Amalgamated Sugar Company - 1920s

1920s

In 1920, Horace Havemeyer strongly rebuked Amalgamated for their involvement with the Oneida Irrigation District and the Pacific Sugar Company, both in a directors' meeting and by letter to the executive committee. Havemeyer encouraged Amalgamated to spend their energy at the Ogden, Lewiston, and Twin Falls factories.

Amalgamated purchased the Cornish, Utah factory of the West Cache Sugar Company for $1.2 million on October 1, 1920.

In January 1921, the Board of Directors ousted the management put in place by the Bankers Trust Company. However, by September 1921, the company was in dire financial straits. All directors and officers were required to resign, which they did on November 5, 1921. Directors resigning included Edmund Orson Wattis, Jr and Fred G. Taylor. Some directors were asked to stay, including M. S. Browning, M. S. Eccles, Stephen L. Richards, and Horace Havemeyer. Henry Rolapp was elected president and general manager. After this occurred, the only person associated with David Eccles was Henry H. Rolapp, who had been forced to resign in 1914.

The 1921 fiscal year ended up with a loss of almost $4.5 million. In 1922, losses for the year were only about $650,000, significantly less than the year before. 1923 saw profits of almost $2.4 million.

In 1924, the Franklin County Sugar Company asked Amalgamated to purchase the company. Amalgamated declined, but purchased their Preston, Idaho factory around 1960. Also in 1924, plants in Cornish and Twin falls were closed.

In 1926, a factory in the Missoula, Montana area was planned. This was in large part due to excess equipment at shuttered factories and the heavy blight that was having a large effect on sugar production. The Missoula factory was built in 1928, using equipment removed from the Cornish factory. Amalgamated also acquired the Hooper factory and the Interstate Sugar Company in 1927.

While it was intended Henry H. Rolapp would remain in control through 1931 due to the Bankers Trust Company obligations of 1921, Rolapp resigned in late 1926. His resignation was accepted in early 1927. This was due to the large voting block controlled by the David Eccles Company and others who aligned with the Eccles Company.

Another large ownership and management shakeup occurred in 1929, with the David Eccles Company ownership being transferred to the American Beet Sugar Company. American Beet then owned 96% of the common stock in Amalgamated Sugar, and J. M. Eccles resigned from Amalgamated. The Eccles company and family influence over Amalgamated was then eliminated. The general office of Amalgamated, located in Ogden, was closed, with many employees being eliminated. The general office became American Beet's office in Denver.