Never afraid to do things differently, Arthur Guinness ceases brewing ale in and is the first in his city to focus solely on perfecting porter, a black beer from London finding favor in Dublin. Never one to play it safe, Arthur makes the courageous choice to stop brewing ales and concentrate on perfecting his bold, black beer. A young Arthur Guinness leaves home and heads to Dublin in , where he signs a year lease on a dilapidated brewery at St.
Six-and-a-half barrels of Guinness beer leave Dublin on a sailing ship bound for England. On December 31st, , Arthur signs a year lease on a small, disused and ill-equipped property at St. A floundering brewing industry makes this no easy task, but — true to form — Arthur is undeterred. Your browser does not have JavaScript enabled and therefore may not display all features of this and other websites.
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A journey across the Atlantic. It starts with a signature. Birth of a brewing legend. During his tenure as head of the firm, the James Gate facility became the pre-eminent porter brewery in the world. Following the tradition of his family, he was also intimately involved in civic affairs.
He was awarded a baronetcy in for his contributions to the restoration of St. Patrick's Cathedral and other services; he died a year later. Although Benjamin Lee Guinness, in his will, divided the responsibility for running the firm equally between his two sons, Edward Cecil and Arthur Edward, Edward soon emerged as the more astute of the two. The younger of the brothers, he was said to be an energetic yet excitable man.
His decisions were controversial and, apparently, overwhelming: after eight years Arthur decided to leave the brewing business, and the partnership was dissolved. In the tradition of his family, Edward became a leading figure in both civic affairs and in English social life. After his marriage to his cousin Adelaide, he seems to have "arrived," and the young couple circulated freely in elite circles.
Edward Guinness's wealth, prestige, influence, and mainly his philanthropies eventually earned him the title of Lord Iveagh. He drew heavily from the family fortune to contribute to worthy causes. He established the Iveagh Trust to provide basic necessities for indigent families.
He donated money for the continuing restoration of St. Patrick's Cathedral. He was, as well, recognized as an enlightened employer, ahead of his time in providing pension plans, health services, and housing for his employees. In , Guinness became a public company, its shares traded on the London exchange Dublin, at that time lacked its own exchange. The company raised six million pounds on its shares, and embarked on an ambitious period of expansion in Ireland, England, and abroad.
Guinness's unique brewing process ensured that the quality of the produce would not be impaired by long voyages to foreign markets. In , leadership of the company passed to the next generation. The second Lord Iveagh is recognized primarily for his role in creating a modern brewery at Park Royal in London, built to service the company's growing business in southeast England.
The facility became operational in , and it is there that Guinness Extra and Draught Guinness were first brewed for the British market.
By , production at this plant exceeded that at James Gate by percent. Construction of the Park Royal facility was completed under the supervision of a civil engineer, Hugh E.
He formed a close association with managing director C. Newbold, yet turned down Newbold's invitation to join the Guinness board of directors. When Newbold died in the late s, Beaver assumed the position of managing director. He is credited with modernizing the company's operations, introducing new management and research policies, increasing exports, and diversifying the company's product base.
On his initiative the company was officially divided into Guinness Ireland and Guinness U. Beaver was also a strong advocate of generating new ideas through "brainstorming sessions. When Britons began taking their holidays abroad during the 's, they returned home with a new taste for chilled lager. Beaver sensed this changing preference, and during one of the "brainstorming sessions" company executives decided that Guinness should become the first local firm to market its own lager.
Named for the harp on the label of Guinness's traditional product, Harp lager soon became the most successful product in the growing British lager market. Beaver is also recognized as the founder of the extraordinarily successful publication, Guinness Book of World Records.
Initially created as something of a company lark, the book has been such a success, throughout the world, that it is now a company tradition. The Guinness Book of World Records now sells some five million copies in 13 different languages. Beaver, now Sir Hugh, retired in , but throughout the next decade Guinness continued to expand—notably abroad, in countries with warm climates. Consistent with this strategy, the company constructed new breweries in Nigeria and Malaysia—then, a second and third brewery in Nigeria, as well as breweries in Cameroon, Ghana, and Jamaica.
Guinness also developed a new product during this period, Irish Ale, which was exported to France and Britain. To offset the declining market for stout, the company began to diversify into pharmaceuticals, confectionary, and plastics, as well as other beverages.
Although both sales and earnings per share had doubled between and , Guinness entered the 's confronting a number of problems. Compared to those of its competitors, the company's shares sold at modest prices, largely because Guinness operated outside the tiedhouse system the five largest brewers owned and operated most of the country's , pubs , and investors felt the other breweries had the advantage for growth. The London financial community reasoned that Guinness was at a disadvantage because the company had to absorb the added costs of retailing.
There were also problems at the James Gate brewery. The Park Royal facility continued to outproduce the older Dublin site, and the company and its employees' union reached an agreement whereby the James Gate work force would be reduced by nearly one half. This solution temporarily solved the problem of decreasing profits at the James Gate facility and allowed operations to continue at the highly esteemed landmark facility.
By , however, the cost-cutting plan was seen to have achieved less than had been expected. The company's diversification efforts were also, during this period, less than stellar; in the event, the company had gone on a purchasing spree in which companies, producing a wide variety of products from baby bibs to car polish, had been acquired, and many of these companies were operating in deficit.
Even in the base brewing business, Guinness had its share of troubles. Please update your payment details to keep enjoying your Irish Times subscription. Guinness to open second brewery in the US Diageo-owned brand is establishing the brewery in a former railroad depot in Chicago Wed, Sep 22, , Updated: Wed, Sep 22, , Charlie Taylor.
It is just over years since Guinness first started being shipped to the US. Home energy upgrades are now more important than ever.
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