COCA-COLA/COKE

History
19th century historical origins

John Pemberton, the original creator of Coca-Cola

Believed to be the first coupon ever, this ticket for a free glass of Coca-Cola was first distributed in 1888
to help promote the drink. By 1913, the company had redeemed 8.5 million tickets.[7]

This refurbished Coca-Cola advertisement from 1943 is still displayed in Minden, Louisiana.

Early Coca-Cola vending machine at Biedenharn Museum and Gardens in Monroe, Louisiana
Confederate Colonel John Pemberton, wounded in the American Civil War and addicted to morphine, also
had a medical degree and began a quest to find a substitute for the problematic drug.[8] In 1885 at
Pemberton's Eagle Drug and Chemical House, his drugstore in Columbus, Georgia, he registered
Pemberton's French Wine Coca nerve tonic.[9][10][11][12] Pemberton's tonic may have been inspired by
the formidable success of Vin Mariani, a French-Corsican coca wine,[13] but his recipe additionally
included the African kola nut, the beverage's source of caffeine.[14] A Spanish drink called "Kola Coca"
was presented at a contest in Philadelphia in 1885, a year before the official birth of Coca-Cola. The
rights for this Spanish drink were bought by Coca-Cola in 1953.[15]

In 1886, when Atlanta and Fulton County passed prohibition legislation, Pemberton responded by
developing Coca-Cola, a nonalcoholic version of Pemberton's French Wine Coca.[16] It was marketed as
"Coca-Cola: The temperance drink", which appealed to many people as the temperance movement
enjoyed wide support during this time.[4] The first sales were at Jacob's Pharmacy in Atlanta, Georgia, on
May 8, 1886,[17] where it initially sold for five cents a glass.[18] Drugstore soda fountains were popular
in the United States at the time due to the belief that carbonated water was good for the health,[19] and
Pemberton's new drink was marketed and sold as a patent medicine, Pemberton claiming it a cure for
many diseases, including morphine addiction, indigestion, nerve disorders, headaches, and impotence.
Pemberton ran the first advertisement for the beverage on May 29 of the same year in the Atlanta Journal.
[20]

By 1888, three versions of Coca-Cola – sold by three separate businesses – were on the market. A co-
partnership had been formed on January 14, 1888, between Pemberton and four Atlanta businessmen: J.C.
Mayfield, A.O. Murphey, C.O. Mullahy, and E.H. Bloodworth. Not codified by any signed document, a
verbal statement given by Asa Candler years later asserted under testimony that he had acquired a stake in
Pemberton's company as early as 1887.[21] John Pemberton declared that the name "Coca-Cola"
belonged to his son, Charley, but the other two manufacturers could continue to use the formula.[22]

Charley Pemberton's record of control over the "Coca-Cola" name was the underlying factor that allowed
for him to participate as a major shareholder in the March 1888 Coca-Cola Company incorporation filing
made in his father's place.[23] Charley's exclusive control over the "Coca-Cola" name became a continual
thorn in Asa Candler's side. Candler's oldest son, Charles Howard Candler, authored a book in 1950
published by Emory University. In this definitive biography about his father, Candler specifically states:
"on April 14, 1888, the young druggist Asa Griggs Candler purchased a one-third interest in the formula
of an almost completely unknown proprietary elixir known as Coca-Cola."[24] The deal was actually
between John Pemberton's son Charley and Walker, Candler & Co. – with John Pemberton acting as
cosigner for his son. For $50 down and $500 in 30 days, Walker, Candler & Co. obtained all of the one-
third interest in the Coca-Cola Company that Charley held, all while Charley still held on to the name.
After the April 14 deal, on April 17, 1888, one-half of the Walker/Dozier interest shares were acquired by
Candler for an additional $750.[25]

Company
After Candler had gained a better foothold on Coca-Cola in April 1888, he nevertheless was forced to sell
the beverage he produced with the recipe he had under the names "Yum Yum" and "Koke". This was
while Charley Pemberton was selling the elixir, although a cruder mixture, under the name "Coca-Cola",
all with his father's blessing. After both names failed to catch on for Candler, by the middle of 1888, the
Atlanta pharmacist was quite anxious to establish a firmer legal claim to Coca-Cola, and hoped he could
force his two competitors, Walker and Dozier, completely out of the business, as well.[25]

John Pemberton died suddenly on August 16, 1888. Asa Candler then decided to move swiftly forward to
attain full control of the entire Coca-Cola operation.

Charley Pemberton, an alcoholic and opium addict, unnerved Asa Candler more than anyone else.
Candler is said to have quickly maneuvered to purchase the exclusive rights to the name "Coca-Cola"
from Pemberton's son Charley immediately after he learned of Dr. Pemberton's death. One of several
stories states that Candler approached Charley's mother at John Pemberton's funeral and offered her $300
in cash for the title to the name.

In Charles Howard Candler's 1950 book about his father, he stated: "On August 30 [1888], he [Asa
Candler] became the sole proprietor of Coca-Cola, a fact which was stated on letterheads, invoice blanks
and advertising copy."[24]

With this action on August 30, 1888, Candler's sole control became technically all true. Candler had
negotiated with Margaret Dozier and her brother Woolfolk Walker a full payment amounting to $1,000,
which all agreed Candler could pay off with a series of notes over a specified time span. By May 1, 1889,
Candler was now claiming full ownership of the Coca-Cola beverage, with a total investment outlay by
Candler for the drink enterprise over the years amounting to $2,300.[26]

In 1914, Margaret Dozier, as co-owner of the original Coca-Cola Company in 1888, came forward to
claim that her signature on the 1888 Coca-Cola Company bill of sale had been forged. Subsequent
analysis of other similar transfer documents had also indicated John Pemberton's signature had most
likely been forged as well, which some accounts claim was precipitated by his son Charley.[22]

In 1892, Candler set out to incorporate a second company, the Coca-Cola Company (the current
corporation). When Candler had the earliest records of the "Coca-Cola Company" destroyed in 1910, the
action was claimed to have been made during a move to new corporation offices around this time.[27]

Charley Pemberton was found on June 23, 1894, unconscious, with a stick of opium by his side. Ten days
later, Charley died at Atlanta's Grady Hospital at the age of 40.[28]

On September 12, 1919, Coca-Cola Co. was purchased by a group of investors led by Ernest Woodruff's
Trust Company for $25 million and reincorporated under Delaware General Corporation Law. The
company publicly offered 500,000 shares of the company for $40 a share.[29][30] In 1923, his son Robert
W. Woodruff was elected President of the company. Woodruff expanded the company and brought Coca-
Cola to the rest of the world. Coca-Cola began distributing bottles as "Six-packs", encouraging customers
to purchase the beverage for their home.[31]

During its first several decades, Coca-Cola officially wanted to be known by its full-name despite being
commonly known as "Coke". This was due to company fears that the term "coke" would eventually
become a generic trademark, which to an extent became true in the Southern United States where "coke"
is used even for non Coca-Cola products. The company also didn't want to confuse its drink with the
similarly named coal byproduct that clearly wasn't safe to consume. Eventually, out for fears that another
company may claim the trademark for "Coke", Coca-Cola finally embraced it and officially endorsed the
name "Coke" in 1941. "Coke" eventually became a registered trademark of the Coca-Cola Company in
1945.[32]

In 1986, the Coca-Cola Company merged with two of their bottling operators (owned by JTL Corporation
and BCI Holding Corporation) to form Coca-Cola Enterprises Inc. (CCE).[33]

In December 1991, Coca-Cola Enterprises merged with the Johnston Coca-Cola Bottling Group, Inc.[33]

Origins of bottling
Bottling plant of Coca-Cola Canada Ltd., January 8, 1941, Montreal, Canada
The first bottling of Coca-Cola occurred in Vicksburg, Mississippi, at the Biedenharn Candy Company on
March 12, 1894.[34] The proprietor of the bottling works was Joseph A. Biedenharn.[35] The original
bottles were Hutchinson bottles, very different from the much later hobble-skirt design of 1915 now so
familiar.

A few years later two entrepreneurs from Chattanooga, Tennessee, namely Benjamin F. Thomas and
Joseph B. Whitehead, proposed the idea of bottling and were so persuasive that Candler signed a contract
giving them control of the procedure for only one dollar. Candler later realized that he had made a grave
mistake.[36] Candler never collected his dollar, but in 1899, Chattanooga became the site of the first
Coca-Cola bottling company. Candler remained very content just selling his company's syrup.[37] The
loosely termed contract proved to be problematic for the Coca-Cola Company for decades to come. Legal
matters were not helped by the decision of the bottlers to subcontract to other companies, effectively
becoming parent bottlers.[38] This contract specified that bottles would be sold at 5¢ each and had no
fixed duration, leading to the fixed price of Coca-Cola from 1886 to 1959.

20th century
The first outdoor wall advertisement that promoted the Coca-Cola drink was painted in 1894 in
Cartersville, Georgia.[39] Cola syrup was sold as an over-the-counter dietary supplement for upset
stomach.[40][41] By the time of its 50th anniversary, the soft drink had reached the status of a national
icon in the US. In 1935, it was certified kosher by Atlanta rabbi Tobias Geffen. With the help of Harold
Hirsch, Geffen was the first person outside the company to see the top-secret ingredients list after Coke
faced scrutiny from the American Jewish population regarding the drink's kosher status.[42]
Consequently, the company made minor changes in the sourcing of some ingredients so it could continue
to be consumed by America's Jewish population, including during Passover.[43] A yellow cap on a Coca-
Cola drink indicates that it is kosher.[44]

Original framed Coca-Cola artist's drawn graphic presented by the Coca-Cola Company on July 12, 1944,
to Charles Howard Candler on the occasion of Coca-Cola's "1 Billionth Gallon of Coca-Cola Syrup"

Claimed to be the first installation anywhere of the 1948 model "Boat Motor" styled Coca-Cola soda
dispenser, Fleeman's Pharmacy, Atlanta, Georgia. The "Boat Motor" soda dispenser was introduced in the
late 1930s and manufactured until the late 1950s. Photograph c. 1948.
The longest running commercial Coca-Cola soda fountain anywhere was Atlanta's Fleeman's Pharmacy,
which first opened its doors in 1914.[45] Jack Fleeman took over the pharmacy from his father and ran it
until 1995; closing it after 81 years.[46] On July 12, 1944, the one-billionth gallon of Coca-Cola syrup
was manufactured by the Coca-Cola Company. Cans of Coke first appeared in 1955.[47]
Sugar replaced with high-fructose corn syrup
See also: 1970s commodities boom
Sugar prices spiked in the 1970s because of Soviet demand/hoarding and possible futures contracts
market manipulation. The Soviet Union was the largest producer of sugar at the time. In 1974 Coca-Cola
switched over to high-fructose corn syrup because of the elevated prices.[48][49]

Sugar prices 1962–2022

New Coke
Main article: New Coke

The Las Vegas Strip World of Coca-Cola museum in 2003

On April 23, 1985, Coca-Cola, amid much publicity, attempted to change the formula of the drink with
"New Coke". Follow-up taste tests revealed most consumers preferred the taste of New Coke to both
Coke and Pepsi[50] but Coca-Cola management was unprepared for the public's nostalgia for the old
drink, leading to a backlash. The company gave in to protests and returned to the old formula under the
name Coca-Cola Classic, on July 10, 1985. "New Coke" remained available and was renamed Coke II in
1992; it was discontinued in 2002.

21st century
On July 5, 2005, it was revealed that Coca-Cola would resume operations in Iraq for the first time since
the Arab League boycotted the company in 1968.[51]

In April 2007, in Canada, the name "Coca-Cola Classic" was changed back to "Coca-Cola". The word
"Classic" was removed because "New Coke" was no longer in production, eliminating the need to
differentiate between the two.[citation needed] The formula remained unchanged. In January 2009, Coca-
Cola stopped printing the word "Classic" on the labels of 16-US-fluid-ounce (470 ml) bottles sold in parts
of the southeastern United States.[52] The change was part of a larger strategy to rejuvenate the product's
image.[52] The word "Classic" was removed from all Coca-Cola products by 2011.

In November 2009, due to a dispute over wholesale prices of Coca-Cola products, Costco stopped
restocking its shelves with Coke and Diet Coke for two months; a separate pouring rights deal in 2013
saw Coke products removed from Costco food courts in favor of Pepsi.[53] Some Costco locations (such
as the ones in Tucson, Arizona) additionally sell imported Coca-Cola from Mexico with cane sugar
instead of corn syrup from separate distributors.[54] Coca-Cola introduced the 7.5-ounce mini-can in
2009, and on September 22, 2011, the company announced price reductions, asking retailers to sell eight-
packs for $2.99. That same day, Coca-Cola announced the 12.5-ounce bottle, to sell for 89 cents. A 16-
ounce bottle has sold well at 99 cents since being re-introduced, but the price was going up to $1.19.[55]

In 2012, Coca-Cola resumed business in Myanmar after 60 years of absence due to US-imposed
investment sanctions against the country.[56][57] Coca-Cola's bottling plant is located in Yangon and is
part of the company's five-year plan and $200 million investment in Myanmar.[58] Coca-Cola with its
partners is to invest US$5 billion in its operations in India by 2020.[59]

In February 2021, as a plan to combat plastic waste, Coca-Cola said that it would start selling its sodas in
bottles made from 100% recycled plastic material in the United States, and by 2030 planned to recycle
one bottle or can for each one it sold.[60] Coca-Cola started by selling 2000 paper bottles to see if they
held up due to the risk of safety and of changing the taste of the drink.[61]
CR: https://en.wikipedia.org/wiki/Coca-Cola