28:44,218 - After the bankruptcy, Heinz was determined 494 00:28:44,222 --> 00:28:46,349 to restore his reputation. 495 00:28:46,350 --> 00:28:48,890 He knew that people didn't have the time 496 00:28:48,894 --> 00:28:53,564 to make labor-intensive sauces and preserves. 497 00:28:53,565 --> 00:28:56,435 And so that's what he focused on. 498 00:29:05,243 --> 00:29:08,753 Yeah there was walnut ketchup and there was fish sauce, 499 00:29:08,754 --> 00:29:12,917 there was celery ketchup but tomato ketchup, 500 00:29:12,918 --> 00:29:15,588 that's something that he believed would catch on. 501 00:29:15,589 --> 00:29:17,254 This was pioneering. 502 00:29:17,255 --> 00:29:19,255 This was a big idea. 503 00:29:21,259 --> 00:29:22,549 - Heinz needs his ketchup 504 00:29:22,552 --> 00:29:25,221 to appeal to as many people as possible. 505 00:29:25,222 --> 00:29:27,022 - Hey John, try this. 506 00:29:29,393 --> 00:29:31,773 - And he struggles to get the taste right. 507 00:29:31,774 --> 00:29:33,229 - What do you think? 508 00:29:41,613 --> 00:29:43,533 - Heinz adds salt, onion and garlic 509 00:29:43,534 --> 00:29:47,122 to his tomato base, thickening it with pulp. 510 00:29:49,454 --> 00:29:51,124 Then, he experiments with a natural, 511 00:29:51,125 --> 00:29:53,457 but highly acidic preservative, 512 00:29:53,458 --> 00:29:58,548 vinegar and sugar to balance out the sour flavor. 513 00:30:01,800 --> 00:30:04,470 - John, taste this. 514 00:30:09,141 --> 00:30:09,981 - Not bad. 515 00:30:11,143 --> 00:30:12,563 Well, that's not bad at all. 516 00:30:14,354 --> 00:30:16,272 Good God, it might be it. 517 00:30:17,941 --> 00:30:21,277 - Heinz created this magical concoction 518 00:30:21,278 --> 00:30:24,818 of umami and sweetness and acidity, 519 00:30:24,823 --> 00:30:28,451 sour, tart, all in one. 520 00:30:28,452 --> 00:30:30,786 And it goes with everything. 521 00:30:30,787 --> 00:30:33,077 - Well done, well done. 522 00:30:34,291 --> 00:30:35,831 - Heinz has just invented 523 00:30:35,834 --> 00:30:38,594 a groundbreaking new product but now he has a new problem. 524 00:30:39,671 --> 00:30:41,468 He has to get people to trust it. 525 00:30:41,469 --> 00:30:45,005 At the time, most packaged food products quickly go rancid 526 00:30:45,010 --> 00:30:46,679 or are full of harmful ingredients 527 00:30:46,680 --> 00:30:48,637 so they're often hidden from view. 528 00:30:48,638 --> 00:30:51,518 - In those days, producers would put their products 529 00:30:51,519 --> 00:30:54,185 in barrels or stoneware. 530 00:30:54,186 --> 00:30:57,855 Sometimes they'd use brown glass or green glass bottles. 531 00:30:57,856 --> 00:31:01,316 You couldn't see what was inside the package. 532 00:31:01,318 --> 00:31:03,568 But he knew that if people could see 533 00:31:03,570 --> 00:31:06,864 the purity of his ketchup, they'd buy it. 534 00:31:09,159 --> 00:31:11,409 - In a stroke of brilliance, 535 00:31:11,411 --> 00:31:14,211 Heinz packages his ketchup in clear glass bottles, 536 00:31:15,373 --> 00:31:17,543 one of the first entrepreneurs to let consumers 537 00:31:17,544 --> 00:31:19,542 see his product before they buy it 538 00:31:20,879 --> 00:31:24,299 and the most iconic condiment in the world is born. 539 00:31:25,675 --> 00:31:27,505 - This is the guy who made the greatest ketchup, 540 00:31:27,511 --> 00:31:29,051 that bottle that I see everywhere. 541 00:31:29,054 --> 00:31:30,601 That's a piece of America. 542 00:31:30,602 --> 00:31:33,057 To say Henry Heinz was ahead of his time 543 00:31:33,058 --> 00:31:34,308 is an understatement. 544 00:31:35,727 --> 00:31:37,686 - Henry Heinz was a pioneer in every sense of the word. 545 00:31:37,687 --> 00:31:41,017 In understanding that if you could deliver a product 546 00:31:41,024 --> 00:31:43,071 that had the confidence of the consumer, 547 00:31:43,072 --> 00:31:45,068 you'd really be able create new markets 548 00:31:45,070 --> 00:31:46,908 and new demand for those products 549 00:31:46,909 --> 00:31:49,485 in ways that were unimaginable before. 550 00:31:51,201 --> 00:31:53,201 - Now Heinz has a choice, 551 00:31:53,203 --> 00:31:55,373 play it safe and sell his ketchup locally 552 00:31:56,414 --> 00:31:59,583 or gamble everything on the same strategy of expansion 553 00:31:59,584 --> 00:32:01,924 that drove his last company out of business. 554 00:32:06,424 --> 00:32:08,801 - Alright, this one's all set. 555 00:32:08,802 --> 00:32:09,852 Keep tasting. 556 00:32:14,891 --> 00:32:17,271 Doesn't matter how much you make if it doesn't taste good. 557 00:32:19,396 --> 00:32:22,226 Remember, John takes random samples of every product. 558 00:32:23,275 --> 00:32:24,685 - Meanwhile, Will Kellogg knows 559 00:32:24,693 --> 00:32:27,613 that he and his brother are sitting on a potential goldmine, 560 00:32:29,406 --> 00:32:32,026 and it's about to be exposed to an unexpected threat. 561 00:32:34,452 --> 00:32:37,122 - One, two, three. 562 00:32:38,248 --> 00:32:40,788 One, two, three. 563 00:32:43,753 --> 00:32:45,337 Keep your knees level. 564 00:32:45,338 --> 00:32:48,467 - The Battle Creek Sanitarium has a new patient. 565 00:32:48,468 --> 00:32:50,926 - Head up as you go down. 566 00:32:50,927 --> 00:32:52,967 - A man with a history of business failures 567 00:32:52,971 --> 00:32:57,641 and years of ill health, his name is C. W. Post. 568 00:32:58,643 --> 00:33:01,983 - Charlie Post failed at every business he ever created. 569 00:33:01,984 --> 00:33:05,608 He had what we might call a nervous breakdown. 570 00:33:05,609 --> 00:33:08,649 So, he was a broken man when he came to Battle Creek 571 00:33:08,653 --> 00:33:10,821 to try to regain his health. 572 00:33:10,822 --> 00:33:15,832 But he was too broke to stay at the sanitarium. 573 00:33:18,955 --> 00:33:20,705 - The sanitarium's ground breaking treatments, 574 00:33:20,707 --> 00:33:23,957 including Kellogg's revolutionary granola cereal, 575 00:33:23,960 --> 00:33:28,880 cost as much as $60 a month, more than $2100 today. 576 00:33:33,303 --> 00:33:36,810 So, Post works with Will Kellogg in the sanitarium kitchens, 577 00:33:36,811 --> 00:33:38,806 helping to make the groundbreaking granola, 578 00:33:38,808 --> 00:33:39,848 to earn his keep. 579 00:33:40,852 --> 00:33:42,981 - It was an unknown Trojan horse 580 00:33:42,982 --> 00:33:45,519 letting C. W. Post help cook in the kitchen 581 00:33:50,195 --> 00:33:51,855 - You're a good worker, Mr. Post. 582 00:33:52,864 --> 00:33:53,874 - Thank you, Will. 583 00:33:58,828 --> 00:34:00,498 - Will keeps meticulous records 584 00:34:00,499 --> 00:34:02,206 of every batch of granola, 585 00:34:02,207 --> 00:34:04,957 hoping he can one day convince his brother to sell it 586 00:34:06,211 --> 00:34:08,837 and C. W. Post has a front row seat. 587 00:34:11,216 --> 00:34:13,006 - C. W. Post, being an inventor 588 00:34:13,009 --> 00:34:16,387 and being somebody who loved to tinker, 589 00:34:16,388 --> 00:34:19,888 he was fascinated by Kellogg's cereal. 590 00:34:19,891 --> 00:34:22,061 So naturally he wanted to understand everything 591 00:34:22,062 --> 00:34:24,060 about these health food preparations. 592 00:34:25,689 --> 00:34:29,189 He was just so eager to make his fortune. 593 00:34:32,237 --> 00:34:33,857 - Will's helper is about to become 594 00:34:33,863 --> 00:34:35,243 his most bitter enemy, 595 00:34:37,075 --> 00:34:40,405 igniting a war that will last for two decades. 596 00:34:48,586 --> 00:34:50,706 In the South, health tonics are booming. 597 00:34:50,714 --> 00:34:53,048 Now being marketed as soft drinks, 598 00:34:53,049 --> 00:34:55,089 driven by a growing push against alcohol 599 00:34:55,093 --> 00:34:57,099 called The Temperance Movement. 600 00:34:57,100 --> 00:34:59,255 - You know, the prohibition didn't just hatch. 601 00:34:59,264 --> 00:35:03,100 It really emerged because a lot of American wives 602 00:35:03,101 --> 00:35:05,271 were concerned about the amount of alcohol 603 00:35:05,272 --> 00:35:07,270 their husbands were consuming. 604 00:35:07,272 --> 00:35:09,315 And it was just massive. 605 00:35:11,610 --> 00:35:14,069 - What do you do when you're not going to drink alcohol? 606 00:35:14,070 --> 00:35:16,110 Soda fountains are becoming more and more 607 00:35:16,114 --> 00:35:17,744 and more and more popular. 608 00:35:17,745 --> 00:35:21,076 And people can be social at soda fountains. 609 00:35:22,954 --> 00:35:24,413 - By the late 1800s, 610 00:35:24,414 --> 00:35:26,961 soda fountains are a community staple, 611 00:35:26,962 --> 00:35:28,628 rivaling pubs in popularity, 612 00:35:29,753 --> 00:35:31,633 and they're often located in pharmacies. 613 00:35:33,632 --> 00:35:36,132 But just as Coca-Cola is making its mark, 614 00:35:37,469 --> 00:35:40,639 John Pemberton is suddenly too ill to produce his syrup. 615 00:35:41,806 --> 00:35:44,596 - Coca-Cola was successful locally, 616 00:35:44,601 --> 00:35:47,601 but in the middle of this, Pemberton got sicker. 617 00:35:47,604 --> 00:35:49,980 It turns out he had stomach cancer 618 00:35:49,981 --> 00:35:51,481 and his morphine addiction 619 00:35:51,483 --> 00:35:53,233 had taken a firmer hold than ever. 620 00:35:54,653 --> 00:35:56,278 He needed money. 621 00:36:00,283 --> 00:36:02,618 - In a desperate move, 622 00:36:02,619 --> 00:36:04,909 Pemberton takes out an ad in the local paper, 623 00:36:06,122 --> 00:36:10,501 offering a 50% stake in his business for $2000, 624 00:36:10,502 --> 00:36:13,170 about $50,000 in modern money. 625 00:36:17,175 --> 00:36:19,175 Today, half of the Coca-Cola company 626 00:36:21,346 --> 00:36:24,014 would be worth over 100 billion. 627 00:36:27,352 --> 00:36:30,862 It catches the eye of budding entrepreneurs across the state 628 00:36:30,863 --> 00:36:35,685 including an ambitious rival pharmacist named Asa Candler. 629 00:36:35,694 --> 00:36:36,704 - Asa Candler went to Atlanta 630 00:36:36,705 --> 00:36:39,355 with only a $1.75 in his pocket. 631 00:36:39,364 --> 00:36:43,164 He was constantly on the make looking for a single product 632 00:36:43,165 --> 00:36:45,159 that could make his fortune. 633 00:36:58,091 --> 00:36:59,675 - One minute. 634 00:37:02,721 --> 00:37:04,221 I said one minute. 635 00:37:07,726 --> 00:37:10,185 - Asa Candler, he had tried Coca-Cola 636 00:37:10,186 --> 00:37:12,766 and he thought that it cured his headaches 637 00:37:12,772 --> 00:37:13,900 and that was one reason 638 00:37:13,901 --> 00:37:15,728 he wanted to get ahold of the company. 639 00:37:17,026 --> 00:37:19,396 - You know, a soda fountain up in Alpharetta, 640 00:37:20,739 --> 00:37:23,579 they're selling something that they're calling Coca-Cola. 641 00:37:23,580 --> 00:37:24,865 - Really? 642 00:37:24,868 --> 00:37:27,408 That's funny, I've never been up to Alpharetta. 643 00:37:28,580 --> 00:37:29,749 Unless what you're saying 644 00:37:29,750 --> 00:37:31,248 is my deal with you isn't exclusive. 645 00:37:32,208 --> 00:37:33,588 - Just making conversation. 646 00:37:40,592 --> 00:37:43,092 - It's confusing how many people were involved 647 00:37:43,094 --> 00:37:44,644 in this early chain of title. 648 00:37:45,722 --> 00:37:49,725 Pemberton sold Coca-Cola to a number of different people, 649 00:37:49,726 --> 00:37:54,855 in fact, he'd sold off two-thirds of the company. 650 00:37:54,856 --> 00:37:56,726 - Candler takes his first step 651 00:37:56,733 --> 00:37:58,111 towards untold riches 652 00:37:58,112 --> 00:38:00,569 by buying a piece of Pemberton's Coca-Cola company. 653 00:38:00,570 --> 00:38:02,070 - Best of luck to you. 654 00:38:02,071 --> 00:38:03,781 - But in a new, American industrial age 655 00:38:03,782 --> 00:38:06,620 of ruthless ambition and self made millionaires, 656 00:38:06,621 --> 00:38:09,198 he's not going to stop until he has it all. 657 00:38:29,974 --> 00:38:34,478 Asa Candler owns a piece of the fledgling Coca-Cola brand. 658 00:38:34,479 --> 00:38:39,569 - The Coca-Cola Company, capital T. 659 00:38:40,735 --> 00:38:41,645 - And he immediately buys up 660 00:38:41,653 --> 00:38:43,322 as much of the company as he can 661 00:38:43,323 --> 00:38:45,491 from anyone else who has a stake. 662 00:38:45,492 --> 00:38:47,410 - Candler was a driven hustler, 663 00:38:47,411 --> 00:38:50,658 who was going to succeed no matter what 664 00:38:50,662 --> 00:38:53,832 at something and who wasn't going to stop until he did. 665 00:38:55,333 --> 00:38:57,423 - Coca-Cola's founder, John Pemberton, 666 00:38:57,424 --> 00:38:59,837 still owns a third of the company 667 00:38:59,838 --> 00:39:02,128 and he's the last obstacle in Candler's way. 668 00:39:08,137 --> 00:39:10,097 Across town, 669 00:39:10,098 --> 00:39:13,308 by 1888, Pemberton's family can only watch 670 00:39:13,309 --> 00:39:15,099 as his stomach cancer continues to worsen. 671 00:39:16,479 --> 00:39:19,479 - Candler wanted to get ahold of Coca-Cola 672 00:39:19,482 --> 00:39:23,026 and by the time he wanted to, Pemberton was dying 673 00:39:23,027 --> 00:39:25,197 and had already sold off two-thirds 674 00:39:25,198 --> 00:39:26,696 of The Coca-Cola Company. 675 00:39:35,665 --> 00:39:37,035 - A dying Pemberton has nothing 676 00:39:37,041 --> 00:39:40,801 to leave his wife, Anna Eliza, and his son, Charles, 677 00:39:42,422 --> 00:39:44,552 except the remaining rights to Coca-Cola. 678 00:39:45,592 --> 00:39:48,342 And all the riches they'll someday bring. 679 00:39:54,559 --> 00:39:56,939 By the late 1880s, the United States 680 00:39:56,940 --> 00:39:58,936 is growing exponentially, 681 00:39:58,938 --> 00:40:01,518 and for the first time the nation is linked in a way 682 00:40:01,524 --> 00:40:04,074 that, just decades earlier, was unimaginable. 683 00:40:05,361 --> 00:40:07,071 Thanks to the Transcontinental Railroad. 684 00:40:09,699 --> 00:40:13,076 Now more than 150,000 miles of train track 685 00:40:13,077 --> 00:40:17,414 crisscross the nation, creating a path to one of the biggest 686 00:40:17,415 --> 00:40:20,745 periods of business expansion the country has ever seen, 687 00:40:21,586 --> 00:40:24,006 led by a new breed of pioneer. 688 00:40:27,884 --> 00:40:30,222 Driven by the success of fellow industrialists 689 00:40:30,223 --> 00:40:32,219 like Andrew Carnegie and J. P. Morgan. 690 00:40:32,221 --> 00:40:33,764 - Let's go people. 691 00:40:33,765 --> 00:40:35,474 - Who have pushed expansion the of railroads, 692 00:40:35,475 --> 00:40:37,475 - Thank you sir. 693 00:40:37,477 --> 00:40:39,396 - Henry Heinz has a bold dream 694 00:40:39,397 --> 00:40:41,935 to create a mass produced, national product. 695 00:40:43,650 --> 00:40:47,610 - The iron and steel industry could ship its goods by rail. 696 00:40:47,612 --> 00:40:49,612 The modern oil industry would not have developed 697 00:40:49,614 --> 00:40:51,452 without railroads because tanker cars 698 00:40:51,453 --> 00:40:53,579 carried oil products all across the country. 699 00:40:53,580 --> 00:40:57,616 The same was true for any number of manufactured products. 700 00:40:57,622 --> 00:40:59,122 - Okay, let's keep moving. 701 00:41:00,291 --> 00:41:01,631 We gotta get these orders out. 702 00:41:05,296 --> 00:41:08,256 - Before this period, what you ate in the West 703 00:41:08,257 --> 00:41:09,797 and what you ate in the Northeast 704 00:41:09,801 --> 00:41:13,141 and what you ate in the South was probably very different. 705 00:41:13,142 --> 00:41:16,597 The railroad makes the entire United States 706 00:41:16,599 --> 00:41:18,809 a possible market for packaged food. 707 00:41:19,978 --> 00:41:22,018 - To reach every corner of America, 708 00:41:22,021 --> 00:41:24,109 Heinz needs a factory far more efficient 709 00:41:24,110 --> 00:41:26,477 and powerful than anything that exists. 710 00:41:26,484 --> 00:41:28,824 And that means he has to build it himself. 711 00:41:28,825 --> 00:41:31,610 And as usual, he's thinking big. 712 00:41:31,614 --> 00:41:32,494 - It's perfect. 713 00:41:34,158 --> 00:41:35,408 - That's a lot of money. 714 00:41:36,661 --> 00:41:39,290 Why can't we just rent some place bigger? 715 00:41:39,291 --> 00:41:41,667 - Early factories were actually very primitive. 716 00:41:41,668 --> 00:41:45,335 We think about the modern assembly line and moving parts, 717 00:41:45,336 --> 00:41:50,166 but they were often unsafe, very hot, unsanitary spaces 718 00:41:50,174 --> 00:41:53,176 that didn't have a great deal of efficiency. 719 00:41:53,177 --> 00:41:55,677 It was a room full of people working together 720 00:41:55,680 --> 00:41:58,849 performing certain repetitive tasks. 721 00:41:58,850 --> 00:42:02,019 You didn't have automation to speed that process along. 722 00:42:02,020 --> 00:42:04,358 And in this period thinkers coming up with new ways 723 00:42:04,359 --> 00:42:06,855 to do work that will make it more efficient 724 00:42:06,858 --> 00:42:08,108 and more profitable. 725 00:42:09,027 --> 00:42:10,647 - Let's focus on what works 726 00:42:10,653 --> 00:42:12,533 and not get so far ahead of ourselves. 727 00:42:15,533 --> 00:42:16,953 - You're thinking too small. 728 00:42:18,411 --> 00:42:19,661 We build as big as we can 729 00:42:19,662 --> 00:42:21,502 and then we create the demand for more. 730 00:42:21,503 --> 00:42:24,537 - You'll burn through all of our cash flow. 731 00:42:24,542 --> 00:42:28,045 - People like Heinz are not unlike Rockefeller 732 00:42:28,046 --> 00:42:32,086 and JP Morgan, Ford or any of these other titans. 733 00:42:32,091 --> 00:42:34,885 These are huge American industrialists. 734 00:42:34,886 --> 00:42:36,886 They are the American dream. 735 00:42:37,722 --> 00:42:38,972 - That makes me nervous. 736 00:42:40,224 --> 00:42:42,392 It should make you nervous, too. 737 00:42:45,396 --> 00:42:49,356 - It'll pay off, trust me. 738 00:42:49,358 --> 00:42:50,738 - Heinz's vision is to create 739 00:42:50,739 --> 00:42:52,444 a new kind of factory, 740 00:42:52,445 --> 00:42:55,405 one that will change the course of American industry 741 00:42:55,406 --> 00:42:57,576 and he's risking everything to do it. 742 00:43:02,747 --> 00:43:05,747 Hundreds of miles away, another future mogul 743 00:43:05,750 --> 00:43:07,750 is prepared to do anything to succeed. 744 00:43:22,100 --> 00:43:24,440 C.W. Post is leaving the Battle Creek Sanitarium 745 00:43:35,446 --> 00:43:37,276 and he's taking something with him. 746 00:43:45,832 --> 00:43:47,962 The ideas behind Kellogg's cereal. 747 00:44:01,639 --> 00:44:03,977 Taking square aim at making himself 748 00:44:03,978 --> 00:44:06,725 the founding father of the American breakfast. 749 00:44:16,237 --> 00:44:18,157 In a test kitchen hidden in an old barn, 750 00:44:20,241 --> 00:44:23,291 C.W. Post is working on a revolutionary product 751 00:44:25,580 --> 00:44:28,330 that'll single-handedly reshape the American morning, 752 00:44:30,334 --> 00:44:32,127 breakfast cereal. 753 00:44:32,128 --> 00:44:36,298 - For a family living in a big city, life was pretty hard 754 00:44:36,299 --> 00:44:37,839 because both parents had to work, 755 00:44:37,842 --> 00:44:41,431 often children were working to help support the households. 756 00:44:41,432 --> 00:44:43,138 There was not a lot of spare time. 757 00:44:43,139 --> 00:44:46,349 Fast, quick, easy foods were something 758 00:44:46,350 --> 00:44:48,435 that people were looking for. 759 00:44:51,606 --> 00:44:54,024 - Cereal is promised as bam, 760 00:44:54,025 --> 00:44:57,444 here you can have breakfast in a bowl, just adding milk. 761 00:44:57,445 --> 00:45:01,695 And you have people kind of rethinking what breakfast is. 762 00:45:01,699 --> 00:45:03,489 A total invention, right? 763 00:45:03,492 --> 00:45:05,702 I mean, there's no reason why cereal 764 00:45:05,703 --> 00:45:07,000 should be for breakfast. 765 00:45:07,001 --> 00:45:09,666 It was just invented by American food makers. 766 00:45:09,667 --> 00:45:12,205 - Cereal is quick to make, shelf stable 767 00:45:13,211 --> 00:45:15,211 and a stolen idea. 768 00:45:16,756 --> 00:45:19,546 - For C. W. Post to see what the Kellogg brothers are up to, 769 00:45:19,550 --> 00:45:23,510 then take it back when he leaves and form his own cereal, 770 00:45:23,512 --> 00:45:25,559 I mean, some would call it thievery, 771 00:45:25,560 --> 00:45:29,266 others would call it smart American ingenuity and business. 772 00:45:30,895 --> 00:45:33,725 - To perfect it, Post is adding an ingredient 773 00:45:33,731 --> 00:45:37,071 the man he took it from. Dr. John Kellogg, never would. 774 00:45:38,194 --> 00:45:39,614 - He added in sugar. 775 00:45:40,988 --> 00:45:44,574 So suddenly, it was sweet, it was crunchy, 776 00:45:44,575 --> 00:45:47,075 all of the things that all of the traditional 777 00:45:47,078 --> 00:45:48,868 sanitarium food wasn't. 778 00:45:51,207 --> 00:45:53,667 - He calls his new product 779 00:45:55,294 --> 00:45:57,837 Grape-Nuts. 780 00:45:57,838 --> 00:45:59,756 - It was called Grape-Nuts 781 00:45:59,757 --> 00:46:01,587 because they were using grape sugar 782 00:46:01,592 --> 00:46:05,762 and the sort of nuttiness of the crunchy consistency. 783 00:46:07,223 --> 00:46:10,983 And then, he really began marketing it everywhere. 784 00:46:13,562 --> 00:46:14,771 - I need you to fill this one up. 785 00:46:14,772 --> 00:46:15,982 - Yeah. 786 00:46:17,858 --> 00:46:20,108 - It's the beginning of an American empire 787 00:46:20,111 --> 00:46:22,240 and the opening salvo in what will soon become 788 00:46:22,241 --> 00:46:23,818 a bitter fight with the Kelloggs. 789 00:46:32,039 --> 00:46:34,377 As American industry continues to expand, 790 00:46:34,378 --> 00:46:36,955 a much larger market is starting to emerge. 791 00:46:36,961 --> 00:46:38,549 By the end of the 19th century, 792 00:46:38,550 --> 00:46:40,255 the Transcontinental Railroad creates 793 00:46:40,256 --> 00:46:42,756 an unprecedented means of distribution. 794 00:46:42,758 --> 00:46:45,298 - If you are producing something in Pittsburgh 795 00:46:45,303 --> 00:46:47,141 and you wanted to sell it in New York, 796 00:46:47,142 --> 00:46:49,218 before railroads, typically what you would do, 797 00:46:49,223 --> 00:46:51,311 was ship it all the way down the Ohio river, 798 00:46:51,312 --> 00:46:53,809 down the Mississippi, through the Gulf of Mexico 799 00:46:53,811 --> 00:46:56,021 and up the Atlantic Coast to New York. 800 00:46:57,231 --> 00:46:59,571 Railroads allowed you to move things swiftly 801 00:46:59,572 --> 00:47:01,397 and inexpensively. 802 00:47:05,406 --> 00:47:07,486 - New opportunities create the possibility 803 00:47:07,491 --> 00:47:11,951 of untold wealth for those bold enough to claim it. 804 00:47:13,414 --> 00:47:15,714 Leading a new wave of American entrepreneurship, 805 00:47:16,792 --> 00:47:18,632 Henry Heinz is determined to cash in, 806 00:47:20,338 --> 00:47:22,668 investing all his profits into a sprawling 807 00:47:22,673 --> 00:47:26,343 17 building complex 808 00:47:26,344 --> 00:47:28,854 with direct access to all major rail lines. 809 00:47:32,183 --> 00:47:34,980 But his boldest gambit yet is his plan to infuse it 810 00:47:34,981 --> 00:47:38,146 with a new technology that has yet to be fully harnessed. 811 00:47:40,816 --> 00:47:43,566 In the 1890s, factories are powered by coal, 812 00:47:43,569 --> 00:47:46,488 and lit by candles or kerosene lamps. 813 00:47:46,489 --> 00:47:50,199 In 1893, George Westinghouse lights the Chicago World's Fair 814 00:47:50,201 --> 00:47:53,001 with a new technology that is still virtually unknown 815 00:47:53,002 --> 00:47:54,495 to most Americans. 816 00:47:57,083 --> 00:47:58,133 It's electricity. 817 00:48:00,086 --> 00:48:02,296 And Heinz wants it, at all costs. 818 00:48:03,464 --> 00:48:05,264 - It's a lot of money to spend on technology 819 00:48:05,265 --> 00:48:08,717 that may not even, may not even be around in a few years. 820 00:48:10,179 --> 00:48:13,098 - We're wiring this factory starting today. 821 00:48:13,099 --> 00:48:16,434 If this is the future, I need it. 822 00:48:23,692 --> 00:48:25,362 - Heinz is determined to become the first 823 00:48:25,363 --> 00:48:28,199 to power his entire factory using electricity 824 00:48:28,200 --> 00:48:30,827 years before any other major industrialist. 825 00:48:32,201 --> 00:48:33,741 - There were some people who thought that electricity 826 00:48:33,744 --> 00:48:35,582 was uncomfortably close to magic 827 00:48:35,583 --> 00:48:37,958 because things would happen invisibly. 828 00:48:37,959 --> 00:48:40,077 They couldn't see the forces at work. 829 00:48:40,084 --> 00:48:41,381 And, of course, if you touch it 830 00:48:41,382 --> 00:48:43,127 and got electrocuted that made everything 831 00:48:43,129 --> 00:48:44,629 more like black magic. 832 00:48:44,630 --> 00:48:48,508 In fact, electricity was far safer than kerosene lanterns 833 00:48:48,509 --> 00:48:50,885 or candles or anything like that. 834 00:48:50,886 --> 00:48:52,426 - If he can pull it off, 835 00:48:52,430 --> 00:48:55,518 he'll be ushering in a new era of American industry, 836 00:48:55,519 --> 00:48:56,976 but he's already failed once 837 00:48:59,895 --> 00:49:01,605 and this is his last shot. 838 00:49:08,112 --> 00:49:10,822 - The Lord is my shepherd. 839 00:49:10,823 --> 00:49:11,951 I shall not want. 840 00:49:11,952 --> 00:49:13,489 - Hundreds of miles away, 841 00:49:13,492 --> 00:49:17,162 John Pemberton's battle with stomach cancer is over. 842 00:49:17,163 --> 00:49:21,458 On August 16th, 1888, the inventor of Coca-Cola 843 00:49:21,459 --> 00:49:23,334 is laid to rest. 844 00:49:23,335 --> 00:49:26,545 - No one really thinks about Doc Pemberton. 845 00:49:26,547 --> 00:49:29,837 I don't think anybody even knows who Doc Pemberton is. 846 00:49:29,842 --> 00:49:34,762 And it is so sad because this man really created the recipe, 847 00:49:34,763 --> 00:49:37,979 tried his whole life to come up with this formula, 848 00:49:37,980 --> 00:49:41,225 and he never really saw what it was going to become. 849 00:49:42,146 --> 00:49:43,266 - The Coca-Cola brand 850 00:49:43,272 --> 00:49:44,901 is more vulnerable than ever 851 00:49:44,902 --> 00:49:47,689 and Asa Candler sees the opportunity to strike. 852 00:49:47,693 --> 00:49:50,862 - Mrs. Pemberton, my name is Asa Candler. 853 00:49:50,863 --> 00:49:53,701 I was a business associate of your late husband. 854 00:49:53,702 --> 00:49:56,328 - Is there something I can help you with? 855 00:49:56,329 --> 00:49:57,657 I don't believe we've met. 856 00:49:58,704 --> 00:50:01,789 I'm Charles, John's son. 857 00:50:01,790 --> 00:50:03,580 - I'm sorry, listen I can help you. 858 00:50:05,669 --> 00:50:08,129 Your father left expenses behind. 859 00:50:08,130 --> 00:50:09,090 You have a family to look after. 860 00:50:09,091 --> 00:50:10,629 Look, I can pay you in cash. 861 00:50:10,633 --> 00:50:12,342 - Pay me for what? 862 00:50:12,343 --> 00:50:15,970 - I'll give you $300, right now, today, 863 00:50:15,971 --> 00:50:17,391 for the rights to Coca-Cola. 864 00:50:21,185 --> 00:50:24,895 - 300 for me, and another 300 for my mother. 865 00:50:31,403 --> 00:50:33,033 - Then it's a deal. 866 00:50:34,406 --> 00:50:37,536 - Asa Candler was determined to get hold of Coca-Cola, 867 00:50:37,537 --> 00:50:39,445 and he did it by hook or by crook. 868 00:50:39,453 --> 00:50:43,414 Supposedly, he approached Pemberton's widow at his funeral 869 00:50:43,415 --> 00:50:46,745 and persuaded her to sell him the brand 870 00:50:46,752 --> 00:50:48,342 for a very small amount of money. 871 00:50:48,343 --> 00:50:52,087 So, it was really quite, quite an amazing story. 872 00:50:53,759 --> 00:50:56,969 - In an era before products are sold nationally, 873 00:50:56,971 --> 00:50:59,180 Asa Candler is determined to dominate Atlanta 874 00:50:59,181 --> 00:51:00,601 like Pemberton never could, 875 00:51:02,059 --> 00:51:05,436 not yet realizing that he'll someday dominate the globe. 876 00:51:20,202 --> 00:51:21,292 - America is approaching 877 00:51:21,293 --> 00:51:23,037 the turn of the 20th century, 878 00:51:23,038 --> 00:51:25,418 and a new breed of ambitious self-made man 879 00:51:25,419 --> 00:51:28,206 is leading a technological revolution. 880 00:51:28,210 --> 00:51:31,048 Yet the world has almost no factories with all lights 881 00:51:31,049 --> 00:51:34,126 and machinery completely powered by electricity, 882 00:51:35,217 --> 00:51:36,087 until now. 883 00:51:39,430 --> 00:51:43,640 In 1898, after 8 costly years of construction, 884 00:51:43,642 --> 00:51:45,939 Henry Heinz's fully-electrified factory 885 00:51:45,940 --> 00:51:49,566 is finally about to be powered on for the very first time. 886 00:51:49,567 --> 00:51:53,395 Outpacing Andrew Carnegie and JP Morgan's US Steel 887 00:51:53,402 --> 00:51:55,152 by nearly a decade. 888 00:51:56,614 --> 00:51:58,911 - One way to understand how committed H. J. Heinz was 889 00:51:58,912 --> 00:52:02,157 to being an innovator is that he was willing to take a leap 890 00:52:02,161 --> 00:52:04,120 into the future and bring in electricity 891 00:52:04,121 --> 00:52:06,456 at a time when people were still scared. 892 00:52:06,457 --> 00:52:08,127 I mean, even the president of the United States 893 00:52:08,128 --> 00:52:09,785 was scared to turn on the light switch 894 00:52:09,793 --> 00:52:12,093 when the white house was electrified. 895 00:52:24,600 --> 00:52:26,479 - With a flip of a switch, 896 00:52:26,480 --> 00:52:29,856 Henry Heinz has kickstarted an era of industrial progress 897 00:52:29,857 --> 00:52:32,935 the likes of which the world has never seen before. 898 00:52:32,941 --> 00:52:35,320 - The fact that Heinz said bring this in. 899 00:52:35,321 --> 00:52:36,609 It's the wave of the future. 900 00:52:36,612 --> 00:52:37,572 It's just amazing. 901 00:52:37,573 --> 00:52:39,371 That was a big step forward. 902 00:52:41,950 --> 00:52:43,370 Electricity allows Heinz 903 00:52:43,371 --> 00:52:44,829 to fully realize his next, 904 00:52:44,830 --> 00:52:47,408 and perhaps most important innovation, 905 00:52:47,414 --> 00:52:49,457 the continuous flow system. 906 00:52:51,168 --> 00:52:55,008 Known today as the assembly line. 907 00:52:57,424 --> 00:52:59,394 Heinz pioneers a system where an electric ceiling crane 908 00:52:59,395 --> 00:53:01,594 and trolley brings ingredients to a series of chutes 909 00:53:01,595 --> 00:53:04,845 and conveyors that move products through his factory, 910 00:53:04,848 --> 00:53:07,477 allowing workers to perform one simple task 911 00:53:07,478 --> 00:53:08,516 over and over again 912 00:53:09,645 --> 00:53:11,975 - If you're making lots of one thing, 913 00:53:11,980 --> 00:53:14,065 if you can make that absolutely identically 914 00:53:14,066 --> 00:53:15,566 then you can make it at a lower cost. 915 00:53:15,567 --> 00:53:17,696 If the individual workers can get more competent, 916 00:53:17,697 --> 00:53:20,315 can get faster at the production process 917 00:53:20,322 --> 00:53:22,910 you could make their work more efficient. 918 00:53:22,911 --> 00:53:25,868 This is the first step toward mass production. 919 00:53:25,869 --> 00:53:27,159 - The continuous flow system 920 00:53:27,162 --> 00:53:28,832 is decades ahead of its time, 921 00:53:28,833 --> 00:53:32,629 and it will go on to inspire innovations in other industries 922 00:53:32,630 --> 00:53:35,706 that will change every aspect of American life. 923 00:53:35,713 --> 00:53:40,091 - Before Henry Ford had an assembly line for his Model T's, 924 00:53:40,092 --> 00:53:43,845 H.J. Heinz had an assembly line for food. 925 00:53:43,846 --> 00:53:45,556 He was a pioneer. 926 00:53:46,432 --> 00:53:49,561 - Really what you have here is Ford learning from 927 00:53:49,562 --> 00:53:52,939 and adopting the technology, that had been applied earlier. 928 00:53:52,940 --> 00:53:55,188 Heinz was a genius among geniuses 929 00:53:55,190 --> 00:53:57,775 when it came to automation. 930 00:53:57,776 --> 00:53:59,026 - Increased factory output 931 00:53:59,027 --> 00:54:01,987 helps fuel the creation of a national market. 932 00:54:01,989 --> 00:54:06,029 - If there's a single secret to America's rise 933 00:54:06,034 --> 00:54:09,082 to the position of world dominance economically 934 00:54:09,083 --> 00:54:11,998 it was the fact that it had this single market 935 00:54:11,999 --> 00:54:14,584 where by the end of the 19th century 936 00:54:14,585 --> 00:54:16,415 a factory in Pittsburgh, 937 00:54:16,420 --> 00:54:19,759 could produce enough to serve the entire national market. 938 00:54:19,760 --> 00:54:21,337 - Within two years, 939 00:54:21,341 --> 00:54:24,141 Heinz overtakes Carnegie Steel as one of the fastest growing 940 00:54:24,142 --> 00:54:25,966 companies in the country. 941 00:54:25,971 --> 00:54:29,560 And a few short years later he is worth 20 million dollars, 942 00:54:29,561 --> 00:54:31,188 over half a billion today. 943 00:54:32,561 --> 00:54:37,361 But success puts a target squarely on his back. 944 00:54:40,068 --> 00:54:43,358 Other food manufacturers are quick to follow his lead. 945 00:54:44,990 --> 00:54:49,368 By 1899 sales of, C. W. Post's Grape-Nuts skyrocket, 946 00:54:49,369 --> 00:54:50,578 and he invests in a factory 947 00:54:50,579 --> 00:54:53,329 to ship his product coast to coast. 948 00:54:55,000 --> 00:54:57,170 The idea of a national market is still new. 949 00:54:58,587 --> 00:55:01,417 And since state governments usually regulate commerce, 950 00:55:01,423 --> 00:55:03,683 there are no rules in place to oversee it. 951 00:55:05,177 --> 00:55:07,757 - There was no limit on advertising. 952 00:55:07,763 --> 00:55:11,307 And so you have all these products that are promised 953 00:55:11,308 --> 00:55:12,848 to save people from everything, 954 00:55:12,851 --> 00:55:15,811 from indigestion to headaches. 955 00:55:15,812 --> 00:55:18,652 And there's no boundaries on what they can promise. 956 00:55:18,653 --> 00:55:20,525 There was no regulation. 957 00:55:22,903 --> 00:55:25,159 - C. W. Post takes full advantage, 958 00:55:25,160 --> 00:55:27,615 marketing his cereal as a miracle cure. 959 00:55:32,371 --> 00:55:34,371 - He would put out ads that claimed 960 00:55:34,373 --> 00:55:35,673 that they would cure everything 961 00:55:35,674 --> 00:55:40,166 from appendicitis to impotence. 962 00:55:40,170 --> 00:55:45,220 He said anything and everything that could sell a product. 963 00:55:46,802 --> 00:55:50,221 - Soon, copycat brands pop up by the dozen. 964 00:55:50,222 --> 00:55:51,972 Like Post, all of them capitalize 965 00:55:51,974 --> 00:55:54,690 on the Battle Creek Sanitarium's reputation, 966 00:55:54,691 --> 00:55:56,895 many of them making outrageous claims. 967 00:55:58,021 --> 00:55:59,651 - You know, when you patent a food product, 968 00:55:59,652 --> 00:56:00,898 if you're stealing that idea 969 00:56:00,899 --> 00:56:04,569 and you change one part of that recipe 970 00:56:04,570 --> 00:56:06,610 you're not infringing on the patent. 971 00:56:06,613 --> 00:56:08,573 By the turn of the century, 972 00:56:08,574 --> 00:56:10,084 there were more than a hundred different 973 00:56:10,085 --> 00:56:12,735 cereal companies in Battle Creek. 974 00:56:16,915 --> 00:56:18,415 - Will Kellogg is desperate to enter the fight 975 00:56:18,417 --> 00:56:20,417 to compete with imitators 976 00:56:20,419 --> 00:56:23,169 but his older brother, John, still stands in his way. 977 00:56:23,171 --> 00:56:24,671 - Look, another one. 978 00:56:24,673 --> 00:56:26,342 They're all making money hand over fist, 979 00:56:26,343 --> 00:56:28,551 and none are even half as big as Post. 980 00:56:28,552 --> 00:56:30,094 - If you have a point, make it. 981 00:56:30,095 --> 00:56:31,755 - Give me one good reason why we shouldn't 982 00:56:31,763 --> 00:56:33,598 be making stacks of money off this. 983 00:56:33,599 --> 00:56:34,389 I'll do everything. 984 00:56:34,391 --> 00:56:35,431 I'll oversee everything. 985 00:56:35,434 --> 00:56:36,394 You won't have to lift a finger. 986 00:56:36,395 --> 00:56:37,983 - You're not capable! 987 00:56:39,438 --> 00:56:42,518 The only reason you work here is because you're my brother. 988 00:56:42,524 --> 00:56:44,194 So don't come whining to me 989 00:56:44,195 --> 00:56:46,611 if you're unhappy with your job. 990 00:56:48,739 --> 00:56:51,198 - The doctor was really designing theirs products 991 00:56:51,199 --> 00:56:55,286 for their patients, not for the mass market. 992 00:56:55,287 --> 00:56:58,747 The Battle Creek Sanitarium was John Harvey Kellogg's baby 993 00:56:58,749 --> 00:57:00,916 and he protected it fiercely. 994 00:57:00,917 --> 00:57:03,457 And that drove Will Kellogg quite mad. 995 00:57:09,885 --> 00:57:13,135 - Then a simple mistake changes everything 996 00:57:17,309 --> 00:57:18,728 - Good morning. 997 00:57:18,729 --> 00:57:21,727 - Did you mean to leave that out last night? 998 00:57:21,730 --> 00:57:22,610 - Shoot. 999 00:57:26,777 --> 00:57:28,397 Help me roll this out. 1000 00:57:28,403 --> 00:57:29,743 - To try and salvage a batch 1001 00:57:29,744 --> 00:57:32,448 of wheat cereal dough left out overnight, 1002 00:57:32,449 --> 00:57:34,449 Will decides to roll it out anyway. 1003 00:57:37,454 --> 00:57:41,165 The result is a flake. 1004 00:57:42,084 --> 00:57:44,752 - Well that's a first. 1005 00:57:47,631 --> 00:57:50,801 - This creation was an accident, an accident! 1006 00:57:52,135 --> 00:57:54,345 - It'll someday generate over 13 billion dollars 1007 00:57:54,346 --> 00:57:55,636 in revenue per year. 1008 00:57:57,099 --> 00:58:00,479 And it's a brand new weapon in the fight against Post. 1009 00:58:19,830 --> 00:58:22,460 Will Kellogg has spent years watching food titans 1010 00:58:22,461 --> 00:58:24,747 like C. W. Post make a killing. 1011 00:58:26,586 --> 00:58:28,045 Now, he's stumbled on a new weapon 1012 00:58:28,046 --> 00:58:31,336 he can use against his rival, 1013 00:58:31,341 --> 00:58:32,801 the cereal flake. 1014 00:58:33,635 --> 00:58:35,135 - Well, that's a first. 1015 00:58:35,137 --> 00:58:38,267 - This creation was an accident, an accident! 1016 00:58:40,142 --> 00:58:43,561 You stop and you think, what if they just disposed of it? 1017 00:58:43,562 --> 00:58:46,312 What if they didn't force their way through the crank? 1018 00:58:46,314 --> 00:58:49,734 And the thing that I think is so fantastic, 1019 00:58:49,735 --> 00:58:51,145 is you never know where 1020 00:58:51,153 --> 00:58:53,493 that moment of inspiration is gonna strike. 1021 00:58:57,701 --> 00:58:59,748 - To produce flakes, dough is boiled, 1022 00:58:59,749 --> 00:59:01,825 left out to ferment for several hours, 1023 00:59:01,830 --> 00:59:04,668 and then compressed through rollers into thin sheets. 1024 00:59:04,669 --> 00:59:05,916 Those sheets are baked, 1025 00:59:05,917 --> 00:59:08,247 and naturally flake off when scraped. 1026 00:59:13,425 --> 00:59:16,175 - Flake cereal was very popular. 1027 00:59:16,178 --> 00:59:18,554 It was remarkably welcomed 1028 00:59:18,555 --> 00:59:21,305 by people who ate at the sanitarium. 1029 00:59:21,308 --> 00:59:23,434 It was a eureka-like moment. 1030 00:59:23,435 --> 00:59:25,515 - The first flakes are made with wheat, 1031 00:59:25,520 --> 00:59:28,898 but Will begins experimenting with other grains 1032 00:59:28,899 --> 00:59:32,568 until the first Kellogg's corn flake is born. 1033 00:59:37,699 --> 00:59:41,039 - Will Kellogg hated Charlie Post for stealing his ideas 1034 00:59:41,953 --> 00:59:46,415 and he knew he had a better product than Grape-Nuts. 1035 00:59:46,416 --> 00:59:49,376 He could see in the dining room 1036 00:59:49,377 --> 00:59:52,337 how much people enjoyed eating flake cereal. 1037 00:59:53,423 --> 00:59:55,973 He kept track of people who wronged him 1038 00:59:55,974 --> 00:59:57,967 and he would strike back. 1039 01:00:00,096 --> 01:00:02,266 - Will Kellogg has watched Post make millions 1040 01:00:02,267 --> 01:00:04,635 selling ideas he stole from the sanitarium. 1041 01:00:06,812 --> 01:00:09,982 He may finally have a cereal that can put Post in his place, 1042 01:00:09,983 --> 01:00:11,901 if he can bring it to market. 1043 01:00:19,825 --> 01:00:22,785 In Atlanta, Asa Candler dreams of owning 1044 01:00:22,786 --> 01:00:24,326 the first national soft drink. 1045 01:00:25,413 --> 01:00:27,083 He ramps up production on Coca-Cola 1046 01:00:27,084 --> 01:00:29,962 using a clever strategy to expand quickly and cheaply, 1047 01:00:31,002 --> 01:00:32,882 an early form of franchising. 1048 01:00:34,297 --> 01:00:35,506 - These need to be on the first shipment 1049 01:00:35,507 --> 01:00:36,627 out tomorrow morning. 1050 01:00:37,592 --> 01:00:38,676 Do you hear me? 1051 01:00:38,677 --> 01:00:39,927 - Yes, sir. 1052 01:00:39,928 --> 01:00:41,258 - Candler sells his syrup 1053 01:00:41,263 --> 01:00:43,519 to independent distributors across the country 1054 01:00:43,520 --> 01:00:46,515 who mix and bottle it in their own factories, 1055 01:00:46,518 --> 01:00:49,768 spreading Coca-Cola at no cost to Candler. 1056 01:00:52,816 --> 01:00:56,436 Soon, coke is so popular Candler opens syrup factories 1057 01:00:56,444 --> 01:00:59,574 in Dallas, Chicago, Baltimore and Los Angeles. 1058 01:01:00,615 --> 01:01:02,155 - This is going to be great. 1059 01:01:02,158 --> 01:01:04,868 You know I haven't been to Texas since I was a kid. 1060 01:01:04,870 --> 01:01:06,290 I hear Dallas is a real jewel. 1061 01:01:06,291 --> 01:01:08,078 - Certainly is. 1062 01:01:08,081 --> 01:01:10,457 - Should we sit down in let's say two weeks? 1063 01:01:10,458 --> 01:01:11,328 - Sounds good. 1064 01:01:11,334 --> 01:01:12,384 - Looking forward to it. 1065 01:01:12,385 --> 01:01:13,417 - All right. 1066 01:01:15,547 --> 01:01:18,047 - Coke is a company way ahead of its time. 1067 01:01:18,049 --> 01:01:20,839 It's a company that basically is lean 1068 01:01:20,844 --> 01:01:23,724 from the very beginning, doesn't have a lot of factories, 1069 01:01:23,725 --> 01:01:27,057 doesn't have a lot of fixed costs to it. 1070 01:01:27,058 --> 01:01:29,388 And once it sort of reaches out across the South 1071 01:01:29,394 --> 01:01:30,853 as a regional product, 1072 01:01:30,854 --> 01:01:32,774 it quickly becomes a national product. 1073 01:01:34,941 --> 01:01:36,741 - Candler also tweaks the recipe, 1074 01:01:36,742 --> 01:01:39,695 removing one of John Pemberton's key ingredients. 1075 01:01:39,696 --> 01:01:43,656 - Asa Candler very quietly hired a chemical company 1076 01:01:43,658 --> 01:01:45,948 to decocainize it in 1903. 1077 01:01:45,952 --> 01:01:48,829 And since then virtually no cocaine 1078 01:01:48,830 --> 01:01:51,830 has been in Coca-Cola since 1903. 1079 01:01:51,833 --> 01:01:54,752 It still does contain decocainized 1080 01:01:54,753 --> 01:01:57,338 coca leaf extracts, to this day. 1081 01:01:57,339 --> 01:02:01,216 Coca-Cola is the source of legal importation 1082 01:02:01,217 --> 01:02:04,007 of whole coca leaf, the only legal importation 1083 01:02:04,012 --> 01:02:05,932 of whole coca leaf into this country. 1084 01:02:07,349 --> 01:02:09,599 By 1901 Coca-Cola's distributors 1085 01:02:09,601 --> 01:02:12,436 produce over 500,000 barrels a year, 1086 01:02:12,437 --> 01:02:14,437 bringing in a million dollars in revenue, 1087 01:02:14,439 --> 01:02:16,069 more than thirty million today. 1088 01:02:23,114 --> 01:02:27,576 By 1905, the Heinz Company profits top 11 million, 1089 01:02:27,577 --> 01:02:29,907 more than 300 million today. 1090 01:02:29,913 --> 01:02:31,253 But Heinz has a problem. 1091 01:02:32,207 --> 01:02:34,287 - Let's go, gentlemen, let's go. 1092 01:02:34,292 --> 01:02:35,250 Move it. 1093 01:02:35,251 --> 01:02:36,091 There we go. 1094 01:02:36,092 --> 01:02:37,956 Careful, gentlemen, careful. 1095 01:02:37,963 --> 01:02:39,973 I know it's heavy but let's be careful. 1096 01:02:41,675 --> 01:02:43,634 - Now, competitors are multiplying, 1097 01:02:43,635 --> 01:02:46,465 not only stealing his ideas but undercutting his product 1098 01:02:46,471 --> 01:02:48,721 by using cheap, dangerous fillers 1099 01:02:48,723 --> 01:02:50,483 and there's no law against it. 1100 01:02:52,435 --> 01:02:56,055 - This is really sort of the wild west of food laws 1101 01:02:56,064 --> 01:02:59,404 because there was almost no regulation whatsoever. 1102 01:03:01,236 --> 01:03:04,696 You could say that your food was pure 1103 01:03:04,698 --> 01:03:06,824 and sanitary and it wasn't. 1104 01:03:06,825 --> 01:03:09,825 So the cleanliness and additives of food 1105 01:03:09,828 --> 01:03:13,118 are really being called into question on a national scale. 1106 01:03:14,290 --> 01:03:16,330 - His competitors tried to undercut him 1107 01:03:16,334 --> 01:03:19,924 by providing food with fillers and preservatives. 1108 01:03:22,173 --> 01:03:24,553 He always kept an eye on the bottom line 1109 01:03:24,554 --> 01:03:27,177 and he knew that he had to fight them. 1110 01:03:27,178 --> 01:03:30,768 - Other producers were using the same kind of glass bottles 1111 01:03:30,769 --> 01:03:32,845 that he was using so he bought 1112 01:03:32,851 --> 01:03:35,519 all the glass bottles in Pittsburgh. 1113 01:03:35,520 --> 01:03:37,229 He used what he could, 1114 01:03:37,230 --> 01:03:39,400 everything else he put on a barge, 1115 01:03:39,401 --> 01:03:42,778 shoved it out into the Allegheny river and sank it. 1116 01:03:42,779 --> 01:03:44,647 He literally sank the competition. 1117 01:03:44,654 --> 01:03:48,574 Nobody else had any jars or bottles to put their product in. 1118 01:03:48,575 --> 01:03:50,784 - Heinz can't fight imitators in every market 1119 01:03:50,785 --> 01:03:53,285 so he devises another shrewd plan to strike back. 1120 01:03:54,372 --> 01:03:55,789 He'll outwit his foes 1121 01:03:55,790 --> 01:03:58,250 by using the new movement called Progressivism. 1122 01:04:00,420 --> 01:04:03,130 - The Progressive Era is a moment in American history 1123 01:04:03,131 --> 01:04:04,631 where reformers start to take 1124 01:04:04,632 --> 01:04:06,970 a critical look at American society 1125 01:04:06,971 --> 01:04:09,468 in the hopes of going after all the social ills 1126 01:04:09,471 --> 01:04:11,809 that are undermining its republican values. 1127 01:04:11,810 --> 01:04:14,136 One of the politicians to benefit from this 1128 01:04:14,142 --> 01:04:17,311 is Teddy Roosevelt, who had come from New York 1129 01:04:17,312 --> 01:04:21,148 and really built a political career as a Progressive, 1130 01:04:21,149 --> 01:04:23,319 positioning himself as someone who is concerned 1131 01:04:23,320 --> 01:04:25,736 about these types of reforms. 1132 01:04:25,737 --> 01:04:27,656 - In 1904, Teddy Roosevelt 1133 01:04:27,657 --> 01:04:31,115 rides a Progressive wave to a second term in office, 1134 01:04:31,117 --> 01:04:34,077 selling himself as an enemy of big business monopolies 1135 01:04:34,079 --> 01:04:35,619 and a champion of worker's rights 1136 01:04:35,622 --> 01:04:37,672 and increased federal regulations. 1137 01:04:40,168 --> 01:04:41,958 - Send this to Dr. Harvey Willey, 1138 01:04:41,961 --> 01:04:43,921 Federal Bureau of Chemistry. 1139 01:04:43,922 --> 01:04:45,382 That's all for now, thank you. 1140 01:04:46,633 --> 01:04:48,183 - Almost 30 years after he created 1141 01:04:48,184 --> 01:04:51,176 a new ketchup to combat the taste of spoiled meat, 1142 01:04:51,179 --> 01:04:53,767 Heinz plans to lobby for new food safety regulations 1143 01:04:53,768 --> 01:04:56,675 that will turn his competitors into criminals. 1144 01:04:58,436 --> 01:05:01,516 - Is that the last barrel for the Philadelphia shipment? 1145 01:05:01,523 --> 01:05:02,403 Excellent. 1146 01:05:03,858 --> 01:05:05,898 - In the process, he'll also pressure test 1147 01:05:05,902 --> 01:05:09,154 his 28 year old son Howard, a recent Yale grad, 1148 01:05:09,155 --> 01:05:10,815 with a chemistry degree. 1149 01:05:13,701 --> 01:05:14,831 - Good to see you, Father. 1150 01:05:14,832 --> 01:05:16,448 - Good to see you! 1151 01:05:16,454 --> 01:05:17,621 Come on in side. 1152 01:05:17,622 --> 01:05:18,712 There are things I would like to show you. 1153 01:05:22,669 --> 01:05:24,169 - Since he was a child, 1154 01:05:26,089 --> 01:05:29,009 Howard has been groomed to take over his father's company. 1155 01:05:32,637 --> 01:05:34,597 Now, he must prove he's ready. 1156 01:05:36,641 --> 01:05:39,351 - I have a job for you that I wanted to discuss in person. 1157 01:05:40,979 --> 01:05:42,148 I need you to go to D. C. 1158 01:05:42,149 --> 01:05:44,017 and fight for the future of this company. 1159 01:05:44,858 --> 01:05:46,066 - I'm ready. 1160 01:05:46,067 --> 01:05:47,817 - Heinz sends his son to address 1161 01:05:47,819 --> 01:05:49,989 the government commission on food safety 1162 01:05:49,990 --> 01:05:51,608 convened by President Roosevelt, 1163 01:05:52,615 --> 01:05:55,825 his task, use the commission to hobble his enemies. 1164 01:05:55,827 --> 01:05:58,327 - I wouldn't ask you to do this if I didn't believe in you. 1165 01:06:05,545 --> 01:06:07,205 Don't let me down. 1166 01:06:15,221 --> 01:06:17,141 - By 1905 packaged foods 1167 01:06:17,142 --> 01:06:19,769 are an established part of American life, 1168 01:06:19,770 --> 01:06:22,977 with brands like HEINZ, Post and Coca-Cola leading the way. 1169 01:06:24,397 --> 01:06:26,977 But the food industry has grown so big, so fast, 1170 01:06:26,983 --> 01:06:29,780 that there's no regulation in place to protect consumers 1171 01:06:29,781 --> 01:06:32,657 from false advertising and harmful additives. 1172 01:06:34,407 --> 01:06:36,657 - For most Americans in the 19th century, 1173 01:06:36,659 --> 01:06:38,409 there was generally a belief 1174 01:06:38,411 --> 01:06:41,161 that the things that occurred in daily life 1175 01:06:41,164 --> 01:06:45,000 were best dealt with by states and local governments. 1176 01:06:45,001 --> 01:06:47,841 Food production companies that were producing 1177 01:06:47,842 --> 01:06:49,627 for a national market, 1178 01:06:49,631 --> 01:06:52,178 whose operations spanned across several states 1179 01:06:52,179 --> 01:06:54,835 they were beyond the control of any state. 1180 01:06:54,844 --> 01:06:57,310 It hadn't occurred to them that they needed 1181 01:06:57,311 --> 01:06:59,175 the federal government to step in 1182 01:06:59,182 --> 01:07:01,934 and improve their daily lives. 1183 01:07:05,355 --> 01:07:07,605 - But Henry Heinz sees a competitive advantage 1184 01:07:07,607 --> 01:07:09,187 in the federal regulation of food 1185 01:07:11,861 --> 01:07:15,280 and sends his son Howard to Washington to lobby for it. 1186 01:07:33,049 --> 01:07:34,679 - I'm told you're a whiskey man. 1187 01:07:40,682 --> 01:07:42,479 Both of these glasses contain whiskey 1188 01:07:42,480 --> 01:07:44,885 you can find on the shelves of any liquor store. 1189 01:07:45,853 --> 01:07:47,863 One is pure, top-shelf bourbon. 1190 01:07:49,148 --> 01:07:50,898 The other is cut with methanol, 1191 01:07:50,900 --> 01:07:52,740 the main ingredient in formaldehyde. 1192 01:07:52,741 --> 01:07:53,895 The question is, 1193 01:07:57,573 --> 01:07:59,033 can you tell the difference? 1194 01:08:03,204 --> 01:08:05,163 Take your time, swirl them around, smell them, 1195 01:08:05,164 --> 01:08:06,832 do whatever you'd like. 1196 01:08:21,222 --> 01:08:22,892 - That's the pure whiskey. 1197 01:08:24,851 --> 01:08:26,601 - Sure enough to drink it? 1198 01:08:36,446 --> 01:08:38,446 - Okay, you've made your point. 1199 01:08:39,782 --> 01:08:41,120 - The truth is people are forced 1200 01:08:41,121 --> 01:08:42,737 to make this decision every day. 1201 01:08:45,580 --> 01:08:48,040 Only they don't know they're making it. 1202 01:08:49,959 --> 01:08:52,377 - I'll take it to the president. 1203 01:08:52,378 --> 01:08:54,588 - Thank you, sir. 1204 01:08:55,923 --> 01:08:58,133 - Thanks in large part to Heinz's efforts, 1205 01:08:58,134 --> 01:09:00,264 President Theodore Roosevelt throws his support 1206 01:09:00,265 --> 01:09:01,801 behind the initiative. 1207 01:09:05,141 --> 01:09:08,641 - We trust the companies that give us our food 1208 01:09:08,644 --> 01:09:10,896 without knowing very much at all 1209 01:09:10,897 --> 01:09:12,767 about how they're getting it to us. 1210 01:09:12,774 --> 01:09:14,284 We trust them implicitly. 1211 01:09:14,285 --> 01:09:18,145 Sometimes I think too much, because we don't question. 1212 01:09:18,154 --> 01:09:20,574 Most of us don't even read the labels. 1213 01:09:23,326 --> 01:09:26,326 - On June 23rd, 1906, 1214 01:09:26,329 --> 01:09:28,999 the Pure Food and Drug Act is passed. 1215 01:09:31,584 --> 01:09:34,304 - The Food and Drug Act includes laws of purity 1216 01:09:34,305 --> 01:09:36,795 and quality and consistency 1217 01:09:36,798 --> 01:09:39,678 and what can be included in what you're selling 1218 01:09:40,593 --> 01:09:42,928 and that you can't adulterate. 1219 01:09:42,929 --> 01:09:45,179 And also advertising regulation. 1220 01:09:45,181 --> 01:09:47,310 You have to actually be able to back up your claims 1221 01:09:47,311 --> 01:09:49,478 of what your food or product can do. 1222 01:09:50,770 --> 01:09:52,190 - The legislation paves the way 1223 01:09:52,191 --> 01:09:55,188 for the future Food and Drug Administration, or FDA. 1224 01:09:56,526 --> 01:09:58,816 And it makes many of products in competition with Heinz 1225 01:09:58,820 --> 01:10:01,154 illegal almost immediately. 1226 01:10:04,951 --> 01:10:07,661 - Heinz's competitors lobbied against 1227 01:10:07,662 --> 01:10:10,539 the 1906 Food and Drug Act. 1228 01:10:10,540 --> 01:10:13,458 They didn't want to see the act pass. 1229 01:10:15,962 --> 01:10:17,546 They fought hard. 1230 01:10:17,547 --> 01:10:19,506 Heinz fought harder 1231 01:10:19,507 --> 01:10:22,134 and Howard became the representative 1232 01:10:22,135 --> 01:10:24,845 for the company around the world. 1233 01:10:25,888 --> 01:10:27,307 - By 1910 Henry Heniz 1234 01:10:27,308 --> 01:10:29,556 is one of the richest men in America, 1235 01:10:29,559 --> 01:10:30,889 a true titan of industry. 1236 01:10:32,812 --> 01:10:35,232 He has created the product that defines ketchup 1237 01:10:35,233 --> 01:10:37,901 and revolutionized the industrial process. 1238 01:10:39,527 --> 01:10:42,067 When this visionary dies in 1919, 1239 01:10:42,071 --> 01:10:44,821 his company employs more than 9000 people 1240 01:10:44,824 --> 01:10:46,283 and earns the present day equivalent 1241 01:10:46,284 --> 01:10:48,535 of 200 million dollars. 1242 01:10:49,912 --> 01:10:52,500 Today, the company he began in his family's kitchen 1243 01:10:52,501 --> 01:10:53,748 is part of a conglomerate 1244 01:10:53,750 --> 01:10:56,340 topping 26 billion dollars in sales. 1245 01:10:57,086 --> 01:10:59,086 - H. J. Heinz was an innovator. 1246 01:10:59,088 --> 01:11:01,508 He built trust in the American public 1247 01:11:01,509 --> 01:11:03,717 that you'll get what you pay for. 1248 01:11:04,719 --> 01:11:08,179 Today, Kraft Heinz produces more than a billion 1249 01:11:08,181 --> 01:11:10,265 bottles of ketchup a year. 1250 01:11:10,266 --> 01:11:13,185 They produce enough self-serve packets 1251 01:11:13,186 --> 01:11:16,436 for every man, woman, and child on the planet 1252 01:11:16,439 --> 01:11:18,019 to have two of them. 1253 01:11:18,024 --> 01:11:20,034 You could literally slide to the moon 1254 01:11:20,035 --> 01:11:23,106 and back on HEINZ Ketchup packets. 1255 01:11:25,406 --> 01:11:28,406 - You could throw any other bottle of ketchup on the table, 1256 01:11:28,409 --> 01:11:31,289 but if it's not HEINZ Ketchu, I'm going to think twice. 1257 01:11:31,290 --> 01:11:35,747 But there was plenty of failure before there was success. 1258 01:11:35,750 --> 01:11:39,210 Henry Heinz went bankrupt and lost everything, 1259 01:11:39,212 --> 01:11:42,130 and a lot of people would have given up. 1260 01:11:42,131 --> 01:11:44,881 But if you have that sort of perseverance 1261 01:11:44,884 --> 01:11:47,140 and you know you've got that personality 1262 01:11:47,141 --> 01:11:48,926 to carry something through, 1263 01:11:48,930 --> 01:11:51,970 it could lead to, I mean, ridiculous success. 1264 01:11:58,481 --> 01:11:59,981 - At the Battle Creek Sanitarium, 1265 01:11:59,982 --> 01:12:02,070 Will Kellogg has watched from the sidelines 1266 01:12:02,071 --> 01:12:05,737 as the national cereal market makes C. W. Post a millionaire. 1267 01:12:10,326 --> 01:12:12,744 Then in the middle of the night, 1268 01:12:19,502 --> 01:12:23,462 the sanitarium bursts into flame. 1269 01:12:33,099 --> 01:12:36,139 For John Kellogg, it's a personal tragedy. 1270 01:12:40,356 --> 01:12:42,016 For Will, 1271 01:12:42,024 --> 01:12:44,824 it's the business opportunity he's been waiting for. 1272 01:12:55,454 --> 01:12:57,670 At the sanitarium that Dr. John Kellogg 1273 01:12:57,671 --> 01:13:00,165 has spent his entire career building, 1274 01:13:00,167 --> 01:13:02,836 a furnace located in one of the sanitarium's bathrooms 1275 01:13:02,837 --> 01:13:06,337 overheats, sending the building up in flames. 1276 01:13:08,551 --> 01:13:09,841 Leaving one patient dead 1277 01:13:14,891 --> 01:13:16,521 and John's life work in ruins. 1278 01:13:17,810 --> 01:13:21,230 - The Battle Creek Sanitarium was this grand complex 1279 01:13:22,523 --> 01:13:26,651 with beautiful rooms and all sorts of facilities, 1280 01:13:26,652 --> 01:13:30,572 but like many buildings that were built in the 19th century, 1281 01:13:30,573 --> 01:13:33,703 had a brick veneer but was mostly made of timber. 1282 01:13:35,036 --> 01:13:37,906 And the place burned down in a matter of hours 1283 01:13:38,748 --> 01:13:39,918 to mere rubble. 1284 01:13:45,338 --> 01:13:48,758 His baby, his creation had burned to the ground. 1285 01:13:53,095 --> 01:13:55,005 - Repairs will cost a million dollars, 1286 01:13:55,014 --> 01:13:56,765 some 30 million today 1287 01:13:56,766 --> 01:13:58,886 and while John Kellogg sees disaster, 1288 01:13:58,893 --> 01:14:01,063 Will sees an opportunity to wrestle Corn Flakes 1289 01:14:01,064 --> 01:14:02,442 from his brother's control. 1290 01:14:07,443 --> 01:14:08,573 - How you holding up? 1291 01:14:11,530 --> 01:14:12,410 - I'll manage. 1292 01:14:16,452 --> 01:14:17,292 We'll rebuild. 1293 01:14:18,955 --> 01:14:20,285 It'll just take some time. 1294 01:14:26,545 --> 01:14:27,755 - Here. 1295 01:14:30,299 --> 01:14:31,799 - What's this? 1296 01:14:31,801 --> 01:14:34,641 - It's plenty, enough to get construction started. 1297 01:14:37,306 --> 01:14:38,136 - I know, but-- 1298 01:14:38,140 --> 01:14:38,980 - It's not a gift. 1299 01:14:40,142 --> 01:14:41,982 I want to buy the recipes, our recipes. 1300 01:14:44,981 --> 01:14:47,271 - Where'd you get this kind of money? 1301 01:14:47,274 --> 01:14:50,114 - Private investors, mostly former patients. 1302 01:14:51,404 --> 01:14:53,992 I'm going to take the recipes and start a new company. 1303 01:14:53,993 --> 01:14:55,830 I've already leased a factory space. 1304 01:15:00,413 --> 01:15:01,791 - Are you sure you want to do this? 1305 01:15:01,792 --> 01:15:02,669 - I'm positive. 1306 01:15:05,126 --> 01:15:07,335 - Will was ready to get out, 1307 01:15:07,336 --> 01:15:11,166 so he raised money from relatives and took out loans 1308 01:15:11,173 --> 01:15:13,179 and it was very hard to get loans 1309 01:15:13,180 --> 01:15:15,585 and he found one banker who had faith in him. 1310 01:15:15,594 --> 01:15:18,142 It was about a hundred thousand dollars, 1311 01:15:18,143 --> 01:15:20,639 which was more than a million dollars, back then. 1312 01:15:22,476 --> 01:15:26,476 - I'll take your money, Will and you can have the recipes. 1313 01:15:26,480 --> 01:15:28,650 You'll be out of business in a year. 1314 01:15:30,985 --> 01:15:33,485 You don't even have a high school education. 1315 01:15:33,487 --> 01:15:36,487 What makes you think you can run a successful business? 1316 01:15:39,493 --> 01:15:41,663 - I've been running this place for years, John. 1317 01:15:43,873 --> 01:15:47,843 You're a brilliant doctor but you don't know everything. 1318 01:15:51,130 --> 01:15:52,170 - Goodbye, William. 1319 01:15:53,632 --> 01:15:55,382 - I'll see you around, John. 1320 01:16:00,389 --> 01:16:01,679 - With the recipes in hand, 1321 01:16:01,682 --> 01:16:04,022 will sets out to cash in on the Kellogg name 1322 01:16:05,811 --> 01:16:08,731 and bring his Corn Flakes to the world. 1323 01:16:30,920 --> 01:16:33,880 Across the country, the Pure Food and Drug Act 1324 01:16:33,881 --> 01:16:35,421 is starting to take effect. 1325 01:16:36,509 --> 01:16:38,759 Authorities are cracking down on false labeling, 1326 01:16:38,761 --> 01:16:41,431 harmful ingredients and outlandish health claims. 1327 01:16:42,932 --> 01:16:45,432 And in 1909, officials set their sights 1328 01:16:45,434 --> 01:16:46,940 on one of the most closely guarded 1329 01:16:46,941 --> 01:16:48,396 secret formulas in the nation. 1330 01:16:50,231 --> 01:16:53,441 - Everyone stay calm, this is a federal seizure. 1331 01:16:53,442 --> 01:16:56,945 Stay where you are and follow instructions. 1332 01:16:59,698 --> 01:17:01,238 - The federal government claimed, 1333 01:17:01,242 --> 01:17:02,372 with some justification, 1334 01:17:02,373 --> 01:17:04,448 that Coca-Cola was mislabeled 1335 01:17:04,453 --> 01:17:08,456 because ironically, it no longer had cocaine in it. 1336 01:17:08,457 --> 01:17:12,247 So you can't call it Coca-Cola. 1337 01:17:12,253 --> 01:17:16,473 And it had a deleterious added product, which was caffeine. 1338 01:17:17,633 --> 01:17:22,137 And so they grabbed 40 barrels and 20 kegs 1339 01:17:22,138 --> 01:17:24,888 and mounted this huge lawsuit against them. 1340 01:17:26,642 --> 01:17:28,601 - On March 13th, 1911, 1341 01:17:28,602 --> 01:17:30,731 the government sues Coca-Cola to force them 1342 01:17:30,732 --> 01:17:32,979 to remove caffeine from their formula, 1343 01:17:32,982 --> 01:17:34,942 insisting that it's harmful to children 1344 01:17:38,946 --> 01:17:41,906 - It was quite an amusing lawsuit in many ways 1345 01:17:41,907 --> 01:17:45,487 because, some of the experts claim that Coca-Cola 1346 01:17:45,494 --> 01:17:51,249 hardened the heart so that it didn't beat anymore, 1347 01:17:51,250 --> 01:17:55,128 they said that it killed rabbits and frogs, 1348 01:17:55,129 --> 01:17:58,799 but that was because they had them breathe it in. 1349 01:18:01,302 --> 01:18:03,642 - Asa Candler is determined to fight back, 1350 01:18:03,643 --> 01:18:07,427 and the case ascends all the way to the Supreme Court. 1351 01:18:29,622 --> 01:18:31,622 - The federal government has sued Coca-Cola 1352 01:18:31,624 --> 01:18:34,712 over the amount of caffeine in their secret formula. 1353 01:18:34,713 --> 01:18:36,880 The case has lasted five long years. 1354 01:18:38,380 --> 01:18:42,008 Finally Asa Candler volunteers to reduce it. 1355 01:18:42,009 --> 01:18:45,719 - As a result of that lawsuit Coca-Cola agreed 1356 01:18:45,721 --> 01:18:49,181 to cut the amount of caffeine in half 1357 01:18:50,392 --> 01:18:53,311 and Coca-Cola stopped using children 1358 01:18:53,312 --> 01:18:55,562 in their ads forever more. 1359 01:18:56,732 --> 01:18:58,732 So they didn't show anyone under 12 1360 01:18:58,734 --> 01:19:01,027 actually drinking the beverage. 1361 01:19:02,529 --> 01:19:05,158 - Despite all his struggles, Asa Candler 1362 01:19:05,159 --> 01:19:08,077 has turned John Pemberton's obscure miracle tonic 1363 01:19:10,037 --> 01:19:12,407 into one of the most recognizable name brands 1364 01:19:12,414 --> 01:19:13,539 in the country. 1365 01:19:18,671 --> 01:19:21,381 And Candler doesn't want to share the credit 1366 01:19:21,382 --> 01:19:22,422 with anyone else. 1367 01:19:36,522 --> 01:19:38,398 - Asa Candler burned early 1368 01:19:38,399 --> 01:19:40,729 company records quite deliberately 1369 01:19:40,734 --> 01:19:42,113 and I'm convinced he did so 1370 01:19:42,114 --> 01:19:44,070 because he didn't want anybody to see them. 1371 01:19:45,739 --> 01:19:48,739 There may have been some skullduggery there 1372 01:19:48,742 --> 01:19:52,078 but it's not a part of any official history. 1373 01:20:01,422 --> 01:20:03,131 - The mad genius of John Pemberton 1374 01:20:03,132 --> 01:20:05,591 brought Coca-Cola into existence 1375 01:20:05,592 --> 01:20:08,302 but it was Asa Candler who used raw ambition, 1376 01:20:08,304 --> 01:20:11,144 shrewd marketing, and national infrastructure 1377 01:20:12,474 --> 01:20:14,392 to turn it into an icon. 1378 01:20:17,271 --> 01:20:18,771 - Without each other, 1379 01:20:18,772 --> 01:20:20,982 we wouldn't know who they were today. 1380 01:20:20,983 --> 01:20:22,483 You need to have the inventor. 1381 01:20:22,484 --> 01:20:24,991 You need to have the person who can develop the product 1382 01:20:24,992 --> 01:20:26,656 that no one else has seen before 1383 01:20:26,657 --> 01:20:28,485 and can really change the game. 1384 01:20:28,490 --> 01:20:31,490 But, you need to have the advertising and marketing 1385 01:20:31,493 --> 01:20:35,413 and business savvy in order to be this successful. 1386 01:20:35,414 --> 01:20:37,623 You look at how much the world has changed in the last 1387 01:20:37,624 --> 01:20:42,420 10, 20, 50, 100 years, yet we're still drinking Coke. 1388 01:20:42,421 --> 01:20:45,298 That's a piece of Americana that's in you. 1389 01:20:47,926 --> 01:20:49,346 - Asa Candler goes on to become 1390 01:20:49,347 --> 01:20:52,305 the richest man in Atlanta, even serving as mayor. 1391 01:20:53,682 --> 01:20:56,772 The company he created will go on to astonishing success, 1392 01:20:56,773 --> 01:21:01,479 employing over 60,000 people in some 200 countries, 1393 01:21:01,482 --> 01:21:04,322 becoming one of the most recognized brands in the world. 1394 01:21:05,527 --> 01:21:10,317 - For me Coke is a staple in, in everything that's American, 1395 01:21:10,324 --> 01:21:14,619 and I've traveled the world and anywhere you go, it's Coke. 1396 01:21:22,711 --> 01:21:23,711 - Just months after buying 1397 01:21:23,712 --> 01:21:25,382 cereal recipes from his brother, 1398 01:21:28,133 --> 01:21:31,135 Will Kellogg's factory is up and running. 1399 01:21:31,136 --> 01:21:33,966 - You guys take a break in about 30 minutes, okay? 1400 01:21:33,972 --> 01:21:35,812 - And for the first time Kellogg's 1401 01:21:35,813 --> 01:21:38,228 iconic Corn Flakes hit the mass market. 1402 01:21:40,145 --> 01:21:41,895 - Yes. 1403 01:21:41,897 --> 01:21:43,437 Very good, very good. 1404 01:21:43,440 --> 01:21:46,569 - In his first year, he manufactures 25,000 cases 1405 01:21:46,570 --> 01:21:50,198 per month thanks to his proprietary industrial rollers. 1406 01:21:51,657 --> 01:21:53,157 - Will Kellogg developed a way 1407 01:21:53,158 --> 01:21:55,408 of rolling out dough very thin. 1408 01:21:55,411 --> 01:21:58,496 He worked with a Detroit based company. 1409 01:21:58,497 --> 01:22:02,207 They made steel rollers mostly for the tobacco industry 1410 01:22:02,209 --> 01:22:04,709 and it was a way of flattening the tobacco leaves 1411 01:22:04,711 --> 01:22:06,001 before they were crushed up 1412 01:22:06,004 --> 01:22:08,881 and then made into on cigarettes. 1413 01:22:08,882 --> 01:22:11,722 Will gave them specifications that he needed 1414 01:22:11,723 --> 01:22:14,595 to make his cereal on a grand scale 1415 01:22:14,596 --> 01:22:17,096 and they designed the first rollers. 1416 01:22:17,099 --> 01:22:19,099 - Will's flake rollers use a revolutionary 1417 01:22:19,101 --> 01:22:23,438 water cooling system which prevents the dough from burning 1418 01:22:23,439 --> 01:22:25,439 and sticking to the metal rollers, 1419 01:22:25,441 --> 01:22:28,776 which produces crisp flakes with no waste. 1420 01:22:30,195 --> 01:22:32,105 - He added a little bit of malt 1421 01:22:32,114 --> 01:22:34,914 and a little bit of salt to make it taste better. 1422 01:22:41,415 --> 01:22:44,745 And then he put his name on the cereal box, 1423 01:22:44,751 --> 01:22:46,630 so it became Kellogg's Corn Flakes. 1424 01:22:46,631 --> 01:22:48,128 Now, Will says it was because 1425 01:22:48,130 --> 01:22:50,465 "I wanted to put my moniker on it. 1426 01:22:50,466 --> 01:22:54,594 "I wanted to tell my customers that I endorse this product." 1427 01:22:54,595 --> 01:22:56,965 But he had to know that the name Kellogg 1428 01:22:56,972 --> 01:23:00,482 was very very marketable because of the doctor. 1429 01:23:02,936 --> 01:23:05,146 But Will Kellogg was off to the races 1430 01:23:06,148 --> 01:23:07,478 and he never looked back. 1431 01:23:09,985 --> 01:23:11,485 - With state of the art equipment 1432 01:23:11,487 --> 01:23:14,987 and his famous last names scrawled across every box, 1433 01:23:14,990 --> 01:23:20,080 Will is finally ready to go to war with C. W. Post. 1434 01:23:48,357 --> 01:23:51,317 On the next episode of The Food That Built America. 1435 01:23:52,778 --> 01:23:54,528 A small time candy maker, 1436 01:23:54,530 --> 01:23:58,115 named Milton Hershey hits on a big idea. 1437 01:23:58,116 --> 01:23:59,696 - I don't care how they do it in Europe. 1438 01:23:59,701 --> 01:24:01,118 I'm using fresh milk. 1439 01:24:02,371 --> 01:24:04,371 - That'll build an American empire. 1440 01:24:06,041 --> 01:24:07,291 - It's chaos out there. 1441 01:24:07,292 --> 01:24:08,842 - And a father and son duo 1442 01:24:08,843 --> 01:24:12,875 named Frank and Forrest Mars forge a dynasty 1443 01:24:12,881 --> 01:24:16,221 that'll rival Hershey and tear their family apart. 1444 01:24:18,720 --> 01:24:20,388 - Help, help 1445 01:24:20,389 --> 01:24:22,719 - An outdoorsman named Clarence Birdseye, 1446 01:24:22,724 --> 01:24:26,143 joins forces with with cereal empire scion Marjorie Post. 1447 01:24:26,144 --> 01:24:28,563 - I'm not interested in owning three quarters of anything. 1448 01:24:28,564 --> 01:24:31,193 - To introduce the nation to frozen food. 1449 01:24:31,194 --> 01:24:32,779 - How much for the rest? 1450 01:24:32,780 --> 01:24:36,566 - Ruthless tactics lead to an all out cereal war. 1451 01:24:36,572 --> 01:24:37,572 - I'm gonna bury you. 1452 01:24:38,907 --> 01:24:41,657 - A gun slinging Kentucky businessman 1453 01:24:41,660 --> 01:24:43,748 rises from a gas station kitchen, 1454 01:24:43,749 --> 01:24:46,075 - I made you a promise, remember what I said? 1455 01:24:46,081 --> 01:24:48,251 - to become an American icon. 1456 01:24:49,668 --> 01:24:51,748 And the McDonald brothers turn the restaurant kitchen 1457 01:24:51,753 --> 01:24:53,087 into an assembly line. 1458 01:24:53,088 --> 01:24:54,258 - Okay those are done, those are done! 1459 01:24:54,259 --> 01:24:55,836 Flip 'em, let's go! 1460 01:24:55,841 --> 01:24:58,050 - But it's Ray Kroc who will turn their invention 1461 01:24:58,051 --> 01:25:00,261 into the biggest chain in the world. 1462 01:25:00,262 --> 01:25:03,931 - The American people never forget the name McDonald's. 115271

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