1
00:00:03,547 --> 00:00:04,590
Since the
founding of the country,

2
00:00:04,590 --> 00:00:06,883
there’s been a battle
for America’s soul,

3
00:00:08,093 --> 00:00:09,973
between giving people
the freedom to indulge.

4
00:00:10,095 --> 00:00:13,305
I’ll make it worth your while.

5
00:00:13,431 --> 00:00:17,311
Whether it’s legal or
illegal, people want to drink,

6
00:00:17,435 --> 00:00:19,145
people want to bet,
people want screw.

7
00:00:19,271 --> 00:00:20,691
And
protecting them from

8
00:00:20,772 --> 00:00:22,812
the chaos of debauchery.

9
00:00:23,775 --> 00:00:26,575
People see cities as
Sodom’s and Gomorrah’s.

10
00:00:26,653 --> 00:00:28,863
They’re filled with
alcohol and prostitution

11
00:00:28,947 --> 00:00:30,367
and all manner of vice.

12
00:00:30,448 --> 00:00:32,528
Before the
turn of the 20th century,

13
00:00:32,617 --> 00:00:36,997
over 70% of Americans
use some form of tobacco.

14
00:00:37,122 --> 00:00:41,162
Men, women, girls, boys,
all ages use tobacco.

15
00:00:41,293 --> 00:00:43,173
And there’s
no minimum drinking age.

16
00:00:43,295 --> 00:00:46,045
In New York, each
adult person drank

17
00:00:46,131 --> 00:00:49,091
as much as 16 pints
of beer in a week.

18
00:00:50,302 --> 00:00:51,172
And it’s not just

19
00:00:51,303 --> 00:00:53,013
the frontier west that’s wild.

20
00:00:53,138 --> 00:00:56,018
The cities grow, so does
the shadowy underworld

21
00:00:56,141 --> 00:00:57,851
of gambling and sex.

22
00:00:57,976 --> 00:01:00,526
In the 1890s, one
in six adult men

23
00:01:00,645 --> 00:01:02,855
went to a prostitute every day.

24
00:01:04,274 --> 00:01:06,824
Now over the
course of nearly a century,

25
00:01:06,943 --> 00:01:09,533
politicians and reformers
will try and forge

26
00:01:09,654 --> 00:01:11,864
a nation free from vice.

27
00:01:11,990 --> 00:01:14,410
This is about
cracking down on vice

28
00:01:14,492 --> 00:01:17,032
and a whole host of other sins.

29
00:01:17,162 --> 00:01:19,492
This is about
cleaning up the city.

30
00:01:20,582 --> 00:01:22,502
It’s a
battle that’ll break laws.

31
00:01:22,626 --> 00:01:23,466
Keep it quiet.

32
00:01:24,461 --> 00:01:26,171
Sometimes change them.

33
00:01:26,296 --> 00:01:27,346
Are you threatening us?

34
00:01:27,464 --> 00:01:29,424
Don’t tempt me.

35
00:01:29,424 --> 00:01:30,887
It’ll give rise

36
00:01:31,009 --> 00:01:33,089
to some of the most iconic
products in history,

37
00:01:33,178 --> 00:01:35,688
We call him the Marlboro Man.

38
00:01:35,805 --> 00:01:38,725
Generate some of
thelargest fortunes ever known

39
00:01:38,850 --> 00:01:41,350
and change the fabric
of the country,

40
00:01:41,436 --> 00:01:43,696
from bar rooms to bedrooms.

41
00:01:43,813 --> 00:01:47,023
To the building of
America’s capital of sin.

42
00:01:47,150 --> 00:01:47,900
You’re Out.

43
00:01:48,026 --> 00:01:48,696
Damn it!

44
00:01:48,777 --> 00:01:50,237
We’re gonna shut them down.

45
00:01:50,362 --> 00:01:51,232
You can’t do this.

46
00:01:53,865 --> 00:01:55,205
Get out!

47
00:01:55,325 --> 00:01:57,625
♪ ’Ey,’ey, I did
it and ’ey, ’ey ♪

48
00:01:57,702 --> 00:01:59,242
♪ I proved it and ’ey, ’ey ♪

49
00:01:59,371 --> 00:02:02,831
♪ I finished, I came and
I saw, I gave it my all ♪

50
00:02:02,916 --> 00:02:04,756
♪ I changed the game ♪

51
00:02:04,876 --> 00:02:08,336
♪ I made it a boss, yeah ♪

52
00:02:16,388 --> 00:02:18,938
The United
States is changing fast.

53
00:02:21,226 --> 00:02:24,186
Five new states have
joined in the last decade.

54
00:02:25,271 --> 00:02:26,521
And for the first time,

55
00:02:28,858 --> 00:02:31,768
one in four Americans
now live in cities.

56
00:02:32,904 --> 00:02:35,454
During this period of
intense urbanization,

57
00:02:35,573 --> 00:02:37,613
cities are changing
as they grow.

58
00:02:37,742 --> 00:02:41,282
So, people see this kind of
need for order in society

59
00:02:41,413 --> 00:02:44,453
and they see that we should
better organize what is becoming

60
00:02:44,582 --> 00:02:48,122
a really chaotic moment
in American history.

61
00:02:48,253 --> 00:02:50,963
We had a lot less regulation
because we simply had a lot

62
00:02:51,089 --> 00:02:53,959
less government because
we had no income tax.

63
00:02:54,092 --> 00:02:56,932
There was no federal
income tax until 1913.

64
00:02:57,053 --> 00:02:59,843
So the government just
could not get big enough to,

65
00:02:59,931 --> 00:03:03,851
to impose itself in our lives
the way it eventually would.

66
00:03:03,935 --> 00:03:05,985
On the frontier
and in cities alike,

67
00:03:06,104 --> 00:03:09,154
there are saloons on every
corner and at the time

68
00:03:09,274 --> 00:03:11,734
there’s no minimum
legal drinking age,

69
00:03:11,818 --> 00:03:14,948
little to no government
regulation and people guzzle

70
00:03:15,071 --> 00:03:18,071
nearly four times more
liquor than we drink today.

71
00:03:18,158 --> 00:03:21,168
Some studies say the average
American drank eight gallons

72
00:03:21,286 --> 00:03:23,496
of hard to alcohol
per person per year.

73
00:03:23,621 --> 00:03:26,831
And people see cities as
Sodom’s and Gomorrah’s,

74
00:03:26,958 --> 00:03:29,208
they’re filled with
alcohol and prostitution

75
00:03:29,294 --> 00:03:30,834
and all manner of vice.

76
00:03:30,962 --> 00:03:32,922
Booze is one
of the most heavily taxed

77
00:03:33,006 --> 00:03:34,506
products in the country.

78
00:03:34,632 --> 00:03:37,842
The result of a policy enacted
to pay for the civil war.

79
00:03:37,969 --> 00:03:40,339
In 1862, Abraham
Lincoln passed

80
00:03:40,472 --> 00:03:43,142
an emergency
wartime revenue act.

81
00:03:43,266 --> 00:03:46,986
All of a sudden the price
went from 25 cents a gallon,

82
00:03:47,103 --> 00:03:49,983
before the civil war,
to $2.25 a gallon,

83
00:03:50,106 --> 00:03:53,526
after the civil war and a
lot of people just said no

84
00:03:53,651 --> 00:03:56,991
and it was just kind of a
recipe for people to cheat.

85
00:03:57,113 --> 00:03:58,573
Rather
than paying the tax,

86
00:03:58,573 --> 00:04:00,536
many distillers turn
to the black market,

87
00:04:00,658 --> 00:04:02,618
making moonshine in secret,

88
00:04:03,787 --> 00:04:05,587
then bootleggers
sell it illegally

89
00:04:05,663 --> 00:04:07,293
to saloons and in the streets.

90
00:04:08,666 --> 00:04:09,876
There are some advantages,

91
00:04:10,001 --> 00:04:11,541
let’s face it, of running
an illegal business.

92
00:04:11,669 --> 00:04:15,209
There are no taxes and
there’s no regulation.

93
00:04:15,340 --> 00:04:18,090
And typically there’s
a lot higher profit.

94
00:04:25,183 --> 00:04:26,643
In rural Alabama,

95
00:04:29,145 --> 00:04:33,155
one bootlegger will turn
himself into an American legend.

96
00:04:34,526 --> 00:04:35,366
Whoa!

97
00:04:39,197 --> 00:04:40,577
If he
could stay out of jail

98
00:04:40,698 --> 00:04:41,738
long enough to do it.

99
00:04:44,702 --> 00:04:46,242
I can explain.

100
00:04:46,371 --> 00:04:48,161
Just, give a minute.

101
00:04:55,213 --> 00:04:56,253
What’s this?

102
00:05:00,885 --> 00:05:04,845
That’s water from Eden Creek.

103
00:05:07,350 --> 00:05:09,520
Supposed to be the
clearest in the county.

104
00:05:15,233 --> 00:05:17,273
That water packs
a hell of a punch.

105
00:05:18,736 --> 00:05:20,746
What’s your name, boy?

106
00:05:24,367 --> 00:05:26,127
His signature
whiskey will one day sell

107
00:05:26,244 --> 00:05:28,374
over 10 million liters a year.

108
00:05:30,081 --> 00:05:31,371
My name’s Jack Daniel.

109
00:05:32,584 --> 00:05:34,254
And do over
three billion dollars

110
00:05:34,377 --> 00:05:35,427
in annual sales.

111
00:05:37,255 --> 00:05:40,465
Tell you what, this one here,

112
00:05:40,592 --> 00:05:42,802
it’s all yours, my gift.

113
00:05:46,431 --> 00:05:48,551
You gonna have to
do better than that.

114
00:06:00,445 --> 00:06:03,745
In the 1860s,
moon shining can be deadly,

115
00:06:04,908 --> 00:06:07,578
both for Outlaws
like Jack Daniel,

116
00:06:07,660 --> 00:06:09,830
and for the people
who buy cut rate booze

117
00:06:09,954 --> 00:06:12,334
with no idea what’s in it.

118
00:06:12,457 --> 00:06:14,627
Moonshine is a
very dangerous product

119
00:06:14,751 --> 00:06:17,541
when it gets right down to it
because there are no controls.

120
00:06:17,629 --> 00:06:20,589
You can just add anything you
want to, to give it to kick.

121
00:06:21,966 --> 00:06:25,056
This is before the
FDA, there were no rules.

122
00:06:25,136 --> 00:06:28,396
You had folks who
would put tobacco chew,

123
00:06:28,473 --> 00:06:29,973
or like tobacco spit,

124
00:06:30,099 --> 00:06:33,519
they’d put turpentine
in it for coloring.

125
00:06:33,645 --> 00:06:35,985
They’d put all sorts of
junk in their whiskey

126
00:06:36,105 --> 00:06:39,195
to make it taste and
look a certain way.

127
00:06:39,317 --> 00:06:40,697
People were getting sick.

128
00:06:40,818 --> 00:06:43,068
People were dying because
the way these Moonshiners

129
00:06:43,154 --> 00:06:45,324
were manufacturing their goods.

130
00:06:45,448 --> 00:06:47,858
This is where the
term "rotgut" comes from

131
00:06:47,992 --> 00:06:52,162
because people would be buying
this whiskey from whomever

132
00:06:52,288 --> 00:06:54,578
and it would literally
rot their stomachs

133
00:06:54,666 --> 00:06:55,836
from the inside out.

134
00:06:57,669 --> 00:06:59,419
Even without
dangerous additives,

135
00:06:59,504 --> 00:07:01,174
distilling is risky.

136
00:07:01,297 --> 00:07:03,057
If alcohol vapor ignites,

137
00:07:03,174 --> 00:07:05,054
stills can explode

138
00:07:05,176 --> 00:07:07,886
and distillation
produces both ethanol,

139
00:07:08,012 --> 00:07:11,222
which is safe to drink and
a nearly identical byproduct

140
00:07:11,349 --> 00:07:13,719
called methanol,
which is poisonous.

141
00:07:13,851 --> 00:07:16,891
There’s a term, it’s
called "blind drunk."

142
00:07:17,021 --> 00:07:20,101
And that term, unfortunately,
goes back to some truth

143
00:07:20,191 --> 00:07:22,771
where people were getting
some of the distillate

144
00:07:22,860 --> 00:07:24,230
that came off the stills

145
00:07:24,362 --> 00:07:26,072
and it actually
could make you blind.

146
00:07:26,197 --> 00:07:28,407
They would actually,
literally go, go blind.

147
00:07:32,704 --> 00:07:34,914
Jack Daniel
works in a modest farmhouse

148
00:07:35,039 --> 00:07:38,499
distillery owned by a Lutheran
minister named Dan Call.

149
00:07:40,378 --> 00:07:43,638
Jack was orphaned, so he
went to go look for work

150
00:07:43,715 --> 00:07:46,095
as a farmhand, cuz he
needed to live somewhere.

151
00:07:46,217 --> 00:07:48,807
And he was taken in by Dan Call.

152
00:07:49,887 --> 00:07:54,897
Jack was a small kid, so,
you know, as a farmhand,

153
00:07:55,143 --> 00:07:57,063
he probably wasn’t that useful.

154
00:07:57,186 --> 00:07:59,446
I think Jack Daniel
discovered distilling

155
00:07:59,564 --> 00:08:04,574
as a way to prove
his worthiness.

156
00:08:04,652 --> 00:08:06,732
Jack Daniel
begged Reverend Call

157
00:08:06,863 --> 00:08:08,743
to learn distilling
and Call partnered him

158
00:08:08,865 --> 00:08:10,035
with his master distiller,

159
00:08:10,116 --> 00:08:14,286
a formerly enslaved person
named Nathan "Nearest" Greene.

160
00:08:15,747 --> 00:08:17,797
Nearest Greene was
considered one of the best

161
00:08:17,915 --> 00:08:19,965
master distillers in the area,

162
00:08:20,084 --> 00:08:22,294
but I don’t think there’s
any factual documentation

163
00:08:22,420 --> 00:08:24,750
on where Nearest Greene
actually came from.

164
00:08:24,881 --> 00:08:28,461
There’s not even an image
of Nearest Greene on record.

165
00:08:28,593 --> 00:08:31,683
Dan Call specifically
assigned Nearest Greene

166
00:08:31,763 --> 00:08:35,433
to help teach whiskey
making, to Jack Daniel.

167
00:08:35,558 --> 00:08:37,968
And from there they
worked hand in hand,

168
00:08:38,102 --> 00:08:40,392
they really did bond and
have a great friendship.

169
00:08:43,483 --> 00:08:45,773
By day, Jack
Daniel and Nearest Greene

170
00:08:45,902 --> 00:08:47,442
distill corn into liquor,

171
00:08:47,570 --> 00:08:50,990
it’s sold at a small general
store for a tiny profit

172
00:08:51,115 --> 00:08:53,495
and it’s used to cure
everything from shock

173
00:08:53,618 --> 00:08:55,838
to fainting to snakebites.

174
00:08:55,953 --> 00:08:56,993
Distilleries were allowed

175
00:08:57,121 --> 00:08:59,501
to be used for
medicinal purposes.

176
00:08:59,624 --> 00:09:01,834
People would
prescribe an ounce of,

177
00:09:01,959 --> 00:09:05,499
of this whiskey every few
hours, which you know,

178
00:09:05,630 --> 00:09:08,630
the process involved in fermentation

179
00:09:08,758 --> 00:09:11,138
is the same with penicillin as
it is with whiskey..

180
00:09:12,637 --> 00:09:15,187
As a farmer, it was your
right to distill your crops

181
00:09:15,306 --> 00:09:17,686
and to sell it as whiskey,
as much as you know,

182
00:09:17,809 --> 00:09:19,679
making your fruit into jelly.

183
00:09:19,811 --> 00:09:22,391
Whiskey was just a part
of, of running a farm.

184
00:09:22,480 --> 00:09:23,690
Corn yield is up.

185
00:09:25,149 --> 00:09:28,729
I trust you’ll document
and catalog every gallon.

186
00:09:28,820 --> 00:09:30,280
By night,

187
00:09:31,823 --> 00:09:34,323
Jack Daniel and Nearest
Greene run a secret operation.

188
00:09:34,408 --> 00:09:36,318
Come back in one piece.

189
00:09:36,452 --> 00:09:37,282
No promises.

190
00:09:38,788 --> 00:09:40,378
Selling
moonshine to saloons

191
00:09:40,498 --> 00:09:41,958
in the nearby Alabama.

192
00:09:45,461 --> 00:09:46,881
Absolutely.

193
00:09:47,004 --> 00:09:49,254
Jack Daniel
is walking a tight rope,

194
00:09:49,340 --> 00:09:51,130
legally distilling for
Dan Call

195
00:09:51,217 --> 00:09:53,017
while bootlegging on the side.

196
00:09:53,094 --> 00:09:55,224
Jack Daniel
made good whiskey.

197
00:09:55,346 --> 00:09:57,226
That’s all he ever wanted
to do, it’s very clear.

198
00:09:57,348 --> 00:09:59,258
Hoping to
scratch together enough money

199
00:09:59,350 --> 00:10:01,180
to open a distillery of his own.

200
00:10:01,310 --> 00:10:04,350
He was trying to expand,
to get into more markets.

201
00:10:04,480 --> 00:10:05,770
Remember, this is
all Jack knows.

202
00:10:05,857 --> 00:10:09,077
So if he can’t make whiskey,
what is he gonna do?

203
00:10:12,864 --> 00:10:14,534
Far from
the ramshackle stills

204
00:10:14,657 --> 00:10:16,957
and seedy saloons
of the Southeast,

205
00:10:17,034 --> 00:10:19,284
across the country,
there’s an alcoholic drink

206
00:10:19,370 --> 00:10:20,910
more popular than water.

207
00:10:21,831 --> 00:10:23,081
Beer.

208
00:10:23,207 --> 00:10:25,087
People didn’t
really trust water

209
00:10:25,209 --> 00:10:26,289
unless you knew the source.

210
00:10:26,377 --> 00:10:29,047
Everybody knew water
could kill you.

211
00:10:29,172 --> 00:10:31,802
Rivers where everybody
dumped everything.

212
00:10:31,883 --> 00:10:33,053
I mean, sure you got a river,

213
00:10:33,176 --> 00:10:36,226
but suppose a dead person is
a half a mile up, you know,

214
00:10:36,304 --> 00:10:39,764
you’re not gonna see that and
you’re gonna drink that water.

215
00:10:39,891 --> 00:10:41,261
No.

216
00:10:41,392 --> 00:10:44,142
At the time,
drinking water was untreated

217
00:10:44,228 --> 00:10:46,308
and wells often draw
from the same water

218
00:10:46,397 --> 00:10:48,607
where people dispose
of their excrement,

219
00:10:49,901 --> 00:10:51,941
leading to outbreaks
of deadly diseases

220
00:10:52,069 --> 00:10:55,109
like cholera, typhoid
and dysentery.

221
00:10:55,239 --> 00:10:58,109
But beer is fermented and
boiled, making it safe to drink.

222
00:10:58,242 --> 00:10:59,322
One of the reasons

223
00:10:59,410 --> 00:11:01,780
that the pilgrims
stopped at Plymouth

224
00:11:01,913 --> 00:11:03,623
was because their
beer was running low

225
00:11:03,748 --> 00:11:06,508
and they were looking to
try to somehow restock

226
00:11:06,584 --> 00:11:08,794
those beer supplies.

227
00:11:08,920 --> 00:11:10,460
It was much safer to drink.

228
00:11:10,588 --> 00:11:12,468
So it wasn’t a luxury for them

229
00:11:12,590 --> 00:11:15,010
as much as it was a necessity.

230
00:11:15,092 --> 00:11:18,262
In the late
1860s, beer is made locally

231
00:11:18,387 --> 00:11:20,977
and decades before
widespread refrigeration.

232
00:11:21,098 --> 00:11:23,008
It’s only served
within a few miles

233
00:11:23,100 --> 00:11:25,350
of the breweries that make it.

234
00:11:25,436 --> 00:11:28,276
And the idea of a national
brand is completely unheard of.

235
00:11:28,397 --> 00:11:29,817
At one point,

236
00:11:29,941 --> 00:11:32,151
there were 1300 breweries
in the United States,

237
00:11:32,276 --> 00:11:33,526
they were all local,

238
00:11:33,611 --> 00:11:36,611
they delivered the beer
in horse-drawn wagons.

239
00:11:36,739 --> 00:11:38,899
People had an expression
called "rushing the growler."

240
00:11:38,991 --> 00:11:42,491
You sent your kid to the
saloon to fill up a pitcher.

241
00:11:42,620 --> 00:11:45,490
There’s some estimates that
in New York, each adult person

242
00:11:45,623 --> 00:11:49,923
drank as much as 16
pints of beer in a week.

243
00:11:52,630 --> 00:11:54,000
One of the
biggest brewing cities

244
00:11:54,131 --> 00:11:56,631
in the country is
St. Louis, Missouri.

245
00:11:56,759 --> 00:11:59,179
An influx of German immigrants
have brought beer making

246
00:11:59,303 --> 00:12:01,683
traditions that date
back hundreds of years.

247
00:12:02,348 --> 00:12:05,228
By the late 19th
century, nearly one third

248
00:12:05,309 --> 00:12:07,059
of local residents are German

249
00:12:07,144 --> 00:12:10,944
and there’s a brewery for
every 600 people in the county.

250
00:12:12,483 --> 00:12:14,863
It was an important
transportation stop

251
00:12:14,986 --> 00:12:17,036
at the convergence
of two rivers.

252
00:12:17,154 --> 00:12:19,034
There were always people
just passing through.

253
00:12:19,156 --> 00:12:23,166
So there was a solid market
for many, many breweries.

254
00:12:23,953 --> 00:12:25,453
When the German
brewers started,

255
00:12:25,538 --> 00:12:28,008
they had a built in audience.

256
00:12:28,124 --> 00:12:30,794
They knew that this was
gonna be the flavor of home.

257
00:12:31,794 --> 00:12:33,544
In a sea
of local competition,

258
00:12:33,671 --> 00:12:37,091
a successful soap manufacturer
named Eberhard Anheuser

259
00:12:37,091 --> 00:12:39,884
is looking to unload his
struggling side hustle.

260
00:12:41,012 --> 00:12:42,972
- Mr. Anheuser.
- Come in, come in.

261
00:12:44,181 --> 00:12:45,721
By putting
his failing brewery

262
00:12:45,850 --> 00:12:48,430
in the hands of his son-in-law.

263
00:12:48,519 --> 00:12:53,349
Eberhard Anheuser was very
wealthy and the brewery was,

264
00:12:53,482 --> 00:12:55,062
you know, just a
sideline for him.

265
00:12:55,192 --> 00:12:57,072
It’s not even clear he
would’ve hung on to it

266
00:12:57,194 --> 00:12:59,744
had the son-in-law
not showed up.

267
00:12:59,864 --> 00:13:01,994
You’re not going to
be our supplier anymore.

268
00:13:03,868 --> 00:13:06,088
- Sir-
- Because you are going to be

269
00:13:06,203 --> 00:13:07,993
the new head of this brewery.

270
00:13:13,836 --> 00:13:14,796
But,

271
00:13:15,963 --> 00:13:18,423
I don’t know the first thing
about running a brewery.

272
00:13:21,510 --> 00:13:22,840
I don’t even like beer.

273
00:13:24,180 --> 00:13:27,600
Anheuser’s son-in-law
is Adolphus Busch.

274
00:13:27,725 --> 00:13:30,605
He himself was not a trained
brewer, but he was literate.

275
00:13:30,728 --> 00:13:33,238
He was very educated, multilingual.

276
00:13:33,356 --> 00:13:36,276
Just make sure the
operation is running smoothly

277
00:13:36,400 --> 00:13:39,650
and the shipments go out
on time, can you do that?

278
00:13:39,737 --> 00:13:40,617
Yes, sir.

279
00:13:42,406 --> 00:13:43,206
Good.

280
00:13:47,203 --> 00:13:48,283
Congratulations.

281
00:13:49,372 --> 00:13:51,042
Now the
new head of the brewery

282
00:13:51,123 --> 00:13:52,963
is left to sink or swim.

283
00:13:57,046 --> 00:13:59,966
The brewery was struggling
because there were other

284
00:14:00,091 --> 00:14:02,301
better beers in St.
Louis at the time.

285
00:14:02,426 --> 00:14:04,976
He just wasn’t moving
the beer that he needed

286
00:14:05,096 --> 00:14:07,306
to keep that business going.

287
00:14:07,431 --> 00:14:08,971
He’s overmatched for now,

288
00:14:09,100 --> 00:14:11,220
but Busch’s innovation
will eventually spawn

289
00:14:11,310 --> 00:14:15,140
the first national beer
brand and his signature beer

290
00:14:15,272 --> 00:14:19,062
will go on to sell over
eleven billion dollars a year.

291
00:14:20,444 --> 00:14:23,284
And he’s not the only
one who changed the game.

292
00:14:28,619 --> 00:14:30,909
Drinking is rampant
in the United States,

293
00:14:30,996 --> 00:14:32,706
but tobacco is the most popular

294
00:14:32,790 --> 00:14:34,160
agricultural product in
human history.

295
00:14:36,460 --> 00:14:37,880
One that’s been
used for everything

296
00:14:37,962 --> 00:14:40,672
from religious
ceremonies to medicine.

297
00:14:40,798 --> 00:14:41,888
Over the centuries,

298
00:14:41,966 --> 00:14:44,386
it’s considered an
appetite suppressant.

299
00:14:44,468 --> 00:14:47,298
It was used as a
toothpaste in the 1600s.

300
00:14:48,639 --> 00:14:50,679
It was perceived in the
beginning to be quite helpful.

301
00:14:50,808 --> 00:14:53,318
You hung it in the house
to ward off diseases.

302
00:14:53,436 --> 00:14:54,686
You took it as a medicine.

303
00:14:54,812 --> 00:14:56,642
Native Americans
used it in rituals

304
00:14:56,772 --> 00:14:59,192
and we have the whole
famous story of Pocahontas.

305
00:14:59,316 --> 00:15:01,696
She was actually an
ambassador for tobacco.

306
00:15:01,819 --> 00:15:04,529
She went to England
to help describe

307
00:15:04,655 --> 00:15:06,115
how wonderful tobacco was.

308
00:15:07,533 --> 00:15:10,703
In the 1870s
more than 70% of Americans

309
00:15:10,828 --> 00:15:14,378
over 12 years old used
some form of tobacco.

310
00:15:14,498 --> 00:15:17,918
The tax dollars from
tobacco counted for 30%

311
00:15:18,002 --> 00:15:21,672
of all the US tax
dollars at the time.

312
00:15:21,797 --> 00:15:23,887
It’s a big number, I mean,
think about that.

313
00:15:24,008 --> 00:15:26,058
Until the mid 20th century,

314
00:15:26,177 --> 00:15:28,517
tobacco was not
assumed to be harmful.

315
00:15:28,637 --> 00:15:31,727
Everybody smoked
or chewed tobacco.

316
00:15:31,849 --> 00:15:33,219
Today we’re so knowledgeable

317
00:15:33,350 --> 00:15:35,430
about the ill
effects of tobacco.

318
00:15:35,519 --> 00:15:37,229
In that period, tobacco was seen

319
00:15:37,354 --> 00:15:40,734
as an item for mass consumption,
which brought people joy.

320
00:15:40,858 --> 00:15:42,368
It was something
that the elite used.

321
00:15:42,485 --> 00:15:46,365
It was something that
everyday ordinary people used.

322
00:15:46,489 --> 00:15:48,109
Tobacco use was
quite widespread,

323
00:15:48,199 --> 00:15:50,069
but not in the ways
that people think.

324
00:15:50,201 --> 00:15:52,701
We picture people
smoking cigarettes.

325
00:15:52,828 --> 00:15:53,948
Well, not at all.

326
00:15:54,038 --> 00:15:55,548
For the most part,
you filled the pipe,

327
00:15:55,664 --> 00:15:58,374
you took a little snuff, you
did some chewing tobacco.

328
00:15:58,501 --> 00:16:00,541
Today, cigarettes
are the dominant form

329
00:16:00,669 --> 00:16:05,249
of tobacco with nearly 5
1/2 trillion sold each year.

330
00:16:05,382 --> 00:16:08,722
But in the 1870s, they’re
considered an obscure oddity,

331
00:16:09,428 --> 00:16:12,588
often made with leftover tobacco
clippings and hand rolled

332
00:16:12,723 --> 00:16:15,603
and they account for less
than 1% of tobacco sold

333
00:16:15,726 --> 00:16:17,226
in the United States.

334
00:16:17,353 --> 00:16:19,103
Most public spaces were

335
00:16:19,230 --> 00:16:23,860
covered in sawdust to absorb
the spit from tobacco spittle.

336
00:16:25,277 --> 00:16:29,287
The floors must have been
sludgy with the tobacco mess

337
00:16:29,406 --> 00:16:31,956
and the sawdust
that collected it.

338
00:16:32,076 --> 00:16:34,786
And the highest paid
contractor in the state

339
00:16:34,912 --> 00:16:38,292
of North Carolina was the
man who was paid to clean up

340
00:16:38,415 --> 00:16:41,965
the tobacco mess from the
floor of the courthouse.

341
00:16:42,086 --> 00:16:43,676
Cigars,
pipe tobacco,

342
00:16:43,754 --> 00:16:45,174
chewing plugs and twists

343
00:16:45,256 --> 00:16:48,346
are available in every city
and town in the country.

344
00:16:48,425 --> 00:16:52,305
But each store packages its
own products with no oversight,

345
00:16:52,429 --> 00:16:55,639
no quality control and
the idea of consistent

346
00:16:55,766 --> 00:16:57,816
national brands doesn’t exist.

347
00:16:59,270 --> 00:17:02,980
At the time, essentially
farmers sold their tobacco

348
00:17:03,107 --> 00:17:06,327
to tobacco brokers at auctions.

349
00:17:06,443 --> 00:17:08,693
And in turn, those
tobacco brokers

350
00:17:08,779 --> 00:17:11,699
sold the leaf to grocers,

351
00:17:11,699 --> 00:17:13,612
druggists, at a markup.

352
00:17:14,451 --> 00:17:17,491
A person buying tobacco in
1870 would typically buy it

353
00:17:17,621 --> 00:17:20,661
at a general store
in their community.

354
00:17:20,791 --> 00:17:23,171
You have a lot of local
brands for local markets.

355
00:17:24,587 --> 00:17:27,257
It was a product that was
not nationally distributed.

356
00:17:30,968 --> 00:17:33,688
In Chicago, a
traveling tobacco leaf salesman

357
00:17:33,804 --> 00:17:36,354
named James Buchanan "Buck" Duke

358
00:17:36,473 --> 00:17:38,603
is looking for new customers.

359
00:17:38,684 --> 00:17:42,684
Buck Duke is very much the
competitive go getter salesman.

360
00:17:42,813 --> 00:17:45,693
He’s happy to go out on the
road and drum up business.

361
00:17:47,818 --> 00:17:49,148
Couple ales, please.

362
00:17:49,278 --> 00:17:52,368
Essentially, Duke
was committed to growth.

363
00:17:52,489 --> 00:17:54,779
His father and
older brother run a tobacco shop

364
00:17:54,867 --> 00:17:59,547
in North Carolina
called Pro Bono Publico.

365
00:17:59,663 --> 00:18:02,703
Pro Bono Publico means
"for the greater good,"

366
00:18:02,833 --> 00:18:06,043
well, that’s rather ironic
when we think about tobacco.

367
00:18:06,170 --> 00:18:09,210
So how are sales,
any new accounts?

368
00:18:09,340 --> 00:18:11,380
I’m close, dad, very close.

369
00:18:12,343 --> 00:18:14,053
Saloons,

370
00:18:14,178 --> 00:18:15,308
steakhouses,

371
00:18:16,347 --> 00:18:17,227
hotels.

372
00:18:19,516 --> 00:18:21,526
Ever, uh, do any actual work?

373
00:18:23,687 --> 00:18:24,777
Just cash me out.

374
00:18:26,065 --> 00:18:30,075
Washington Duke was a small
scale farmer, a storekeeper,

375
00:18:30,194 --> 00:18:32,034
someone who might sell locally.

376
00:18:32,154 --> 00:18:36,364
He had two sons and Buck
was actually his second son.

377
00:18:36,492 --> 00:18:38,872
Ben Duke, he stays
home in North Carolina,

378
00:18:38,994 --> 00:18:42,744
while Buck was focusing on
selling into new regions.

379
00:18:42,873 --> 00:18:45,213
I’m not trying to
land one account.

380
00:18:46,543 --> 00:18:49,173
I’m trying to turn this
company into a real competitor.

381
00:18:50,381 --> 00:18:52,881
Kinda thing you can’t do
sitting behind a desk.

382
00:18:57,054 --> 00:18:58,224
Cash your brother out.

383
00:19:01,517 --> 00:19:03,277
But you better be
right about this.

384
00:19:07,564 --> 00:19:08,904
Ben Duke is content

385
00:19:09,024 --> 00:19:11,614
with their little storefront,
but Buck’s got ambitions

386
00:19:11,735 --> 00:19:13,445
to expand into new markets

387
00:19:13,570 --> 00:19:16,200
and he’s lined up a meeting
with a potential buyer.

388
00:19:24,873 --> 00:19:26,293
Mr. Gilworth.

389
00:19:27,584 --> 00:19:29,174
Thanks for coming, uh, you know,
I was hoping that we could-

390
00:19:29,253 --> 00:19:30,963
Save it.

391
00:19:32,923 --> 00:19:34,963
Buck Duke, he was
a very good salesman.

392
00:19:35,092 --> 00:19:36,512
He traveled to the big cities

393
00:19:36,593 --> 00:19:38,263
peddling their family’s product.

394
00:19:39,430 --> 00:19:41,970
I obviously don’t
need a new supplier.

395
00:19:43,392 --> 00:19:46,562
And he was running into
more successful competitors.

396
00:19:47,938 --> 00:19:51,898
I just came for the
free drink, appreciate it.

397
00:19:54,987 --> 00:19:56,247
Don’t mention it.

398
00:19:59,450 --> 00:20:00,450
Someday

399
00:20:02,786 --> 00:20:05,836
Buck Duke will transform the
industry from an antiquated

400
00:20:05,956 --> 00:20:07,836
patchwork of small
farms of shops

401
00:20:09,626 --> 00:20:13,596
into a $760 billion
global powerhouse.

402
00:20:15,132 --> 00:20:18,632
Making him the third richest
man on the face of the planet.

403
00:20:18,761 --> 00:20:22,841
The problem is, in 1871,
he hasn’t even found

404
00:20:22,973 --> 00:20:25,513
a signature product that’ll
make it all possible

405
00:20:26,727 --> 00:20:29,607
While Duke searches
for a way to change the game,

406
00:20:40,991 --> 00:20:43,821
Adolphus Busch needs a way
to pull his father-in-law’s

407
00:20:43,952 --> 00:20:46,452
struggling brewing
company out of the red,

408
00:20:46,538 --> 00:20:50,208
but rather than competing with
more than 50 local breweries,

409
00:20:50,334 --> 00:20:53,174
he sees a way to make
beer in St. Louis

410
00:20:53,295 --> 00:20:55,795
and sell it where there’s
no competition at.

411
00:20:57,674 --> 00:21:00,724
In the 1870s, you do have
the emergence of, kind of,

412
00:21:00,844 --> 00:21:02,724
the second industrial revolution.

413
00:21:02,846 --> 00:21:04,726
Through the transcontinental railroad,

414
00:21:04,848 --> 00:21:07,388
you have the integration
of America, you know,

415
00:21:07,518 --> 00:21:09,738
north and south and and west

416
00:21:09,853 --> 00:21:12,523
are coming together
around commerce.

417
00:21:12,648 --> 00:21:14,908
Just three
years ago, the Eads Bridge

418
00:21:15,025 --> 00:21:17,735
was finished linking the
two sides of St. Louis

419
00:21:17,861 --> 00:21:19,821
across the Mississippi river,

420
00:21:19,905 --> 00:21:22,285
turning the city into a
railroad hub that connects

421
00:21:22,366 --> 00:21:25,076
the east and west coast.

422
00:21:25,202 --> 00:21:27,452
In the coming years,
nearly a dozen new states

423
00:21:27,538 --> 00:21:28,708
will join the union.

424
00:21:28,831 --> 00:21:31,251
All of the west of
the Mississippi.

425
00:21:31,375 --> 00:21:33,545
These states have
not necessarily

426
00:21:33,627 --> 00:21:35,257
set up enough breweries

427
00:21:35,379 --> 00:21:37,789
to supply their own people.

428
00:21:37,881 --> 00:21:41,471
St. Louis was centrally
located and able to ship

429
00:21:41,552 --> 00:21:44,222
by both rail and by steamboat.

430
00:21:45,722 --> 00:21:49,472
Okay, so if we look at the
schematic for the train car,

431
00:21:49,560 --> 00:21:51,220
we have six barrels.

432
00:21:51,353 --> 00:21:52,813
Right.

433
00:21:52,813 --> 00:21:55,316
Busch realizes
that if he can ship his beer

434
00:21:55,316 --> 00:21:58,769
to the Western frontier, he’ll
be the only game in town.

435
00:21:59,862 --> 00:22:02,782
There were a number of
obstacles to growing beyond

436
00:22:02,906 --> 00:22:05,786
your local community
for a brewer.

437
00:22:05,909 --> 00:22:09,619
We’re talking about before
the refrigeration technology

438
00:22:09,746 --> 00:22:14,086
and beer was a fresh product,
which eventually spoiled.

439
00:22:14,209 --> 00:22:18,209
Things were like super hyper
localized at that time.

440
00:22:18,297 --> 00:22:20,807
So could you get it
there, first of all.

441
00:22:20,924 --> 00:22:22,634
Why is this second
drainage point necessary?

442
00:22:22,759 --> 00:22:26,179
We wanna keep
the outflow even,

443
00:22:26,263 --> 00:22:28,013
otherwise it will
stress the system.

444
00:22:28,098 --> 00:22:31,848
To try and ship their
beer to warmer locations,

445
00:22:31,935 --> 00:22:35,145
whether it be New Orleans,
Texas or California,

446
00:22:35,272 --> 00:22:37,652
the beer is going to be
exposed to much more heat

447
00:22:37,774 --> 00:22:38,984
while it’s in transit.

448
00:22:39,109 --> 00:22:42,689
And a saloon owner that ends
up with a batch of spoiled beer

449
00:22:42,779 --> 00:22:45,489
from Busch is not going
to be a repeat customer.

450
00:22:45,616 --> 00:22:47,496
Today we
use refrigerated freight

451
00:22:47,618 --> 00:22:49,458
to ship everything
from ice cream,

452
00:22:49,578 --> 00:22:52,708
frozen dinners and live
seafood to medical supplies

453
00:22:52,789 --> 00:22:55,829
and human organs all
across the country.

454
00:22:56,710 --> 00:22:59,290
But in the 1870s,
there’s no such thing

455
00:22:59,421 --> 00:23:02,381
until Adolphus Busch
pioneers it.

456
00:23:02,466 --> 00:23:05,016
So how long does one load
of ice keep things cold?

457
00:23:05,135 --> 00:23:07,765
Will it be long enough
to keep the beer fresh.

458
00:23:09,640 --> 00:23:14,470
Sir, nothing like this exists.

459
00:23:14,603 --> 00:23:17,063
We’re not gonna know
exactly how it works

460
00:23:17,147 --> 00:23:18,697
until after we build it.

461
00:23:19,983 --> 00:23:22,193
Busch kind of hit the
ground with this idea

462
00:23:22,319 --> 00:23:25,529
of making their own
refrigerated cars.

463
00:23:25,656 --> 00:23:29,116
And what they would do
is they would pack in ice

464
00:23:29,201 --> 00:23:32,201
and they would have to
stop every 250 miles or so,

465
00:23:32,329 --> 00:23:35,289
change out the ice
and then keep going

466
00:23:35,374 --> 00:23:37,834
and they would ship
it all over the west

467
00:23:37,960 --> 00:23:40,830
and all of the developing
areas of the United States,

468
00:23:40,963 --> 00:23:45,213
this idea really took
people by surprise.

469
00:23:45,342 --> 00:23:46,212
Okay.

470
00:23:47,844 --> 00:23:49,894
Walk me through it again.

471
00:23:50,013 --> 00:23:52,223
I think it’s incredibly
important to try to find

472
00:23:52,349 --> 00:23:56,389
a technology that’s going to
give you a competitive edge.

473
00:23:56,520 --> 00:23:59,560
And on the flip side of
that, if you don’t do it,

474
00:23:59,690 --> 00:24:02,900
you can be really left
behind in the dust.

475
00:24:04,194 --> 00:24:05,694
Even though
the company is already

476
00:24:05,821 --> 00:24:09,031
bleeding money, nearly a
decade before refrigeration

477
00:24:09,157 --> 00:24:11,417
will transform the
meat packing industry,

478
00:24:11,535 --> 00:24:13,915
Adolphus Busch takes out
the modern equivalent

479
00:24:14,037 --> 00:24:16,797
of more than a million
dollars in loans

480
00:24:16,873 --> 00:24:20,923
to pioneer a totally new
refrigerated rail system.

481
00:24:21,044 --> 00:24:23,844
And he has no idea
if it’ll pay off.

482
00:24:26,883 --> 00:24:29,223
In all 37 states
across the country,

483
00:24:29,344 --> 00:24:31,844
the population is surging.

484
00:24:31,930 --> 00:24:35,930
Over the 1870s, it’ll increase
by nearly 12 million people,

485
00:24:36,059 --> 00:24:38,429
almost double the
previous decade

486
00:24:38,562 --> 00:24:40,692
and demand for booze is soaring.

487
00:24:41,898 --> 00:24:43,768
The growth of the city’s
definitely went hand in hand

488
00:24:43,900 --> 00:24:47,780
with the growth of vice
because you have a congregation

489
00:24:47,904 --> 00:24:50,994
of people and there’s money
and there’s accessibility.

490
00:24:51,074 --> 00:24:52,614
So, you could have a
brothel district,

491
00:24:52,743 --> 00:24:54,913
saloons that refuse
to close at night.

492
00:24:55,037 --> 00:24:57,337
If you’re living 40 miles
from everybody on the farm,

493
00:24:57,414 --> 00:24:59,124
you know, it’s a,
it’s a long haul to,

494
00:24:59,249 --> 00:25:00,409
to do something naughty.

495
00:25:03,211 --> 00:25:07,131
Cities become associated with
what some people would call

496
00:25:07,257 --> 00:25:09,137
iniquity or evil, right?

497
00:25:09,259 --> 00:25:10,169
Cities will corrupt you.

498
00:25:10,260 --> 00:25:12,180
It’ll corrupt you through sex.

499
00:25:12,262 --> 00:25:13,972
It’ll corrupt you
through alcohol.

500
00:25:14,097 --> 00:25:15,977
It’ll corrupt you through lust.

501
00:25:16,099 --> 00:25:18,719
It’ll corrupt you through
like all kinds of things.

502
00:25:18,810 --> 00:25:20,520
In this
era, Americans drink

503
00:25:20,604 --> 00:25:24,314
almost 800,000 gallons
of liquor a year

504
00:25:24,441 --> 00:25:27,481
and guzzle more than 4
million gallons of beer.

505
00:25:27,611 --> 00:25:29,321
And there’s a rising
tide of people

506
00:25:29,446 --> 00:25:31,786
determined to put a stop to it.

507
00:25:31,907 --> 00:25:35,497
The excess of alcohol
use begins to worry people,

508
00:25:35,619 --> 00:25:38,029
particularly as America
begins to industrialize.

509
00:25:38,121 --> 00:25:40,201
If people can’t get
up and go to work

510
00:25:40,290 --> 00:25:41,620
and take care of their families,

511
00:25:41,750 --> 00:25:43,870
then of course alcohol
is seen as a problem

512
00:25:43,960 --> 00:25:47,000
because it’s undermining the
very fabric of the economy,

513
00:25:47,130 --> 00:25:48,670
but also the fabric of the home.

514
00:25:49,966 --> 00:25:52,176
Alcohol, of course,
in that time frame

515
00:25:52,302 --> 00:25:54,222
is still kind of unregulated.

516
00:25:54,304 --> 00:25:56,854
People were going out of
their minds with it, drunk,

517
00:25:56,973 --> 00:25:59,473
it was causing abusive
relationships, violence,

518
00:25:59,601 --> 00:26:00,891
all these things.

519
00:26:00,977 --> 00:26:02,857
A group with
anti-vice sentiments,

520
00:26:02,979 --> 00:26:04,349
called the temperance movement,

521
00:26:04,481 --> 00:26:07,151
dates all the way
back to the late 1700s

522
00:26:07,275 --> 00:26:11,035
when Americans began drinking
less low proof beer and cider

523
00:26:11,154 --> 00:26:12,864
and more hard liquor.

524
00:26:12,989 --> 00:26:16,319
Now moonshine is rampant
and the movement is back

525
00:26:16,451 --> 00:26:17,491
with a vengeance.

526
00:26:17,619 --> 00:26:18,529
There was a very strong

527
00:26:18,662 --> 00:26:20,912
temperance movement
in the United States,

528
00:26:20,997 --> 00:26:26,217
connecting drinking alcohol
to the downfall of the family

529
00:26:26,336 --> 00:26:29,716
because men would get their
paycheck and they would go out

530
00:26:29,840 --> 00:26:32,380
to bars and they would
spend at the saloon,

531
00:26:32,509 --> 00:26:33,879
all of their paycheck.

532
00:26:34,010 --> 00:26:36,720
They would then, you know,
run off with a loose woman.

533
00:26:38,140 --> 00:26:41,430
People in America
value individual choice.

534
00:26:41,518 --> 00:26:44,398
They don’t want people to
temper with their choice

535
00:26:44,521 --> 00:26:46,231
to have a drink or to smoke.

536
00:26:46,356 --> 00:26:48,906
But the reality is that
we live in a society

537
00:26:49,025 --> 00:26:52,405
and other people have a choice
not to be in a smokey room

538
00:26:52,529 --> 00:26:53,899
or to have a drink.

539
00:26:54,030 --> 00:26:56,400
There’s a tension and
constant conversation

540
00:26:56,533 --> 00:26:58,823
about who should be
allowed to indulge in this.

541
00:27:07,169 --> 00:27:08,379
Jack Daniel
and Nearest Greene

542
00:27:08,503 --> 00:27:11,093
have been distilling
for Reverend Dan Call

543
00:27:11,214 --> 00:27:14,264
and scraping out money
bootlegging on the side.

544
00:27:14,384 --> 00:27:17,014
Now the temperance
movement is taking root

545
00:27:17,095 --> 00:27:18,685
in the reverend’s congregation.

546
00:27:21,683 --> 00:27:22,643
There you are.

547
00:27:23,977 --> 00:27:26,397
I need to talk to you about
things down at the still house.

548
00:27:26,521 --> 00:27:28,271
I, I already know
what you’re gonna say.

549
00:27:28,398 --> 00:27:30,358
Jasper just, just hold on.

550
00:27:31,568 --> 00:27:32,778
I’m shutting down
the still for awhile.

551
00:27:32,903 --> 00:27:33,783
What?

552
00:27:37,741 --> 00:27:40,121
Temperance accelerated
in places like Tennessee,

553
00:27:40,243 --> 00:27:41,623
which were much more Christian,

554
00:27:41,745 --> 00:27:43,915
and people were already
sort of predisposed

555
00:27:44,039 --> 00:27:46,119
through their particular
form of Christianity

556
00:27:46,249 --> 00:27:47,289
to be anti-alcohol.

557
00:27:47,417 --> 00:27:49,337
I know you’re disappointed.

558
00:27:49,419 --> 00:27:50,329
- Yeah.
- But I’ve made up my mind.

559
00:27:50,420 --> 00:27:51,750
No, you can’t do that.

560
00:27:51,880 --> 00:27:52,750
Look, if you just
listen to me...

561
00:27:52,881 --> 00:27:54,751
I’m shutting it down!

562
00:27:56,092 --> 00:27:59,132
Dan Call, who’s a Reverend
for the church that was nearby,

563
00:27:59,262 --> 00:28:02,302
and so it was a little
bit of a conflict for him

564
00:28:02,432 --> 00:28:06,102
because his wife was also
very much a temperance woman.

565
00:28:06,228 --> 00:28:07,108
That’s final.

566
00:28:11,483 --> 00:28:12,313
Yes, sir.

567
00:28:20,116 --> 00:28:23,626
Losing a business partner
is always deeply disturbing.

568
00:28:23,745 --> 00:28:26,205
And Jack had always looked
to Dan as a father figure

569
00:28:26,289 --> 00:28:28,829
and as a mentor,
to now lose him,

570
00:28:28,959 --> 00:28:31,209
and to lose him over
something like temperance,

571
00:28:31,294 --> 00:28:33,254
it would’ve been a
particular insult.

572
00:28:35,131 --> 00:28:36,501
Without
Call’s still,

573
00:28:36,633 --> 00:28:39,133
Jack Daniel is
suddenly out a job

574
00:28:39,261 --> 00:28:41,891
and his bootlegging side
hustle is dead in the water.

575
00:28:45,100 --> 00:28:45,930
For now.

576
00:28:57,862 --> 00:28:59,652
Jack Daniel and
Nearest Greene

577
00:28:59,739 --> 00:29:01,109
spent years distilling

578
00:29:01,199 --> 00:29:03,909
and secretly bootlegging
on Dan Call’s farm.

579
00:29:05,078 --> 00:29:06,168
But now the temperance movement

580
00:29:06,246 --> 00:29:08,246
is gripping the religious south.

581
00:29:08,331 --> 00:29:11,161
I think in every generation
there are politicians

582
00:29:11,251 --> 00:29:14,331
and religious figures
who sincerely believe

583
00:29:14,462 --> 00:29:18,632
they’re a moment in time as
like part of this great decline

584
00:29:18,717 --> 00:29:20,677
in morality in
the United States.

585
00:29:20,677 --> 00:29:23,470
I mean, you had
politicians at that time

586
00:29:23,555 --> 00:29:26,355
railing against what
they said were vices.

587
00:29:26,433 --> 00:29:29,523
What they were trying to
do is restore normalcy.

588
00:29:29,602 --> 00:29:31,522
They were trying
to kind of restore

589
00:29:31,604 --> 00:29:36,314
a Protestant Christian
moral America.

590
00:29:37,610 --> 00:29:39,860
Under mounting
pressure from his congregation,

591
00:29:39,946 --> 00:29:42,206
Dan Call shut his still down,

592
00:29:42,282 --> 00:29:44,572
leaving Jack and
Nearest unemployed.

593
00:29:45,785 --> 00:29:48,035
To start over
scratch someplace else.

594
00:29:48,121 --> 00:29:51,541
You make it sound
so simple, but it ain’t.

595
00:29:51,541 --> 00:29:55,384
Jack really did want
to become his own person

596
00:29:55,462 --> 00:29:56,842
and his own distiller.

597
00:29:56,921 --> 00:29:59,711
Distilling was where
he could see himself

598
00:29:59,799 --> 00:30:00,839
making a mark in the world.

599
00:30:00,925 --> 00:30:04,185
You know, whiskey was his
way to kind of get beyond

600
00:30:04,262 --> 00:30:09,102
small town life and to really
do something I think special.

601
00:30:11,227 --> 00:30:13,397
I’m doing this.

602
00:30:13,397 --> 00:30:14,770
I want you to come with me.

603
00:30:16,691 --> 00:30:18,231
Now, now that’s complicated.

604
00:30:19,611 --> 00:30:22,571
I think he developed a
pretty meaningful relationship

605
00:30:22,655 --> 00:30:26,615
with uncle Nearest at a time
when a lot of his neighbors

606
00:30:26,743 --> 00:30:28,413
didn’t want to
acknowledge his existence

607
00:30:28,536 --> 00:30:31,246
and Jack was not
shy about, you know,

608
00:30:31,331 --> 00:30:34,121
telling people that that’s
who taught him how to distill.

609
00:30:35,085 --> 00:30:35,965
It’s up to you.

610
00:30:38,338 --> 00:30:39,758
You wanna come work with me?

611
00:30:41,007 --> 00:30:42,267
It’s a critical importance

612
00:30:42,342 --> 00:30:43,762
to choose the right
business partner.

613
00:30:43,843 --> 00:30:46,433
Businesses are not about ideas.

614
00:30:46,554 --> 00:30:49,434
They’re about the
execution of those ideas.

615
00:30:49,516 --> 00:30:52,776
So it’s more than just what
you’re doing in business,

616
00:30:52,852 --> 00:30:55,442
but also it’s who
you’re doing it with.

617
00:30:56,523 --> 00:31:00,403
I think Nearest Greene
ultimately had respect for Jack

618
00:31:00,485 --> 00:31:04,115
and wanted to help
him fulfill his dream.

619
00:31:04,197 --> 00:31:07,117
But then also he was
looking for an opportunity

620
00:31:07,117 --> 00:31:09,620
to become something for himself.

621
00:31:14,207 --> 00:31:15,337
You damn right I do.

622
00:31:20,922 --> 00:31:22,632
You’re killing me,
you know that right?

623
00:31:22,632 --> 00:31:24,635
An orphan
and former enslaved person

624
00:31:24,717 --> 00:31:27,477
are risking everything to
start their own distillery,

625
00:31:28,555 --> 00:31:31,145
even as the tide of
temperance is rising.

626
00:31:36,229 --> 00:31:38,309
While performers
are targeting hard liquor,

627
00:31:38,398 --> 00:31:42,158
in the mid 1870s, beer
isn’t on their radar.

628
00:31:42,235 --> 00:31:46,285
In the 19th century, when
anti alcohol fervor began,

629
00:31:46,364 --> 00:31:50,494
the great enemy,
then, was spirits,

630
00:31:50,494 --> 00:31:52,997
especially whiskey and rum.

631
00:31:53,079 --> 00:31:56,829
Many people started
latching onto beer

632
00:31:56,916 --> 00:31:59,006
as kind of an
antidote to alcohol.

633
00:31:59,085 --> 00:32:02,845
It wasn’t as alcoholic and
you could drink that and you,

634
00:32:02,922 --> 00:32:04,842
it could still be respectable.

635
00:32:05,717 --> 00:32:07,477
Adolphus
Busch wants to sell beer

636
00:32:07,552 --> 00:32:10,842
outside St. Louis and he’s
designed groundbreaking

637
00:32:10,930 --> 00:32:13,470
refrigerated rail cars to do it.

638
00:32:13,558 --> 00:32:15,148
Now he’s working on a beer

639
00:32:15,226 --> 00:32:17,186
that’ll appeal to
American tastes.

640
00:32:17,312 --> 00:32:18,522
Some of them are close.

641
00:32:19,647 --> 00:32:21,357
For months
he’s been working

642
00:32:21,483 --> 00:32:24,153
with his brewmasters
to crack the code.

643
00:32:24,235 --> 00:32:25,445
What would you suggest?

644
00:32:26,613 --> 00:32:30,783
More hops, less hops,
more body, less body.

645
00:32:32,494 --> 00:32:34,204
Just bring me options.

646
00:32:34,329 --> 00:32:35,869
I’ll know it when I taste it.

647
00:32:36,664 --> 00:32:37,874
Now he’s brought in

648
00:32:37,874 --> 00:32:40,717
an industry friend
named Carl Conrad.

649
00:32:40,793 --> 00:32:42,583
I’m on the verge
of being pleased.

650
00:32:43,880 --> 00:32:45,340
Who has
a version of a recipe

651
00:32:45,340 --> 00:32:48,553
for a popular European
beer called lager.

652
00:32:48,635 --> 00:32:52,395
The two main types
of beer: ale and lager.

653
00:32:52,472 --> 00:32:55,392
Ale’s are warm fermenting
beers that might ferment,

654
00:32:55,392 --> 00:32:56,765
say at room temperature.

655
00:32:56,893 --> 00:32:59,063
The German word lagern
means "to store."

656
00:32:59,187 --> 00:33:03,357
These are beers that have a
long and cold fermentation.

657
00:33:03,441 --> 00:33:06,941
They would actually ferment
these beers down in caves

658
00:33:07,070 --> 00:33:08,530
underneath the ground.

659
00:33:08,530 --> 00:33:11,073
The lagering
process kills more bacteria

660
00:33:11,157 --> 00:33:14,747
than making ale and results
in a more refreshing beer.

661
00:33:16,120 --> 00:33:17,870
Adolphus Busch
believes Americans

662
00:33:17,956 --> 00:33:19,916
will love crisp lagger.

663
00:33:19,916 --> 00:33:22,249
If he can get the recipe right.

664
00:33:22,335 --> 00:33:24,425
The hops are imported
from Czechoslovakia.

665
00:33:25,672 --> 00:33:28,092
The yeast is the best
you can find in Germany.

666
00:33:30,176 --> 00:33:31,136
But you disagree.

667
00:33:32,011 --> 00:33:33,721
Maybe that’s the problem.

668
00:33:33,805 --> 00:33:36,015
I don’t wanna recreate
a European recipe,

669
00:33:36,099 --> 00:33:37,219
this is America.

670
00:33:37,308 --> 00:33:39,638
We need an American beer.

671
00:33:43,690 --> 00:33:44,980
Good luck with that.

672
00:33:47,402 --> 00:33:51,112
German lager brewers
had been trained

673
00:33:51,239 --> 00:33:56,449
under the "Reinheitsgebot,"
which was the German purity law

674
00:33:56,536 --> 00:34:01,666
regulating the ingredients
that could be used in beer.

675
00:34:02,875 --> 00:34:06,635
However, Adolphus Busch
himself was not a brewer

676
00:34:06,754 --> 00:34:11,134
and America was a land
where the old restrictions

677
00:34:11,134 --> 00:34:14,847
and European traditions
didn’t necessarily apply.

678
00:34:18,182 --> 00:34:20,472
Busch and his brew
masters begin experimenting

679
00:34:20,560 --> 00:34:25,190
with American ingredients
using four and six row barley.

680
00:34:28,359 --> 00:34:31,149
But after investing
in a refrigerated rail system

681
00:34:31,237 --> 00:34:33,497
to deliver a signature beer,

682
00:34:33,573 --> 00:34:36,493
so far, he has nothing
to show for it.

683
00:34:44,876 --> 00:34:48,336
Meanwhile, Buck Duke has
traveled all over the country

684
00:34:48,463 --> 00:34:51,003
trying to find new buyers
for his family’s tobacco.

685
00:34:51,132 --> 00:34:52,052
It’s a no.

686
00:34:55,928 --> 00:34:58,218
But he
hasn’t made a single sale.

687
00:35:05,355 --> 00:35:08,865
The 1800s, cigarettes
weren’t really that popular.

688
00:35:08,941 --> 00:35:10,191
You know, cigarettes at the time

689
00:35:10,276 --> 00:35:12,156
were really primarily for women.

690
00:35:12,236 --> 00:35:15,246
And most men did not engage
in cigarette smoking.

691
00:35:15,365 --> 00:35:17,365
They would chew the tobacco,
were smoking the pipe,

692
00:35:17,450 --> 00:35:18,410
or having a cigar.

693
00:35:24,749 --> 00:35:25,959
A cigarette.

694
00:35:29,337 --> 00:35:31,717
You mean people
actually buy these.

695
00:35:31,839 --> 00:35:34,379
Early cigarettes were not
manufactured cigarettes.

696
00:35:34,467 --> 00:35:37,187
This is just tobacco leaf
that’s a, a, a consumer

697
00:35:37,261 --> 00:35:40,551
will later roll themselves
into a cigarette.

698
00:35:40,640 --> 00:35:43,930
I get 10 minutes for
my break, no exceptions.

699
00:35:44,060 --> 00:35:46,180
If I take too long
to smoke I don’t eat.

700
00:35:46,270 --> 00:35:47,140
Hmm.

701
00:35:51,984 --> 00:35:54,404
And it’s like that for
everyone that works here?

702
00:35:58,825 --> 00:36:00,955
How many people would
you say that that is?

703
00:36:02,328 --> 00:36:03,778
Couple hundred, give or take.

704
00:36:05,206 --> 00:36:08,086
If you go back and look
at the late 19th century

705
00:36:08,209 --> 00:36:11,379
American economy and look
at all the factory workers

706
00:36:11,379 --> 00:36:13,792
and mechanics and others
skilled tradesmen.

707
00:36:14,924 --> 00:36:17,094
And, uh, a lot of them smoke?

708
00:36:17,218 --> 00:36:19,588
That portability of
the cigarette helped make

709
00:36:19,679 --> 00:36:21,429
the cigarette
particularly suited

710
00:36:21,514 --> 00:36:24,434
to more modern urban
industrial life.

711
00:36:24,434 --> 00:36:25,267
Thank you.

712
00:36:28,813 --> 00:36:30,143
I’ll be damned.

713
00:36:36,696 --> 00:36:37,866
Is that a cigarette?

714
00:37:01,012 --> 00:37:01,882
You see that?

715
00:37:03,389 --> 00:37:04,219
See what?

716
00:37:05,224 --> 00:37:06,814
I just had a nice easy smoke

717
00:37:06,934 --> 00:37:09,234
in the time it took you
to get that pipe lit.

718
00:37:10,521 --> 00:37:13,651
Filling a pipe and lighting
it and tamping it down

719
00:37:13,775 --> 00:37:16,985
and keeping it going, it
was a complicated operation.

720
00:37:20,573 --> 00:37:23,163
And, uh, why should we care?

721
00:37:23,284 --> 00:37:25,954
Because new factories
are being built every day,

722
00:37:25,954 --> 00:37:28,497
textile mills, oil
refineries, steel plants.

723
00:37:29,582 --> 00:37:31,662
And you know what they
all have in common?

724
00:37:33,044 --> 00:37:37,344
Hundreds of men working long
hours with short breaks.

725
00:37:39,258 --> 00:37:41,628
Roughly the duration
of one cigarette.

726
00:37:41,719 --> 00:37:45,179
The cigarette, it’s
really a convenience factor

727
00:37:45,264 --> 00:37:49,684
that then fits into the notion
of that good, short, sweet

728
00:37:49,769 --> 00:37:52,849
smoke, which fits also then

729
00:37:52,980 --> 00:37:55,350
into the pattern of industrialization

730
00:37:55,441 --> 00:37:58,231
that is getting going
rapidly in the north.

731
00:38:06,953 --> 00:38:09,583
You think you’re gonna
sell, all them workers,

732
00:38:10,540 --> 00:38:12,040
a novelty made for women.

733
00:38:19,340 --> 00:38:20,460
That’s a terrible idea.

734
00:38:21,509 --> 00:38:22,419
I’m telling you,

735
00:38:24,762 --> 00:38:25,722
it’ll catch on.

736
00:38:27,765 --> 00:38:30,725
Buck Duke’s
father has a choice to make,

737
00:38:30,852 --> 00:38:34,852
maintain the status quo or
risk the future of his company

738
00:38:34,939 --> 00:38:38,399
on an obscure tobacco product
that’s ridiculed as a novelty.

739
00:38:42,113 --> 00:38:43,283
The cigarette.

740
00:38:48,744 --> 00:38:50,834
Buck Duke
has convinced his father

741
00:38:50,913 --> 00:38:53,293
that despite their
terrible reputation,

742
00:38:53,416 --> 00:38:56,296
cigarettes could be the future
of the tobacco industry.

743
00:38:56,419 --> 00:38:59,209
Most Americans did
not consume cigarettes

744
00:38:59,297 --> 00:39:00,757
at the turn of the century.

745
00:39:00,757 --> 00:39:04,090
Cigarettes were seen as
making men more effeminate

746
00:39:04,218 --> 00:39:07,008
and making women more masculine.

747
00:39:07,096 --> 00:39:09,606
To transform the
family’s small tobacco shop

748
00:39:09,724 --> 00:39:11,764
into a hand-rolling factory,

749
00:39:11,851 --> 00:39:14,931
he spends the modern
equivalent of 75 grand

750
00:39:15,021 --> 00:39:17,851
to steal the specialized
workforce he needs

751
00:39:17,940 --> 00:39:19,770
to bring them to North Carolina.

752
00:39:21,736 --> 00:39:25,446
Most cigarette rollers
in the late 19th century

753
00:39:25,573 --> 00:39:27,283
are Jewish immigrants.

754
00:39:27,408 --> 00:39:29,868
Cigarettes are actually
more popular in Russia,

755
00:39:29,952 --> 00:39:32,122
so there’s a kind of expertise.

756
00:39:32,246 --> 00:39:35,626
Buck Duke hires 125
cigarette rollers

757
00:39:35,750 --> 00:39:37,290
from a New York based firm,

758
00:39:37,376 --> 00:39:38,966
hires them down to Durham

759
00:39:39,045 --> 00:39:42,135
and they set up shop
at W. Duke and Sons.

760
00:39:43,132 --> 00:39:45,632
Back then, a professional
cigarette roller

761
00:39:45,718 --> 00:39:48,808
could roll about four good
cigarettes at a minute.

762
00:39:48,888 --> 00:39:50,808
Duke introduces
pre-rolled cigarettes

763
00:39:50,932 --> 00:39:52,472
in his family shop

764
00:39:52,600 --> 00:39:56,310
and needs a way to get people
to try them, especially men.

765
00:39:56,437 --> 00:39:58,447
What’s all this?

766
00:39:59,607 --> 00:40:04,117
Look, this one is
Jack Nego, right?

767
00:40:05,529 --> 00:40:06,359
But next time,

768
00:40:07,740 --> 00:40:10,160
next time it could just
as easily be Art Benedict.

769
00:40:10,284 --> 00:40:12,284
Now customers can
collect the whole set.

770
00:40:14,956 --> 00:40:17,086
Seems silly. How
does this help us?

771
00:40:18,501 --> 00:40:21,461
Ben, the customers
want the cards.

772
00:40:21,545 --> 00:40:23,345
So they buy our products.

773
00:40:23,464 --> 00:40:24,634
Now the stores sell out,

774
00:40:25,633 --> 00:40:26,923
they order more from us.

775
00:40:28,094 --> 00:40:29,804
Buck Duke needed something
unique to cut through.

776
00:40:29,804 --> 00:40:31,847
So they came out
with trading cards

777
00:40:31,973 --> 00:40:33,853
they were literally making
baseball trading cards

778
00:40:33,933 --> 00:40:35,143
to sell tobacco.

779
00:40:36,310 --> 00:40:37,270
Now the best part,

780
00:40:38,980 --> 00:40:39,730
watch this.

781
00:40:43,818 --> 00:40:45,828
We’re Texas Cigarettes
during shipping.

782
00:40:48,447 --> 00:40:49,707
To
build recognition

783
00:40:49,824 --> 00:40:52,364
years before national
brands exist,

784
00:40:52,493 --> 00:40:54,533
Duke launches his
hand-rolled cigarettes

785
00:40:54,662 --> 00:40:57,622
under a brand, W. Duke and Sons,

786
00:40:57,707 --> 00:41:00,337
one of the first branded
cigarettes in the country.

787
00:41:02,211 --> 00:41:03,541
And to drive demand,

788
00:41:03,671 --> 00:41:08,011
he pours $800,000,
23 million today,

789
00:41:08,092 --> 00:41:09,382
into a marketing campaign,

790
00:41:09,510 --> 00:41:12,510
powered by ads and
collectable cards,

791
00:41:12,596 --> 00:41:14,556
betting that this new
product would become

792
00:41:14,640 --> 00:41:16,470
the future of the
tobacco industry.

793
00:41:22,815 --> 00:41:25,405
Adolphus Busch has
already waged the lager

794
00:41:25,526 --> 00:41:27,236
as the future of beer,

795
00:41:27,361 --> 00:41:29,821
and that he could ship it
in refrigerated rail cars

796
00:41:29,905 --> 00:41:31,325
to the US frontier.

797
00:41:32,491 --> 00:41:34,321
But after months of
working on a recipe

798
00:41:34,410 --> 00:41:36,580
that caters to American tastes,

799
00:41:36,662 --> 00:41:39,502
his brew masters have
yet to get it right.

800
00:41:41,167 --> 00:41:43,087
We try to achieve
the perfect balance

801
00:41:43,210 --> 00:41:46,000
between Christmas and body
without too much bite.

802
00:41:49,925 --> 00:41:51,725
I think I like this.

803
00:41:51,802 --> 00:41:54,842
An American twist on a
beer I found in Budweis.

804
00:41:54,930 --> 00:41:55,800
Budweis.

805
00:41:57,933 --> 00:42:00,063
Budweis the town
in Czechoslovakia.

806
00:42:04,899 --> 00:42:06,809
Get this into
production right away.

807
00:42:09,570 --> 00:42:13,320
In 1876,
Budweiser Beer is born.

808
00:42:14,867 --> 00:42:16,207
When you think
of American beer,

809
00:42:16,285 --> 00:42:18,995
you only think of
one thing, Budweiser.

810
00:42:19,872 --> 00:42:21,292
With Budweiser,

811
00:42:21,415 --> 00:42:24,465
it’s a brand that’s up there
with Coca-Cola, McDonald’s,

812
00:42:24,585 --> 00:42:27,465
you’re never gonna pick
one up in another country

813
00:42:27,588 --> 00:42:29,458
or in another part of the world

814
00:42:29,548 --> 00:42:31,128
and say,

815
00:42:31,217 --> 00:42:33,927
"This is a completely different
Budweiser than I’m used to."

816
00:42:34,011 --> 00:42:35,471
Busch
begins shipping Budweiser

817
00:42:35,596 --> 00:42:37,936
to saloons across the Southwest,

818
00:42:38,015 --> 00:42:40,145
gambling, hundreds of
thousands of dollars

819
00:42:40,226 --> 00:42:44,606
that people will drink a
beer they’ve never heard of.

820
00:42:49,235 --> 00:42:50,985
By the late 19th century,

821
00:42:51,112 --> 00:42:54,112
New York is the industrial
capital in the nation.

822
00:42:54,198 --> 00:42:56,828
The lure of factory jobs
brings a flood of immigrants

823
00:42:56,909 --> 00:42:58,619
from all across the globe,

824
00:42:58,619 --> 00:43:01,492
and the city’s population
doubles every decade

825
00:43:01,622 --> 00:43:03,162
between 1800 and 1880.

826
00:43:03,249 --> 00:43:05,159
The late 19th
century is a key moment

827
00:43:05,251 --> 00:43:07,501
in the urbanization
of the United States.

828
00:43:07,628 --> 00:43:10,338
We see an incredible rise
in the density of housing

829
00:43:10,464 --> 00:43:12,674
with the erection of
tenements in New York city,

830
00:43:12,800 --> 00:43:13,840
cramped conditions,

831
00:43:13,926 --> 00:43:15,676
shared living quarters,

832
00:43:15,761 --> 00:43:17,341
dirty streets.

833
00:43:17,471 --> 00:43:20,011
The nine square blocks of
the Jewish Lower East Side

834
00:43:20,141 --> 00:43:23,141
was the most crowded
mile in the world.

835
00:43:23,227 --> 00:43:25,357
More crowded than anywhere
in India or China,

836
00:43:25,479 --> 00:43:27,689
because it had five
storeys of people

837
00:43:27,815 --> 00:43:28,905
crowded upon each other.

838
00:43:29,024 --> 00:43:30,864
Not all buildings were
connected to the sewer system,

839
00:43:30,985 --> 00:43:33,945
so you had outhouses
at these places,

840
00:43:34,029 --> 00:43:34,989
the smells coming up,

841
00:43:34,989 --> 00:43:36,202
there was no ventilation.

842
00:43:36,323 --> 00:43:37,703
And then nobody had hot water,

843
00:43:37,825 --> 00:43:39,205
so nobody washed that often.

844
00:43:39,326 --> 00:43:42,416
Many people
lived in filth squalor.

845
00:43:43,247 --> 00:43:45,707
But there’s one district
infamous for its poverty

846
00:43:45,833 --> 00:43:46,713
and crime.

847
00:43:46,834 --> 00:43:49,834
It’s called the Tenderloin.

848
00:43:49,920 --> 00:43:52,630
The Tenderloin District
was a vice district

849
00:43:52,715 --> 00:43:55,385
in New York city during
the late 19th century,

850
00:43:55,509 --> 00:43:57,219
early 20th century.

851
00:43:57,344 --> 00:44:01,224
And this is an area where
you had tenement houses,

852
00:44:01,224 --> 00:44:04,687
you had brothels, you
had gambling dens.

853
00:44:04,768 --> 00:44:06,348
The term, the Tenderloin,

854
00:44:06,437 --> 00:44:09,527
supposedly came from a
New York Police Captain.

855
00:44:09,607 --> 00:44:12,027
He was being transferred
to a vice district

856
00:44:12,109 --> 00:44:13,569
where he was gonna
make a lot more graft.

857
00:44:13,694 --> 00:44:16,244
Police officers could take
so many bribes back then

858
00:44:16,363 --> 00:44:17,743
he would make so much money,

859
00:44:17,865 --> 00:44:19,325
he could now eat tenderloin,

860
00:44:19,325 --> 00:44:20,358
instead of rump steak.

861
00:44:23,120 --> 00:44:24,700
One resident
of the Tenderloin

862
00:44:24,788 --> 00:44:27,538
is a German immigrant who
was born partially paralyzed.

863
00:44:29,877 --> 00:44:31,427
He’s, Julia Schmidt,

864
00:44:31,545 --> 00:44:35,095
and after having to sell some
of his clothing just to eat,

865
00:44:35,216 --> 00:44:37,806
he now works long hours
at a local factory.

866
00:44:46,936 --> 00:44:48,646
Hey, this is my bench.

867
00:44:49,813 --> 00:44:52,443
Just resting, I’m
already at work.

868
00:44:52,524 --> 00:44:55,114
Julia Schmidt came
to America at a time

869
00:44:55,236 --> 00:44:57,946
when there was tremendous
prejudice against immigrants,

870
00:44:58,030 --> 00:44:58,860
and for Schmidt,

871
00:44:58,948 --> 00:45:00,038
it was compounded by the fact

872
00:45:00,115 --> 00:45:02,325
that he was also
physically handicapped.

873
00:45:05,621 --> 00:45:08,081
Julia Schmidt
already had a trade

874
00:45:08,165 --> 00:45:11,045
which was making
casings for sausages

875
00:45:11,126 --> 00:45:13,296
out of animal membranes.

876
00:45:13,296 --> 00:45:15,709
Julia
Schmidt barely scrapes by

877
00:45:15,798 --> 00:45:17,308
working at a sausage factory.

878
00:45:17,424 --> 00:45:19,264
Julia Schmidt, I
mean, here he is,

879
00:45:19,343 --> 00:45:20,883
he’s on a crutch bum leg,

880
00:45:20,970 --> 00:45:23,970
and he lives in the seediest
section of Manhattan

881
00:45:24,056 --> 00:45:25,266
where there’s prostitution

882
00:45:25,266 --> 00:45:29,309
and just all kinds of illegal
activities that’s going on.

883
00:45:29,436 --> 00:45:32,946
People can be born into the
opportunity to create success,

884
00:45:33,023 --> 00:45:36,613
or they could create
success out of necessity.

885
00:45:36,694 --> 00:45:38,614
Despite
his humble beginnings,

886
00:45:38,696 --> 00:45:40,496
the product Schmidt
innovates will one day

887
00:45:40,614 --> 00:45:42,784
prevents all manner
of deadly disease,

888
00:45:43,742 --> 00:45:44,822
rewrite US law,

889
00:45:44,910 --> 00:45:47,030
ignite a sexual revolution

890
00:45:47,705 --> 00:45:51,085
and fuel a $9 billion industry.

891
00:45:57,381 --> 00:45:59,381
New York City is
growing fast,

892
00:45:59,508 --> 00:46:01,968
and greed and crime
and corruption,

893
00:46:02,052 --> 00:46:04,512
lurk in every dark alley.

894
00:46:05,180 --> 00:46:07,890
New York City was a very
rough, crowded, dangerous place.

895
00:46:08,684 --> 00:46:10,564
Prostitution was
way more common,

896
00:46:10,686 --> 00:46:12,186
and even though it was illegal,

897
00:46:12,271 --> 00:46:15,061
it was basically
sanctioned by the police.

898
00:46:15,190 --> 00:46:18,150
They took bribes to allow
the brothels to continue.

899
00:46:19,111 --> 00:46:22,861
There was an estimate
that one in six adult men

900
00:46:22,948 --> 00:46:24,858
went to a prostitute every day.

901
00:46:27,619 --> 00:46:30,619
In the heart of
New York’s seedy under alley,

902
00:46:30,706 --> 00:46:32,506
Julia Schmidt can’t
make ends meet

903
00:46:32,583 --> 00:46:35,003
working at a local
sausage factory,

904
00:46:35,085 --> 00:46:37,795
but he scratches out living
with his side hustle,

905
00:46:37,880 --> 00:46:41,340
making products out of scraps
from the factory floor.

906
00:46:41,425 --> 00:46:45,055
Julia Schmidt actually sold
and marketed sausage casings,

907
00:46:45,137 --> 00:46:46,557
creating a condom.

908
00:46:46,638 --> 00:46:50,888
It’s hard for us to imagine
today in the 21st century.

909
00:46:50,976 --> 00:46:54,566
The idea of using an
intestine for a condom

910
00:46:54,646 --> 00:46:55,946
is actually genius.

911
00:46:56,065 --> 00:46:57,655
It’s really durable,

912
00:46:57,733 --> 00:47:00,823
and it’s gonna give
you a skin like feel.

913
00:47:02,237 --> 00:47:05,077
Now the downside is that
it will get funky, right?

914
00:47:05,157 --> 00:47:08,127
And for some thinking
about a pig intestine

915
00:47:08,243 --> 00:47:09,623
around their genitals,

916
00:47:09,745 --> 00:47:12,705
that might not be as romantic.

917
00:47:12,790 --> 00:47:14,330
Talk about a sausage fest.

918
00:47:15,793 --> 00:47:17,003
Some version of condoms

919
00:47:17,003 --> 00:47:21,096
date all the way back to 1000
years before the common era,

920
00:47:21,173 --> 00:47:24,013
where people used oiled
linen, silk, leather,

921
00:47:24,093 --> 00:47:26,303
and even thin horn
as prophylactics.

922
00:47:27,513 --> 00:47:29,143
Animal intestines were
used in parts of Europe

923
00:47:29,264 --> 00:47:31,764
as early as the 16th century.

924
00:47:31,850 --> 00:47:33,220
But in the late 1800s,

925
00:47:33,310 --> 00:47:36,140
it’s still a foreign concept
in the United States.

926
00:47:37,773 --> 00:47:40,193
In fact, thanks to
an anti vice crusader

927
00:47:40,275 --> 00:47:41,865
named Anthony Comstock,

928
00:47:41,944 --> 00:47:44,784
all forms of prophylactic
are against the law.

929
00:47:45,948 --> 00:47:48,788
Anthony Comstock was
a chubby baldheaded,

930
00:47:48,867 --> 00:47:51,037
mutton-chopped reformer,

931
00:47:51,037 --> 00:47:53,620
a federal public official in
the Post Office Department

932
00:47:53,705 --> 00:47:55,335
who thought he knew
everything about

933
00:47:55,457 --> 00:47:58,127
what was obscene and what
needed to be prevented.

934
00:47:58,127 --> 00:48:00,290
And he took the
definition of obscene

935
00:48:00,379 --> 00:48:05,049
all the way to birth
control devices and condoms.

936
00:48:05,134 --> 00:48:08,384
If you allow men to have
sex with no fear of VD

937
00:48:08,470 --> 00:48:10,180
and no fear of
impregnating anyone,

938
00:48:10,305 --> 00:48:11,975
they will have more sex.

939
00:48:12,057 --> 00:48:13,067
That was his logic.

940
00:48:14,726 --> 00:48:17,646
Working in the
vice-filled Tenderloin District,

941
00:48:17,646 --> 00:48:19,729
Schmidt should have no
shortage of customers

942
00:48:19,815 --> 00:48:21,195
for his condoms,

943
00:48:21,316 --> 00:48:23,656
if he could sell them
without getting caught.

944
00:48:32,536 --> 00:48:34,916
The budding temperance
movement forced Jack Daniel

945
00:48:34,997 --> 00:48:36,417
out of a job,

946
00:48:36,498 --> 00:48:37,958
but instead of giving up,

947
00:48:37,958 --> 00:48:39,501
he’s going legit,

948
00:48:39,585 --> 00:48:42,175
investing every penny
he’s ever made bootlegging

949
00:48:42,254 --> 00:48:45,134
to open a legal
licensed distillery,

950
00:48:45,215 --> 00:48:47,515
with Nearest Green is
a master distiller,

951
00:48:47,593 --> 00:48:50,263
and Nearest’s son, George,
to help run the place.

952
00:48:51,763 --> 00:48:53,603
It’s absolutely important

953
00:48:53,682 --> 00:48:56,352
to recognize Nathan
Green’s story

954
00:48:56,352 --> 00:48:58,145
in the Jack Daniel’s story.

955
00:48:58,145 --> 00:49:01,848
It acknowledges the
African American role

956
00:49:01,940 --> 00:49:05,860
and our participation
in building up

957
00:49:05,944 --> 00:49:08,494
the whiskey industry
here in America.

958
00:49:08,572 --> 00:49:13,072
We know that we were a part of
the story from the beginning.

959
00:49:14,369 --> 00:49:15,619
Unlike Moonshiners

960
00:49:15,704 --> 00:49:17,794
who make their booze
in makeshift stills

961
00:49:17,873 --> 00:49:19,793
sell it cheap and untaxed,

962
00:49:19,875 --> 00:49:23,425
Jack Daniel’s new whiskey will
be subject to heavy taxation.

963
00:49:23,545 --> 00:49:25,045
So he and Green need a product

964
00:49:25,130 --> 00:49:27,250
they can charge more money for.

965
00:49:27,382 --> 00:49:28,552
To make it,

966
00:49:28,634 --> 00:49:30,634
they use a technique
called sour mash,

967
00:49:30,719 --> 00:49:34,049
which creates lactic acid
that kills unwanted bacteria

968
00:49:34,139 --> 00:49:35,389
during fermentation.

969
00:49:35,516 --> 00:49:37,726
Then they use charcoal
to filter their liquor,

970
00:49:37,851 --> 00:49:40,061
to remove any impurities.

971
00:49:40,145 --> 00:49:45,065
It’s a system now known as
the Lincoln County Process.

972
00:49:45,150 --> 00:49:47,230
These blends are single malt.

973
00:49:47,319 --> 00:49:50,239
These are blends made from
the samples you already have.

974
00:49:58,997 --> 00:50:01,257
In West Africa in
order to get clean water,

975
00:50:01,333 --> 00:50:02,873
they filter it through charcoal,

976
00:50:02,960 --> 00:50:07,130
Nathan Green, mastered and
included that principle

977
00:50:07,256 --> 00:50:10,056
of running Moonshine
through charcoal,

978
00:50:10,133 --> 00:50:12,013
maple to strip
some of that bite,

979
00:50:12,094 --> 00:50:16,434
to strip some of that harsh
flavors and mellow it out.

980
00:50:16,515 --> 00:50:18,265
The last
step in Jack and Nearest’s

981
00:50:18,350 --> 00:50:19,770
whiskey making process

982
00:50:19,851 --> 00:50:22,851
is mellowing it by aging
it in charred oak barrels.

983
00:50:24,189 --> 00:50:27,189
It’s not bad, but
it ain’t perfect.

984
00:50:28,944 --> 00:50:30,444
More time in the barrel it is.

985
00:50:39,288 --> 00:50:41,548
Buck Duke has
spent the last few years

986
00:50:41,623 --> 00:50:44,623
slowly building his
hand-rolled cigarette business,

987
00:50:44,710 --> 00:50:47,380
marketed with baseball
cards under a brand name.

988
00:50:47,462 --> 00:50:50,252
Their popularity grows
month after month.

989
00:50:50,340 --> 00:50:55,300
And by 1884, he’s selling
90 million cigarettes a year

990
00:50:55,387 --> 00:50:57,937
from the South to the
industrial Northeast.

991
00:50:58,515 --> 00:51:00,975
Oh ah, we need to talk.

992
00:51:05,647 --> 00:51:06,487
All right.

993
00:51:10,485 --> 00:51:13,905
We’re three weeks
behind on our deliveries.

994
00:51:13,989 --> 00:51:15,949
Of course, cigarettes
are in hot demand

995
00:51:16,033 --> 00:51:18,203
from the factory workers.

996
00:51:18,327 --> 00:51:20,787
Our salesmen are
suddenly drowning,

997
00:51:20,871 --> 00:51:22,911
and at this pace is
only gonna be worse.

998
00:51:22,998 --> 00:51:25,338
The hand-rollers
at Duke’s firm

999
00:51:25,417 --> 00:51:27,877
rolled cigarettes
slowly and gently,

1000
00:51:28,003 --> 00:51:31,253
which meant wastefulness
and inefficiency.

1001
00:51:31,340 --> 00:51:32,670
We’re running
at full capacity.

1002
00:51:32,758 --> 00:51:34,178
Mmm-hmm.

1003
00:51:35,927 --> 00:51:37,267
Can we add more workers?

1004
00:51:39,056 --> 00:51:40,266
We don’t have the room.

1005
00:51:43,602 --> 00:51:44,892
I need a minute to think.

1006
00:51:46,855 --> 00:51:48,405
Just
a few years before,

1007
00:51:48,523 --> 00:51:49,863
21 year old engineer,

1008
00:51:49,941 --> 00:51:51,521
James Bonsack patented

1009
00:51:51,610 --> 00:51:54,150
an automatic cigarette
rolling machine,

1010
00:51:54,237 --> 00:51:58,287
entering it in a competition
to win a $75,000 prize,

1011
00:51:58,367 --> 00:52:00,877
the modern equivalent
of over a million.

1012
00:52:00,952 --> 00:52:02,372
Bonsack won,

1013
00:52:02,454 --> 00:52:04,704
but the company that sponsored
it rejected the machine

1014
00:52:04,790 --> 00:52:06,040
to avoid paying up.

1015
00:52:07,250 --> 00:52:11,460
That leaves the revolutionary
technology up the grabs.

1016
00:52:11,546 --> 00:52:12,716
Oh, that’s beautiful.

1017
00:52:14,549 --> 00:52:16,259
We’ll open a new
factory in New York,

1018
00:52:16,385 --> 00:52:17,425
filling it with these beauties

1019
00:52:17,552 --> 00:52:20,802
and we are going
fully automated.

1020
00:52:20,889 --> 00:52:23,309
We’re never gonna fall
behind that man again.

1021
00:52:23,309 --> 00:52:24,852
Um,

1022
00:52:24,852 --> 00:52:27,235
did you just say New York?

1023
00:52:28,730 --> 00:52:30,850
The late 19th century
sees New York City

1024
00:52:30,941 --> 00:52:34,571
assume a dominance in the
economic system of America,

1025
00:52:34,653 --> 00:52:35,613
emerges in this period

1026
00:52:35,737 --> 00:52:38,407
as the financial capital
of the United States.

1027
00:52:39,658 --> 00:52:42,828
But the cost of what
you’re talking about,

1028
00:52:42,828 --> 00:52:45,451
I can’t even think of
a number high enough.

1029
00:52:48,750 --> 00:52:51,920
I’ve already secured
a loan and a location.

1030
00:52:53,213 --> 00:52:58,763
No, no, no, no, Buck...

1031
00:52:59,678 --> 00:53:02,938
That kind of debt is
going to cripple us.

1032
00:53:05,642 --> 00:53:06,642
Just trust me.

1033
00:53:09,771 --> 00:53:12,061
Believing he can
expand his cigarette kingdom

1034
00:53:12,149 --> 00:53:13,479
into an empire,

1035
00:53:13,608 --> 00:53:15,148
Buck Duke leverages the company

1036
00:53:15,277 --> 00:53:17,287
to make a bold move to New York,

1037
00:53:17,404 --> 00:53:18,364
Damn it, Buck.

1038
00:53:18,364 --> 00:53:20,787
and bet its future
on automation.

1039
00:53:27,456 --> 00:53:29,416
Adolphus Busch has
made Budweiser

1040
00:53:29,416 --> 00:53:30,709
the first American beer

1041
00:53:30,709 --> 00:53:33,122
to be shipped by
refrigerated rail,

1042
00:53:33,211 --> 00:53:34,631
investing millions of dollars

1043
00:53:34,713 --> 00:53:37,633
to sell it in New Mexico,
Texas and Colorado.

1044
00:53:38,633 --> 00:53:40,303
But after a brief surge,

1045
00:53:41,553 --> 00:53:43,393
sales are suddenly plummeting.

1046
00:53:44,556 --> 00:53:46,556
This one is from
here in St. Louis.

1047
00:53:54,065 --> 00:53:57,985
This is from a barrel we
confiscated in New Mexico.

1048
00:54:03,658 --> 00:54:07,158
In the 19th century, most
beer was sold out of a barrel.

1049
00:54:07,245 --> 00:54:11,545
You go to a saloon, someone taps
a beer and hands it to you.

1050
00:54:14,878 --> 00:54:16,048
This is watered down.

1051
00:54:16,505 --> 00:54:17,925
Mmm hmm.

1052
00:54:19,758 --> 00:54:21,018
How common is this?

1053
00:54:21,092 --> 00:54:22,012
It’s everywhere.

1054
00:54:22,886 --> 00:54:24,346
Adolphus soon discovered

1055
00:54:24,346 --> 00:54:28,759
that he would sell barrels
of beer to a saloon keeper,

1056
00:54:28,850 --> 00:54:32,640
and saloon keepers
would take his barrels,

1057
00:54:32,729 --> 00:54:34,639
fill them with cheap beer,

1058
00:54:34,731 --> 00:54:38,191
which no surprise
was infuriating.

1059
00:54:38,276 --> 00:54:39,486
It’s hurting our sales

1060
00:54:39,486 --> 00:54:41,189
and there’s not much
we can do about it.

1061
00:54:45,242 --> 00:54:47,202
Get this outta my sight.

1062
00:54:47,202 --> 00:54:48,375
Busch needs a way

1063
00:54:48,453 --> 00:54:50,663
to ensure the
quality of Budweiser

1064
00:54:50,747 --> 00:54:52,957
or his beer will
never pave the way

1065
00:54:53,041 --> 00:54:55,081
for alcohol brands
to go national.

1066
00:55:11,101 --> 00:55:13,431
Julia Schmidt sells
illegal condoms.

1067
00:55:13,562 --> 00:55:15,812
Also called safes or skins

1068
00:55:15,897 --> 00:55:17,237
in the sleazy back alleys

1069
00:55:17,357 --> 00:55:19,567
of New York City’s
Tenderloin District.

1070
00:55:27,576 --> 00:55:28,786
Three skins.

1071
00:55:28,910 --> 00:55:31,410
Just sold the last one, but
I’ll be back tomorrow night.

1072
00:55:32,622 --> 00:55:35,462
Oh, I’ll make it,
worth your while.

1073
00:55:37,419 --> 00:55:40,249
Sorry. But I
really I’m sold out.

1074
00:55:42,799 --> 00:55:44,669
So Julia Schmidt
was incredibly savvy

1075
00:55:44,759 --> 00:55:48,469
because he really found a
product that people needed.

1076
00:55:48,597 --> 00:55:50,397
It’s not to knock sausages,

1077
00:55:50,473 --> 00:55:53,063
but they don’t have quite
the same appeal that a condom

1078
00:55:53,143 --> 00:55:55,233
which can protect
you against disease,

1079
00:55:55,312 --> 00:55:58,272
but also prevent
unwanted pregnancies.

1080
00:55:59,774 --> 00:56:00,864
Okay.

1081
00:56:00,942 --> 00:56:03,112
Tomorrow night,
but bring me six.

1082
00:56:11,620 --> 00:56:13,410
Julia
Schmidt illegal condoms

1083
00:56:13,496 --> 00:56:14,416
are selling so well,

1084
00:56:14,497 --> 00:56:16,457
he can’t keep them in stock.

1085
00:56:16,583 --> 00:56:18,373
But anything he does to expand

1086
00:56:18,460 --> 00:56:20,790
runs the risk of drawing
unwanted attention

1087
00:56:20,921 --> 00:56:22,131
from the authorities.

1088
00:56:34,643 --> 00:56:35,643
In Tennessee,

1089
00:56:35,727 --> 00:56:38,107
Jack Daniel and Nearest
Green’s new distillery

1090
00:56:38,188 --> 00:56:40,238
won’t be able to make a sale

1091
00:56:40,315 --> 00:56:43,615
until they perfect their
more expensive legal whiskey

1092
00:56:43,693 --> 00:56:44,483
by aging it.

1093
00:56:48,490 --> 00:56:52,990
Okay boys, to
your good health.

1094
00:56:58,541 --> 00:57:01,831
Although whiskey was a
theme back in those times,

1095
00:57:01,962 --> 00:57:05,632
it had not been perfected
over the generations yet.

1096
00:57:05,632 --> 00:57:07,765
So I think it would’ve
been a little bit harsher,

1097
00:57:07,842 --> 00:57:09,342
a little bit higher proof.

1098
00:57:16,184 --> 00:57:21,234
Dry spice, vanilla, hint
of smoke, sweet finish.

1099
00:57:23,191 --> 00:57:24,231
Well it’s strong as hell.

1100
00:57:24,359 --> 00:57:25,359
Yup.

1101
00:57:25,944 --> 00:57:27,034
As a final touch,

1102
00:57:27,153 --> 00:57:28,823
Jack Daniel’s high proof whiskey

1103
00:57:28,905 --> 00:57:32,075
is cut with water sourced
from a natural spring

1104
00:57:32,200 --> 00:57:33,030
in a nearby cave.

1105
00:57:34,411 --> 00:57:35,241
All right.

1106
00:57:40,375 --> 00:57:42,375
This is the best
whiskey I’ve ever tasted,

1107
00:57:42,502 --> 00:57:43,422
and it ain’t close.

1108
00:57:46,172 --> 00:57:47,052
I agree.

1109
00:57:50,051 --> 00:57:50,881
Nearest?

1110
00:57:57,183 --> 00:57:58,933
I think this is it.

1111
00:58:04,899 --> 00:58:06,109
All right.

1112
00:58:06,234 --> 00:58:07,324
Jack
Daniel’s Whiskey

1113
00:58:07,402 --> 00:58:09,442
is finally ready
to hit the market.

1114
00:58:09,571 --> 00:58:13,241
All he needs is for local
customer to give it a chance.

1115
00:58:19,039 --> 00:58:22,709
Budweiser is shipped by rail
to states in the Southwest,

1116
00:58:22,709 --> 00:58:24,872
but it’s only sold in barrels.

1117
00:58:24,961 --> 00:58:27,461
So Adolphus Busch is up
against countless saloon keepers

1118
00:58:27,589 --> 00:58:29,169
who are watering it down.

1119
00:58:29,257 --> 00:58:31,467
He’s trying to figure
out what can I possibly do

1120
00:58:31,593 --> 00:58:34,343
to avoid this cheating
on the part of people

1121
00:58:34,429 --> 00:58:35,759
who are selling my beer

1122
00:58:35,889 --> 00:58:37,639
Bottle would have a label on it,

1123
00:58:37,766 --> 00:58:40,726
with a trademark on it,

1124
00:58:40,810 --> 00:58:42,600
clearly indicating
where that come from

1125
00:58:42,729 --> 00:58:43,849
and a saloon keeper

1126
00:58:43,938 --> 00:58:46,848
isn’t gonna go to the trouble
of refilling the bottle

1127
00:58:46,941 --> 00:58:48,151
and trying to recap it.

1128
00:58:50,820 --> 00:58:52,190
Today,

1129
00:58:52,280 --> 00:58:55,320
over 65 billion individually
packaged 12 ounce beers

1130
00:58:55,450 --> 00:58:58,120
are consumed in the
United States every year.

1131
00:58:59,120 --> 00:59:00,330
But at the time,

1132
00:59:00,455 --> 00:59:03,755
the idea of mass producing and
selling any bottled beverage

1133
00:59:03,833 --> 00:59:05,713
is practically unthinkable.

1134
00:59:05,794 --> 00:59:06,794
To change that,

1135
00:59:06,878 --> 00:59:09,798
Adolphus Busch needs
another infusion of cash,

1136
00:59:09,923 --> 00:59:12,803
but he’s already too deep
in debt to get a loan.

1137
00:59:12,926 --> 00:59:16,306
And his father-in-law Eberhard
Anheuser is his last hope.

1138
00:59:19,682 --> 00:59:21,312
When it’s fully operational,

1139
00:59:21,434 --> 00:59:24,684
we are talking about
thousands of bottles a day.

1140
00:59:24,813 --> 00:59:26,193
Maybe that many every hour.

1141
00:59:29,317 --> 00:59:31,777
We have barely recovered

1142
00:59:31,861 --> 00:59:34,191
from building your
refrigerator rail cars.

1143
00:59:34,322 --> 00:59:35,112
I know.

1144
00:59:36,658 --> 00:59:38,998
This guarantees the
beer taste the same way,

1145
00:59:39,077 --> 00:59:41,287
every time, everywhere.

1146
00:59:41,371 --> 00:59:42,991
Each one’s sealed and sterilized

1147
00:59:43,123 --> 00:59:46,503
using the same techniques as
the finest wineries in France.

1148
00:59:47,836 --> 00:59:50,176
Busch was shrewd,
he was smart.

1149
00:59:50,255 --> 00:59:52,305
He was fluent in French,

1150
00:59:52,382 --> 00:59:55,212
and he read Louis
Pasteur in the original,

1151
00:59:55,343 --> 00:59:56,513
when it first came out.

1152
00:59:56,636 --> 00:59:58,596
He’s probably one of the first
people in the United States

1153
00:59:58,680 --> 01:00:02,810
who knew about pasteurization
and its possibilities.

1154
01:00:02,892 --> 01:00:05,482
Nearly half a
century before pasteurization

1155
01:00:05,562 --> 01:00:07,892
will revolutionize
the dairy industry,

1156
01:00:08,022 --> 01:00:10,982
Busch wants to adopt the
process for his beer.

1157
01:00:11,067 --> 01:00:12,487
It kills bacteria,

1158
01:00:12,569 --> 01:00:16,029
and will make every bottle
of Budweiser shelf stable.

1159
01:00:16,114 --> 01:00:17,954
I know it’s expensive,

1160
01:00:18,032 --> 01:00:20,572
but I bet we can get it
all the way to the coasts.

1161
01:00:22,745 --> 01:00:25,875
Just imagine our
products in every state.

1162
01:00:27,041 --> 01:00:29,421
Where technology comes
from is usually beer.

1163
01:00:31,713 --> 01:00:34,553
Refrigeration was
invented for beer.

1164
01:00:35,425 --> 01:00:36,675
Things like pasteurization,

1165
01:00:36,759 --> 01:00:38,089
people were like,
"Oh, great for milk."

1166
01:00:38,219 --> 01:00:41,389
No, pasteurization
was invented for beer.

1167
01:00:42,932 --> 01:00:43,932
I’ll consider it.

1168
01:00:51,858 --> 01:00:53,368
Buck
Duke taken out loans

1169
01:00:53,443 --> 01:00:54,863
to move his tobacco company

1170
01:00:54,944 --> 01:00:56,654
from small town
in North Carolina,

1171
01:00:56,738 --> 01:00:58,408
to New York City.

1172
01:00:58,489 --> 01:00:59,859
Buck Duke was a Republican,

1173
01:00:59,949 --> 01:01:02,159
which meant he was not
necessarily comfortable

1174
01:01:02,243 --> 01:01:03,953
in the politics of
North Carolina

1175
01:01:04,078 --> 01:01:05,698
in the late 19th century.

1176
01:01:05,788 --> 01:01:09,498
He was a money man,
oriented toward the bankers.

1177
01:01:09,584 --> 01:01:11,334
I like to imagine
that his accent

1178
01:01:11,419 --> 01:01:13,329
was a little bit off
putting in New York

1179
01:01:13,421 --> 01:01:15,881
where he did most
of his business.

1180
01:01:15,965 --> 01:01:17,215
He’s
opening a factory

1181
01:01:17,300 --> 01:01:18,550
to industrialize cigarettes,

1182
01:01:18,635 --> 01:01:21,305
and betting everything
on the Bonsack machine.

1183
01:01:21,429 --> 01:01:22,759
Let’s get it opened up.

1184
01:01:23,848 --> 01:01:24,798
And he’s
hired an engineer

1185
01:01:24,933 --> 01:01:26,313
to oversee quality control.

1186
01:01:38,655 --> 01:01:40,325
Bring me another batch

1187
01:01:40,448 --> 01:01:42,158
and they better
show improvement.

1188
01:01:43,076 --> 01:01:43,956
I can’t.

1189
01:01:44,953 --> 01:01:47,333
The machine is uh,

1190
01:01:48,915 --> 01:01:50,625
indisposed.

1191
01:01:51,292 --> 01:01:52,332
Indisposed?

1192
01:01:54,128 --> 01:01:56,918
My wife is indisposed
when she has a cold,

1193
01:01:57,006 --> 01:01:59,516
machines, don’t get indisposed.

1194
01:02:00,635 --> 01:02:02,435
When Buck Duke
first established

1195
01:02:02,512 --> 01:02:05,472
and began using the Bonsack
cigarette rolling machine,

1196
01:02:05,556 --> 01:02:07,016
it didn’t work at all.

1197
01:02:07,141 --> 01:02:09,681
It should be up and running
by the end of the day.

1198
01:02:11,187 --> 01:02:13,357
Don’t come back until
the machine works.

1199
01:02:17,026 --> 01:02:18,826
The Bonsack
machine’s been sidelined

1200
01:02:18,903 --> 01:02:21,113
for months and Buck’s
brother, Ben,

1201
01:02:21,197 --> 01:02:22,827
is watching the bottom line.

1202
01:02:23,992 --> 01:02:26,952
We’ve um, barely been able
to stay ahead of expenses

1203
01:02:27,036 --> 01:02:27,876
for months.

1204
01:02:30,498 --> 01:02:33,958
We’ve got a $200
payment coming in,

1205
01:02:34,043 --> 01:02:35,373
should be in the next week.

1206
01:02:35,503 --> 01:02:36,633
But after that,

1207
01:02:36,713 --> 01:02:39,383
that’s it, it’s all we have.

1208
01:02:40,842 --> 01:02:43,052
At least it’s something.

1209
01:02:44,137 --> 01:02:48,357
We owe $12,000, due this week.

1210
01:02:52,020 --> 01:02:54,560
You know what 200 minus
12,000 looks like?

1211
01:02:55,732 --> 01:02:57,982
Beg, lie if you
have to, all right?

1212
01:02:58,067 --> 01:03:01,037
Buy me a few weeks, Ben,
until I can fix this.

1213
01:03:03,156 --> 01:03:05,786
Now it is by no means
a foregone conclusion

1214
01:03:05,867 --> 01:03:08,497
that mechanically
made cigarettes

1215
01:03:08,578 --> 01:03:12,298
would come to dominate
cigarette production.

1216
01:03:12,373 --> 01:03:13,333
In the 1880s,

1217
01:03:13,333 --> 01:03:14,966
it is commonly held wisdom

1218
01:03:15,043 --> 01:03:17,713
that the machine is
simply too glitchy.

1219
01:03:19,589 --> 01:03:23,419
I’ll do what I can, but
you can’t pull this off,

1220
01:03:24,427 --> 01:03:25,267
we’re done.

1221
01:03:27,430 --> 01:03:28,260
I know.

1222
01:03:39,067 --> 01:03:41,407
Buck and Ben
Duke have risked their company

1223
01:03:41,486 --> 01:03:43,736
on an automated
cigarette rolling machine

1224
01:03:43,821 --> 01:03:45,861
and waited months
for it to work.

1225
01:03:45,948 --> 01:03:49,118
Now they’re waiting for results
from the latest test run.

1226
01:03:50,745 --> 01:03:54,915
And I thought you said
by noon. Its past noon.

1227
01:03:59,962 --> 01:04:02,802
It’s 12:02, relax.

1228
01:04:14,102 --> 01:04:15,812
The machine’s
running smoothly,

1229
01:04:15,937 --> 01:04:19,607
clocking in at about
190 cigarettes an hour,

1230
01:04:19,607 --> 01:04:21,110
and they all look like this.

1231
01:04:31,244 --> 01:04:32,994
Start shipping
these immediately.

1232
01:04:36,416 --> 01:04:37,296
Each
Bonsack machine

1233
01:04:37,375 --> 01:04:40,215
produces over 200
cigarettes per minute,

1234
01:04:40,294 --> 01:04:43,544
doing the work of 40
to 60 hand workers,

1235
01:04:43,631 --> 01:04:46,341
and Duke invests in
two dozen of them.

1236
01:04:46,467 --> 01:04:49,477
Buck Duke’s 24 Bonsack
cigarette rolling machines

1237
01:04:49,554 --> 01:04:55,474
in 1889 replaced 1,080 workers
in hand-rolling jobs,

1238
01:04:55,560 --> 01:04:59,190
and produced 834
million cigarettes.

1239
01:04:59,313 --> 01:05:02,653
Every single one of those
cigarettes was the same.

1240
01:05:02,733 --> 01:05:04,153
Duke’s
machine rolled cigarettes

1241
01:05:04,277 --> 01:05:05,447
are a sensation.

1242
01:05:05,528 --> 01:05:06,788
Within a single year,

1243
01:05:06,863 --> 01:05:08,823
his company controls nearly 90%

1244
01:05:08,948 --> 01:05:11,488
of the American
cigarette market.

1245
01:05:11,576 --> 01:05:12,956
Cigars and chewing tobacco

1246
01:05:13,035 --> 01:05:15,335
were still the industry’s
biggest sellers,

1247
01:05:16,831 --> 01:05:18,291
but it’s enough to vault Duke

1248
01:05:18,291 --> 01:05:21,544
into the top five tobacco
companies in the country,

1249
01:05:21,669 --> 01:05:23,079
and he’s still rising

1250
01:05:25,047 --> 01:05:27,257
In New York city’s
Tenderloin district,

1251
01:05:27,341 --> 01:05:30,591
The Comstock Act has made
selling condoms illegal,

1252
01:05:32,305 --> 01:05:34,185
but working secretly
out of his apartment,

1253
01:05:34,307 --> 01:05:37,187
Julia Schmidt’s selling
more sausage casing condoms

1254
01:05:37,268 --> 01:05:38,688
than he could keep up with.

1255
01:05:43,357 --> 01:05:45,527
I can’t imagine
being in the shoes

1256
01:05:45,651 --> 01:05:48,781
of someone who’s running
an illegal business.

1257
01:05:50,323 --> 01:05:51,203
Short.

1258
01:05:52,909 --> 01:05:54,869
That layer of risk

1259
01:05:54,869 --> 01:05:57,702
that authorities are
going to discover you

1260
01:05:57,788 --> 01:06:01,288
or that someone is going
to break your knee caps,

1261
01:06:01,375 --> 01:06:03,125
or something like that.

1262
01:06:09,509 --> 01:06:13,629
You’ve got vices, smoking,
drinking, sex and prostitution.

1263
01:06:15,848 --> 01:06:18,258
The reformers are there
on the other side.

1264
01:06:18,392 --> 01:06:21,062
Both sides are
working in a sense

1265
01:06:21,187 --> 01:06:24,447
for what they define as a
soul of those communities.

1266
01:06:29,737 --> 01:06:31,447
Schmidt is
making a name for himself

1267
01:06:31,572 --> 01:06:33,242
in the New York underground,

1268
01:06:33,324 --> 01:06:35,914
and he won’t be able
to stay hidden forever.

1269
01:06:44,418 --> 01:06:47,248
Adolphus Bush has taken a
loan from his father-in-law

1270
01:06:47,338 --> 01:06:48,798
and invested the
modern equivalent

1271
01:06:48,923 --> 01:06:50,253
of millions of dollars

1272
01:06:50,383 --> 01:06:52,923
in the state-of-the-art
bottling facility,

1273
01:06:53,010 --> 01:06:54,880
and he’s using it
to make Budweiser

1274
01:06:54,971 --> 01:06:57,801
not only the first mass
produced bottled beer

1275
01:06:57,932 --> 01:07:00,222
in American history,

1276
01:07:00,309 --> 01:07:03,679
but the first industrial
bottled drink of any kind.

1277
01:07:04,480 --> 01:07:05,940
Most entrepreneurs
take blind risks.

1278
01:07:05,940 --> 01:07:07,443
They have an idea,

1279
01:07:07,525 --> 01:07:09,735
they have a passion and
they just want to go for it.

1280
01:07:09,819 --> 01:07:12,569
Adolphus Busch started pasteurization,

1281
01:07:12,655 --> 01:07:14,575
and refrigeration and bottling,

1282
01:07:14,657 --> 01:07:15,917
so he could distribute his beer

1283
01:07:15,992 --> 01:07:17,702
all across the United States.

1284
01:07:18,911 --> 01:07:19,781
And most people
could only afford

1285
01:07:19,870 --> 01:07:20,950
to drink beer in the pub.

1286
01:07:21,038 --> 01:07:23,078
And so when you got
the bottled one,

1287
01:07:23,165 --> 01:07:24,505
it was seen as somewhat swanky,

1288
01:07:24,625 --> 01:07:27,295
you know, the king of
beer, the beer of Kings.

1289
01:07:27,420 --> 01:07:29,960
If this beer was
seen in your home,

1290
01:07:30,089 --> 01:07:32,839
it would mean that you
were a higher class person.

1291
01:07:34,677 --> 01:07:36,097
Busch
ships his Budweiser

1292
01:07:36,178 --> 01:07:38,178
to states across the Southwest,

1293
01:07:38,306 --> 01:07:40,356
introducing it with
an unprecedented

1294
01:07:40,474 --> 01:07:41,934
marketing campaign.

1295
01:07:43,185 --> 01:07:44,435
Can I get the
logo on both sides?

1296
01:07:44,520 --> 01:07:45,680
You can.

1297
01:07:46,981 --> 01:07:49,561
He offers saloon’s
free perks like coasters,

1298
01:07:49,650 --> 01:07:51,270
calendars, and signs,

1299
01:07:51,360 --> 01:07:53,360
and advertises through
the most powerful

1300
01:07:53,487 --> 01:07:55,447
form of mass media at the time.

1301
01:07:55,531 --> 01:07:58,491
Newspaper advertising was
one of the most important ways

1302
01:07:58,576 --> 01:08:01,956
to get to customers
during the late 1800

1303
01:08:02,038 --> 01:08:03,998
and the early 1900s,

1304
01:08:04,123 --> 01:08:06,503
in the days before
radio and television.

1305
01:08:06,584 --> 01:08:08,044
People would see these ads,

1306
01:08:08,169 --> 01:08:10,789
they would demand that
their local saloon keeper

1307
01:08:10,880 --> 01:08:13,750
or restaurant bring
in Budweiser beer.

1308
01:08:14,842 --> 01:08:16,842
Budweiser, to me, its success

1309
01:08:16,969 --> 01:08:20,009
is more of a result
of brilliant branding

1310
01:08:20,139 --> 01:08:21,349
than brilliant brewing.

1311
01:08:21,349 --> 01:08:26,102
They mastered the marketing
and branding of their product

1312
01:08:26,187 --> 01:08:28,237
and they are dominant
because of it.

1313
01:08:29,190 --> 01:08:30,480
Soon,

1314
01:08:30,566 --> 01:08:33,026
Budweiser is selling
millions of bottles a year,

1315
01:08:33,110 --> 01:08:35,690
and with the temperance
movement focused on liquor

1316
01:08:35,780 --> 01:08:37,190
and not beer,

1317
01:08:37,281 --> 01:08:40,871
Adolphus Busch has his site
set on national expansion.

1318
01:08:40,951 --> 01:08:42,701
The Busch’s had a dream

1319
01:08:42,787 --> 01:08:46,417
that the world of beer would
belong entirely to them.

1320
01:08:47,708 --> 01:08:49,078
You know,

1321
01:08:49,210 --> 01:08:52,500
if you are able to capture
the entirety of the market,

1322
01:08:52,588 --> 01:08:54,748
you could make all the money,

1323
01:08:54,882 --> 01:08:56,882
not your fair
share of the money,

1324
01:08:56,967 --> 01:08:58,887
not like some
slice of the money,

1325
01:08:59,011 --> 01:09:00,261
all the money.

1326
01:09:10,272 --> 01:09:11,902
Jack
Daniel and Nearest Green

1327
01:09:11,982 --> 01:09:14,692
have finally introduced their
premium signature whiskey

1328
01:09:14,777 --> 01:09:16,327
to the local market.

1329
01:09:16,404 --> 01:09:20,074
But they’re charging a premium
price and nobody’s buying it.

1330
01:09:20,199 --> 01:09:21,409
As a distiller,

1331
01:09:21,409 --> 01:09:23,452
you aren’t responsible
for the cost

1332
01:09:23,577 --> 01:09:25,587
that the federal government
will get from the excise tax

1333
01:09:25,663 --> 01:09:26,793
on that whiskey.

1334
01:09:26,914 --> 01:09:28,414
And there are a
lot of people who,

1335
01:09:28,499 --> 01:09:29,579
if they’re given the option

1336
01:09:29,709 --> 01:09:31,039
between Moonshine and
Tennessee whiskey,

1337
01:09:31,127 --> 01:09:32,377
they’re gonna choose Moonshine.

1338
01:09:32,461 --> 01:09:35,751
And I think Jack Daniel bet
his career on making good stuff

1339
01:09:35,881 --> 01:09:37,131
as opposed to cheap stuff.

1340
01:09:41,262 --> 01:09:42,262
Reverend.

1341
01:09:42,346 --> 01:09:44,856
Then he gets
an even more devastating

1342
01:09:44,932 --> 01:09:46,932
piece of news.

1343
01:09:47,017 --> 01:09:47,857
What!

1344
01:09:51,105 --> 01:09:51,945
No. No.

1345
01:09:57,194 --> 01:09:58,034
Get out!

1346
01:10:07,788 --> 01:10:10,958
1890, before the
whiskey they created together

1347
01:10:10,958 --> 01:10:13,121
even gets off the ground.

1348
01:10:13,210 --> 01:10:14,540
The righteous perish,

1349
01:10:16,130 --> 01:10:18,460
and no one takes it to heart.

1350
01:10:18,549 --> 01:10:21,469
Jack Daniel
loses his friend and mentor,

1351
01:10:21,594 --> 01:10:22,474
Nearest Green.

1352
01:10:23,679 --> 01:10:25,299
The devout are taken from us

1353
01:10:26,390 --> 01:10:27,640
and no one understands,

1354
01:10:27,725 --> 01:10:31,485
the righteous are taken
away to be spared.

1355
01:10:35,149 --> 01:10:36,939
I think Nearest Green’s death

1356
01:10:37,026 --> 01:10:39,736
would’ve impacted
Jack Daniel greatly,

1357
01:10:43,824 --> 01:10:45,284
not even from a
business standpoint,

1358
01:10:45,284 --> 01:10:47,167
but from a personal standpoint,

1359
01:10:47,244 --> 01:10:50,374
he lost his friend,
he lost his teacher,

1360
01:10:50,498 --> 01:10:53,218
and he lost his
partner in business.

1361
01:10:53,334 --> 01:10:56,254
And so I’m quite
sure that Jack Daniel

1362
01:10:56,254 --> 01:10:59,047
was devastated when
Nearest Green died.

1363
01:11:00,841 --> 01:11:03,381
Jack Daniel learned
to distill from Nearest,

1364
01:11:03,511 --> 01:11:04,721
and that’s what made
his whiskey good,

1365
01:11:04,845 --> 01:11:05,725
and I think Jack Daniel knew

1366
01:11:05,846 --> 01:11:07,186
that’s what made
his whiskey good

1367
01:11:07,306 --> 01:11:10,686
and would not have wanted
to work with anybody else.

1368
01:11:12,645 --> 01:11:14,445
If Jack Daniel
was going to find a way

1369
01:11:14,522 --> 01:11:16,982
to revolutionize the
whiskey industry,

1370
01:11:17,066 --> 01:11:19,616
he’s going to have
to do it on his own.

1371
01:11:28,828 --> 01:11:31,048
Julia Schmidt is
now the biggest condom dealer

1372
01:11:31,121 --> 01:11:32,871
in the Tenderloin District,

1373
01:11:32,957 --> 01:11:34,967
selling them in secret
out of his apartment,

1374
01:11:35,042 --> 01:11:38,172
careful to stay one step
ahead of anti-vice crusader,

1375
01:11:38,254 --> 01:11:39,714
Anthony Comstock.

1376
01:12:01,610 --> 01:12:02,480
Can I help you?

1377
01:12:02,570 --> 01:12:03,900
Yeah, I’m here for skins.

1378
01:12:05,406 --> 01:12:06,746
No idea. What
you’re talking about.

1379
01:12:06,824 --> 01:12:08,244
Have a nice night.

1380
01:12:08,367 --> 01:12:10,327
You could always find condoms

1381
01:12:10,411 --> 01:12:14,081
despite the fact that
they were not legal.

1382
01:12:15,457 --> 01:12:18,467
A part of it is still that
idea of secret knowledge.

1383
01:12:18,586 --> 01:12:22,466
So you would ask around
where can I find condoms,

1384
01:12:22,590 --> 01:12:25,590
it just was not always
discussed openly.

1385
01:12:25,718 --> 01:12:28,598
Hey, hey, hey, I just
need one box. Come on.

1386
01:12:30,180 --> 01:12:31,600
I don’t know you, friends.

1387
01:12:31,724 --> 01:12:33,604
Like I said, I have no
idea what you’re talking.

1388
01:12:33,684 --> 01:12:35,684
You might find someone
who sells the condoms

1389
01:12:35,769 --> 01:12:39,229
and you can buy them directly
from them on the street.

1390
01:12:39,315 --> 01:12:40,105
Jimmy sent me,

1391
01:12:42,526 --> 01:12:45,406
he ran out and he said
I could find some here.

1392
01:12:45,487 --> 01:12:46,697
Jimmy?

1393
01:12:46,697 --> 01:12:48,200
Yeah. From Ward
Saloon Downtown.

1394
01:12:50,367 --> 01:12:51,377
Give me a second.

1395
01:12:52,536 --> 01:12:54,956
I would think people
thought anti-vice crusaders

1396
01:12:55,080 --> 01:12:57,000
were definitely against freedom.

1397
01:12:57,124 --> 01:12:58,794
They were in a way busy bodies

1398
01:12:58,876 --> 01:13:01,966
who thought they knew better
about how you should live,

1399
01:13:02,046 --> 01:13:03,676
and there was a lot of pushback.

1400
01:13:03,797 --> 01:13:04,807
It was not freedom.

1401
01:13:05,883 --> 01:13:06,713
Officers.

1402
01:13:09,720 --> 01:13:10,630
What is this?

1403
01:13:12,973 --> 01:13:14,143
You know what it is.

1404
01:13:15,476 --> 01:13:17,896
In 1890,
despite every precaution,

1405
01:13:17,978 --> 01:13:20,978
Julia Schmidt’s apartment is
raided by Anthony Comstock

1406
01:13:22,149 --> 01:13:25,729
He’s areested and all his
merchandise is confiscated.

1407
01:13:33,994 --> 01:13:35,414
Just a few miles away,

1408
01:13:36,997 --> 01:13:39,007
Buck Duke’s industrial
rolling machines

1409
01:13:39,083 --> 01:13:42,503
have put him at the forefront
of the cigarette business,

1410
01:13:42,628 --> 01:13:46,008
with output surging from 9
million cigarettes a year

1411
01:13:46,090 --> 01:13:49,170
to a staggering 2 million a day.

1412
01:13:49,259 --> 01:13:52,629
When Buck Duke discontinued
hand-rolling operations

1413
01:13:52,721 --> 01:13:54,011
of cigarettes,

1414
01:13:54,139 --> 01:13:55,389
he was operating

1415
01:13:55,516 --> 01:14:00,236
24 different Bonsack
cigarette rolling machines.

1416
01:14:00,354 --> 01:14:03,024
Buck Duke was just taking
advantage of the moment.

1417
01:14:03,024 --> 01:14:04,867
I think he saw
economies of scale,

1418
01:14:04,942 --> 01:14:07,862
and as a result, he leaped.

1419
01:14:07,862 --> 01:14:11,365
By 1890, cigarettes
account for less than 10%

1420
01:14:11,365 --> 01:14:13,608
of the tobacco
industry as a whole,

1421
01:14:13,701 --> 01:14:14,571
but it’s growing.

1422
01:14:15,703 --> 01:14:17,533
And Duke’s visionary
leadership has propelled him

1423
01:14:17,621 --> 01:14:21,211
into the so-called big
five tobacco companies.

1424
01:14:22,668 --> 01:14:23,798
People keep congratulating me

1425
01:14:23,877 --> 01:14:25,717
on making it into
the "Big Five".

1426
01:14:27,297 --> 01:14:28,717
What number are we nowadays?

1427
01:14:30,801 --> 01:14:31,551
Five.

1428
01:14:33,554 --> 01:14:34,894
The Duke family at this time,

1429
01:14:34,972 --> 01:14:38,142
they are by no means the
biggest player in town.

1430
01:14:39,601 --> 01:14:42,981
Well, I’m sure that’s still
quite an accomplishment.

1431
01:14:44,565 --> 01:14:47,735
That title is held by the
William Blackwell Company,

1432
01:14:47,860 --> 01:14:49,650
which has, for a while,

1433
01:14:49,737 --> 01:14:53,117
the largest smoking tobacco
factory in the world.

1434
01:14:53,240 --> 01:14:56,240
What’s that supposed to mean?

1435
01:14:56,326 --> 01:14:57,826
When I go down to the track,

1436
01:14:59,079 --> 01:15:01,749
I don’t bet a horse to show,

1437
01:15:02,124 --> 01:15:03,794
I bet it to win.

1438
01:15:06,086 --> 01:15:09,806
And in fact, it’s Blackwell’s
dominance of smoking tobacco

1439
01:15:09,923 --> 01:15:12,673
that pushes the ever
competitive Buck Duke.

1440
01:15:13,802 --> 01:15:15,342
Buck Duke
has clawed his way

1441
01:15:15,429 --> 01:15:18,389
to the top tier of
the tobacco industry,

1442
01:15:18,474 --> 01:15:20,104
but he’s not finished yet.

1443
01:15:29,026 --> 01:15:30,906
Armed with his
shelf-stable Budweiser

1444
01:15:30,986 --> 01:15:33,616
and a growing fleet of
refrigerated rail cars,

1445
01:15:33,739 --> 01:15:36,489
Adolphus Busch is expanding
beyond the Southwest

1446
01:15:36,617 --> 01:15:37,577
into new markets,

1447
01:15:37,659 --> 01:15:41,619
and he dominates every
new territory he enters.

1448
01:15:41,705 --> 01:15:42,915
Beer in those days,

1449
01:15:42,915 --> 01:15:44,908
this was the day of
the robber barons.

1450
01:15:45,000 --> 01:15:47,540
So this was a
cutthroat of business.

1451
01:15:47,628 --> 01:15:49,888
You’re gonna roll your
army up to the gates

1452
01:15:49,963 --> 01:15:52,093
and you’re gonna sack the
other guy’s castle, right?

1453
01:15:52,174 --> 01:15:54,634
And you’re gonna burn it.

1454
01:15:54,760 --> 01:15:56,930
You’re gonna take
over all of his forts,

1455
01:15:57,012 --> 01:15:58,722
once you have secured that town,

1456
01:15:58,806 --> 01:16:01,186
you then roll onto
the next town.

1457
01:16:01,308 --> 01:16:03,598
Thanks to
Busch’s relentless innovation,

1458
01:16:03,685 --> 01:16:06,945
Budweiser becomes not just
the first national beer brand,

1459
01:16:08,232 --> 01:16:10,982
but one of the earliest
national brands in the country.

1460
01:16:11,110 --> 01:16:13,610
National brands were
not all that prevalent.

1461
01:16:13,695 --> 01:16:16,365
Busch really was a
pioneer in branding beer.

1462
01:16:16,490 --> 01:16:18,610
They also pioneered
pasteurization of beer

1463
01:16:18,700 --> 01:16:20,870
and refrigerated rail cars.

1464
01:16:23,497 --> 01:16:24,457
To success.

1465
01:16:25,541 --> 01:16:27,411
So here you went from
everybody being local

1466
01:16:27,501 --> 01:16:29,171
to this national brand,

1467
01:16:29,294 --> 01:16:30,754
you know, spreading
across the country

1468
01:16:30,838 --> 01:16:32,298
and that was new.

1469
01:16:33,048 --> 01:16:34,168
To your promotion,

1470
01:16:38,011 --> 01:16:39,471
I’m making you a partner.

1471
01:16:42,099 --> 01:16:45,809
I told you to maintain the
status quo and you ignored me.

1472
01:16:46,687 --> 01:16:47,737
You were right.

1473
01:16:56,321 --> 01:16:57,901
I don’t know how to thank you.

1474
01:16:59,324 --> 01:17:01,454
To become a partner in
the Anheuser company is...

1475
01:17:01,535 --> 01:17:03,245
Anheuser Busch.

1476
01:17:06,540 --> 01:17:07,910
Anheuser Busch.

1477
01:17:15,382 --> 01:17:16,252
Congratulations.

1478
01:17:28,437 --> 01:17:29,737
By 1890,

1479
01:17:29,813 --> 01:17:31,983
thanks to his
machine-rolled cigarettes,

1480
01:17:32,065 --> 01:17:34,985
Buck Duke is head of the
fifth largest tobacco company

1481
01:17:34,985 --> 01:17:36,568
in the nation,

1482
01:17:36,653 --> 01:17:39,403
but he’ll stop at
nothing to be number one.

1483
01:17:49,208 --> 01:17:50,758
I need you to
contact our sales team

1484
01:17:50,876 --> 01:17:52,966
and let them know
we’re slashing prices.

1485
01:17:56,798 --> 01:17:58,258
Good afternoon to you too.

1486
01:17:59,551 --> 01:18:00,801
I want to be the cheapest
brand on the market

1487
01:18:00,928 --> 01:18:02,768
by the end of the week.

1488
01:18:02,888 --> 01:18:05,558
Buck, why the hell
would we want to do this

1489
01:18:05,558 --> 01:18:07,931
when sales are an all time high?

1490
01:18:09,102 --> 01:18:10,932
Buck Duke was an
aggressive businessman

1491
01:18:11,063 --> 01:18:15,613
who had no qualms about
using predatory pricing.

1492
01:18:15,692 --> 01:18:18,822
Our competition will lower
their prices to compete,

1493
01:18:18,946 --> 01:18:19,826
and when they do,

1494
01:18:20,781 --> 01:18:22,991
we’ll under cut that again.

1495
01:18:25,077 --> 01:18:27,747
Duke’s method was cut prices

1496
01:18:27,829 --> 01:18:30,289
to either drive a
competitor out of business,

1497
01:18:30,415 --> 01:18:33,425
or to compel that competitor
to sell out to him.

1498
01:18:34,795 --> 01:18:38,135
Ben, we’re either
first, or we’re losing.

1499
01:18:46,348 --> 01:18:48,938
Buck Duke intended
to use cigarettes

1500
01:18:49,017 --> 01:18:52,437
in order to finance
his price wars

1501
01:18:52,521 --> 01:18:54,481
against other branches
of the industry.

1502
01:18:56,149 --> 01:18:59,729
And he poured millions of
dollars into this process.

1503
01:18:59,820 --> 01:19:02,280
Duke lowers
the price of his cigarettes

1504
01:19:02,364 --> 01:19:04,654
to 5 cents for a pack of 10,

1505
01:19:04,783 --> 01:19:06,953
half the cost of
his competitors.

1506
01:19:07,035 --> 01:19:08,745
The move sends
profits plummeting.

1507
01:19:09,579 --> 01:19:12,999
But that’s a strategy
to bleed his own company

1508
01:19:13,083 --> 01:19:15,213
to hurt competitors more

1509
01:19:15,335 --> 01:19:16,885
and see who blinks first.

1510
01:19:24,636 --> 01:19:26,476
Jack Daniel
is on his own

1511
01:19:26,555 --> 01:19:29,305
and he needs to convince
people to try his expensive

1512
01:19:29,391 --> 01:19:30,391
premium whiskey.

1513
01:19:32,602 --> 01:19:35,022
So he’s starting with the
bottle that’s sold in.

1514
01:19:36,064 --> 01:19:38,194
None of these
are good enough.

1515
01:19:38,275 --> 01:19:39,195
Back in those days,

1516
01:19:39,276 --> 01:19:40,866
the bottles, they were jugs,

1517
01:19:40,986 --> 01:19:42,986
they were any sort of, you know,

1518
01:19:43,071 --> 01:19:47,031
container that folks could
just go and get a refill,

1519
01:19:47,117 --> 01:19:48,707
essentially, of
their own whiskey,

1520
01:19:48,785 --> 01:19:50,375
and then take it home.

1521
01:19:50,454 --> 01:19:54,374
There wouldn’t be, you know,
this iconic labeling involved.

1522
01:19:56,293 --> 01:19:58,043
I want more options
on my desk on Monday.

1523
01:19:58,170 --> 01:19:59,250
You got it.

1524
01:19:59,379 --> 01:20:02,549
Jack Daniel is totally
reimagining his whiskey’s image,

1525
01:20:03,633 --> 01:20:05,553
not just with new packaging,

1526
01:20:05,635 --> 01:20:07,845
but a legend he could
sell along with it.

1527
01:20:07,929 --> 01:20:10,389
We perceive that distillers
have been these guys

1528
01:20:10,515 --> 01:20:11,395
in seer sucker suits,

1529
01:20:11,516 --> 01:20:14,066
sitting on a porch
somewhere in Kentucky,

1530
01:20:14,144 --> 01:20:15,564
sipping on a mint julip,

1531
01:20:15,645 --> 01:20:18,735
when in fact distillers have
always been the marginalized

1532
01:20:18,815 --> 01:20:19,815
people of society.

1533
01:20:21,860 --> 01:20:23,360
First, it was slaves.

1534
01:20:23,445 --> 01:20:26,575
Then it was who for whatever
reason mainstream society

1535
01:20:26,698 --> 01:20:28,698
had said, we don’t want
to do business with you.

1536
01:20:28,784 --> 01:20:31,534
Jack Daniel is the
picture of this.

1537
01:20:31,620 --> 01:20:33,540
Jack Daniel
transforms himself

1538
01:20:33,622 --> 01:20:35,372
from a rough tumble orphan

1539
01:20:35,457 --> 01:20:37,587
into the Quinter Central
Southern gentleman.

1540
01:20:40,504 --> 01:20:42,094
And in 1895,

1541
01:20:42,172 --> 01:20:46,262
he debuts a new signature
bottle to evoke a square deal.

1542
01:20:47,844 --> 01:20:51,434
A square bottle in
a sea of round bottles

1543
01:20:51,556 --> 01:20:52,726
or oval bottles,

1544
01:20:52,808 --> 01:20:56,028
or circular bottles
is easy to pick out.

1545
01:20:57,187 --> 01:21:00,657
The Jack Daniel’s
label is iconic,

1546
01:21:00,774 --> 01:21:04,944
black label, white lettering
with a number 7 on it.

1547
01:21:05,070 --> 01:21:08,450
That Number 7 has
its own meaning,

1548
01:21:08,532 --> 01:21:10,112
some say it was a distillery,

1549
01:21:10,242 --> 01:21:12,952
some say it was the amount
of girlfriends he had,

1550
01:21:13,036 --> 01:21:15,956
or it was his seventh recipe.

1551
01:21:15,956 --> 01:21:17,949
Now armed
with his signature look

1552
01:21:18,041 --> 01:21:21,121
and the iconic bottle
that still bears his name,

1553
01:21:21,211 --> 01:21:23,131
Jack Daniel sets his sights,

1554
01:21:23,213 --> 01:21:25,133
not just on
dominating Tennessee,

1555
01:21:25,215 --> 01:21:27,635
but the entire nation.

1556
01:21:27,759 --> 01:21:29,969
Jack Daniel was not
only ahead of his time,

1557
01:21:30,095 --> 01:21:33,145
he was one of the founders
of American branding

1558
01:21:33,223 --> 01:21:34,433
as we understand it.

1559
01:21:34,433 --> 01:21:35,816
He was making a commodity,

1560
01:21:35,892 --> 01:21:37,642
which was not branded whiskey.

1561
01:21:37,727 --> 01:21:40,317
It was like corn or like milk.

1562
01:21:40,397 --> 01:21:41,777
But Jack took that

1563
01:21:41,857 --> 01:21:44,697
and turned it into what
we now recognize as brand,

1564
01:21:44,818 --> 01:21:48,328
and was one of the
first to really do that

1565
01:21:48,405 --> 01:21:49,995
in a dramatic way,

1566
01:21:50,073 --> 01:21:52,743
and one that is
remarkably persisted

1567
01:21:52,743 --> 01:21:54,456
and continues even now.

1568
01:22:00,250 --> 01:22:02,170
700 Miles away.

1569
01:22:03,086 --> 01:22:05,176
Have a seat, please.

1570
01:22:05,297 --> 01:22:06,387
Buck
Duke’s price war

1571
01:22:06,506 --> 01:22:10,136
has brought the entire
tobacco industry to its knees.

1572
01:22:11,052 --> 01:22:14,012
And he’s called a meeting
of the big five companies

1573
01:22:14,097 --> 01:22:16,227
to bully them into a cease fire.

1574
01:22:17,142 --> 01:22:18,102
Look,

1575
01:22:19,436 --> 01:22:21,896
I know I’m not the most popular
man in this room right now,

1576
01:22:23,523 --> 01:22:24,853
but that’s why I’ve
brought you all out here

1577
01:22:24,983 --> 01:22:26,863
was to make amends.

1578
01:22:26,943 --> 01:22:29,483
Why would we make amends
with someone who spent the last

1579
01:22:29,571 --> 01:22:31,901
year trying to put us
all out of business?

1580
01:22:34,784 --> 01:22:35,874
Buck Duke,

1581
01:22:35,994 --> 01:22:37,874
he’s an incredible entrepreneur.

1582
01:22:37,954 --> 01:22:40,374
He’s a man with
tremendous vision.

1583
01:22:40,374 --> 01:22:42,877
He’s also a man that a
lot of people don’t like

1584
01:22:43,001 --> 01:22:44,371
for various reasons.

1585
01:22:45,670 --> 01:22:47,670
He tends to be a
little arrogant.

1586
01:22:47,756 --> 01:22:49,596
Because I’m gonna
spend the next year

1587
01:22:49,716 --> 01:22:52,386
making all of us a
hell of a lot of money.

1588
01:22:54,471 --> 01:22:56,721
I don’t wanna fight you anymore,

1589
01:22:56,806 --> 01:22:59,016
I want us to work together.

1590
01:22:59,100 --> 01:23:00,720
If we do that,

1591
01:23:00,810 --> 01:23:02,600
we’ll become the
biggest tobacco concern

1592
01:23:02,729 --> 01:23:04,889
in the history of
the planet overnight,

1593
01:23:08,527 --> 01:23:10,117
under my leadership, of course.

1594
01:23:13,365 --> 01:23:14,905
And if we’re not interested?

1595
01:23:16,034 --> 01:23:16,914
And we’ll keep
right on fighting

1596
01:23:16,993 --> 01:23:18,623
and see how many of you survive,

1597
01:23:21,289 --> 01:23:25,039
I’m prepared to lower my
prices another 5% on Monday,

1598
01:23:25,126 --> 01:23:25,966
are you?

1599
01:23:41,518 --> 01:23:43,568
Buck Duke goes
out and makes a deal

1600
01:23:43,645 --> 01:23:45,445
with four of his
major competitors.

1601
01:23:45,522 --> 01:23:47,442
And they all fall
under the umbrella

1602
01:23:47,524 --> 01:23:50,734
with the formation
of American Tobacco.

1603
01:23:50,819 --> 01:23:52,729
A decade
before U.S. Steel is formed,

1604
01:23:52,821 --> 01:23:56,111
and eight years before
Nabisco is founded,

1605
01:23:56,199 --> 01:23:59,319
Buck Duke merges with his
four largest competitors,

1606
01:24:00,537 --> 01:24:04,297
forming a conglomerate
called American Tobacco,

1607
01:24:04,374 --> 01:24:06,254
with an initial
estimated valuation

1608
01:24:06,334 --> 01:24:10,294
of over seven and a half
billion dollars in modern money.

1609
01:24:12,549 --> 01:24:14,669
The American Tobacco
Company were part

1610
01:24:14,801 --> 01:24:17,971
of the great merger movement
in American business.

1611
01:24:17,971 --> 01:24:19,974
We see this with
Andrew Carnegie,

1612
01:24:20,098 --> 01:24:23,138
we see it with the other great
industrialists of the age.

1613
01:24:23,226 --> 01:24:25,026
Buck Duke is part of this trend.

1614
01:24:29,107 --> 01:24:31,487
By the 1890s into 1900,

1615
01:24:31,568 --> 01:24:36,578
they are controlling 90, 95
for the sale of all cigarettes

1616
01:24:37,282 --> 01:24:38,662
in the United States.

1617
01:24:38,742 --> 01:24:41,032
The irony of all of this is

1618
01:24:42,245 --> 01:24:45,505
Buck Duke personally
hated cigarettes.

1619
01:24:47,250 --> 01:24:49,790
American Tobacco
is now the most powerful

1620
01:24:49,878 --> 01:24:51,588
tobacco company on earth,

1621
01:24:52,756 --> 01:24:56,216
and nothing can threaten
their dominance for now.

1622
01:25:03,600 --> 01:25:04,510
Let’s go.

1623
01:25:08,480 --> 01:25:11,480
Prohibition sends
the booze racket underground-

1624
01:25:11,566 --> 01:25:12,526
Keep it quiet

1625
01:25:12,526 --> 01:25:13,519
and puts the makers

1626
01:25:13,610 --> 01:25:15,360
of Jack Daniel’s and Budweiser

1627
01:25:17,447 --> 01:25:18,707
on the wrong side of the law.

1628
01:25:18,823 --> 01:25:21,033
You are under arrest
for violating Section 37,

1629
01:25:21,117 --> 01:25:22,577
Article 2 of the penal code

1630
01:25:22,702 --> 01:25:23,742
We’ve been indicted.

1631
01:25:25,664 --> 01:25:28,374
The First World
War becomes an unlikely front

1632
01:25:28,500 --> 01:25:30,710
in the battle for
legal condoms.

1633
01:25:30,794 --> 01:25:33,674
Yes, condoms. Rubber condoms.

1634
01:25:35,131 --> 01:25:37,841
And the
numbers game in Harlem-

1635
01:25:37,926 --> 01:25:39,176
Be discrete.

1636
01:25:39,260 --> 01:25:43,220
touches off a turf
war with the New York mafia

1637
01:25:43,306 --> 01:25:44,396
over a gambling ring-

1638
01:25:44,474 --> 01:25:46,564
Just make sure you pay up.

1639
01:25:46,643 --> 01:25:48,563
that’ll
become the state lotto.

1640
01:25:48,687 --> 01:25:50,527
You think you can come
in here and intimidate me?