Standard Oil extended its railroad agreements to more railroads and different regions of the country.  Standard was growing horizontally and vertically. … Henry M. Flagler was a founder of the Florida East Coast Railroad and also of standard oil. In June 1870, Flagler and Rockefeller formed Standard Oil of Ohio, which rapidly became the most profitable refiner in Ohio. Flagler was generous with his wealth, donating money to build schools, hospitals and churches and to provide relief to farmers after freezes destroyed produce. She convinced the co-founder Henry Flagler to extend his railroad from central Florida to … The Paris Rothschilds jumped into the fray providing financing.  Although Standard Oil was a partnership, Flagler was credited as the brain behind the booming oil refining business.  The cartel received preferential treatment as a high-volume shipper, which included not just steep rebates of up to 50% for their product but also rebates for the shipment of competing products. Capturing the essence of Old Europe, the Spanish Revival-style building adorned with Moorish Revival architectural elements was designed by John Carrere and Thomas Hastings. In 1882, Flagler and Rockefeller's lawyers created an innovative form of corporation to centralize their holdings, giving birth to the Standard Oil Trust. It was Henry M. He never recovered and died in Palm Beach of his injuries on May 20 at 83 years of age. It had six floors and 540 rooms. However, the date of retrieval is often important. Owen, Jack, Palm Beach Scandals: An Intimate Guide, Rainbow Books, 1992. As a result, Flagler and Rockefeller and their associates owned dozens of separate corporations, each of which operated in just one state; the management of the whole enterprise was rather unwieldy. It had become the richest, biggest, most feared business in the world, seemingly immune to the boom and bust of the business cycle, consistently racking up profits year after year. , Flagler's second wife, the former Ida Alice Shourds, was declared insane by Flagler's friend Dr. Anderson in 1896 and was institutionalized on and off starting that year. When he was 23, Flagler married Mary Harkness, a frail, 20-year-old cousin of Dan Harkness. Flagler bought and combined the railroads to form the Florida East Coast Railway. He invested with the guidance of Dr. Andrew Anderson, a native of St. Augustine. " To the critics Flagler and Rockefeller replied, "In a business so large as ours... some things are likely to be done which we cannot approve. Two years after his first wife died in 1881, he married again. Henry Flagler was a Capricorn and was born in the G.I. Henry Flagler was born in NY. 50 Most Interesting facts About O Henry You should know. In reality, the Keys were a living hell: isolated islands with unbearable heat, relentless mosquitoes, poisonous plants, rampant disease and meager medical care. It was named for Henry Morrison Flagler , a famous railroad builder who built the Florida East Coast Railway . For the train, see, sfnp error: no target: CITEREFKlepper1996 (, sfn error: no target: CITEREFChernow1998 (, sfn error: no target: CITEREFRockefeller1984 (, Martin, p. 56, quoting Edwin Lefevre, in "Flagler and Florida" from, University of North Carolina at Chapel Hill, "Perspective | How slave labor built the state of Florida — decades after the Civil War", "Madoff scandal stuns Palm Beach Jewish community", "292: Colonel Joseph D. Potts Leader in the Pennsylvania on LiveAuctioneers", "The Story of Convict Leasing in Florida", "Statutes & Constitution :View Statutes : Online Sunshine", "How slave labor built the state of Florida — decades after the Civil War", https://babel.hathitrust.org/cgi/pt?id=mdp.39015002738212&view=1up&seq=609, https://en.wikipedia.org/w/index.php?title=Henry_Flagler&oldid=992454828, 19th-century American railroad executives, American businesspeople in the oil industry, American railroad executives of the 20th century, Infobox person using certain parameters when dead, Articles with unsourced statements from October 2017, Articles with dead external links from June 2017, Articles with permanently dead external links, Wikipedia articles with SNAC-ID identifiers, Wikipedia articles with SUDOC identifiers, Wikipedia articles with WORLDCATID identifiers, Creative Commons Attribution-ShareAlike License. Orange, grapefruit and lemon groves were soon dotting the state. Though the refunds issued amounted to no more than fifteen cents on the dollar, they put Standard Oil in position to undercut other oil refineries. , Undeterred, though vilified for the first time by the press, Flagler and Rockefeller continued with their self-reinforcing cycle of buying competing refiners, improving the efficiency of operations, pressing for discounts on oil shipments, undercutting competition, making secret deals, raising investment pools, and buying rivals out. Henry Flagler. Flagler then built a second, less-opulent hotel across the street. For the first time, Flagler was able to experience the warm, sunny atmosphere of Florida. It was reported that people along the railway line waited all night for the passing of the funeral train as it traveled from Palm Beach to St. Henry Morrison Flagler (January 2, 1830 – May 20, 1913) was an American industrialist and a founder of Standard Oil, first based in Ohio. Cleveland became very well known for oil refining, as, "More and more crude oil was shipped from the oil regions to Cleveland for the refining process because of transportation facilities and the aggressiveness of the refiners there. 1853 Flagler marries Mary Harkness; their children are Jennie Louise (1855-1889), Carrie (1858-1861), and Henry (Harry) Harkness (1870-1952).. 1862 In Saginaw, Michigan, Flagler founds the Flagler and York Salt Company; it closes in 1865 after the demand for salt declines.. 1870 John D. Rockefeller and Henry M. Flagler form a partnership that would become Standard Oil.. 1878 Henry and Mary … Sales: $2.01 billion At the age of 14, after completing the eighth grade, Flagler moved to Bellevue, Ohio where he found work with his cousins in the grain store of L.G. Em…, Florida Progress Corp Smith would not sell, but he planted the seed of St. Augustine's and Florida's future in Flagler's mind. He built a railroad bridge across the St. Johns River to gain access to the southern half of the state and purchased the Hotel Ormond, just north of Daytona. New York doctors advised him to take his wife to the Florida panhandle, which, because of its climate, served as a respite for the infirm. Augustine. , Realizing the need for a sound transportation system to support his hotel ventures, Flagler purchased short line railroads in what would later become known as the Florida East Coast Railway. They packaged their kerosene in leak proof, five-gallon tin cans, which they made themselves. John D. Rockefeller was one of the most successful industrialists in the history of the United Stat…, John Davison Rockefeller Flagler was also a pioneer in the development of Florida as a U.S. vacation center. 16 Oct. 2020 . The committee ultimately discovered the previously unknown scope of Standard Oil's business interests. USD $60 million at the time of his death (about 1/651st of U.S. Mendez, Jesus. Public Company Flagler originally intended West Palm Beach to be the terminus of his railroad system, but in 1894 and 1895, severe freezes hit the area, causing Flagler to reconsider. Both properties were immediately successful. He recruited Henry Flagler to join him, and the youth went to Ohio at age 14, where he started work in 1844 at a salary of US$5 per month plus room and board. , Flagler was born in Hopewell, New York, the son of Isaac Flagler, a Presbyterian minister and his wife, the widowed Elizabeth Caldwell (Morrison) Harkness. With the exception of a few coastal towns, the rest of Florida was essentially an uninhabited wilderness.  The firm was attacked by journalists and politicians throughout its existence, in part for these monopolistic methods, giving momentum to the antitrust movement. She had brought two sons to the marriage with Flagler from her previous marriage to the widower Dr. David Harkness of Milan, Ohio. To accommodate the workers who built the hotels, Flagler established a community of tents and shacks called "the Styx" on the island. Perhaps fortunately for Smith, he couldn't come up with the funds, so Flagler began construction of the 540-room Ponce de Leon Hotel by himself, but spent several times his original estimate. " Over time foreign competition and new finds abroad eroded his dominance. Hopewell, NY.  The New York State Legislature's Hepburn Committee in 1879 conducted hearings in response to the complaints of local merchants that were not involved in the oil trade in order to investigate railroad rebate practices.  According to Allan Nevins, in John D. Rockefeller (p 292), "Standard Oil was born as a big enterprise, it had cut its teeth as a partnership and was now ready to plunge forward into a period of greater expansion and development. The company's advantage on railroad rates forced other Cleveland refineries out of business.  Additional fields were discovered in Burma and Java.  Despite improving the quality and availability of kerosene products while greatly reducing their cost to the public (the price of kerosene dropped by nearly 80% over the life of the company), Standard Oil's business practices created intense controversy. The couple had two daughters, Jennie Louise, born in 1855, and Carrie, born in 1858. "Throughout the 1880s and 1890s, Flagler, like many white industrialists across the South, leased African American convict labor from the state. This subsidiary, the Empire Transportation Company, which Joseph D. Potts created in 1865 and also ran, owned other assets including a small fleet of ships on the Great Lakes. Flagler and Rockefeller eventually prevailed and the railroad sold all its oil interests to Standard. It was a grandson Solomon Flagler, who first used the different spelling of the surname. He became known as the Father of Miami, Florida. Over thirty years, Flagler had invested about $50 million in railroad, home and hotel construction and had made donations to suffering farmers after the freeze in 1894.  Eventually, even former antagonists Pratt and Rogers saw the futility of continuing to compete against Standard Oil: in 1874, they made a secret agreement with their old nemesis to be acquired. Henry Morrison Flagler was born January 2, 1830 in Hopewell, New York, to Isaac and Elizabeth Flagler. Then, copy and paste the text into your bibliography or works cited list. Several years later, in 1870, their only son, Henry Harkness Flagler, was born. The railroad consented and agreed to keep the discount a secret. He also built the Alcazar Hotel as an overflow hotel for the Ponce de Leon Hotel. If Smith could raise $50,000, Flagler would invest $150,000 and they would build a hotel together. Therefore, that information is unavailable for most Encyclopedia.com content. encouraged people to farm Florida's land by giving them a break on rail rates to transport their produce. At the time, Key West was Florida's most populous city, with a population of 20,000, and it was also the United States' deep water port closest to the canal that the U.S. government proposed to build in Panama. He and his partner, Samuel Andrews operated the largest oil refinery in Cleveland. Most online reference entries and articles do not have page numbers. His half-brother Daniel had left Hopewell to live and work with his paternal uncle Lamon G. Harkness, who had a store in Republic, Ohio. Henry Flagler even built quarters for his workers across Lake Worth from the hotel. Mary Lily hosted elaborate parties at Whitehall.  More threatening to Standard's power was the Sherman Antitrust Act of 1890, originally used to control unions, but later central to the breakup of the Standard Oil trust. Also, convict leasing did exist and took a long time to end in Florida.  Part of this scheme was the announcement of sharply increased freight charges. In May 1913, Flagler fell down a flight of marble stairs at Whitehall. He masterminded the plan that transformed Standard Oil into the most successful monopoly of the nineteenth century. , Flagler was entombed in the Flagler family mausoleum at Memorial Presbyterian Church in St. Augustine alongside his first wife, Mary Harkness; daughter, Jenny Louise; and granddaughter, Marjorie. It kept oil prices low to stave off competitors, made its products affordable to the average household, and, to increase market penetration, sometimes sold below cost if necessary. Only his son Harry survived of the three children by his first marriage in 1853 to Mary Harkness. Turnover was high. Two years later, Flagler built the Palm Beach Inn (renamed The Breakers in 1901), overlooking the Atlantic Ocean in Palm Beach. . The railroads running along the state's East Coast were not compatible. Most Popular #67805. Incorporated: 1899 as St. Petersburg Electric Light & Power Company Pennzoil and Chevron have remained separate companies. In 1878, it controlled most of the refineries in the country. Standard was doing more and more business in New York, and Flagler traveled between Cleveland and New York frequently. Entrepreneur #58160. Henry was born on January 2, 1830 in Hopewell, New York, United States..Henry is one of the famous and trending celeb who is popular for being a Business. Henry Flagler is a member of famous Business list. By 1880, according to the New York World, Standard Oil was "the most cruel, impudent, pitiless, and grasping monopoly that ever fastened upon a country. By the mid-1860s, Cleveland had become the center of the oil refining industry in America and Rockefeller left the grain business to start his own oil refinery. In 1901, U.S. Steel, now controlled by J. Pierpont Morgan, having bought Andrew Carnegie's steel assets, offered to buy Standard's iron interests as well. If they refused the offer, Flagler and Rockefeller told them they would run them into bankruptcy and then cheaply buy up their assets at auction. Flagler was in a special position to make those deals due to his connections as a grain merchant. How Popular is the name Flagler? Flagler's wheat and wine weres sold in Cleveland through a commission agent named John D. Rockefeller, who became a friend.  In the 1900's Florida's population was just 528,000 so with the demand for laborers across the south and the shortage of jobs in the north, workers needing jobs were drawn to the south. These are the best facts for Henry Flagler, collected by our users from the web: (You can find the source through the icon at the end of each fact). It was Flagler's idea to use the rebate system to strengthen the firm's position against competitors and the transporting enterprises alike. capitalist, philanthropist Born: 1/2/1830 Birthplace: Hopewell, N.Y. After modest success in the grain business, in 1865 he joined John D. Rockefeller in the oil business in a firm called Rockefeller, Andrews and Flagler (became Standard Oil in 1870). She documented the company's espionage, price wars, heavy-handed marketing tactics, and courtroom evasions. Julia DeForest Tuttle, the "Mother of Miami," is widely recognized as the only female founder of a major American city. Together David and Elizabeth had a son Daniel M. Harkness before his death. In 1935, the Key West railroad was destroyed in a hurricane. This project sparked Flagler's interest in creating a new "American Riviera." Educational sites. Flagler encouraged fruit farming and settlement along his railway line and made many gifts to build hospitals, churches and schools in Florida. Birthday .  The "trust" was a corporation of corporations, and the entity's size and wealth drew much attention. , By 1869, there was three times more kerosene refining capacity than needed to supply the market, and the capacity remained in excess for many years. , In 1912, the Florida Overseas Railroad was completed to Key West. He died on May 20th, 1913. (b. Customers often reused the barrels and they were very popular. As in most things, the truth lies somewhere in between the opposite ends of the discussion. The Bingham-Flagler marriage (and questions about her death or possible murder) figured prominently in several books that appeared in the 1980s, when the Bingham family sold the newspaper in the midst of great acrimony. Most Popular ★ Boost . After Flagler built a railroad bridge onto the island, wealthy people traveled down in private railcars for parties, golf, tennis, boating, bathing and fishing. They left behind a trail of beautiful homes and impressive history that few other communities can claim. Escaped peons were often arrested for vagrancy and leased out as convicts. Along the way, Flagler built additional hotels, establishing Flor… The company collapsed when the war undercut commercial demand for salt. created by factobot on … Cite this article Pick a style below, and copy the text for your bibliography. He used convict leasing — "a method undertaken by the Southern States to replace the economic setup of slavery" — to modernize the existing railroads, allowing them to accommodate heavier loads and more traffic.. Standard's most potent weapons against competitors were underselling, differential pricing, and secret transportation rebates. Convicts held beyond their sentences became debt peons, forced to labor to pay off debt owed to their lessor-turned-employer. Ida Alice (née Shourds) Flagler had been a caregiver for Mary. He played one railroad against another in order to increase concessions. , After the failure of his salt business in Saginaw, Flagler returned to Bellevue in 1866 and reentered the grain business as a commission merchant with the Harkness Grain Company. In 1998, when two brush fires threatened to become one huge brush fire in Flagler County, a mandatory evacuation was ordered for the entire county. Two years after being widowed, Flagler married Ida Alice Shourd, his late wife's nurse. The same labor practices that forced African Americans into brutal work conditions ensnared immigrant workers, too. In addition to the MLA, Chicago, and APA styles, your school, university, publication, or institution may have its own requirements for citations. Flagler worked with Northern labor agencies to lure new immigrants with false promises of paradise. Prisoners with gruesome injuries and diseases were forced to work despite their conditions. Rockefeller worked in association with chemist and inventor Samuel Andrews. Flagler spent the rest of his life developing land in Florida. Entrepreneur Born in New York #47. Industrialist By then the trust still had a 70% market share of the refined oil market but only 14% of the U.S. crude oil supply. Flagler completed the 1,100-room Royal Poinciana Hotel on the shores of Lake Worth in Palm Beach and extended his railroad to its service town, West Palm Beach, by 1894, founding Palm Beach and West Palm Beach. Flagler's widow died in 1917 and Whitehall passed to her niece, who sold it. But they had never played fair, and that ruined their greatness for me." 2) Debate runs about the origin of this pen name. , "Henry M. Flagler" redirects here. Sixty miles (97 km) south, the area today known as Miami was reportedly unharmed by the freeze. Flagler found the city charming, but the hotel facilities and transportation systems inadequate. She died in 1881. Encyclopedia.com. 91 is preserved inside a Beaux Arts pavilion built to look like a 19th-century railway palace. As of 2018 Henry Flagler is 83 years (age at death) years old. Rather than being filled with sick people, it had become a haven for the wealthy. It was due largely to the efforts of Henry M. Flagler and John D. He returned to Bellevue and worked as a grain merchant to pay off his debt. They needed capital to expand. A federal statute outlawed peonage, but in practice, it overlapped with convict labor. He discovered that the state's poor transportation was deterring development. Flagler's son dropped out of school and failed to follow his father into business, causing a lifelong rift between the two men. Encyclopedia.com gives you the ability to cite reference entries and articles according to common styles from the Modern Language Association (MLA), The Chicago Manual of Style, and the American Psychological Association (APA). Encyclopedia of World Biography.  He was of paternal German descent from the Palatinate region. , Standard Oil moved its headquarters to New York City, at 26 Broadway, and Flagler and Rockefeller became central figures in the city's business community. Henry Morrison Flagler (January 2, 1830 – May 20, 1913) was an American industrialist and a founder of Standard Oil, first based in Ohio. Shourd hosted gala parties at the couple's New York estate, Satan's Toe. I was willing that they should combine and grow as big and wealthy as they could, but only by legitimate means. ." Public Company But she suffered from mental illness and, in 1897, was committed to an asylum, where she remained for the rest of her life. Flagler was a ruthless negotiator.  Its share of world oil refining topped out above 90% but slowly dropped to about 80% for the rest of the century. Dan Harkness to play 120 years ago ( equivalent to $ 740 million in jewelry was development! 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