| 9. Chronology |
|
1870 |
The Standart Oil Company is founded by John D. Rockfeller in
Cleveland, Ohio. The refining industry is at this time decentralised, and Rockefeller's
share of the refined oil business is less than 4%, with more thatn 250 competitors in the
US. |
|
1870 |
John D. Rockefeller and Flagler start the South
Improvement Company to pool oil transportation on railroads, letting those who take
part in the scheme to get incredibly cheap rates. |
|
|
|
1873 |
John D. Rockefeller already controls 80% of the refining capacity of Cleveland,
which makes a third of the national's total. |
|
1879 |
The Standart Oil Trust shuts down 31 of the 53 refineries owned by the Standard
Oil and concentrate production in 3 giant refineries. |
|
1880 |
Standart Oil controls almost every refinery in the US and has more than
$40 mio in cash. |
|
1882 |
The alliance of all the companies that made the Standart Oil is
transformed into the Standart Oil Trust, the first big trust in the USA. The
shareholders of the 14 companies and minority shareholders of a further 26 hand in their
bonds and shares to 9 trustees and get in exchange $70 mio in trust certificates. The
trustees control the company and pay dividend to the holders of these
certificates. |
|
1882 |
An Ohio court dissolve the trust, but it is reincorporated in New Jersey, a state that
accepts trusts. The trustees leave their initial horizontal integration concept and work
for a total vertical integration. |
|
1890 |
Congress votes the Sherman Antitrust Act and the Standart is again
reincorporated, this time in New Jersey as a holding. |
|
1900 |
The Standard Oil controls more than 90% of the refined oil in the USA |
 |
1911 |
The Supreme Court decides the break up of the Standard Oil in smaller,
competing companies. |
