,^E-UNIVER% UIBRARY0/-J CAllFOflfc, ^QF-CAll iflKAUF L.OF-CAIIFC * E. I. du Pont to LeRoy, Bayard & Co., February 12, 1819. A HISTORY 55 quantity of hurriedly made or damaged pow- der, and offered it "on loan" to various powder companies. E. I. du Pont took more than three hundred and fifty thousand pounds of this powder, which fortunately was not lost in the explosion and served to supply the agents until the mills were rebuilt. Business conditions in America were very peculiar in those days. There was infinite op- portunity for manufacturing and very little money for investment. Credit had to be stretched to the utmost. To quote a letter written by Du Pont de Nemours to a French banker: "Houses without number have been built of paper; water-power for factories and the factories themselves of paper; canals and roads of paper; beautiful and useful steam-boats of paper." 1 Good notes were discounted at one and a half per cent a month; and important firms were constantly failing, among them several Du Pont agencies. Mr. du Pont estimated his losses from 1817 to 1819, from bankruptcies, explosions, etc., at one hun- dred and forty thousand dollars, and from de- terioration of values of real estate because of the general financial distress, at fifty thousand 1 Du Pont de Nemours to Johannot, May. 1817. 56 DU PONT DE NEMOURS dollars more; yet the powder company steadily gained in strength. The reputation of the pow- der became well established and Mr. du Pont was liked and respected. He was appointed a direc- tor of the Bank of the United States; was con- sulted by those in authority concerning legis- lation for helping manufacturers and farmers; and his notes were accepted from Boston to New Orleans. He made a large part of the Government powder; he sold about twenty-five thousand pounds a year to the American Fur Company, of which William Astor was pres- ident; he supplied many of the West Indian and South American States; but all on credits of four, six, and eight months. In 1824 he wrote from Philadelphia to his wife: "It is cruel to ride sixty miles every five or six days to meet one's notes, and so to waste one's time and one's life. God grant that some day I may get to the end of it." He never did. It was not long after his death that the last of the French notes were paid and that the company became wholly American; but in the last year of his life he gave a very real proof of his loyalty to the country of his adoption. In 1833 the Nullification Party in South Carolina deeply resented certain import duties A HISTORY 57 ordered by Congress. The State threatened to secede from the Union; and, through the New York agent, offered the Du Pont Company twenty-four thousand dollars in cash for one hundred and twenty-five thousand pounds of cannon and musket powder. Mr. du Pont an- swered: "The destination of this powder being obvious, we think it right to decline furnishing any part of the above order. When our friends in the South will want sporting powder for peace- ful purposes we will be happy to serve them.'* l Two months later he himself wrote: "Our E. I. duPont has been in Washington assisting at the treaty of peace between your friends, the Nulli- fiers, and ours, the monopolist manufacturers of the North. Now that the affair has ended so amiably I almost regret that we refused to sup- ply the powder. We would be very glad to have that twenty-four thousand dollars in our cash box rather than in that of your army." 2 Per- haps the affair would not have ended so ami- ably had the powder been forthcoming. On the 31st of October, 1834, E. I. du Pont died in Philadelphia after an illness of only a 1 E. I. du Pont to Wm. Kemble, January 12, 1833. * E. I. du Pont to Pitray, Viel & Co., of Charleston, March 2,1833. 58 DU PONT DE NEMOURS few hours. His business was successful; its fu- ture was to be greater than he could have imagined; but the three people for whose sake he had struggled and saved, the three he most dearly loved his father, brother, and wife had died while the struggle was still at its worst. Good citizen though he was, there were times when his heart ached for France, for the friends that he had loved, and whom he never replaced. Of his seven children only three were born in France and the eldest was but seven years old when they left there. His deep affec- tion for Antoine Bidermann, who married his second daughter, Evelina du Pont, was partly because Bidermann, too, was a Frenchman and understood the homesickness that at times could not be conquered. His children were de- voted to him and he to them; his neighbors and employees respected and loved him; and his daily work had been free from annoyance and contention since Bauduy left. But after thirty- three years of anxiety and toil, it was hard that he should die just before the last payments on the old debts were made, just too soon to have realized his victory. For the next three years the business was managed by Mr. du Font's son-in-law, An- A HISTORY 59 toine Bidermann, and his eldest son, Alfred du Pont. At the end of that time Mr. Bidermann went to France to arrange for the final pay- ments to the creditors of Du Pont de Nemours; and though he returned to live for many years in America, he never resumed an active part in the firm. He had been Mr. du Pont's friend and confidant for nearly twenty years and was better fitted than any one else to administer the estate; but that duty accomplished, he gave place to E. I. du Pont's three sons, who were well qualified to take up their father's life- work. The notifications of the new partnership were dated April 1, 1837. It is almost impossible to form any estimate of the firm's profits in the last few years of Mr. du Pont's life. According to his statements in the Bauduy suit, the gross sales of powder, which in 1804 were $10,015.10, had in 1812 (during the war) reached $148,597.62; but in the next year they dropped to $107,291.20, and were still lower in 1814. In 1819 Mr. du Pont wrote that within two years the company had lost in explosions, bankruptcies, etc., over one hundred and forty thousand dollars, and by depreciation in real estate fifty thousand dol- lars more. In 1832 he wrote: "The amount of 60 DU PONT DE NEMOURS gunpowder manufactured annually by us is at this time about eight hundred and fifty thou- sand pounds. The quantity made since the establishment of the manufacture to the pres- ent time is about thirteen million four hundred thousand pounds." 1 The company also sold refined saltpetre, charcoal, pyroligneous acid, iron liquor (a red dye), and creosote, or exchanged any of those products for crude saltpetre. To keep supplied with this essential ingredient was from the be- ginning the greatest difficulty with which Du Pont had to deal. Most of the saltpetre in this country was brought from India. The Du Pont mills were at first supplied by New York and Philadelphia commission merchants at a cost of about fifteen cents a pound, but at the end of 1807 the United States declared an embargo against England and the importations could not be depended on. Du Pont was told that saltpetre had been found in caves in the west- ern part of Virginia and in Kentucky, and he determined to go himself to look for it. There seemed to be many possibilities, if one may judge from the itinerary sent him from Alex- 1 Answers to queries received from the Secretary of the Treasury. E. I. du Pont, April 12, 1832. A HISTORY r 61 andria: "I would recommend to Mr. du Pont to commence his researches for saltpetre at Franklin in Pendleton County, and pursue his route along the foot of the Alleghany Moun- tain, keeping the mountain on his right; from Franklin to the warm springs in Bath County, from thence to Fincastle in Botetourt County, thence across the Alleghany mountain to Uniontown, also in Monroe County. My Knowledge of the saltpetre country does not extend further than the above direction, but in this route he can make himself acquainted with the whole saltpetre country." l It was a delightful trip that was suggested to him, through the most beautiful part of Virginia. The Warm Springs had been famous among the Indians for their health-giving properties; and Washington and the Custis family made them fashionable. But it is probable that Mr. du Pont never found time for the journey. At any rate, he did not buy saltpetre there. During the War of 1812 no saltpetre was im- ported, and that from the Mammoth Cave in Kentucky sold for thirty-five cents a pound. Fortunately, during Jefferson's administra- 1 A. C. Cazenove to E. I. du Pont, August 19, 1808; quoting Mr. John Roberts. 62 DV PONT DE NEMOURS tion Mr. du Pont had reminded the President of the difficulty of getting saltpetre from India in times of war, and the Government, acting on Du Pont's advice, bought and stored about fifty thousand dollars worth of it an ultimate saving to the Government of about five hun- dred thousand dollars. After the Treaty of Ghent saltpetre was again brought from Calcutta at about seven cents a pound, but the supply was uncertain in both quantity and quality. As early as 1832 Du Pont was getting all possible information about the saltpetre found "hah* way between Val- paraiso and Callao," but was told that "its basis is nitrate of soda and it is unfit for the composition of gun-powder." l In 1838 a large quantity of "Peruvian saltpetre" was offered in Boston at three and a hah* cents when Indian saltpetre was at six, but the Company refused to take it. The problem of transportation was a diffi- cult one. For the first few years everything was shipped by sea and taken inland by wagons; and the loss in storms and from inadequate pro- tection was very great. During the War of 1812 1 Lieutenant Irvine Shubrick to E. I. du Pont, from Val- paraiso, November 18, 1832. PENNSYLVANIA & OHIO TRANSPORTATION LINE. The undersigned proprietors of the above Line, will be prepared on the opening of the Canals (say from 1st to 15th March next) to forward goods to Pittsburg daily, via Schuylkill, Union and Pennsylvania Canals and Portage Rail Road, in as quick time and at as low rates as by any other Line. Goods directed to our care if ordered into the Schuylkill, can be received and forwarded free of charge of porterage, &c. Freights and expenses paid on goods consigned to our address, and forwarded without charge of commission. JAMES STEEL & Co. Arch street wharf, SchuyOciU. ROYER & McLANAHAN, HoUidaysburg. MCDOWELL & Co. JAMES vrn;i,T*^e. and GEORGE THLIIOLLV\ Jr. having associated them- selves together under the firm of JAMES STEEL &. Co. intend doing a general Commis- sion business on the Schuylkill; having a commodious Warehouse, will be prepared to receive and make liberal advances on any articles consigned to them for sale. JAMES STEEL & Oo. Philadelphia February SO/A, 1838. A CIRCULAR RECEIVED BY E. I. DU PONT DE NEMOURS & CO. IN 1838 A HISTORY 63 our coasts were patrolled by English gunboats and transportation by land became imperative. Regular freight lines of wagons drawn by four or five horses ran from Boston to Baltimore and from Philadelphia to Pittsburgh. Canals were cut in every direction, greatly relieving the sit- uation except when there was ice; but for sev- eral months of each year powder could be moved only in wagons, and the freight added materially to its price. In 1835 the New York agent wanted to fill an order for supplying the frigate Constitution, then in New York Har- bor, and as the Delaware River was closed by ice, he suggested sending it by the new Camden and Amboy Railroad. 1 The Philadelphia agent was instructed to inquire about it, and wrote to Bidermann, then head of the firm, that the freight from Camden to New York would be $1.25 per hundred pounds as against twelve and a half cents a keg 2 by schooner from Wil- mington to New York. He added: "Mr. Stevens, the principal proprietor of the Rail 1 Grading for the Camden and Amboy Railroad was begun at Bordentown in 1830. An "exhibition trip" was made in 1831; but the road was not completed from Camden to Jersey City till 1839, when the management announced that the entire journey would be made in "between six and seven hours." * A keg probably held twenty-five pounds. 64 DU PONT DE NEMOURS Road line, says that as thirty miles of the Rail Road has no horse track it would be necessary and unavoidable that they should use a Loco- motive Engine which should be placed behind the train of cars, so as to propel instead of drawing them. Precaution, he said, would be taken by covering the cars, which are tight roofed and sided, with cloths dampened so as to prevent accidents from sparks. When the powder arrived at Amboy they would put it on board a sloop and tow her to New York by the steam-boat that carries merchandise and not passengers." l 1 F. G. Smith to E. I. du Pont de Nemours & Co., March. 1835. CHAPTER VII 1837-1860 WHEN Antoine Bidermann retired from active business in 1837, Alfred du Pont, the eldest son of E. I. du Pont, and his two brothers, Henry and Alexis, formed a part- nership, still using the original name of the firm. Alfred had been in the business for nearly twenty years and was fourteen years older than Henry, the brother next to him in age; he nat- urally assumed the direction of the company, following as closely as was possible the methods that he had learned from his father. Thanks to that father's industry and courage and to the financial skill of Mr. Bidermann, the firm was out of debt, and the younger brothers were quite able to relieve Alfred of the details of the manufacture. He began at once to improve his equipment. The wooden kegs for shipping pow- der, bought in Boston and Philadelphia, were of all sizes and qualities, and were often alto- gether lacking when they were most needed. His first innovation was to bring coopers and their machinery to the Brandywine and start the manufacture of kegs on the premises. Pow- 66 DU PONT DE NEMOURS der destined for New York and New England had been loaded from small boats on schooners near Marcus Hook, but the wagons carrying the powder did not leave the mills until the schooner signalled that it was waiting, and if the weather was bad and powder could not be loaded the vessel proceeded and the powder was kept until another opportunity should offer. Agents objected to so uncertain an ar- rangement, so Alfred du Pont built a pier and magazine three miles above Wilmington, on the Delaware River; the abandoned magazine still stands at Edge Moor. For the next ten years such improvements constitute the story of the company. Untiring effort was necessary in order to keep pace with the growth of the country a growth so rapid that no financial system could support it. Fail- ure followed failure. "We have seen within the last four years many sudden and heavy changes in money matters, but the crisis of the last week exceeds anything of the kind it has been our lot to experience." 1 In 1841, "All the states are insolvent, if by insolvent we mean unable to pay their bills." 2 And the following year, 1 Alfred du Pont to Wm. Kemble, February 7, 1841. 2 Wm. Kemble to Alfred du Pont, November, 1841. f ^ T - ' * ' ELDER, G-ELSTON & CO. ^a^w^a^iir^ &^^BU> 34 & 36 COMMERCE STREET WHARF, BALTIMORE. itlci Of C . t ' .. Mi n-Lnmilise. \ehii:li ire jyomtAe to fltJiw In Vc " . ritliiii --- days, at the uilc o/'S thrf'.!i>inn t*tckage*of' , . - , ri p" lOOlbs. nd charge*. 'v/ ^-- j AN OLD BILL OF LADING A HISTORY 67 "there is a meeting of the holders of bills against the Government called to take place in Washington on June twenty-third," 1 which meant delayed payments for powder. Iron and coal mines were being discovered and blasting powder was wanted. The construction of canals and railways required it, and the mills were worked to their full capacity to supply all the demands. With new interests and new indus- tries came new difficulties and disagreements. In 1842 Alfred du Pont writes, "Our political dissensions are such that it would require the enemy at our doors to induce us to make proper preparations for defence." 2 Three years later the enemy was at the door, or perhaps it is fairer to say we had knocked at the door of the enemy, who was as unready as ourselves. War between the United States and Mexico began early in 1846. A few weeks later a firm in Havana ordered two hundred thou- sand pounds of powder. Alfred du Pont sus- pected that it was for Mexico and went to Washington to consult the President; at his request and that of "the Secretaries" 3 the ,! Wm. Kemble to Alfred du Pont, June 18, 1842. * Alfred du Pont to Wm. Kemble, July 12, 1842. 1 See letters from Wm. Kemble in June and July, 1846. 68 DV PONT DE NEMOURS order was declined. Mr. du Pont wrote to the would-be purchasers, "However unjust our proceedings may be, and however shameful our invasion of Mexican territory, we cannot make powder to be used against our own country." l Another effort was equally unsuccessful: "Two gentlemen, a Frenchman and a Spaniard, the former giving his name as being Desache, have applied for two hundred thousand pounds of powder, terms cash, and they refer, to S. Morris Wain of Philadelphia and to Harmony and nephew of New York City. They denied the powder being wanted for Mexico, but as I have every reason to believe that it is for that coun- try a prompt and decided refusal was given." 2 The war lasted two years, requiring con- stant effort from all three brothers to meet changing conditions in the requirements for army powder as well as in that for commercial uses. New explosives had often to be consid- ered. The most interesting of these was offered them in 1846. A man named Schonbein pa- tented in Europe and America a product which was called "cotton gunpowder," "explosive 1 E. I. du Pont de Nemours & Co., to Morrison, De Carrick & Co.. May 20, 1846. Alfred du Pont to Wm. Kemble, June 11, 1846. A HISTORY 69 cotton," "fulminating cotton," or "gun cot- ton." He offered to sell the rights to England and to France, but both countries refused it. Alfred du Pont, however, was sufficiently in- terested to make some gun cotton from a for- mula of his own composition. He wrote: "The discovery is brilliant and such as to create astonishment, but the introduction of gun cot- ton in common use must be the work of time, because the cost of preparing it is high and it will require years before the application of ma- chinery to its manufacture can make it cheap enough." * That he found time to make a care- ful study of the new material before he rejected it is shown in a letter he wrote in answer to some of the questions that were coming from all the powder agents, who were much alarmed by newspaper accounts of the wonderful inven- tion: " The objections to gun cotton and all other preparations of the kind are such as to preclude its becoming suitable for gunpowder. I shall name a few, leaving out the cost which must under any circumstances be greater than that of gunpowder. 1 Correspondence of E. I. du Pont de Nemours & Co., Novem- ber 25. 1846. 70 DU PONT DE NEMOURS "1st. The article is more explosive than pro- pellant. "2d. It yields much less gas than gunpowder and at a lower temperature; therefore any given amount of propellant power can only be obtained by a much greater strain on the gun than if powder was used. "3d. The effect depending in a great measure on the quantity of common air contained be- tween the fibres of the cotton, the compression in the gun barrel must have much influence, and no certainty can be expected in daily use. "4th. It imbibes moisture with more rapidity than common powder and any moisture it im- bibes has a very injurious effect, unless it is dried over previous to being used. Powder is generally used in charges competent to effect the purpose intended and these charges are graduated so that they will be fully efficient, even with one or two per cent moisture. This is done without risk; it is different with gun cotton for the least over charge endangers the barrel. "5th. The propellant gases of gun cotton are very acid and corrode the interior of gun bar- rels rapidly. "6th. Gun cotton if used in close places, A HISTORY 71 such as casements, between decks of ships, etc., would by the vapors of nitric and nitrous acid it yields make such place untenable. "Many other reasons could be given which would at once convince any person that gun cotton cannot come in use for military pur- poses, but time will not permit; there is, how- ever, a trifling experiment which will show the merit of the new article. Take a small lock be- tween your thumb and finger, holding it with no more pressure than you would hold a pen in writing; fire one end and you will find that the fire will be cut off at the point of compression, the piece held between the fingers remaining unburnt; now, what dependence can be placed on a substance so easily effected by pressure? Any person who will fire gun cotton in the com- mon vacuum of an air pump, will see at once that its power depends entirely on the common air contained between the fibres; it varying according to the vacuum, or otherwise accord- ing to the compression used in ramming down a charge, which amounts to the same. "In flashing common gunpowder in a com- mon air pump no difference can be seen be- tween doing so when the bell is full of air, or when a good vacuum is obtained; but in burn- 72 DU PONT DE NEMOURS ing gun cotton it is a very different thing, for in a bell where not more than two grains weight of powder could be burnt, fifteen or twenty of gun cotton could be exploded, the mercury in both instances standing a little below one and a half inches. "ALFRED DU PONT" 1 Many phrases in Mr. du Font's objections suggest a belief in the future usefulness of gun cotton in some form. He had himself done much to improve powder-making. When he was twenty-five years old, his father wrote: " Alfred has just contrived a new instrument as simple as it is ingenious and has proved an in- teresting fact, which is that there is no relation between the strength and the quickness of gun- powder." 2 And a year later: "I am confident that my son Alfred has considerably improved the manufacture of our Sporting and Eagle powders"; adding, "Please, dear Sir, to receive my thanks for the gratification your letter gives me, which is the greater from the circum- stance that it is to my son that the compliment is due." 8 1 Correspondence of Charles I. du Pont & Co., Dec. 29, 1847. 1 E. I. du Pont to P. P. F. Degrand, August 10, 1823. * E. I. du Pont to Colonel George Gibson, July 22, 1824. A HISTORY 73 Even after the administration of the business had become his first duty, Alfred du Pont was an active powderman, often in the mills, exper- imenting in the laboratory, and deeply inter- ested in any discovery that could improve the manufacture. Thirty years of hard work wore him out as it had his father; in 1847 a severe explosion with a loss of eighteen lives was a serious blow to him; and in 1849 he began to find his burden very heavy. He wrote: "A fabri- cation of over ten thousand pounds of powder per day, and all the mills going the twenty-four hours through (fourteen of which are by lamp- light) is no small care," 1 and, "We will this year have made over four hundred thousand pounds of powder more than in 1848." 2 In 1850 Alfred du Pont gave up the manage- ment to his brother Henry, with whom began a new regime. Alfred had gone to school in Carlisle, Pennsylvania, and had afterwards studied in Philadelphia; but he had always been near home, had grown up on the Brandy- wine, and had worked with his father for seven- teen years. Henry du Pont had gone from boarding-school to West Point; had then served 1 Correspondence of E. I. du Pont de Nemours & Co., Novem- ber 21, 1849. 8 Ibid., December 20, 1849. 74 DU PONT DE NEMOURS in the Army, and had resigned and joined his brothers only five months before their father's death in 1834. He had worked loyally under Alfred and cheerfully accepted his decisions, but when his turn came to take command of the office after sixteen years in the mills, he brought all the efficiency of his West Point training to bear on the task before him. He studied the growth of the West and put new agencies where- ever he believed that new markets might be created; he required the payment of old loans that had held over from his father's time; he conquered many of the difficulties of packing and shipping; he made economic arrangements with other powder companies and so avoided extravagant competition. He never ignored any complaint of the quality of powder, but he was not eager to experiment with new methods. He wrote to the various agents that he was satis- fied that the powder could not be improved; the reduction of its price was to be the impor- tant consideration. When Henry du Pont became head of the firm in 1850, the other partners were his bro- ther Alexis and their nephew, Eleuthere Irenee du Pont, whose younger brother, Lam- mot, had just finished his studies and was in A HISTORY 75 the mills; he was not a member of the firm till the early part of 1857. Alexis and Irenee du Pont were able, effi- cient, hard- working men. They built new mills, they supervised their workmen patiently and methodically and according to the best tradi- tions of the firm. Irenee du Pont made a not- able improvement by suggesting that powder be packed in metallic kegs instead of wooden ones, and experimented indefatigably until he found a suitable model, which was patented; apart from this he was, like his uncles, content to work by the methods to which he was ac- customed. The new management soon had its great opportunity. In 1854 the Crimean War de- manded more powder than the mills of England and France could supply and large quantities were bought by the English Government from the Du Pont Company. The profits from this transaction so strengthened the finances of the firm that its members had no misgivings as to their safety during the panic of 1857, or the up- heaval of the Civil War, though at that time they lost heavily through their Southern agents, and Government payments were long delayed. 76 DU PONT DE NEMOURS In May of 1854 there occurred an accident which, happening as it did in one of the prin- cipal streets of Wilmington, attracted much more attention than if it had been more serious, but at a more isolated place. Three wagons con- taining four hundred and fifty kegs of powder exploded on their way to the Du Pont pier; the three drivers and twelve horses were in- stantly killed, as were two men who happened to be near by. While the cause of the explosion was never proved, it was probably the careless- ness of one of the drivers. The newspapers were filled with very exaggerated accounts of its effects, and all through the country laws were passed prohibiting the carrying of powder through cities; a precaution of which every one recognized the wisdom, but which added im- mensely to the difficulties of the shippers. Three years later, on the 23d of August, 1857, Alexis du Pont was superintending the dismantling of a mill in Hagley yard when the moving of a heavy bin caused a slight explosion from which the loose powder carried a spark to an adjoining mill. In his effort to put out the fire, Mr. du Pont gave no thought to the great danger. The mill blew up, wounding him fatally with several of his men. He lived many hours, A HISTORY 77 and in spite of great weakness and pain, in- sisted on seeing the men who worked in the yards; bidding each one in turn good-bye. In 1858 Alfred du Pont died. Like his brother Alexis, his relations with the men in his employ were almost paternal in their interest and affection. A letter taken from his corre- spondence with one of the Company's agents perhaps best shows the gentleness of his nature and the reason for the grief of his men at his death: "Will you please oblige our Alfred du Pont by inquiring from Mr. West, the lumber merchant who assisted in procuring the boards he wanted, the name of the carpenter who so kindly assisted our A. du P. in selecting the boards? His name has escaped our memory, but his kindness and gentlemanly conduct have not; and he being fond of shooting, we wish to send him a few pounds of our powder as a slight return." l Such a letter needs no comment and his life was full of that kind of consideration and courtesy. He was never a robust man, and for the last eight years of his life he lived in the re- tirement of a semi-invalid, though at his death 1 E. I. du Pont de Nemours & Co., to Z. H. Gooch, September 11, 1844. 78 DU PONT DE NEMOURS he was only sixty years old. Even after he gave up his active place in the Company his knowl- edge and experience were always at the service of his brothers and were invaluable to his sons. Henry du Pont and the two sons of Alfred du Pont were the only members of the firm af- ter Alexis du Font's death. The younger of them, Lammot, was as enthusiastic a powder- man as his uncle was an astute financier. They developed the business with amazing rapidity, but always on a sure foundation. In 1853, four years after he had finished his studies, all ques- tions of fault in the composition of powder, complaints of miners, and the like, were re- ferred to "our chemist, Lammot du Pont," and his corrections and explanations were al- ways adequate. In 1857 he was granted a pat- ent that made possible the use of nitrate of soda instead of saltpetre for manufacturing blasting powder. In 1831 Lieutenant Irvine Shubrick, of the United States Navy, was ordered to Chili, and at the request of E. I. du Pont, whose niece Lieutenant Shubrick had married, he investi- gated the newly discovered "Peruvian salt- petre." His report is interesting, and satisfied Mr. du Pont that, as powder was then made, A HISTORY 79 the nitrate would be of no use to him. 1 Lieu- tenant Shubrick's letter was dated from the "U. S. Ship Potomac, Valparaiso, November 18, 1832," and he wrote: "The saltpetre is produced in the province of Tarrapaca and embarked at the port of Iquique, a small port in the latitude of 21 40' south and longitude 70 00' west, a little more than halfway be- tween this place and Callao. It is said here that its basis is nitrate of soda and unfit in the com- position of gun powder, and that in France it is principally used for acids, glassware, soap, &c. It is thought that the province of Tarra- paca could produce as much as might be de- manded for all Europe or any other destination, but the present establishments do not yield more than 80,000 quintals annually. The prin- cipal mines are about eight, ten and twelve leagues from the sea, and it may be said are productive from the surface of the earth. It is subjected to a simple process of purification which consists only in separating the salt from the earth. What is generally sold contains about four per cent extraneous parts, whereof one and a half and two per cent humidity. The quantity exported June, 1830, to the present 1 See Appendix, p. 182. 80 DU PONT DE NEMOURS time is computed at 90 to 95,000 quintals. The present price is $4 per quintal in bags de- livered into the ship's boats, which in addition to the freight from this to the United States would make the cost greater than the amount stated in your letter of August, 1831. The saltpetre now is a regular business, and all French ships from this to France are freighted with it." Lammot du Font's discovery of a way of making powder from this unfailing source of supply so cheapened the cost of materials that his powder was in great demand at all mines. The resultant expansion of business altered the Du Pont policy of building no mills except those that the members of the firm could per- sonally supervise. The great market for blasting powder was in the anthracite coal fields of Pennsylvania, and inasmuch as the ever-increasing need of pow- der made new mills necessary, the logical place for them was nearer the market. Mills had been built in 1858 by Parrish, Silver & Co., in Luzerne County, Pennsylvania, on the Big Wapwallopen Creek, a tributary of the Susque- hanna River, but were not successfully oper- ated. A year later they were bought for the A HISTORY 81 purpose of making Lammot du Font's new soda powder, and were rebuilt and managed under his direction. Once before the company had controlled an outside plant E. I. du Pont had built one in Louisiana in 1804 in or- der to make a place for a troublesome employee, but in 1811 the man died and the money in- vested was lost. Several capitalists suggested to Mr. du Pont after the War of 1812 that they were willing to invest in mills to be built near Washington, but the Louisiana venture had convinced him that the successful manage- ment of one plant required all his energy, and he refused even to consider another. "Wap- wallopen" was bought, however, not from an effort to create a new market, but to supply more economically a market that was rapidly growing and constantly clamoring for sup- plies. It was not a large factory with its output of thirty-five thousand kegs a year, but it marked the beginning of a new condition. The mills on the Brandy wine were insufficient; for the future there must be considered not only the economic shipping of powder, but the pos- sibility of building plants in such localities that the difficulties of transportation would be less- ened. Visitors to Wilmington were inclined to 82 DU PONT DE NEMOURS smile at the teams of six mules which drew great wagons loaded with powder as far west as Pittsburgh a six weeks' journey long after railways were carrying every other kind of merchandise, but there were many times when in no other way could powder be carried. Railways often refused to take it, or, worse, announced that for the safety of the road "friction matches will not be carried except in the cars that carry gunpowder"; l canals froze and for months the boats did not move; nerv- ous captains of coasting schooners would not have powder on their boats, or, as often hap- pened, threw it overboard if a thunderstorm threatened. The mules, however slow, were sure. In 1858 Lammot du Pont spent three months in Europe in order to visit the manufactures, arsenals, etc., in England, France, and Bel- gium, all of which had been more or less mod- ified by the experience of the Crimean War. He came back filled with eagerness for the improvement of munitions of war in this coun- try, and for some years he worked in coopera- tion with Major Hagner and Captain Rod- E. I. du Pont de Nemours & Co. to B. T. Elder & Co, February 23. 1853. A HISTORY 83 man, all three of them giving their utmost knowledge and ingenuity to make a military powder that should be the best in the world. The development of special powders for large ordnance began about 1852, when Cap- tain Dahlgren suggested that coarser powder than was then being made would be more effi- cient for the Navy guns. The size of the grain was materially increased, but it was not until 1859 that officers of the Army became satisfied that the powder must be radically changed, in order to be adaptable to the new guns. Henry du Pont advised powder grained to one inch in diameter, and presumably it was tried; but Captain Rodman was not satisfied with the result, and he experimented with various kinds of powder at the Frankford Arsenal. On No- vember 22, 1860, he wrote that he wanted the Du Pont Company to make "for guns of 24 Ibs. and over, cartridges composed of perforated cakes of powder from one to two inches thick each cake to be in diameter about one quar- ter of an inch less than the bore of the gun in which it is to be used. In very large guns the cakes may be made hexagonal instead of circu- lar, in which case seven cakes would form a layer this was the form of cake used in the 84 DU PONT DE NEMOURS 15 in. gun. 1 In the cakes used in the 15 in. gun the holes were one quarter in. in diameter and .6 in. apart from center to center, leaving the walls of powder between the holes about .35 in. thick. This thickness of walls was too great even for the 15 in. gun, as the powder was not all burned in the gun. I do not see why your in- corporated materials, in the same form as they go to the ordinary press to be pressed into cakes for graining, would not be suitable for entering the moulds for being pressed into per- forated cakes. If this would answer, it would save the expense of pressing into cakes and of granulation or mealing. The cakes used in the 15 in. gun were made of ordinary cannon pow- der after the addition to it of about 3 per cent of moisture. It worked perfectly well." Doubtless Captain Rodman's powder did "perfectly well" for experimental work, but it was long before the proper composition and machinery could make it in quantities for war needs. Six months after that letter was written, and while he and Lammot du Pont were work- ing to perfect his "cakes," South Carolina se- ceded; and in April of 1861 the country was at war. There was no time then for making ex- 1 In his own experiments at the Frankford Arsenal. A HISTORY 85 periments; the Government had no proper supply of munitions; and new inventions had to wait for their development till immediate needs had been met. CHAPTER VIII 1861-1865 THE election of Abraham Lincoln in No- vember of 1860 was a very definite noti- fication to the Southern States that a majority of the citizens of the United States opposed the extension of slavery. In December South Caro- lina seceded from the Union; in February Jef- ferson Davis was inaugurated as President of the Southern Confederacy; in March he or- dered that an army of one hundred thousand men should be raised. But it was not till Fort Sumter was taken by the Confederate forces in April, 1861, that any preparation seems to have been made by the Northern States either for an army or for munitions for the struggle which no one expected to last more than a few months and which racked the country for four years. Two days after the fall of Sumter the Du Pont Company again gave proof of its loyalty to the Government in a letter to the Richmond agent: "With regard to Colonel Dimmock's order we would remark that since the inaugura- "A HISTORY 87 tion of war at Charleston, the posture of Na- tional affairs is critical, and a new state of af- fairs has arisen. Presuming that Virginia will do her whole duty in this great emergency and will be loyal to the Union, we shall prepare the powder, but with the understanding that should general expectation be disappointed and Virginia, by any misfortune, assume an attitude hostile to the United States we shall be absolved from any obligation to furnish the order." In May, 1861, Henry du Pont was appointed Major-General of the forces in Delaware, a position for which his West Point education had well fitted him. The situation of the mills in a State of which the loyalty was at first doubtful, and their value to the Government, made it imperative that they should be intelli- gently protected; for that purpose two com- panies were organized from the men employed by the Du Ponts; their captains were Lammot du Pont and Hugh Stirling. In July, 1863, an effort was made by the Confederates to seize the Philadelphia, Wilmington and Baltimore Railroad at a point between Philadelphia and Baltimore. A troop of cavalry reached Gun- powder Bridge, in Maryland, but was driven 88 DU PONT DE NEMOURS back by Delaware troops, the Du Pont com- panies among them. A year later one of the Du Pont companies was sent to help guard the railroad which was again threatened. Confed- erate raids were not the only danger; on one occasion two men, who proved to be disguised officers from the Southern army, were stopped within half a mile of the mills. In the four years between 1861 and 1865 there were seven ex- plosions from "unknown causes" in which thirty-nine men were killed and much powder and machinery destroyed. Such catastrophes occur so much less often in times of peace, and are so helpful to the enemy in times of war, that one hesitates to use the word "accident" in describing them. The Southern States were importing excel- lent English powder, and in order to make an explosive that should be better than that of the enemy, Lammot du Pont, reenforced in 1861 by his cousin, Eugene du Pont, 1 worked night and day; but their experiments soon had a seri- ous interruption. The Government had very little powder and could not pay for any until special appropria- tions were made; whereas all the raw materials 1 The eldest son of Alexis I. du Pont. A HISTORY I S9 had to be paid for in cash. Late in 1861 there was but a small quantity of saltpetre in Amer- ica and it was feared that England's sympathy with the Confederacy might result in closing the East India market to the Union. The Du Pont Company could not possibly buy enough saltpetre to assure their supply in such an emergency, and in November Lammot du Pont went to Washington to explain the situa- tion to the Secretaries of War and of the Navy. They authorized him to go at once to England and buy a large quantity of saltpetre for the Government. To avoid publicity it was all to be purchased in the name of the Du Pont firm and by their usual brokers. Mr. du Pont reached London on the 19th of November, 1861. He had some trouble about his credit, for he was known only at Brown, Shipley and Company, and without notifying him, the Government funds on which he was to draw had been sent to Baring Brothers. When that difficulty was overcome, he bought in one day for the United States Government and his own firm all the saltpetre that was for sale in Eng- land about two thousand tons, and much that was on its way from India; arranged for ships in London, Liverpool, and Greenock; and 90 DU PONT DE NEMOURS began loading his cargoes on the 28th; nine days after his arrival. In the meantime the British Government was informed that Messrs. Mason and Slidell, Commissioners from the Confederate States on their way to England, had been taken from an English vessel, the Trent, and imprisoned in Boston on November 19 in defiance of interna- tional law, but with the approval of the United States Congress. The immediate surrender of Mason and Slidell was demanded by England; and an embargo on the exportation of saltpetre stopped Lammot du Font's cargoes before they were loaded. There was nothing for him to do but return home at once; letters were uncertain and there was no other means of communica- tion. He sailed on the 7th of December and was again in Washington on the 26th; there he was given a letter from the Secretary of State urg- ing Charles Francis Adams, the American Minister in London, to do all in his power "for the relief of E. I. du Pont de Nemours and Co." He sailed again for England on the 1st of Janu- ary, 1862, as did Mason and Slidell, the Ameri- can Government having admitted the impro- priety of their seizure. Mr. du Pont wrote from England on the 13th that the embargo would A HISTORY 91 probably be removed within a week. It was re- moved on the 18th; the interrupted loading was resumed, and, the political crisis having passed, Mr. du Pont arranged for the sale in England of some of the saltpetre bought for his firm. He returned to this country, sailing from England on the 1st or 2d of February, 1862, and arriving in Wilmington on the 15th. The first of the vessels carrying the saltpetre sailed on the 2d, the other four soon after. 1 The se- crecy of the whole transaction and Lammot du Font's hurried and unexplained journeys were perhaps some excuse for the very remark- able accounts of it that have found their way into print accounts for which Mr. du Font was certainly not responsible, but of which many were too grotesque to be worth contra- diction. It was a very important mission to en- trust to the youngest member of the firm, and was accomplished so successfully that in less than a year the Government again authorized the company to buy saltpetre; but conditions had changed and the purchase was left to their London brokers. As soon as he had returned from England, 1 The amount paid by the Government for this saltpetre was 79,699, 10s 8d. 92 DU PONT DE NEMOURS Lammot du Pont was again experimenting for the improvement of both military and blasting powder; he made frequent journeys to Wash- ington, New York, and Wapwallopen, where he supervised all the work; and in May, June, and July, 1863, he was on duty with his com- pany of Delaware militia. In August, on his way from Wapwallopen to New York, he was suddenly taken ill and hurried home, where for two months he suffered a severe attack of typhoid fever. When he was considered con- valescent his eyes became troublesome, and another month passed before he could get back to active work. Then he tried to make up for lost time with the not surprising result that he was in bed with an acute attack of rheumatism in June and July of 1864. When war was declared Henry du Pont wrote to one of the agents, "The extra demand for powder for war purposes will not equal the regular demand which would have existed had peace continued." * There can be no doubt of the correctness of his prophecy. Of course no explosives could be sent to the Southern or Southwestern States, where the Du Pont 1 Correspondence of E. I. du Pont de Nemours & Co., May 6, 1861. A HISTORY 93 agents had sold large quantities of both blast- ing and sporting powder. None could be ex- ported from New York or Philadelphia, lest it should be captured at sea and used to supply the Southern armies; this order cut off ship- ments to the West Indian Islands and Mexico, and for a time those to California, where since 1849 an important agency had existed. The miners of the Western coast had no other means of getting their powder, and by October, 1863, the situation had become so critical that the Collector of the Port of San Francisco tele- graphed the Secretary of War that unless pow- der was sent promptly the supply of gold would stop. Before the needs of the market could be met, California capitalists had raised one hundred thousand dollars and organized the California Powder Works, which, with Chinese labor and saltpetre brought from In- dia across the Pacific Ocean, took much of the business from the Eastern manufacturers. The difficulty of getting saltpetre again be- came serious. Lammot du Pont's purchases in England were for supplying powder for a war that might last for six months; by 1863 the stock was exhausted. When a pound sterling was valued at thirteen dollars and all saltpetre 94 DU PONT DE NEMOURS came from the English market, some other means of supply became imperative. Lammot du Font's nitrate of soda powder made salt- petre unnecessary for blasting, but there was nothing to take its place for military powder. Samples of "nitrous earth" were sent by agents from Tennessee and Missouri; two caves of such earth "several miles in extent" were for sale in Mexico; a mine in Tennessee that "will give five tons a day" was offered for four hundred thousand dollars; but the sam- ples were not satisfactory, and in May, 1863, Henry du Pont wrote to the brokers in Cal- cutta who ordinarily supplied the Company: "The manufacture of saltpetre has been com- menced in this country in several places; at the present high rates for East India nitre it will pay well; the article being made by chemical decomposition, it comes out pure, which is a great advantage." A year later he wrote: "The manufactured saltpetre is made from nitrate of soda and potash. It sells at the same price as East India saltpetre. It is not popular with powder manufacturers, but when saltpetre is scarce it sells pretty well." l 1 Correspondence of E. I. du Pont de Nemours & Co., October 80, 1864. A HISTORY 95 In March, 1862, Lammot du Pont went to Washington in an attempt to modify a bill for the taxation of gunpowder which had also a clause providing for the manufacture of pow- der by the Government. It was not a new idea. Many years before then Alfred du Pont wrote: "We notice in the President's message the rec- ommendation of erecting powder works, but not having yet seen the report of the Secretary of War, we cannot exactly know the reasons that have induced the Department to recom- mend this measure. We can only say that if the expectation is to save expense, they will find themselves greatly deceived." 1 Though the powder was taxed in 1862, the Government powder works were not heard of again, but Henry du Pont was very indignant at the sug- gestion that the Government could, with inex- perienced men, make powder that would be better or cheaper than that furnished by the Du Pont firm, and he wrote to Captain Har- wood: "The market price was twenty cents in December when we supplied the Government at eighteen cents; the present price compared to current rates of trade is two dollars a barrel 1 Correspondence of E. I. du Pont de Nemours & Co., Decem- ber 8, 1837. 96 DU PONT DE NEMOURS better for the Government than it ought to be by present prices of materials. There is no country in the world where the Government obtains its powder on as favorable terms as in the United States. When our Mr. Lammot du Pont was in England in January and February last, the British Government was paying its contractors, in time of peace, eighty shillings per hundred pounds for cannon powder, one hundred and ten for musket, one hundred and twenty for rifle a good deal above the war prices here; the British manufacturer having the benefit of free saltpetre and brimstone, while the American manufacturer pays a heavy duty on both." 1 Prices and taxes kept increasing, and in No- vember of 1863 the price to the Government had reached twenty-six cents a pound; at that point the Assistant Secretary of War wrote to ask Henry du Pont whether it was possible to bring powder from England. He was told that the English firms that supplied their Govern- ment would undoubtedly sell to the United States at thirty-four cents a pound for cannon and forty cents for musket powder, exclusive of 1 Correspondence of E. I. du Pont de Nemours & Co., June 17. 1862. A HISTORY 97 shipping charges; but he was also informed that the sizes and specifications of English powders, which differed from those required in America, would cause much confusion. In March, 1864, Henry du Pont wrote to General Ramsay: "There never has been a case in any country in the world where a nation at war has had its powder so cheap as the United States have had it since the breaking out of the Re- bellion; and now at this time, with a specific duty of two cents per pound on saltpetre and of six dollars per ton on brimstone, and a Gov- ernment tax of one cent per pound on powder, the United States are getting the powder cheaper than England pays for her powder, where saltpetre and brimstone are both free and where labor and all other elements are much lower than in this country." In April, 1864, a resolution in Congress added fifty per cent to the duties affecting powder and the price of Government powder was raised to thirty cents. General du Pont, in his letter of explanation, said: l "From 1861 to the present time saltpetre has advanced 135 per cent; brimstone, 80 per cent; charcoal, 50 1 Correspondence of E. I. du Pont de Nemours & Co., May 26, 1864. 98 DU PONT DE NEMOURS per cent; cooper work, 90 per cent; labor, 75 per cent." Low as were the prices asked for Government powder, the Treasury Department was unable to make immediate payments, and though the bills were promptly audited and approved, the drafts were slow in coming. As all materials, taxes, and labor had to be paid for in cash, the situation was a grave one for the manufacturer. In March, 1862, Henry du Pont wrote to the Ordnance Department: "We have received no payments since October, and saltpetre is selling only for cash. We need funds badly." In April: "We are very much in want of funds; there is due on the November account $7770 and all that has been audited since. We understand that the Treasury is paying twenty per cent demand notes and eighty per cent certificates of indebtedness, which would be very accept- able." Between April and the end of July the company received about $360,000, but nothing more for many months. In July, 1864, powder furnished in August, 1863, was still not paid for, and in October, "The Government owes us over $350,000 for the Army alone." In August of 1865 the Secretary of the Treasury offered payment of all the bills twenty-five per cent A HISTORY 99 in cash and seventy-five per cent in certificates of indebtedness, which was cheerfully accepted. The four years of the war were very hard ones for all the members of the firm; two of them Henry and Lammot du Pont had suffered severe illnesses, but they had sur- mounted every difficulty with unshaken cour- age. Though great fortunes had not been made, the company had gained immeasurably in pres- tige and in experience and had laid a founda- tion of great strength for new activities. CHAPTER IX 1865-1877 AT the close of the Civil War the members of the firm were Henry du Pont and his three nephews, Eleuthere Irenee and Lammot, sons of Alfred du Pont, and Eugene, the eldest son of Alexis. As soon as it was possible to travel in the south, George Breck, a relative of the Du Pont family, was sent through that country to in- vestigate the business conditions of the South- ern States and the standing of the various Du Pont agencies. His report confirmed Henry du Pont's belief that the sale of powder to the Government in time of war would not be as profitable as the earnings would have been had peace continued. All through the South agents had accepted Confederate money or bonds in payment for powder, and the banks in which their deposits were made refused payment in United States currency. Some few agents had bought cotton with the money they had, but few were so far-seeing, and the losses were very heavy. Powder valued at over twelve thousand A HISTORY 101 dollars was taken from the State Magazine in Missouri for the use of the Confederate armies, and was still unpaid for in 1870. When the war ended, the Government asked to be released from all powder contracts. The Du Pont Company at once agreed to have them cancelled at no cost to the Government and resumed the manufacture of blasting pow- der, for which agents were clamoring from all parts of the country. Between 1860 and 1870 over twenty-two thousand miles of railway were built in the United States; work on the Pacific Railroad began at both ends in 1863. The demand for powder for coal and iron mines as well as for the construction of the roads was enormous. Partly because the large mills Hazard, Laflin, and Rand, and Du Pont were fully employed in supplying the Army and Navy, and partly because of the difficulty of transportation, small and poorly equipped mills had been put up near the mines, and hav- ing no agents and no freights to consider, they were able to sell blasting powder at a great re- duction from former prices. Few of them had made any allowance for losses by explosion, and after short and disastrous experiences many were glad to sell their machinery to the larger 102 DU PONT DE NEMOURS companies or to increase their capital by issuing stock to those companies in order to profit by their greater knowledge. The spirit of speculation and competition which was driving the whole country to a con- dition that culminated in the panic of 1873 was particularly disorganizing to powder-makers; agents of different companies were continually selling at a loss rather than let another com- pany have a customer; sometimes agents of the same company underbid each other. Railroads usually gave lower freight rates to the company from which they could most cheaply buy the powder used in their construction work. In this very uncertain market a new and un- expected competitor appeared. The Govern- ment, in addition to the powder left from the war and that taken in Confederate magazines, was constantly receiving new supplies from firms that had refused to cancel their war con- tracts. It had formerly been the custom of the Army and Navy Departments to give old pow- der in part payment for new; but the great quantity on hand and the industrial demand for explosives suggested a more summary method, and in 1866 large quantities were offered for sale at public auctions. In April of A HISTORY 103 that year Henry du Pont wrote: "The policy pursued by the Navy Bureau in crowding immense quantities of powder, by auction, on the market has completely broken down the trade." l In 1866 Du Pont agents were sent to sales at various arsenals where about forty thousand barrels of powder were sold the whole amount sold was much larger. The situ- ation was so serious for every one concerned that an agent was sent to Washington to try to make a better arrangement, but his report was not encouraging: "I had a talk with Cap- tain Crispin this morning. He says he can see that it would be to the interest of the Govern- ment to have their powder handled by one large concern; but he does not think there is a man in the entire department, from the Secre- tary of War down, that would dare to make such an arrangement. I told him that was the only way they could get a fair price for all their powder; they might find parties who would take a few thousand barrels at what would ap- pear to be better terms, but they would create a competition against themselves. That if the Government was going to sell powder that way 1 Correspondence of E. I. du Pont de Nemours & Co., April 16. 104 DU PONT DE NEMOURS it would be more to your interest to stand aside and let other parties buy it." * Other parties were very glad to buy it: "Your old friend Goodwin of the Empire Mills bought 1000 bar- rels of Government powder at St. Louis at 7| cents and shipped it to Pittsburgh so look out for a raid on prices at that point. The pow- der delivered on board the barge at 7$ by General Callender." 2 In 1868 Colonel Hazard told General Dyer, of the Ordnance Department, that "the large quantities of powder offered at St. Louis at the last sale (16,247 barrels) broke down the mar- ket and caused a heavy loss to manufacturers as well as to the Government." 3 A week later General Dyer was told that "at the Charlotte sale the Du Pont Company paid for powder and got a general assortment of percussion caps, fuses, ends of rope, old nails, spikes, paper and brass balls"; 4 and that "it was not just the thing for the Government to compete with us 1 F. L. Kneeland to E. I. du Pont de Nemours & Co., July 7, 1866. 2 J. M. Boies (of Laflin, Boies, & Turck) to F. L. Kneeland, June 10, 1868. * F. L. Kneeland to E. I. du Pont de Nemours & Co., January 14, 1868. 4 F. L. Kneeland to E. I. du Pont de Nemours & Co., January 31, 1868. A HISTORY 105 for our retail trade. It is hard enough to con- tend with the depression in business and high taxes, without having the competition of thi Government in addition." That same year Pope, the secretary of the Hazard Company, told a Du Pont agent that the Hazard Company had recently bought Government powder and that "it was found to contain percussion caps, nails, stones, chippings of lead and pieces of iron from inside shells. The workmen were so fearful of it that they dumped it all into the river, which is what the Government ought to do with the whole of it." 1 The complaints, however, were not all of that kind. Much of the auctioned powder was very good. Cannon and musket powder for which the Government had paid thirty cents a pound, and which it sold for from five to twelve cents, was quicker and easier to handle than blasting powder costing twenty-two cents a pound; and the agents' letters were filled with the com- plaints of the miners when they could not get the better and cheaper powder. These public sales lasted till 1872, when 1 F. L. Kneeland to E. I. du Pont de Nemours & Co., August 4, 1863. 106 DU PONT DE NEMOURS Henry du Pont wrote: "On inquiry from the Department at Washington we learn that there will be no more condemned powder sold at public sales. There is still, however, some on hand which the Government will exchange for good powder." 1 This was done at a ratio of about one to four for some years. The Du Pont Company was still reworking Civil War pow- der in 1890. Though the public sales of powder were dis- continued, there were many private sales. In March, 1878, the Government had for sale at St. Louis 832,000 pounds of cannon and mus- ket powder. 2 J. W. King had been an official of the Miami Powder Company of Ohio; he quar- elled with its directors and, with the powder that was for sale so conveniently near by, de- clared war on the Miami Company. King's Great Western Powder Company was organ- ized near Cincinnati in August, 1878; but a month earlier Henry du Pont wrote: "King's Rifle powder is old condemned powder such as is sold for blasting; he purchased it at the St. Louis Arsenal and has redried and reglazed it. 1 Correspondence of E. I. du Pont de Nemours & Co., Decem- ber 16, 1872. 2 F. L. Kneeland to E. I. du Pont de Nemours & Co., March SO, 1878. A HISTORY 107 It is an inferior article. We have often bought it at Government sales and sold it for blasting powder. He has a very small mill, makes some blasting powder but no rifle, but fills his rifle trade with this old Government powder.'* 1 And seven years later: "Prices of powder have been demoralized by the war between the Great Western Powder Company and the Miami Powder Company." 2 Either the Great Western Company had provisioned itself well for the war or it made very large profits, for it continued its depredations on the regular market until the death of King in July, 1885. The new manager, G. W. Peters, a son-in-law of King, did not carry on the feud. With so many difficulties to overcome, it was obvious that if any profit was to be made by the manufacture of powder the materials must be bought and the product sold more carefully than had hitherto been done. For that purpose the larger companies agreed among themselves not to outbid each other in buying saltpetre or nitrate; not to attempt to sell in territory that could be more economically reached by another 1 Correspondence of E. I. du Pont de Nemours & Co., July 29, 1878. 1 Correspondence of E. I. du Pont de Nemours & Co., July 13, 1885. 108 DU PONT DE NEMOURS company; and above all to stop the ruinous competition of their agents. Their intention was not to force prices up or down, nor was any company made to suffer for not joining them. They were simply making the best arrange- ment that seemed possible to allow each manu- facturer to deliver his product at the least cost to both himself and the purchaser. Even with these economies it was hard to earn any profit. In 1868 Smith and Rand reduced their divi- dend from five to three and a half per cent. In 1870 the Oriental Powder Company failed be- cause of heavy indebtedness, high cost of ma- terials, and competition. It struggled on a little while, was sold at auction in 1872 and was reorganized. In 1873 all business in this country was in a most critical condition. Speculative buying had reached unprecedented heights and fallen. The great failure of Jay Cooke and Company carried other bankers with it; and railways and mines were forced to stop work. In 1877 Henry du Pont said, "More than half the powder ma- chinery in this country has been lying idle since the panic of 1873." 1 Only the fittest could sur- 1 Correspondence of E. I. du Font de Nemours & Co., March 17, 1877. A HISTORY 109 vive, and they by the greatest effort. In 1875 a man wrote to ask the Du Fonts for a place as engineer and was told: "We build our own machinery; draw our own plans; make our own patterns; and have never employed any one to design or construct our mills or machinery, dams or races, roads or anything else; being our own engineers and superintendents of all work done at our mills, both here and in Penn- sylvania." 1 That is the true explanation of the growth of the company in those most try- ing times. Their agents could not always be trusted; many of them succumbed to the mania for speculation, and losses through them were very heavy. But the manufacturing part of the business was wholly in the hands of those whose name it bore and they were willing to make every personal sacrifice that it might succeed. The President of the Hazard Powder Com- pany died in 1868, leaving to his family a large fortune all invested in railways. A few months later the New York agent wrote: "The death of Colonel Hazard has effected the standing of their Company in the trade very seriously. It is 1 Correspondence of E. I. du Pont de Nemours & Co., Novem- ber 22, 1875. 110 DU PONT DE NEMOURS reported that the Company is falling to pieces. I think they are badly in want of business abil- ity." l A serious explosion in 1871 was a severe blow to their credit, and in 1874 they were said to be in need of both money and orders. In 1876 the Hazard Company was quite willing to sell a majority of their stock to the Du Pont Company, with whom they had always been on very friendly terms. An interest in the California Powder Works was acquired at about the same time. Because of the impossibility of sending powder to Cali- fornia at the beginning of the Civil War, when it was greatly needed for the gold mines, a set of mills had been built in 1861 at Santa Cruz. Having Chinese labor, and saltpetre and ni- trate directly from India and Chili, they man- ufactured about four thousand kegs a month with some success. They made only blasting powder, and at first only expected to work until the market could be supplied by the East- ern manufacturers. As early as 1864 troubles with the machinery and with labor had dis- couraged the stockholders, and in 1867 one of them offered the Du Pont Company his shares 1 F. L. Kneeland to E. I. du Pont de Nemours & Co., Decem- ber 12, 1868. A HISTORY 111 of the stock, amounting to twenty thousand dollars. His offer was declined, but the next year the Du Fonts were offered shares by two other shareholders. The Du Pont Company then instructed their San Francisco agent to investigate the California Company the value of its land and buildings, its capital, etc., and as a result bought much of its stock, though until 1877 the Du Pont Company's interest was not large enough to ensure the cooperation of the California Company. The experiments with cannon powder that were so engrossing to Captain Rodman and Lammot du Pont before the war were not seri- ously resumed until 1870, and then by Lieuten- ant Dutton, who had Captain Rodman's former place at the Frankford Arsenal. At first only the composition of the usual Mammoth powder was considered ordinary black pow- der grained to about an inch in diameter but the perforated cakes that Captain Rodman had suggested were remembered, and experimental moulds for them were made. These moulds, made of bell metal, gave much trouble, for they did not keep their dimensions under pressure, and the density of different cakes was uneven. The solid cakes were sent to Frankford and 112 DU PONT DE NEMOURS perforated with a drill that Lieutenant Button adapted for the purpose. In 1872, the moulds having proved impracti- cable, Lammot and Eugene du Pont together applied for a patent in the United States, Eng- land, and France "for compressing dampened powder in sheets between ribbed plates or other mechanical equivalent for forming indented lines, by which the cake is broken up into uni- form shapes or sizes, and the giving of these grains a greater density on the surface than in the interior." * Lammot du Pont had in 1865 patented a horizontal press for the compression of powder and also the hard-rubber plates used in it. The Du Ponts were so sure of the value of the ribbed plates that they at first intended to have their rights patented in Germany also. This plan was discouraged by their lawyer, whose letter on the subject is interesting: "In Germany there is so much uncertainty that I consider it my duty to first inform you of it before you incur the expense of an application there. My experience in procuring patents in Germany is that they refuse everything that the Government wants to use, and your inven- 1 E. I. du Pont de Nemours & Co. to A. B. Stoughton, August 25. 1873. A HISTORY 113 tion is right in their line. Beside, their system is so defective and their commissioners so corrupt that you must either buy or get personal influ- ence before you can obtain the patent. And after you have a patent the Government will use it if they want it and without paying a far- thing for it." * Samples of hexagonal and octagonal powders were ready for the Government to try in Janu- ary, 1873. The new powder could not be made quickly. All of it was gone over by hand and imperfect grains were taken out; "the produc- tion per month will fall far behind that of the old style Mammoth powder, but we believe the loss in production and the increase in price will be amply compensated by the results ob- tained." 2 Samples were also sent of what was called square powder; "the horizontal section is square and the vertical section an octagon " 3 but it never seems to have got beyond the experimental stage. In the following December the Government ordered four hundred and fifty barrels of hexagonal powder for the Navy 1 A. B. Stoughton to E. I. du Pont de Nemours & Co., Septem- ber 9, 1873. 1 E. I. du Pont de Nemours to Major Bayler, April 25, 1873. 1 Correspondence of E. I. du Pont de Nemours & Co., August 18, 1873. 114 DU PONT DE NEMOURS and five hundred for the Army, beside one thousand barrels of ordinary Navy cannon powder; and very soon after that, the English Government ordered two thousand pounds of the hexagonal, probably in order to compare it with "an analogous powder" 1 made by an English firm for that Government, at nine cents a pound more than the Du Pont price. Eleuthere Irenee du Pont, the eldest grand- son of the founder of the Company, died in September, 1877, after an illness of many months. He was only forty-eight years old, and had been a member of the firm for twenty-six years. When Alfred du Pont resigned in 1850, Henry du Pont took entire charge of the office, leaving the care of the mills to his brother Alexis with their nephews Eleuthere Irenee and his brother Lammot. Seven years later Alexis du Pont was killed in an explosion and the mills were managed by Irenee and Lammot alone, until in 1861 they were reenforced by Eugene du Pont, then twenty-one years old. They superintended the entire manufacture of both the Brandywine and Wapwallopen mills until Francis G. du Pont, Eugene's younger brother, 1 Correspondence of E. I. du Pont de Nemours & Co., Decem- ber 8. 1873. A HISTORY 115 joined them. Lammot du Pont was in Europe for three months in 1858 and for a shorter time in 1861. When he was nominally at home his share in the management often called him to Wapwallopen, New York, or Washington. The chemical work in which he was so successful kept him in the refinery and the laboratory very constantly. Those buildings were in the original enclosure the "Upper Yard," which in 1866 had a capacity for producing five thou- sand pounds of sporting powder a day. Lammot and Eugene du Pont practically confined their supervision of the Brandywine mills to this yard, leaving the rest of the manufacture to Irenee and, after 1871, Francis G. du Pont. "Hagley Yard," bought in 1812 and often extended, could make twenty-five thousand pounds of blasting powder a day in 1866; and within its boundaries were the machine and millwright shops, the carpenter and black- smith shops, keg factory and packing house. The "Lower Yard," begun in 1847, on the opposite side of the Brandywine and nearer Wilmington, had an output of five thousand pounds of sporting powder a day. A circular, printed in 1872 for the information of their agents, shows that the Company made twenty- 116 DU PONT DE NEMOURS four kinds of gunpowder and seventeen kinds of blasting powder, and sold as by-products refined saltpetre, sulphur, charcoal, and also safety fuse. Irenee du Font's responsibility, therefore, was very great. Day after day for twenty-seven years he was with the powdermen, looking for opportunities for improving the efficiency of the machinery or adding to its safety. He was always one of the first on the ground after an explosion, and he never permitted a new or a rebuilt mill to be operated until he himself had run it. During the Civil War all the mills worked on Government powder, and the care and the constant anxiety and frequent acci- dents gave him little rest. The men who worked for him told stories of his generosity and his courage for many years after his death. His few friends loved and admired him. But he never left home except for short business trips; he put all his strength into his daily work, and died as a result of the exposure and fatigue. CHAPTER X 1878-1889 HENRY DU FONT'S elder son, Henry A. du Pont, was, like his father, a grad- uate of West Point. He was given the Con- gressional Medal of Honor and the rank of lieutenant-colonel for distinguished gallantry in the Civil War, and he remained in the Army until after his marriage in 1874. For many years his father had urged his return to Dela- ware; more men were much wanted in the management of the Company; but Colonel du Pont was devoted to his profession and post- poned his resignation until his wife's desire for a settled home was added to his father's need of his help. He became a member of the firm in January, 1878, at the time of the readjustment that followed the death of the second E. I. du Pont. Colonel du Pont was assigned to duties in the office he had had much administra- tive experience at various army posts and it was believed that he could relieve his father of part of the enormous correspondence. In 1876 118 DU PONT DE NEMOURS Henry du Pont wrote in apology for an illegi- ble phrase in one of his letters: "I have written so many letters in the last forty years aver- age about six thousand per year that it has spoiled my penmanship." l There were times, undoubtedly, when he felt the need of help, but when it came to the point he was quite un- willing to give up any part of his accustomed task. Colonel du Font's share of the office work was not sufficient to fill his time, and by de- grees business arrangements that involved trips to New York were assigned to him, as were all railway arrangements and discussions with the officials of other companies. As a result of his knowledge of railway methods, he became President of the Wilmington and Northern Railroad in addition to his duties with the Company. In 1878 Henry du Pont's younger son, Wil- liam, seventeen years younger than Colonel du Pont, also became a member of the firm, and was given charge of all the farms belonging to it no small task, for farming was the one relaxation that Henry du Pont and his father before him had permitted themselves, and by 1 Correspondence of E. I. du Pont de Nemours & Co., August 5, 1876. A HISTORY 119 1878 "the farm" covered many hundreds of acres. Neither of the new men had any place in the running of the mills, and Francis G. du Pont had all the responsibility that he had formerly shared with Irenee du Pont. In 1865 Alfred Nobel patented a process for making nitro-glycerine, thereby introducing an explosive infinitely more powerful than any previously used. Henry du Pont, always firm in his faith in the processes used by his father, had little patience with the reports that were sent to him of the wonderful discovery: "Since writing to you on the subject of Blasting Oil, we have seen an interesting article on the sub- ject in the last number of the 'Scientific Amer- ican,' taken from some European paper, which confirms the impression we had and proves that its use would be much more dangerous than gunpowder"; l and later: "We thank you for the sh'p containing account of the explosion at San Francisco. We think that will be the end of Nitro Glycerine in this continent." 5 i Other firms, however, did not dismiss the 1 Correspondence of E. I. du Pont de Nemours & Co., March 5, 1866. 1 Correspondence of E. I. du Pont de Nemours & Co., April 19, 1866. 120 DU PONT DE NEMOURS subject so lightly. The London brokers who bought saltpetre for the Du Pont Company wrote: "After the recent experience in Ger- many of new explosives, it is probable that the use of Gunpowder will become less extensive for War purposes, whilst substitutes for blast- ing purposes also appear to be coming into more general use." 1 The danger in handling pure nitro-glycerine was very great; newspapers had frequent sto- ries of terrible explosions; and when in 1868 Nobel's own factory near Stockholm was de- stroyed with much loss of life and property, its importation or use was forbidden in both Bel- gium and England. But in that year Nobel patented a formula for dynamite which dimin- ished the sensitiveness of the nitro-glycerine by introducing an absorbent. Much experimenting was being done in the United States. The Oriental Powder Company made a "new explosive" and had a disastrous explosion, ending in their bankruptcy. "Dua- lin " was a dangerous explosive made by Rand. 2 "The California Company are selling in Colo- rado a new article which they call Hercules, 1 Forbes, Forbes & Co., August 8, 1866. 8 F. L. Kneeland, December 19, 1871. A HISTORY 121 which is Blasting Powder soaked in Nitro-Gly- cerine." 1 But Henry du Font's distrust of all "high explosives" remained unshaken: "It is only a matter of time how soon a man will lose his life who uses Hercules, Giant, Dualin, Dy- namite, Nitro-Glycerine, Guncotton, Aver- hard's Patent or any explosive of that nature. They are all vastly more dangerous than Gun- powder, and no man's life is safe who uses them." 2 He declined to buy patents for new explosives, though in writing to one inventor he admitted: "A powder is much wanted that will answer certain purposes and it must have the following qualities, 1. It must burn with intense quickness. 2. Large volume of gas. 3. Cheapness. 4. Not liable to spontaneous de- composition." 3 In 1873 a letter that later on must have been embarrassing was written to the Pennsylvania Railroad warning them against carrying "any compounds of nitre-glycerine," adding, "We have sent circulars to all our agents cautioning 1 Correspondence of E. I. du Pont de Nemours & Co., De- cember-21, 1869. 1 Correspondence of E. I. du Pont de Nemours & Co., March 14, 1871. 1 Correspondence of E. I. du Pont de Nemours & Co., August 15, 1871. 122 DU PONT DE NEMOURS them against allowing any such to be stored in our magazines." l It was not until 1876 that there was any suggestion that the head of the company was weakening in his condemnation of the new ex- plosives, but in that year he approved the manufacture of Hercules powder by the Cali- fornia Powder Works, in which the Du Pont Company was the largest stockholder; and he gave some advice concerning the manufacture of the necessary acids. In 1877 the California Works built a plant for Hercules powder near Cleveland, Ohio, because they found it could "be manufactured there ten cents per pound cheaper than in California," 2 and shortly after- ward Henry du Pont wrote to an agent: "We know nothing about the prices of the Hercules powder; but please write or telegraph J. W. Willard, Hercules Powder Company, Cleve- land, Ohio, and he will post you. On August 1st last he wrote to know if our agents could help in the sale of Hercules, to which we consented, provided they do not store it in our magazines. It is the best of all patent explosives." 3 1 Correspondence of E. I. du Pont de Nemours & Co., May 1, 1873. * California Powder Works, September 16, 1877. 3 Correspondence of E. I. du Pont de Nemours & Co., Novem- ber 6, 1877. A HISTORY 123 It is not difficult to read between the lines of these letters that Lammot du Pont had been experimenting with the new explosives and that the day must come when any firm of which he was a member would do its share of the manufacture. He made plans for a dyna- mite plant to be built on the Wilmington and Northern Railroad, not far from Wilmington, but there was much opposition from other members of the firm, and the site was aban- doned. On January 29, 1880, a very unenthusi- astic announcement was made: "We are going into the high explosive business that is, we are forming a company in which we are heavily interested to manufacture the same, and have not as yet fully determined on the name." In February Lammot du Pont went to San Fran- cisco, presumably to discuss his plans with other manufacturers. In May press plates for making hexagonal powder were sent to the California Powder Works; these plates had been patented by Lammot du Pont and were in use only at the Du Pont mills. Very shortly af- terward the three companies Laflin and Rand, Hazard, and Du Pont who had sub- scribed equally for the new high explosives company, also bought the California Com- 124 DU PONT DE NEMOURS pany's Hercules plant at Cleveland. All of which sounds like an exchange of courtesies helpful to both sides. The Repauno Chemical Company, of which Lammot du Pont became president and Wil- liam du Pont secretary and treasurer, had its factory at Gibbstown, New Jersey, at the junction of the Repauno Creek and the Dela- ware River, directly opposite Chester, Penn- sylvania. Henry du Pont apparently became really converted: "As to blasting under water, we must frankly advise Nitro-Glycerine. We refer you to the Repauno Chemical Company. Atlas powder is the best and safest high explo- sive made." 1 Though the plant at Cleveland built by the California Powder Works for their Hercules powder was bought by the same interests that provided the capital for Repauno, the name was not part of the bargain, and it was not till September of 1881 that the California Com- pany agreed to allow the new corporation to be called the Hercules Powder Company. It was quite distinct from the Repauno Chemical Company, though it had the same officers and stockholders. 1 Correspondence of E. I. du Pont de Nemours & Co., Janu- ary 6. 1881. A HISTORY 125 In January, 1882, Lammot du Pont resigned from the Du Pont Company in order to give all his time to the Repauno Company, of which the office was in Philadelphia. He took over all the shares owned by the Du Pont Company; the rest of the stock remained with Laflin and Rand, and Hazard. His success was immediate and brilliant, and he laid the foundation of an enormous industry; but the end of his share in it came very soon. On March 30, 1884, Henry du Pont wrote to Bernard Peyton of the Cali- fornia Company, to tell him of the accident in which Lammot was killed, and his words are too graphic to be altered: "We have just advised you by telegraph of the death of Mr. Lammot du Pont, who was killed by the serious accident which occurred about 10.20 A.M. yesterday at the works of the Repauno Chemical Company. "Something going wrong in the Nitro-Gly- cerine house, the person in charge Mr. Nor- cross, who was there with two workmen, sent for Mr. Hill, the chemist. Mr. du Pont, who happened to be at the works that day with Mr. Ackerson of the Laflin and Rand Co., went with Mr. Hill, as did Mr. Ackerson. "All of these were at or near the house when 126 DU PONT DE NEMOURS the explosion took place, and all were instantly killed by the shock; the bodies being very slightly mutilated. "The damage to the other buildings was practically nothing; a few panes of glass being broken and a few weather boards knocked off. The most serious part of the accident was the sacrifice of so many useful and valuable lives but we will not enlarge upon this, knowing how thoroughly you will appreciate the magnitude of our loss. "As nearly as can be ascertained about 2000 Ibs. of nitro-glycerine exploded." Lammot du Font's death was an appalling loss to the firms with which he was connected. He was a brilliant chemist, a skilful and practi- cal machinist, fearless almost to recklessness in experimenting, and he had an understanding of human nature that was of great value in the business world. He would have gone very far had he lived a few years longer. As it was, he probably did more for the development of ex- plosives than any other one man. After his death the Du Pont Company bought from his estate the greater part of his stock in the Repauno Company. Mr. Turck, the president of the Laflin and Rand Company, A HISTORY 127 was made president pro tern, of Repauno, "and nothing is done without full consultation with Mr. William du Pont, who represents us on the Board; Mr. Lammot du Font's plans are being carried out just as he intended." l In a short time William du Pont became president of both Repauno and Hercules and the offices were moved from Philadelphia to Wilmington. In the early years of the Du Pont Company the correspondence with its agents was the happiest part of the day's work. Victor du Pont, the New York representative of the Company, and his successor, Anthony Girard; De Grand in Boston; Cazenove in Alexandria; Pitray, Viel and Company in Charleston all of them wrote to E. I. du Pont in the language that he loved, and their letters gave him the news of the day in America and Europe. Gir- ard, a friend of Victor du Pont, was the New York agent from 1806 till 1823, when he re- tired from business and William Kemble took the agency. Kemble's letters two or three of them every week until 1861 were full of the business and politics of New York and are still most interesting. By 1861 the New York end 1 Correspondence of E. I. du Pont de Nemours & Co., April 21, 1884. 128 DU PONT DE NEMOURS of the work had become too important to be merely a side issue in Mr. Kemble's office nor could he give all his time to Du Pont busi- ness; he had for some years been supplemented by F. L. Kneeland, a salesman whose energetic methods recommended him to Henry du Pont. Kneeland was put at the head of a New York office of the Du Pont Company and given charge of all the shipping that went through that city and of all the agencies, which were increasing rapidly, in New York State and New England. He became invaluable to General du Pont; was soon "our general agent"; travelled all over the country on inspection trips; inves- tigated delayed accounts; discharged untrust- worthy agents; and was the one man whose advice on any subject was always welcome to General du Pont. He died in May, 1884, after a short illness that had not been considered alarming. There had been no time for readjust- ment and there was no one to take his place. The accustomed routine of transshipping and bookkeeping went on as before in the New York office, but the greater part of the work that Kneeland had accomplished was after his death done in General du Font's office, and greatly increased his cares and the volume of A HISTORY 129 his correspondence. One of these letters is so characteristic as to be worth quoting. An agent in Texas had been somewhat over-zealous in warning the company of the laws concerning corporations; he was probably less officious after he had received the following reply in General du Font's handwriting: "We are a partnership a firm composed of individuals. We are not an incorporated com- pany, nor have we ever been a corporation. We have always been a firm and never had but the one firm name. We manage our own business in every particular, and allow no trusts or com- binations to rule or dictate what we shall do or what we shall not do. We make our own pow- der, and we make our own prices at which it shall be sold, here, there, and everywhere in the world where it is for sale. "We are every day dictating to our agents as to prices, terms, and conditions to govern them; but we do not allow anybody to dictate to us as to what prices, terms, and conditions we shall dictate. We do our own dictating. "If we choose we can as quickly as wires can carry the orders change the price at each and every point in the world where Du Pont pow- der is for sale. And no trust, no combination, 130 DU PONT DE NEMOURS no set of people nor persons can interfere. We have not changed our mode of selling. Our mode to-day is the same as it has been since our firm was established very nearly a hundred years ago and we expect to continue a hundred years more in the same way." 1 In 1880 the Du Pont Company owned 2 "outside of the coal-fields: 3 the Brandy wine mills; the Hazard Powder Company; the Syca- more Mills; 4 two thirds of the Oriental Powder Mills; 5 one third of the Austin Powder Mills; 6 thirteen twentieths of the California Powder Works." Henry du Pont kept in touch with the activities of all these plants and with four or five hundred agents. Lammot du Font's resig- nation made it necessary that Eugene du Pont should superintend the Wapwallopen Mills, as 1 Correspondence of E. I. du Pont de Nemours & Co., April 20, 1889. 2 F. L. Kneeland to E. I. du Pont de Nemours & Co., Septem- ber 14, 1880. 3 Inside were Wapwallopen, and mills at Tamaqua, Pennsyl- vania, managed by H. C. Weldy. They became H. C. Weldy and Company in 1899. 4 The Sycamore stock was acquired partly as payment for machinery, partly from individual holders. 6 The Oriental Company was wrecked by a severe explosion of dynamite in 1870; became bankrupt with an indebtedness of $648,000; and was bought in 1879. * The Austin Powder Company stock was bought in 1872. A HISTORY 131 well as the Upper Yard and the experimental laboratory. In 1884 Charles I. du Pont, a great- grandson of Victor, the brother of E. I. du Pont de Nemours, became assistant to Eugene du Pont, and Alfred I., a son of the second E. I. du Pont, helped Francis G. du Pont in Hagley and the Lower Yard. The increasing demand for blasting powder in the Middle West and the difficulties of trans- portation made it necessary to build a factory to supply that market. In 1888 the Company bought land near Keokuk, Iowa, where Francis G. du Pont directed the construction of mills as perfect as his long experience could make them. They were not ready for work till April, 1890, but were then the largest mills in the world for the manufacture of blasting powder. Before Lammot du Pont's retirement from the company some experimenting was done in the burning of charcoal. In 1876 it was found that "red charcoal has about 4 per cent more oxygen and hydrogen than light brown. Red charcoal ignites more readily than black." But nitro-glycerine was the absorbing subject of investigation, and until the Russo-Turkish War of 1877, in which England very nearly be- came involved, little thought was given to any 132 DU PONT DE NEMOURS radical changes in munitions of war. In 1882 Captain Smith, of the Ordnance Department, asked the Du Pont Company to order moulds and dies to press "prismatic powder"; each cake was to be hexagonal in shape, to measure two and a half inches from flat to flat, and to be two inches high a hole to be drilled through the middle. 1 In January, 1883, Eugene du Pont was arranging a temporary press for the "prismatic" and getting all the informa- tion he could about European powders. Several of the "high explosive" formulas were largely composed of gun-cotton, which had been forgotten for nearly thirty years, and when it was definitely displaced by nitro-gly- cerine chemists began to experiment with it as a base for rifle powder. In June, 1883, Eugene du Pont went to Bridgeport to test samples of "E. C." powder that had been brought to this country by a Major Garrett who was author- ized to sell the patent. The powder did not do what was expected of it, and Major Garrett 's price was so high that the Du Pont Company declined to consider it. In 1884 the Company agreed to make samples of "Brown Prismatic 1 Correspondence of E. I. du Pont de Nemours & Co., August 16. 1882. A HISTORY 133 or Cocoa Prismatic powder," and were working on a large press "moving slowly on a large number of prisms." 1 The chief difficulty in making the new powder seems to have been the proper burning of the charcoal "we have not yet succeeded in getting charcoal in quan- tity of the desired amount of carbonization and of uniform quality "; 2 and three years later they were investigating the possibility of buy- ing the "Danish process of preparing brown charcoal." 3 As a guide for incorporating the brown prismatic, for which the press was un- accountably delayed in the machine shops, some brown hexagonal was fired at Sandy Hook, and on March 30, 1885, two boxes of brown prismatic were sent to Communipaw "as ordered in letter from Ordnance Office, Washington, December 9, 1884, which says, 'as soon as your new press is in working order, please furnish us with a sample as nearly as possible like that described within, which was procured from the United Rhenish Westpha- 1 Correspondence of E. I. du Pont de Nemours & Co., March 24, 1884. 1 Correspondence of E. I. du Pont de Nemours & Co., July 7. 1884. 1 Correspondence of E. I. du Pont de Nemours & Co., October 17, 1887. 134 DU PONT DE NEMOURS lian Powder Co., for the 12" B. L. Rifle.*'* 1 The test of the new Du Pont powder was so satisfactory that Eugene du Pont immedi- ately patented the formula. A year later the Rhenish Westphalian Company, through their London agent, offered to sell their formula for cocoa powder to the Du Pont Company, with the exclusive rights for the American market, but the Du Pont brown prismatic was sat- isfactory to the Government and the proposi- tion was declined. In March, 1889, the Chief of Ordnance wrote to the Du Pont Company that he had a report that the French Government was "making a new powder for the breech-loading rifles, 6", 8", 10" calibre and larger, giving 2800 ft. per second velocity with 1.5 tons pressure, using about the weight of the projectile in powder"; 2 he desired that a competent person be sent at once to France to investigate. Alfred I. du Pont sailed immediately, instructed to learn as much as possible about both brown and smoke- less powders for large guns and small arms in France and England, and to find out how many 1 Correspondence of E. I. du Pont de Nemours & Co., March SO, 1885. * Correspondence of E. I. du Pont de Nemours & Co., March 16 and May 24, 1889. A HISTORY 135 of the methods used in Europe might be pur- chased. The information gained by Mr. du Pont satisfied him that the reported success of the French brown prismatic was much exag- gerated and the results no better than those of the Du Fonts' own formula. The secret of the French smokeless powder for small arms was so jealously guarded by the Government that while the officials showed him every courtesy he was not allowed to see the powder nor. would they talk of it. From Paris Mr. du Pont went to England where he saw the agent of the Rhenish Westphalian Powder Company, of Cologne, and "learned that owing to certain encouragement given them by the United States Government, they were contemplating building mills in the United States"; 1 and that their brown prismatic powder gave much the same results as the French. From England he went to Wetteren, hi Belgium, where Coopal et C ie made both prismatic powder and smokeless powder for small arms. In Mr. du Pont's opinion the Belgian powder was "su- perior to either the French or the Rhenish Westphalian powder." 2 He made tentative 1 A. I. du Pont to E. I. du Pont de Nemours & Co., June 26, 1889. * Ibid. 136 DU PONT DE NEMOURS terms with both firms and returned to America in June to give the company the details of his mission. Satisfied that the Du Pont brown prismatic was quite as good as that made in either Belgium or Germany, and that their experiments in smokeless powder would soon have a successful result, the members of the firm were not eager to pay a cash price and heavy royalties for the secret formulas of either company, but the Government insisted on the purchase and agreed to pay the royal- ties. Agreements were, therefore, made with both of the European companies in November, and Charles I. du Pont, who had worked with Eugene du Pont in his experiments with Gov- ernment powders, went to Europe to learn the methods of manufacture. Henry du Pont died on the 8th of August, 1889, after an illness of almost two months. For fifty-five years he had been a powder- maker, for thirty-nine of them the head of the firm. In the first years of his authority he made many important innovations in the business; he was an eager and skilful financier always; but as he grew older changes annoyed him. His father had built a little office between his house and the gate to the mills, and there with a staff A HISTORY 137 of four clerks and a boy General du Pont built up an enormous business of which he and he only knew every detail. He fought off the approach of railways as long as it was possible, and perhaps he was not alone in a little feeling of regret when in 1889 the teams of six mules with the big covered wagons were displaced by a branch of the Wilmington and Northern Railroad. The powder mills that often ran day and night and the roads between them were lighted, if that word may be used, by very in- efficient lanterns, and it was only in response to a somewhat peremptory suggestion from the Chief of Ordnance that in 1889 an electric- light plant was installed. In 1884 an applica- tion was made that would have relieved Gen- eral du Pont of at least a part of his work, but the answer was decisive, "We have no use for a stenographer and do not wish to employ any one in that capacity." 1 It may have been partly the simplicity of his surroundings that appealed to the affection of the workmen. They could always find him in the little office, and he never refused to help or advise them when they came to him. Outsiders 1 Correspondence of E. I. du Pont de Nemours & Co., Febru- ary 12, 1884. 138 DU PONT DE NEMOURS were a little afraid of the conservatism and de- cision of General du Font's manner, but "the men" the powder-men, the teamsters, the farmers loved "Mr. Henry" and came to him with all their perplexities, confident of his wisdom and his friendship. CHAPTER XI 1890-1902 EUGENE DU PONT and his brother, Francis G. du Pont, were the practical powder-men of the firm after Henry du Pont's death. Eugene, ten years older than his brother, became the senior partner. Colonel Henry A. du Pont continued the work that had been his under his father's management apart from those duties his time was much occupied by the settlement of his father's estate. William du Pont resigned from the company, but con- tinued to be president of the Repauno Chemi- cal Company, the Hercules Powder Company, and the Hercules Torpedo Company until 1892, when he left active business. Three new members were added to the firm Charles I. and Alfred I. du Pont, who for five years had been superintendents in the powder yards, and Alexis L, 2d, a brother of Eugene and Francis; he had been successful in other enterprises, but was persuaded to join his brothers who were inexperienced hi business methods and some- what dismayed at the task before them. 140 DU PONT DE NEMOURS It was quite necessary to reorganize the management of the business; the changes be- gan in the office. A larger building was at once planned, but work on it was delayed by an ex- plosion in 1890 and it was not occupied until 1891. In this new office a reasonable number of clerks and stenographers were employed. The innumerable agencies were reduced to only eight or ten "branch offices" where powder was sold direct to the dealers. The staff of the New York office was materially reduced and the greater part of the work that had been done there was accomplished at the home office. The Philadelphia office was closed. A new wharf was built in the Delaware River at which ves- sels could discharge or receive cargoes and be directly met by freight cars. In one way, however, and that a very im- portant way, the firm's methods were unal- tered. The business was entirely managed by the senior partner. It was customary for him to consult the other men in matters that con- cerned their departments of the industry, but he was hi no way bound to accept their advice, and tradition made them hesitate to offer it or to ask questions. The head of the firm was ex officio head of the family. The homes of the A HISTORY 141 different partners belonged to the company, and it made any additions or improvements that were necessary and took no rental. For the first sixty years of its existence the individ- ual partners did not even own horses; when a carriage was wanted a message was sent to the office and a vehicle of some sort usually arrived in due time there were never any too many of them. Checks were cashed at the office and all mail went through the office and was usually sorted by the head of the firm himself. The houses were near together and the partners were men of very simple and domestic tastes, to whom it would never have occurred to want more money than was necessary for the needs of their quiet lives. No one of them ever thought of drawing his full income; they gave their allegiance to the Company and its chief and with it all their ability and confidence. It is not surprising that the accumulating profits grew very rapidly, nor that most of them were invested in the smaller powder mills that were constantly coming under the company's con- trol. Since 1880 the company had bought Lammot du Font's shares hi the Repauno Chemical Company, the Hercules Powder Company, the Hecla Powder Company, and 142 DV PONT DE NEMOURS the Hercules Torpedo Company; some shares in the Marcellus Powder Company, the Laflin Powder Manufacturing Company, and with Hazard and Laflin and Rand had organized the Standard Cartridge Company, which was founded because the older companies were making cartridges loaded with inferior powder. In addition to these interests the new Du Pont mills at Mooar, Iowa, were almost ready to furnish large quantities of blasting powder. To offset this prosperity the losses suffered by the new firm in the first year of its existence were tremendous. At the very end of Henry du Pont's regime, in May, 1889, the building in the Upper Yard known as the "Refinery," where saltpetre and other raw materials were stored and refined, caught fire and was partly destroyed. Thanks to Eugene du Pont's con- trol of the situation there were no fatalities, though the wooden building, with two hun- dred thousand pounds of saltpetre, was within a few yards of two large powder mills. The melted saltpetre, which cannot be fought with water, was running directly toward the mills when Mr. du Pont ordered that ditches should be dug to carry it into the Brandywine and himself led a party of men who drenched the A HISTORY 143 mills and the powder to protect them from the burning shingles of the Refinery. In the same year there began a series of in- cendiary fires on the company's farms. In every case the fire was confined to the barn in which it began, but other buildings and even the mills were dangerously near. The first one was on December 26, 1889, then January 10, November 8 and 12, 1890, and the last one on November 12, 1893. The culprits were eventu- ally found and imprisoned, but the unrest and tension that are caused by such a situation, particularly when it exists in the neighborhood of explosives, added infinitely to the difficulties of the new management. In the middle of the afternoon of October 7, 1890, after seven years without a serious acci- dent, the Upper Yard was torn to pieces by seven explosions occurring within eight sec- onds and consuming one hundred tons of powder; twelve persons were killed and twenty wounded. At first it was feared that the "barn- burners" were responsible for this horror, too; but there proved to be no doubt that in sealing a tin box of prismatic powder the soldering iron had been overheated and the powder ex- ploded. The man who was doing the work evi- 144 DU PONT DE NEMOURS dently saw what was about to happen in time to run several yards before the concussion killed him. Five of the Du Pont homes were badly shaken and many of the workmen's houses were destroyed; deep cavities showed where the mills had stood. The sympathy and offers of help that came by every mail did much to encourage the members of the firm. Eugene du Font's answer to one of these letters shows his deep appreciation of the writer's generosity, and was the beginning of one of his very few intimate friendships: To SCHUYLER PARSONS, ESQ. New York City October 10, 1890 DEAR SIR: Our sorrows for the afflictions of the families of our workmen have been indeed lightened by such a manifestation of your sym- pathy as your letter of the ninth instant. Your kindness is written in our " book of remem- brance," there to remain as evidence of your friendship. Concerning the losses and needs of all our hands we purpose to them and their families and to all who have suffered, to bring out of chaos an orderly state of affairs, to re- store everything except life to all; to nourish, A HISTORY 145 protect and guide all and to do everything pos- sible for man to do. Such being our purpose it will not be necessary to use your check, which we therefore herein return with as many and as sincere thanks as it is possible for any one to give. We remain very truly your friends E. I. DU PONT DE NEMOURS AND Co. As soon as Francis G. du Pont had started the Mooar Mills in Iowa, which began making powder in April, 1890, he devoted all his energy to the development of smokeless powder. Pat- ent after patent was offered to the company. In 1883 they had refused to buy the formula for the "E. C." powder, chiefly because the samples did not give the promised results; but its quality improved and by 1892 it was a very important competitor. As a result of Alfred I. du Pont's investigations the formula used by Coopal et C ie in Belgium was bought and Charles I. du Pont went to their factory to learn how it and the brown prismatic were made, but by the time he returned the Ord- nance Department had found that Hudson Maxim's smokeless powder gave better results than Coopal's, although Maxim's powder gave 146 DU PONT DE NEMOURS such high pressures that it was not considered satisfactory. Negotiations were immediately begun with Maxim, and samples from different European mills were sent for. Nobel developed a formula that the Company declined to pur- chase, the patent of which seemed likely to in- terfere with Maxim's. It was evident that none of the smokeless powder on the market was satisfactory, but the demand for such a powder was insistent. Partly because the powder yards were al- ready crowded with mills, partly because of the danger of having gun-cotton, the base of the new powder, near gunpowder mills, but chiefly for better shipping facilities, a large tract of land was bought at Carney's Point, on the Delaware River opposite Wilmington, and a wharf was built there in April, 1891. Experi- mental laboratories were constructed, and Francis G. du Pont, with the assistance at first of Pierre S. du Pont l and afterward Alexis I., 3d, 2 Francis I., 3 and A. Felix du Pont, 3 worked indefatigably to develop a "Du Pont Smoke- less.*' It was not till November, 1893, that they felt sufficiently sure of their formula to send 1 Son of Lammot du Pont. * Son of Eugene du Pont. Son of Francis G. du Pont. A HISTORY 147 samples to the different cartridge factories for testing, though early in the summer they had "furnished twenty-five or thirty small cans to our friends, to get an opinion on the powder." 1 Six months later they had "radically changed the method of manufacture since last fall; put in new machinery and buildings. We are now making a very fine grade of powder in every way better than the first. It is not yet on the market, because we desire to have a stock on hand before we begin to distribute it." 2 And soon after: "Our new smokeless powder is ready for the market, as yet only for shot guns; we have not yet adapted it for rifles or revol- vers." 3 The following spring they were able to offer a bid for smokeless rifle powder, of which the Government wanted twenty thousand pounds. The smokeless powder of that day had a new quality to recommend it. One is not apt to think of a color scheme in gunpowder, but a revulsion of feeling from the old black and the 1 Correspondence of E. I. du Pont de Nemours & Co., August 19, 1893. * Correspondence of E. I. du Pont de Nemours & Co., May 4, 1894. * Correspondence of E. I. du Pont de Nemours & Co., June 22, 1894. 148 DU PONT DE NEMOURS more recent brown powder seems to have run riot in the new manufacture: "We can dye the Smokeless almost any color desired. We send you a box of thirteen smokeless powders all of these are on the market and you can judge of the colors. They are Giant; Walsrode; Robin Hood, made in Canada; E. C. powder; W. A., Laflin and Rand; Schultz; Austin; S. S., Haz- ard; Gold Dust, made in California and we think, in New York; King; Du Pont; Trois- dorf. We also send you some small bottles of Du Pont powder dyed various colors. Some are very pretty. If you do not like any of them we can send others, as we have a multitude of shades." * In 1896 the Navy Department ordered from the Du Pont Company one hundred thousand pounds of smokeless cannon powder to be made by the "Navy's own formula." It re- quired both alcohol and ether, neither of which was used in the Du Pont powder. The Army and Navy never used the same powders nor the same guns and in time of war the differ- ence of their requirements added not a little to the problems of the manufacturer. 1 Correspondence of . I. du Pont de Nemours & Co., June 3, 1896. A HISTORY 149 The agreements concerning brown prismatic and smokeless powder that were made in 1889 with the Belgian and German firms had al- most expired in 1897, when a new competition threatened all manufacturers of explosives in the country. " The Rhenish Westphalian Gun- powder mills of Cologne propose to locate a branch of their works in New Jersey near New Brunswick. They have bought about five hun- dred acres. Mr. Barksdale l and Mr. Fay 2 sail to-day for Germany to see whether anything can be done as to a withdrawal from this enter- prise. It would not be advisable to make any payment to head it off, and if anything is done it will be on a traffic agreement concerning dy- namite." 3 Mr. Barksdale and Mr. Fay found that the matter could not be settled on a dyna- mite basis smokeless powder had to be con- sidered; and in July Bernard Peyton, of the California Powder Works, and Eugene du Pont went abroad to reenforce the American manu- facturers. Mr. du Pont was at home again early in August with the outlines of an agreement that was completed in October, to be operative 1 Of the Repauno Chemical Company. * Of the .(Etna Powder Company. * Correspondence of . I. du Pont de Nemours & Co., May 19, 1897. 150 DU PONT DE NEMOURS till 1907, which effectually kept the largest German manufacturers out of the United States. The necessity of such an arrangement was explained in a letter from Eugene du Pont to Henry Belin written on December 30, 1897: "To give you briefly the history of the reasons why this agreement was made I would say that early in April about six hundred acres of land were purchased by the Europeans, near James- burg, New Jersey. Work was commenced with promptness, and sufficient buildings were erected to accommodate the manufacture of metallic blasting caps. So soon as we heard of this enterprise, after due consultation with other companies in interest, it was decided that some one had better go to Europe and see what the Europeans intended to do. Consequently Mr. Fay and Mr. Barksdale made the trip to Europe leaving New York on the 19th of May. After reaching Europe they had many inter- views with the Europeans, and found that the latter were determined not only to manufac- ture blasting caps, but to extend their opera- tions to all explosives; black powder, rifle and blasting, dynamite and smokeless powder. The Europeans were especially desirous of entering into the manufacture of rifle and blasting pow- A HISTORY 151 der, because smokeless powder in Europe had made great inroads on their sporting powder business; and the flameless explosives had prac- tically driven the blasting powder out of the European markets. Their machinery, there- fore, was standing idle, and they had intended to come to this country and put up blasting powder mills, not at the Jamesburg plant, but wherever the prices and delivery were such that they could run their mills at a profit. The anthracite region was no doubt considered by them, as well as every other large coal-produc- ing centre. "Messrs. Barksdale and Fay handled the negotiations as well as it was possible to do; and while some concessions were made, in the main they were compelled to accept the situa- tion as they found it. "By the agreement with the Europeans the danger of this competition was removed, and in order that the payments for preventing the competition should be made conveniently, it was decided that Smokeless Military Powder should be the basis on which the payment should be computed; and while smokeless mili- tary powder was thus used, it was only so be- cause of convenience." 152 DV PONT DE NEMOURS One wonders what effect such a system of factories as was planned by the Germans would have had on the history of the world in 1918 or earlier. When on April 25, 1898, the United States declared war with Spain the powder supply was in a very disorganized condition. It had been admitted in Washington that the Navy had not enough powder to suffice for two hours' hot engagement. The magazines were empty; not because of neglect, but because "prismatic powder had seen its day," x and smokeless powder was improving rapidly, though as yet its keeping qualities were uncertain. In Febru- ary the Government ordered two hundred thousand pounds of smokeless cannon powder; the largest guns required brown prismatic, of which one million pounds were ordered for the Navy early in July to be delivered at the rate of twenty thousand pounds a day. The existing presses were insufficient, but a press had shortly before been invented by Alfred I. du Pont that turned out powder much more rapidly than the old ones; they were hurriedly installed and ran night and day. "The supply 1 Correspondence of E. I. du Pont de Nemours & Co., Janu- ary 23, 1899. A HISTORY 153 was equal to the demand and at no time was the Government crippled for want of this ma- terial." l Hardly was the work well under way when Cervera's fleet was " destroyed " and the order countermanded. The Du Pont and Cali- fornia Companies supplied all the prismatic powder that was used, but the L Government had to "import some smokeless powder to suit the guns and ammunition of the New Orleans and other cruisers bought in Europe." 2 Brown prismatic powder was not made in any quantity after the Spanish War; but Eu- gene du Pont was mistaken hi believing that "the smokeless military powder business has seen its maximum." 3 The Carney's Point capac- ity has grown steadily, and the powder has improved with the growth of the plant until Du Pont Smokeless, both for cannon and small arms, is believed to be the best ever produced. For many years the Navy Department had a small powder plant at Newport, Rhode Island. At the close of the war they secured an appro- 1 Correspondence of E. I. du Pont de Nemours & Co., Janu- ary 23. 1899. 1 Correspondence of E. I. du Pont de Nemours & Co., April 18, 1898. 1 Correspondence of E. I. du Pont de Nemours & Co, May 28, 1900. 154 DU PONT DE NEMOURS priation from Congress for the construction of a large smokeless powder plant at Indian Head, Maryland, where powder might be made by their own formulas, hoping to make it at less cost than the manufacturers' price. "The offi- cers entrusted with its supervision visited our [the Du Pont Company's] several plants and asked for and received plans and blue-prints which would enable them to construct a plant with the greatest economy and of the greatest efficiency for the Government. When the ap- propriation was granted for the Army plant erected at Picatinny, New Jersey, we were re- quested by the Chief of Ordnance of the Army to assist them in the preparation of plans and, as a matter of fact, their engineers had access to our plants and their plans were sent to us for criticism and amendment. We furnished them with blue-prints for some of their work. All absolutely without compensation." 1 Among those most interested in the develop- ment of smokeless powder was Captain Sidney Stuart, U.S.A., who was detailed to Wilming- ton to inspect Government powders. He was eager to try for himself certain experiments in shell-loading, which were quite apart from the 1 Testimony of J. A. Haskell, March 10, 1910. A HISTORY 155 work of the Du Pont Mills, and for that pur- pose he had a small laboratory at Carney's Point. He and several workmen were killed in this building in April, 1899. Eugene du Pont wrote a very clear account of the unfortunate accident: "No one had any idea that com- pressing wet gun-cotton into a 13 in. shell would be attended with danger. The operation was as follows : The cavity of the shell, about 8 in. in diameter, was lined with thin copper. The conical head was filled with gun-cotton sawed from blocks to fit it. Two compressed blocks, full size of the cavity, were placed upon the gun-cotton sawed to fit the conical point. After that, loosely compressed gun-cotton containing seventy per cent of water was inserted in the end of the shell and forced home by hydrau- lic pressure. The pressure was ten thousand pounds per square inch and enough to reduce the soft blocks of gun-cotton to about two inches. The water flowed incessantly from the end of the shell as the gun-cotton was com- pressed. When the gun-cotton was fully com- pressed it contained at the least eighteen per cent of water. One shell had been loaded in the forenoon of Saturday, and the work on the second shell (which exploded) had proceeded 156 DU PONT DE NEMOURS until about twenty pounds of gun-cotton had been placed therein under pressure. We have pressed very large quantities of gun-cotton in the regular shapes, and never had any accident of any kind." 1 In another letter he said: "It is a fact that all of the gun-cotton in the shell did not explode in the explosion which resulted in the loss of life of Captain Stuart and five other men. We found quite a large amount of this gun-cotton and no doubt some of it was scat- tered; the shell and casing were broken into very many fragments, some of them larger than others; the men standing around were badly cut to pieces." 2 The amount of work involved in settling the estate of Henry du Pont brought to the firm a realization of the great volume of business that was being done by the company. Colonel du Pont advised that the partnership be made a corporation; the plan was much discussed and there was some opposition, but after various compromises were made the corporation was formed under the laws of Delaware on the 23d of October, 1899. Eugene du Pont became 1 Correspondence of E. I. du Pont de Nemours & Co., May 1, 1899. 1 Correspondence of E. I. du Pont de Nemours & Co., May 27, 1899. A HISTORY 157 president; his two brothers and Colonel du Pont, vice-presidents; and Charles I. du Pont, secretary and treasurer. As a matter of fact there was no change in the administration of the business; directors' meetings were called, where the older men dis- cussed affairs in the informal way that they had always done the younger men were usu- ally too busy to be present. Eugene du Pont was, as Henry du Pont had been, the one mem- ber of the Company who was in touch with all its workings who wrote all the letters in any way concerning the policy of the business. Francis G. du Pont was fully occupied at Car- ney's Point and in keeping a general supervi- sion of the different plants that had come under the company's control; his brother, Dr. Alexis I. du Pont, had a share in the administration of both the Du Pont Company and the Eastern Dynamite Company; Colonel du Font's out- side interests demanded the greater part of his time; and Charles and Alfred were trained only in the manufacture of powder. In January, 1902, Eugene du Pont had a sudden attack of pneumonia and died on the 28th, after a week's illness. He had been in au- thority for eleven years, during which time the 158 DU PONT DE NEMOURS business had grown rapidly, and, the magnitude of the responsibility appalled the five men who, with Eugene du Font's heirs, now owned it. Since Henry du Font's death the Eastern Dy- namite Company had been formed in 1895, by a coalition of the Repauno Chemical Com- pany, the Hercules Powder Company, and the Atlantic Dynamite Company, and had bought the Dittmar Powder and Chemical Company. In that year large numbers of shares had been bought hi the Enterprise Powder Company and the Chattanooga Powder Company. In 1896 the Phcenix Powder Company, the South- ern Powder Company, the Chamberlin Cart- ridge and Target Company, and the Equitable Powder Company were added to the list. In 1897 some stock was bought in the American Ordnance Company, of Washington, D.C.; and the Maxim Powder and Torpedo Com- pany, "buildings, machinery, and patents," was bought outright. In 1900 a large proportion of stock was bought in the Peyton Chemical Works; and in 1902 the Indiana Powder Com- pany and the North Western Powder Company were bought. Some of these properties were owned by the Du Fonts alone; most of them were partly owned by the Laflin and Rand A HISTORY 159 Powder Company; and in some of them only a few shares were held by either company. Colonel du Pont, Francis, and Alexis were in turn asked to take the presidency and each re- fused; Colonel du Pont, because his personal affairs required all his time; Alexis and Fran- cis, because they were too ill to undertake new work they both died in November, 1904. The two younger men, having no business training, were not considered eligible; the older of them, Charles I. du Pont, was moreover in very bad health and died before the end of the year. It was suggested that the presidency be offered to Hamilton M. Barksdale, who had been an official of the Repauno Company since 1887, and was a very able business man, but he declined to consider it "until they had ex- hausted all efforts to secure a man of the name to take the helm." Francis G. du Pont was ill and despondent and could see no hope for the success of the company if it were handed over to the next generation; he advised that the business be sold outright, preferably to the Laflin and Rand Powder Company. To Alfred I. du Pont, however, it was intolerable that having reached so remarkable a position in the business world 160 DU PONT DE NEMOURS the company should be sold to strangers be- cause the fourth generation, of whom there were twenty young men and boys, was con- sidered unable to carry on the industry that their great-grandfather had founded. He im- mediately offered to buy the business at what- ever price might be considered just. Francis and Alexis du Pont hesitated because Alfred, though an experienced manufacturer, was not a business man, but Colonel du Pont gladly agreed to help formulate any reasonable plan that would keep the company in the hands of the family. Alfred at once communicated with his two cousins, Thomas Coleman and Pierre Samuel du Pont, and asked them to help him to arrange for the purchase. Pierre S. du Pont had been with the company for nine years, first in the black powder mills, then as chemist in the smokeless powder laboratories, but had re- signed in 1899 and had been living in Ohio, engaged in real estate and other administrative and financial business that served as an excel- lent preparation for his new responsibilities. Coleman du Pont was a man of varied business experience, with a remarkable ability for organization. A HISTORY 161 The value of the old company was the first subject for consideration. The members sug- gested a price of $12,000,000 which was ten- tatively agreed to; and on the 1st of March, just a month after the death of Eugene du Pont, the office was quite informally turned over to the new owners, of whom T. Coleman du Pont was president; Alfred I. du Pont, vice- president; Pierre S. du Pont, treasurer; and Charles I. du Pont, secretary. A month later an examination of the books of the company was completed and the value of $12,000,000 accepted. Payment was made in $12,000,000 four per cent notes and twenty-five per cent ($3,000,000) of the stock of a new corporation, E. I. du Pont de Nemours Company, after- wards changed to E. I. du Pont de Nemours and Company. In 1802 E. I. du Pont de Nemours started to build his mills; in 1902 the fourth generation of his family began the second century of the industry that bore the name his name under which it had, as he hoped it would, "earned a reputation greater than that of others." The hundredth anniversary of the settle- 162 DU PONT DE NEMOURS ment of the Du Pont family in Delaware was celebrated on the Fourth of July, 1902; a little ahead of time, for it was on the 19th that Eleuthere Irenee du Pont and his family came to the log house that he had bought on the Brandywine. There were three thousand people at the fete, the Du Pont men with their fam- ilies, the powder-men with theirs, and a few outside guests who were friends of long stand- ing. There was dancing and target shooting, music and fireworks merry-making of all kinds; but to the older powder-men, whether Du Ponts or not, there was some sadness. They were at the end of the old regime the begin- ning of the new. In the task that was before them, and that they have so splendidly accom- plished, it was impossible that the heads of the company should, like their fathers, work side by side with the men. They were in charge of great industries, not of a few powder mills, and they could no longer be the foremen of the yards the friends and guardians of the in- dividuals in their employ. The old homes in which Eleuthere Irenee du Pont and his son Alfred lived were too near the mills for safety, so greatly had the explosive force of powder increased. The "new office" was too small and A HISTORY 163 too far from town; a much larger one was rented in the Equitable Building in Wilming- ton. Saltpetre powder was no longer the most important of explosives, and the preservation of the Brandywine mills had become a matter of sentiment rather than of necessity. A few days after the "Centennial Celebra- tion" a committee of the employees of the mills met the members of the old and the new companies at the office in order to give a for- mal expression of their appreciation and affec- tion; their resolutions were, in part: "We, the employees of the E. I. du Pont de Nemours and Company, at the home works on the Brandywine, in meeting assembled have hereby resolved: That the record of one hun- dred years in the manufacture of Gunpowder made by the Du Pont Company as a family is also shared with pride by many of the em- ployees whose fathers and grandfathers have been identified with the history of the works. "Resolved: That as one generation after an- other passes away the record left by them has always been honesty, bravery and kindness from the Du Pont family and loyalty and love from their employees. 164 DU PONT DE NEMOURS "Resolved: That we, the employees of the Firm in 1902, wish to record the fact that we appreciate the kindness shown to us by the present officials and members of the Du Pont family in thus inviting us all to mingle together in the celebration of this to them a Centennial Day and as we have loved and been faithful to their fathers we mean to do the same for the present generation.'* At the end of the little ceremony, Pierre Gentieu, the spokesman of the Committee, said: "Gentlemen of the old Firm, who have been our leaders and friends for so many years, we are sorry that you are leaving us, for we will miss you." And turning to Coleman du Pont, *'What the new Company will do of course we do not know, but let us hope that after one hundred years more as much good can be said of them as is said to-day of the Du Ponts for the past century." THE END APPENDIX APPENDIX A ON THE MANUFACTURE OF WAR AND SPORT- ING POWDER IN THE UNITED STATES BY E. I. DU PONT 1801 (Translated from the French) THE high price of labor, and that of raw materials which is the natural consequence, have caused till now small success in the manufactures of the United States. But a manufacture in which nearly all the work is done by machinery, which would use foreign raw material, and which for these reasons could not feel the effects of the high price of national industries, would be sure of complete success. It would also gain, to assure its profits, the cost of transportation and the commercial charges now paid by European manufacturers. The manufacture of gunpowder has all these ad- vantages; the cost of labor, even in America, is not one sixth of its price, and saltpetre, the only raw material in its composition of which the cost is important, comes from India at as low a price as is paid for it by European manufacturers. A manufacture of this kind has therefore nothing to fear from the obstacles which will for a long time hinder the introduction of other manufactures into the United States. It can count on a high price and a sure market for its product. The supplying of the 168 APPENDIX Government for the Navy, for the Army, and for the Forts which are now nearly empty; the con- sumption of a race of hunters living largely in the forests; the commerce of the West Indies and that of the Indians offer to it outlets twenty times greater than would be necessary for the most brilliant success. There are already in the United States two or three plants which make bad powder at great ex- pense and which nevertheless do a good business. To give an idea of the incompetence of these manu- facturers we will take as an example that plant which has the best reputation l which is now work- ing for the Government. The Philadelphia merchants who own this man- ufacture, nine years ago brought to this country as manager of their plant a Batavian workman who makes their powder as he saw it made in his own country as they have probably made it in that Dutch Colony for fifty years. They use saltpetre from India of an infinitely better quality than is procurable in France, but they refine it so badly, they use it while it is still so saturated with dampness and mother liquor, that even were their powder made by modern processes it would have about half the power of that made of dry, pure saltpetre. They work four mills night and day, while with two mills, working in the daytime only, their out- put should be a quarter more than it is. 1 Probably the mills at Frankford, Pennsylvania; owned by William Lane and Stephen Decatur. APPENDIX 169 They employ sixteen men; they would need but twelve to do as much work with two mills. They grain their powder by crushing it in a wooden sieve or a kind of basket so badly arranged that the greater part is reduced to dust increas- ing the cost of labor and the loss in manufacture. This graining, so badly begun, they do not know how to finish, and they have not succeeded in mak- ing true Army powder even for the Government for which they work. Such competitors should not be formidable to one who, having studied this manufacture for several years in the powder works of the French Govern- ment when they were directed by M. de Lavoisier, can add to the extensive knowledge of that admin- istration the important modifications which have been in use since the Revolution and which have been caused in the making of powder by the needs of an unprecedented war. We will make an approximate estimate of the annual cost and production of such an establish- ment in order to give an idea of the profit for which it would be reasonable to hope. But we will be care- ful in this calculation to keep the cost high and the profits at the lowest in order to be on the safe side. We will take as a standard the prices existing in times of peace that is to say, those existing before the present war; observing, however, that even when peace is reestablished prices will not be so low as they formerly were labor will be higher in Europe, whereas it may be somewhat lower in America. 170 APPENDIX We will look next into the circumstances which may aid in the success of this enterprise and the ad- vantages offered it by the present needs of the Government. A plant composed of only one stamping mill and one wheel mill gives an output of eight hundred pounds of powder a day, which, allowing only two hundred working days in a year, gives an annual output of 160,000 Ibs. Before the war, powder imported from Holland, very inferior in quality to the French powder, sold in America at Twenty-five dollars a quintal. At this price 160,000 'ibs. yield $40,000 The cost of manufacture would be 120,000 Ibs. saltpetre @ 10^ . . . $12,000.00 20,000 Ibs. sulphur @ 2 l 400.00 20,000 Ibs. charcoal @ lj 200.00 160,000 Ibs. A head workman @ $1.75 638.75 4 upper workmen $1.50 J 2,190.00 12 workmen $1.25 6,387.50 Director's salary 2,000.00 Loss in manufacture and inciden- tals s 4,183.75 Annual repairs to machinery 2,000.00 $30,000 Profit $10,000 1 The price of saltpetre imported from India was before the war 6^ a pound. That on 10^ which we have here given for re- fined saltpetre is certainly exaggerated. The price of sulphur is in America $1.50 instead of $2.00 a quintal. 2 The workmen are estimated here at 25^ more than they are paid at the Philadelphia plant, where they work one night in three. 8 The losses in manufacture are estimated at much too high APPENDIX 171 And in this estimate we give the same price to all powders, whereas in this quantity 160,000 Ibs. there is always a proportion of choice powder l which sells at a much higher price and on which is the principal profit. We have used as the base of our calculation the methods employed in France six years ago, since when there has been discovered a better and quicker process for the refining of saltpetre; a partly success- ful attempt has been made to substitute for the stamping mill a new method by which a better grade of powder is obtained in hah" the time and with fewer men. This new process may be already adopted if a remedy has been found for the danger which it seemed to involve. There has recently been sug- gested in France a machine for graining powder by which one man can do the work of ten and which, moreover, markedly diminishes the loss in manu- facture. 2 a figure. The repairs would amount to almost nothing for the first years. 1 Pottdre (TO-ite. 1 It should not be assumed that because the manufacture of powder has been perfected in France, the new discoveries will spread rapidly in the rest of Europe and that the manufacture to be established in the United States on the new methods would have no real advantage over others. The manufacture of powder in France scarcely suffices for the National demand and the economy introduced by the new methods will do no more than compensate them for the difference caused by the high price of saltpetre. The manufacturers of England and Holland having therefore nothing to fear from competition with French powder will make no effort to build new machinery; the more so because 172 APPENDIX It seems to us, then, quite proved that a powder manufacture established in America would have sufficient advantages even if after the present war the price should fall to its former rate. But it is certain that one of the effects of this war will be a general increase in the price of labor in Europe and especially in Holland, because of the Revolution and that in consequence imported powders will increase in value, which will be for the advantage of our enterprise. The war has compelled the United States to de- velop a prudent strength, to build fortresses for the defence of her ports and her frontiers. The Govern- ment cannot depend on foreign countries to supply powder for the forts, for the artillery, for the Navy, in manufacture exposed to such great risks one is slow to experi- ment. The horrible accident at the powder works at Grenoble will for a long time be a bugbear to those who would be tempted to imitate them and who have not sufficient knowledge to foresee results. Except in France the manufacture of powder is left to private manufacturers. At the time of the war of 1764, the best powder was made by the English, and this superiority lasted long, but the Government of France having, under the ministry of M. Turgot, formed a school for the purpose and confided its admin- istration to very capable men, the manufacture became so im- proved that the powder was superior to that made in all the rest of Europe and has continued so. Other countries have profited so little by the improvements made in France that, although for nearly twenty-five years French plants have been so constructed that in case of accidents the fire will not spread, this wise pre- caution is not copied and the new plant in Philadelphia is so arranged that if there were an explosion the whole plant would be lost. APPENDIX 173 it must have a manufacture established in America and will doubtless give all necessary encouragements to such an enterprise. The first of these should be a duty of 15 per cent on the importation of foreign powder, an assistance usually given in America to all kinds of manufacture. From these facts we may calculate that the in- crease in the cost of labor in Europe and the duty on imports, of which we spoke, would raise the price of imported powder to at least 30^ a pound instead of the 25 i which it has been. This small increase would give an annual profit of $20,000. If the Naval war continues or is renewed, the profits of the enterprise would be infinitely greater. The price of powder in the United States in times of war is from 50^ to 75 jf a pound. The Government is now paying 47^. Taking as example this last, and lowest price the 160,000 Ibs. of powder would yield $75,000 The cost of manufacture would be 120,000 Ibs. saltpetre @ 20?f (because of the war) $24,000.00 Sulphur and charcoal 600.00 Labor 9,216.25 Director's salary 2,000.00 Losses in manufacture 7,183.75 Annual repairs 2,000.00 45,000 Profit $30,000 In order to simplify these calculations we have considered only the output of a single unit of mills, although most of the old plants have two or three; the needs of the Government and those of com- 174 APPENDIX merce offer boundless opportunities to such an en- terprise and it would be possible to double or triple the output by the construction of one or two new units. The equipment of the forts alone requires two million pounds of powder. The Government, by the frigates which it has sent to India, has assured the necessary supply of saltpetre, of which it now has 800,000 Ibs. The manufacture of these two million pounds of powder would be sufficient reason for the establish- ment of a new manufacture, even if it were to have no other market, since this quantity would employ a plant of two units for several years and would alone, by the lowest possible estimate, assure a profit of more than $125,000. APPENDIX B (Translated from the French) ARTICLES of Incorporation for the Establishment of a Manufacture of military and sporting powder in the United States of America. The undersigned Du Pont de Nemours, Pere et Fils et O of New York Bidermann Catoire, Duquesnoy et C ie and Eleuthere Irenee du Pont, intending to establish a manufacture of mili- tary and sporting powder in the United States of America, have formed a Corporation for that estab- lishment and have drawn up the following articles: ARTICLE 1 The capital of the Company shall be thirty-six thousand dollars, in eighteen shares of two thousand dollars each. ARTICLE 2 The capital will be subscribed by Bidermann for one share one share Catoire, Duquesnoy et Comp one share Necker Germany one share Arch d McCall \ one s] ^ re \ one share Peter Bauduy { one share ( one share Du Pont de Nemours Pere et fils et C ie of New York twelve shares 176 APPENDIX ARTICLE 3 Each share shall pay an interest of six per cent. ARTICLE 4 Citizen E. I. du Pont is entrusted with the con- struction of the mills and the management of the business, he will give to it his whole attention fcr which he will be allowed a yearly salary of eighteen hundred dollars. ARTICLE 5 The constructions necessary for the manufacture shall be completed during the year 1801 and the first months of the following year, so that the mill may be in operation in the spring of 1802. ARTICLE 6 There shall be made every year, beginning at the end of December, 1803, an Inventory giving the value of the property and the product at the market price. Any sum in excess of the original capital shall, after the interests have been paid, be considered profit. The Company Du Pont de Nemours Pere et Fils et C ie of New York, the principal shareholder, shall instruct one of its members or an accredited representative to assist at the making of this Inventory. ARTICLE 7 The profits or losses, should there be any, shall IDC divided in the following proportions: Eighteen APPENDIX 177 parts to the shareholders, nine to the director of the business, as his share in the industry that he is to establish, and three to l one of the originators of the plan for this manufacture. ARTICLE 8 If it should be unnecessary to dispose of the three shares as indicated in the preceding article, they shall be suppressed. ARTICLE 9 The Director of the manufacture and the repre- sentative of the Company Du Pont de Nemours Pere et fils et C ie shall decide each year after mak- ing the Inventory, what proportion of the profits shall be divided among the shareholders. ARTICLE 10 For those shareholders who live in France, the interest and dividends will be paid in Paris by what- ever firm corresponds with Du Pont de Nemours Pere et Fils et C ie of New York. ARTICLE 11 The Director of the manufacture shall keep his books by the same methods as those established in France by the Administration des Poudres et Salpetres. ARTICLE . 12 In the event of the death of the Director, the Company Du Pont de Nemours Pere et Fils et 1 Col. Toussard. 178 APPENDIX C ie is authorized to settle his interests in the manu- facture, and to name his successor; and to super- vise such adjustments as may be necessary under any circumstances that have not been provided for in this agreement. ARTICLE 13 The Corporation formed by this agreement shall cease to exist after the first of January, 1810. ARTICLE 14 Each of the shareholders shall declare before the first of January, 1809, whether he wishes to con- tinue the Corporation or to retire. ARTICLE 15 If two thirds or more of the shareholders agree to renew the Corporation, those who do not wish to continue shall be reimbursed for their share of the capital and profits in accordance with the Inventory of December 31, 1809; the payments to be made in three equal parts, at three, six and nine months from the date of their resignation from the Corpora- tion, with interest at six per cent. ARTICLE 16 If two thirds of the shareholders refuse to con- tinue, Citizen E. I. du Pont shall arrange the liqui- dation of the Corporation in accordance with the stipulations in the preceding Article. APPENDIX 179 ABTICLE 17 In the event provided for by Articles 15 and 16, the Inventory of the manufacture for December 31, 1809, shall be made by experts chosen by the two thirds who shall if necessary select one of their number as arbitrator. ARTICLE 18 AND LAST The present Articles of Incorporation shall be a binding agreement with each of the shareholders, and therefore a certified copy shall be given to each one of them. Paris, I Flortal, year 9. April 21, 1801. (Signed) DU PONT DE NEMOURS FATHER, SONS & Co. CATOIRE, DUQTJESNOY ET COMP. ARCHD McCALL BlDERMANN PETER BAUDUT E. I. DU PONT. Memorandum. Since the signing of the above agreement Mr. Peter Bauduy has purchased the two shares subscribed for by Mr. Arch d McCall. Philadelphia, May 4, 1808. (Signed) E. I. DU PONT This present copy has been carefully examined and compared by me, Pierre Etienne Du Ponceau, notary public for the Republic of Pennyslvania, duly admitted and authorized, a resident of Phila- delphia, undersigned, with the original document brought to me by Mr. E. I. du Pont in order that 180 APPENDIX this copy should be made, and by me returned to him, as agreed. Done at Philadelphia, May 4, 1808 (seal) PETER S. Du PONCEAU not. pub. Authentication. OFFICE OF THE CONSUL-GENERAL OF FRANCE TO THE UNITED STATES We, Louis-Auguste-Felix de Beaujour, Member of the Legion of Honor, Consul-General of France to the United States; Certify that the signature af- fixed to the above document with the seal of office of the Consul-General is that of Mr. Peter S. Du Pon- ceau, notary public in this city of Philadelphia, and that full confidence may be given it in litigation or otherwise. In testimony of which we have executed these presents. Philadelphia, May 6, 1808 (seal) (Signed) BEAUJOUB APPENDIX C STATEMENT BY P. S. DU PONT DE NEMOURS April 18, 1808 Names of the present share- holders in the company formed under the management of Du Pont (de Nemours) Fere et Fils et Compagnie, and the number of their shares in that Company. Shareholders Number of shares and parts of shares to be given them in the Manufacture of Pow- der lately established at Eleutherian Mill, State of Delaware. Shares Parts of V& shares Vo share shares M. Bidermann 13 Mme. de Pusy J Du Pont de Nemours. ( Mme. de Stael J M de Crillon P . . 1 1 .. 1 1 \ Mme. du Pont (de N.) M. Lescalier M. Ochs and children M Wischer .. M. Forcard Weiss.... M. Reinhard . . : I M.Hom.. i 36 12 APPENDIX D (E. I. du Pant's Manuscript) January 29, 1831 DECOMPOSITION OF NITRATE OF SODA BY POTASH THE Peruvian Saltpetre, or nitrate of soda, on which our experiments have been made, is nearly pure, not containing over 2 per cent of marine salt and other impurities. Pure nitrate of soda contains 63 parts of nitric acid, and T \\ of soda The componants parts of nitrate of Potash or saltpetre, are 51 of nitric acid 49 of Potash 100 from these proportions it results that in decom- posing nitrate of soda by potash, it would take 62 parts of pure Potash to combine with 63 parts of nitric acid p r hundred pounds of nitrate of soda, which would produce 125 pounds of pure saltpetre. In our experiments the saltpetre has exceeded 124 Ib. and would no doubt come nearly to 125 Ibs. in operating on large quantities. The common Potash in the market does not con- tain over 80 p r cent of pure Potash, it would conse- quently require nearly 78 Ib. of common Potash to furnish the 62 Ib. wanted p r hundred pounds of nitrate of soda. In our experiments we have used upwards of 80, but we had an excess of Potash. APPENDIX 183 The 37 parts of soda if combined with carbonic acid would take 25 parts of acid and in chrystallising would absorb 115 parts of water, which would fur- nish 177 pounds of chrystallised carbonate of soda, this would be the case if the Potash would furnish only carbonic acid, but the common Potash con- tains about 7 p* cent of Sulphuric acid, say 5? for the 78 Ib of Potash, which 5% pounds uniting with 5 pounds of soda gives 10^ pounds of dry sulphate of soda and reduces the chrystallised carbonate of soda to 154 Ib.; but we have allowed only 128 Ib. because there is also a small proportion of Hydro- chloric acid both in the Potash and in the nitrate of soda, and because when the mother waters should become thick and durty it would be best to evapo- rate them, calcinate the proceeds and sell it as dry soda, than to push the operations any further with the view of obtaining the whole in chrystallised carbonate of soda. The calcinated soda will proceed from 5 Ib. com- bined with Sulphuric acid, 5 pounds remaining in the mother waters; and from earthy matters and impurities, and would exceed the 12lb. p r cent of nitrate of soda which have been calculated upon. The quantity of Chrystallised Carbonate of soda which is yearly imported is about 200 casks, say 120,000 Ib., which sells at 5 to 6 cents, we suppose that 128,000 Ib could sell at 4 cents. If the operation was extended to more than 100,000 Ib. of nitrate of soda, the quantity of soda exceeding 128 Ib. of chrystallised carbonate would have to be sold in a dry state, say 62 Ib. of dry car- 184 APPENDIX bonate of soda p r hundred pounds, of which de- ducting 12 Ib. for what will be extracted of the mother waters, leaves 50 Ib. of dry carbonate of soda; we say 52 as it would not be made perfectly dry; we have estimated it at 5 cents, it being worth more than Potash for Glass or soap manufacturers. The 12 Ib. of calcinated soda extracted of the sul- phate of soda and mother waters, would be a great deal purer than the common Barrilla, and on this account has been estimated at 3 cents p r pound.