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Great Fortunes, and How They Were Made

Chapter 116: CHAPTER VII.
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About This Book

A collection of illustrated biographical sketches traces the lives of men who rose from modest beginnings to wealth or public influence through industry, invention, and enterprise. Each chapter recounts early hardships, pivotal risks, practical habits, and notable successes or failures, using anecdotes and documentary detail to show how character, perseverance, and business acumen produced financial and social outcomes. The work emphasizes principles that guided their careers—frugality, innovation, bold investment, and public benefaction—and presents lessons and encouragement for readers aspiring to similar advancement.

He wasted no time in vain regrets, but at once went to work. He was fifty-four years old, but he showed an energy and determination which more than rivaled the fire of his young manhood. The loss of his factory was not only a severe blow to him, but to the three hundred workmen who had been employed in it, and who were dependent upon their wages for their support. His first care was to assure them that they should not suffer, but that they should continue to receive their wages as regularly as though nothing had happened to interrupt their labor. He had always been kind and generous to his employés, paying liberal wages, and rewarding especial merit, but this act of kindness did more to endear him to them than any previous benefaction. Having provided for his men, he set to work to prepare temporary accommodations for his business, and then began his arrangements for the construction of a new factory. He took a great degree of interest in the plans for the new building, the architect being almost entirely guided by his suggestions, and the result of his labors is the magnificent building to which reference was made at the opening of this chapter. He did not live to see it completed, however. He died at the house of a friend from the rupture of a blood-vessel, produced, it is believed, by severe mental labor, on the 8th of December, 1853. His fortune at the time of his death was estimated at a quarter of a million of dollars. His sons assumed the charge of the business, which they still conduct.

The loss of Mr. Chickering was felt by all classes of his fellow-citizens—especially by the poor. To them he had been a kind and generous friend. Distress never appealed to him in vain, and he proved a faithful steward of the riches committed to his care. Yet he performed his charities with such a modesty and reticence that few beside the grateful recipients were aware of them. Indeed, it was his custom to enjoin secrecy upon those whom he assisted; but they would not remain quiet. His liberality is in striking contrast with the closeness of many who were worth more than twenty times his wealth, but who lacked his warm and sympathizing nature.


CHAPTER VII.

NICHOLAS LONGWORTH.


The grape culture of the United States is yet in its infancy. Although the annual wine product is estimated at nearly three millions of gallons, there can be no doubt that ere many years shall have elapsed America will rank as one of the most important wine countries of the world. California is already extending her vineyards for miles along her smiling valleys, where the clear sky and the balmy air, which are unchangeable at the season of the grape harvest, permit a degree of perfection in the fruit unattainable in any European country. Already her wines are commanding an enviable place in the markets of the world, with no apparent limits to the growing demand for them. The hillsides of the lower Ohio Valley are lined with thriving vineyards, whose rich clusters of Catawba and Isabella grapes delight the eye on every hand, and thousands of acres are now given to successful grape culture, where formerly only a few straggling vines were seen. More than five hundred thousand gallons of wine are now annually produced in the neighborhood of Cincinnati alone, and find a market in that city, and what was but a few years ago a mere experiment is now one of the chief sources of the wonderful prosperity of the Ohio Valley, and one of the most important features in the commerce of the Queen City of the West. The success which has attended this branch of our industry must be a matter of congratulation to the whole country, and the man to whose courage, energy, and liberality it is mainly due must be regarded as a public benefactor.

This man, NICHOLAS LONGWORTH by name, was born at Newark, New Jersey, on the 16th of January, 1782. His father had been a man of large property, but in consequence of being a Tory during the Revolution, his possessions were confiscated, and he and his family impoverished. Young Nicholas's childhood was passed in indigence, and it is said that he was apprenticed to a shoemaker, when a mere lad, to learn the trade as a means of livelihood. However this may be, it is certain that when very young he went to South Carolina as a clerk for his elder brother. The climate of the South, however, did not suit his health, and he returned to Newark, and began the study of the law.

He was poor, and the East was overcrowded, even at that early day, and offered but few inducements to a young man entirely dependent upon his own efforts. Ohio was then the "Far West," and emigration was setting in toward it rapidly. Those who had seen the country related what then seemed marvelous tales of its wonderful fertility and progress. Few professional men were seeking the distant land, and Longworth felt convinced that the services of such as did go would assuredly be in demand, and he resolved to cast his lot with the West.

In 1803, at the age of twenty-one, he removed to the little village of Cincinnati, and, having fixed upon this place as his future home, entered the law office of Judge Jacob Burnet, long the ablest jurist in Ohio. He soon won the confidence and esteem of his instructor, and succeeded so well in his studies that in an unusually short time he was admitted to the bar.

He entered upon the practice of his profession with energy, and soon acquired a profitable business, which increased rapidly. He was a man of simple habits, and lived economically. His savings were considerable, and were regularly invested by him in real estate in the suburbs of the town. Land was cheap at that time, some of his lots costing him but ten dollars each. Long before his death they were worth more than as many thousands. He had a firm conviction that Cincinnati was destined to become one of the largest and most flourishing cities in the Union, and that his real estate would increase in value at a rate which would render him wealthy in a very few years.

His first client was a man accused of horse-stealing, in those days the most heinous offense known to Western law. Longworth secured his acquittal, but the fellow had no money to pay his counsel, and in the absence of funds gave Longworth two second-hand copper stills, which were his property. These the lawyer accepted, thinking that he could easily dispose of them for cash, as they were rare and valuable there in those days. They were in the keeping of Mr. Joel Williams, who carried on a tavern adjacent to the river, and who was afterward one of the largest property-holders in Cincinnati. Mr. Williams was building a distillery at the time, and, as he had confidently reckoned upon using the two stills in his possession, was considerably nonplussed when Longworth presented his order for them. In his extremity he offered to purchase them from the lawyer for a lot of thirty-three acres of barren land in the town, which was then worth little or nothing. Longworth hesitated, for although he had an almost prophetic belief in the future value of the land, he was sorely in need of ready money; but at length he accepted the offer. The deed for the land was made out in his name, and the stills became the property of Mr. Williams. The distillery was built, and its owner realized a fortune; but Longworth did more. His thirty-three acres of barren land were soon in the very heart of Cincinnati, and long before his death were valued at two millions of dollars.

The foresight of Mr. Longworth was fully justified by the course of events. The growth of Cincinnati was almost marvelous in its rapidity. In 1802, it contained about 800 inhabitants; in 1810, 2,540; in 1820, 9,060; in 1830, 24,831; in 1840, 46,338; in 1850, 118,761; and in 1860, just three years before Mr. Longworth's death, 171,293 inhabitants. The reader can easily imagine the immense profits which a half century's increase placed in the hands of the far-seeing lawyer. It seems almost like reading some old fairy tale to peruse the accounts of successful ventures in real estate in American cities. They have sprung up as if by magic, and it is impossible to say where their development will end. Said a gentleman of less than thirty-five years of age to the writer of these pages, "I am the oldest native-born citizen of Chicago. When I first saw the light, my native place could not boast even the dignity of a village; and young as I am, I have witnessed all this wonderful growth." The prosperity of Cincinnati was scarcely less marked, as the career of Mr. Longworth shows. The investment of a comparatively insignificant sum laid the foundation of his fortune, and the first counsel fee he ever earned, a sum trifling in itself, placed him in possession of millions.

Mr. Longworth continued carefully to invest his gains in real estate. The prices paid by him increased, of course, with the rise in the value of property, but as he was persuaded that the limit had not yet been reached, he extended his operations without fear of loss. He sold many of his original purchases, but continued until the day of his death the largest land-owner in the city. In 1850 his taxes were over $17,000, and in the same year the taxes of William B. Astor amounted to $23,116. At the time of his death Mr. Longworth's estate was valued at fifteen millions of dollars, and is doubtless worth fully one-third more at the present day.

Mr. Longworth retired from the practice of the law in 1819, to devote himself to the management of his property, which was already sufficiently important to require his undivided attention. He had always been an enthusiast in horticultural matters, and believing that the climate of the Ohio Valley was admirably adapted to the production of grapes, had for some time been making experiments in that direction; but he fell into the error of believing that only the foreign vines were worth cultivating, and his experiments were unsuccessful. The foreign grape did not mature well, and the wine produced from it was not good. In 1828 his friend Major Adlum sent him some specimens of the Catawba grape, which he had procured from the garden of a German living near Washington City, and be began to experiment with it in his own vineyard.

The Catawba grape, now so popular and well-known throughout the country, was then a comparative stranger to our people, and was regarded even by many who were acquainted with it as unfit for vintage purposes. It was first discovered in a wild condition about 1801, near Asheville, Buncombe County, North Carolina, near the source of the Catawba River. General Davy, of Rocky Mount, on that river, afterward Senator from North Carolina, is supposed to have given the German in whose garden Major Adlum found the grape a few of the vines to experiment upon. General Davy always regarded the bringing of this grape into notice as the greatest act of his life. "I have done my country a greater benefit in introducing this grape into public notice," said he, in after years, "than I would have done if I had paid the national debt."

Mr. Longworth's experiments with the Catawba were highly successful, and induced him to abandon all his efforts with foreign vines, and undertake only the Catawba, to which he afterward added the Isabella. He now entered systematically upon grape-growing. He established a large vineyard upon a hillside sloping down to the river, about four miles above the city, and employed German laborers, whose knowledge of vine-dressing, acquired in the Fatherland, made them the best workmen he could have. He caused it to be announced that all the grape juice produced by the small growers in the vicinity would find a cash purchaser in him, no matter in what quantities offered. At the same time he offered n reward of five hundred dollars for any improvement in the quality of the Catawba grape.

The enthusiasm which he manifested, as well as the liberality of his offer, had a decidedly beneficial effect upon the small growers in the neighborhood. "It proved a great stimulus to the growth of the Catawba vine in the country around Cincinnati," to know that a man of Mr. Longworth's means stood ready to pay cash, at the rate of from a dollar to a dollar and a quarter a gallon, for all the grape-juice that might be brought to him, without reference to the quantity. It was in this way, and by urgent popular appeals through the columns of the newspapers, that he succeeded, after many failures, and against the depressing influence of much doubt and indifference, in bringing the enterprise up to its present high and stable position. When he took the matter in hand there was much to discourage any one not possessed of the traits of constancy of purpose and perseverance peculiar to Mr. Longworth. Many had tried the manufacture of wine, and had failed to give it any economical or commercial importance. It was not believed, until Mr. Longworth practically demonstrated it, that a native grape was the only one upon which any hope could be placed, and that the Catawba offered the most assured promise of success, and was the one upon which all vine-growers might with confidence depend. It took years of unremitted care, multiplied and wide-spread investigations, and the expenditure of large sums of money, to establish this fact, and bring the agricultural community to accept it and act under its guidance. The success attained by Mr. Longworth soon induced other gentlemen resident in the vicinity of Cincinnati, and favorably situated for the purpose, to undertake the culture of the Catawba, and several of them are now regularly and extensively engaged in the manufacture of wine. The impetus and encouragement thus given to the business soon led the German citizens of Hamilton County to perceive its advantages, and, under their thrifty management, thousands of acres, stretching up from the banks of the Ohio, are now covered with luxuriant and profitable vineyards, rivaling in profusion and beauty the vine-clad hills of Italy and France. The oldest vineyard in the county of Hamilton is of Mr. Longworth's planting.

Mr. Longworth subsequently increased the size of his vineyard to two hundred acres, and toward the close of his life his wine houses annually produced one hundred and fifty thousand bottles of wine. His vaults usually contained a stock of three hundred thousand bottles in course of thorough ripening.

His cellars were situated on the declivity of East Sixth Street, on the road to Observatory Hill. They occupied a space ninety feet by one hundred and twenty-five in size, and consisted of two tiers of massive stone vaults, the lower of which was twenty-five feet below the surface of the ground. The manufacture of the wine was placed under the charge of a celebrated chemist from Rheims, and the mode of preparation was as follows:

After the pressing of the grape, the juice is subjected to the vinous fermentation, by which ten or eleven per cent, of alcohol is developed. In the following spring, it is mixed with a small quantity of sugar, and put into strong bottles, the corks of which are secured with twine and wire. The sugar accelerates a second fermentation, which always takes place about this time, and thus a strong movement is produced inside the glass, which generates gas enough to burst the vessels briskly, adding thereby considerably to the cost. This is known as the gaseous fermentation, and the effect of it is to render the wine more enlivening, more stinging to the taste, and more fruity. "This last effect results from this, that the flavor of the fruit mostly passes off with the carbonic acid gas, which is largely generated in the first or vinous fermentation, and in a less degree in this second or gaseous fermentation." It is impossible to avoid the loss of the flavor in the first fermentation, but the strong bottles and securely-fastened corks preserve it in the second. The liquid, which is muddy at first, becomes clear in about a year, a thick sediment having collected at the bottom of the bottle. The bottles are then placed in racks, with their necks downward, and are shaken vigorously every day for about three weeks. This forces the sediment to settle down in the neck against the cork. When it is all in the neck, the wires are cut, and the cork blown out by the gas, carrying the sediment with it. Fresh sugar, for sweetness, is now added, new corks are driven in and secured, and in a few weeks the wine is ready for the market.

Mr. Longworth continued his wine trade with great success for about twenty-five years, and though for some time his expenditures were largely in excess of his income from this source, he at length reaped a steady and increasing profit from it, which more than reimbursed him for his former losses. He was very fond of the strawberry, and succeeded, by careful and expensive cultivation, in making several very important improvements in that delicious fruit. His experiments in the sexual character of the strawberry are highly interesting, but must be passed by here. He manifested no selfishness with respect to his fruits. He was anxious that their cultivation should become general, and his discoveries and improvements were always at the service of any and every one who desired to make use of them.

He was thoroughly devoted to his adopted home, and anxious to secure its steady improvement. When it was proposed to establish an observatory, the Mount Adams property, then owned by him, was regarded as the most fitting site for it. He was asked to name the price for which he would sell the property. To the astonishment of the parties in charge of the enterprise, he made a free gift of the land—four acres in extent—to the trustees. A gentleman who had hoped to dispose of some of his own property for this purpose charged Mr. Longworth, through the press, with being influenced by a desire to improve his adjoining property by the erection of the observatory on Mount Adams. Longworth promptly replied that if the writer of the article in question would donate four acres of his own property for an observatory, he (Longworth) would put up, at his own expense, a building on it equal to that which had been erected on Mount Adams, and transfer the latter place to the city as a permanent pleasure ground. He quietly added that in this way his accuser might himself receive, for his adjacent property, all the benefits of such an improvement, and at the same time win for himself the lasting gratitude of the people of Cincinnati. This settled the matter, and no more was heard from the other side.

"Longworth," says one who knew him, "is a problem and a riddle—a problem worthy of the study of those who delight in exploring that labyrinth of all that is hidden and mysterious, the human heart; and a riddle to himself and others. He is a wit and a humorist of a high order; of keen sagacity and shrewdness in many other respects than in money matters; one who can be exact to a dollar, and liberal, when he chooses, with thousands; of marked peculiarity and tenacity in his own opinions, yet of abundant tolerance to the opinions, however extravagant, of others—a man of great public spirit and sound general judgment.

"In addition to all this, it would be difficult to find an individual of his position and standing so perfectly free from pride, in the ordinary sense. He has absolutely none, unless it be the pride of eccentricity. It is no uncommon circumstance for men to become rich by the concentration of time, and labor, and attention to some one object of profitable employment. This is the ordinary phase of money-getting, as closing the ear and pocket to applications for aid is that of money-saving. Longworth has become a rich man on a different principle. He appears to have started upon the calculation that if he could put any individual in the way of making a dollar for Longworth, and a dollar for himself at the same time, by aiding him with ground for a lot, or in building him a house on it; and if, moreover, he could multiply cases of the kind by hundreds, or perhaps thousands, he would promote his own interests just in the same measure as he was advancing those of others. At the same time he could not be unconscious that, while their half was subdivided into small possessions, owned by a thousand or more individuals, his half was a vast, boundless aggregate, since it was the property of one man alone. The event has done justice to his sagacity. Hundreds, if not thousands, in and adjacent to Cincinnati, now own houses and lots, and many have become wealthy, who would, in all probability, have lived and died as tenants under a different state of case. Had not Mr. Longworth adopted this course, he would have occupied that relation to society which many wealthy men now sustain, that of getting all they can and keeping all they get."

In politics, Mr. Longworth was a Whig, and afterward a Republican. During the famous Clay campaign he was asked to give one hundred dollars to help defray the expenses of the party.

"I never give something for nothing," said he. "We might fail to elect Clay, as we did before, and I should fling away the hundred dollars."

The applicant, who was himself a man of wealth, assured him that there was no doubt of Clay's election.

"There can be no chance of your losing," he said.

"Well," replied Longworth, "I'll tell you what I will do. I will give you the hundred dollars, but mind, you shall be personally responsible to me for its return if Clay is not elected."

The offer was accepted; and when the campaign resulted in the defeat of Clay, Longworth demanded his money from the politician, who was compelled to return it out of his own pocket.

In his own way—and a quaint, singular way it was—Mr. Longworth was exceedingly charitable. Long after he was worth millions, and when every moment of his time was valuable, he was supernumerary township trustee. This was an office which required the expenditure of a considerable portion of his time, and brought him in constant contact with some of the most wretched of the lowest class of the poor. He was always in his office, at stated times, and with a patience and kindness worthy of all admiration, the millionaire listened to their sad tales, and provided such aid as was necessary, oftentimes giving it out of his own purse when the public funds failed.

He was a bitter foe to vagabondage and mendicity. If people in need were willing to work, he would place them in the way of doing so. He was the owner of a stone quarry on Deer Creek, the traces of which may still be seen in the lines of the new Gilbert Avenue; and he kept in his office a supply of picks and shovels. When a stout beggar asked him for alms, he would inquire if he was willing to go to work. If answered affirmatively, he would give him a pick and shovel, and start him for the quarry, where the wages were promptly paid out every night. Many availed themselves of the opportunity, and worked for him faithfully; but others gave the quarry "a wide berth," and sold the pick and shovel for money or liquor. It was his custom to buy large quantities of bread tickets from the bakers, and to distribute them to those whom he considered worthy; and he would also keep on hand large quantities of shoes, dry goods, etc., which he gave away in the same manner.

Mr. Frank Pentland, who was once in his employ, relates the following incident:

"One morning, just after Mr. Longworth had gone to his office, near the Third-Street entrance, where he was accustomed to receive applicants for charity, he was accosted by a man who craved assistance. In answer to a question as to his needs, he replied that his main want was a pair of shoes, and a glance at his feet showed that he spoke truthfully. Mr. Longworth appeared 'to take his measure' at a glance, and impulsively shaking his right foot (he seldom wore his shoes tied), kicked the shoe over to the applicant, saying:

"'Try that on, my man. How does it fit?'

"'Illigant, yer honor,'

"'Well, try that, now,' said he, kicking off the other. 'How will they do?'

"Illigant, yer honor; illigant! May many a blessing'—

"'Well, well, go now—that'll do,' and turning to Pentland, who was then a young boy in his service, ordered him to the house to get another pair. Frank obeyed, but was told by Mrs. Longworth that those he wore away from the house were all that he had. The result was that Frank was hurried off to William Hart's shoe store, on Fifth Street, for new ones, with instructions to 'Ask Mr. Hart for the kind I always buy, and don't pay over a dollar and a half for them.'"

Yet many persons charged this man with stinginess—a charge to which every rich man lays himself open who does not give to all who ask him. Even the rich must refuse sometimes, for there is no reason why they should answer all the calls made upon them—a course which would soon impoverish them. They must discriminate somewhere, and how this shall be done is a question which each must decide for himself. Longworth exercised this discrimination in an eccentric manner, eminently characteristic of him. He invariably refused cases that commended themselves to others. A gentleman once applied to him for assistance for a widow in destitute circumstances.

"Who is she?" asked the millionaire. "Do you know her? Is she a deserving object?"

"She is not only a woman of excellent character," answered his friend, "but she is doing all in her power to support a large family of children."

"Very well, then," said Mr. Longworth, "I shan't give a cent. Such persons will always find a plenty to relieve them."

He was firm, and turned coldly from the entreaties of his friend. Yet he opened his purse liberally to those whom others refused. Vagabonds, drunkards, fallen women, those who had gone down far into the depths of misery and wretchedness, and from whom respectable people shrank in disgust, never appealed to him in vain. "The devil's poor," he whimsically called them. He would listen to them patiently, moved to the depths of his soul by their sad stories, and would send them away rejoicing that they were not utterly friendless. "Decent paupers will always find a plenty to help them," he would say, "but no one cares for these poor wretches. Every body damns them, and as no one else will help them, I must." Yet he aided them in such a manner as to encourage them to rise above their wretchedness.

In his personal appearance Mr. Longworth was not prepossessing. He was dry and caustic in his remarks, and rarely spared the object of his satire. He was plain and careless in his dress, looking more like a beggar than a millionaire. He cared nothing for dress, except, perhaps, that he preferred common clothes to fine ones. One of his acquaintances relates the following story in illustration of this phase of his character:

"Many winters ago, it will be remembered that a style of striped goods was quite popular with poor people on account of its cheapness, and that it acquired the name of 'Hard Times.' Every body with scant purses wore coats or pants of it, for the reason that they could not very well buy any other kind. As the story goes, it appears that 'Old Nick,' as he was familiarly called, invested in an overcoat of this material, and took great pride in wearing it, much to the annoyance of the women folks. It happened that one cold, stormy night the faithful family coachman was at the house without an overcoat, and Mrs. Longworth, after very feelingly depicting his forlorn condition to her husband, solicited the privilege of giving him the aforesaid overcoat. Much to her gratification, Mr. Longworth assented, and the coachman wore off the 'Hard Times,' the good wife replacing it by an elegant broadcloth that she had quietly provided for the occasion. The next morning 'Old Nick' very innocently (?) overlooked the new coat, and went off to make his usual morning rounds without one; but it would be impossible to portray the annoyance of the household when they saw him returning to dinner wearing a duplicate of the veritable 'Hard Times,' and for weeks afterward it was no uncommon occurrence to see the 'master and man' flitting about the old homestead dressed in their gray stripes."

The shabbiness of his dress once led to an amusing adventure, which he enjoyed very much. Climbing one of the hilly streets of the city one broiling summer day, he sat down on a pile of bricks, under the cool shade of a tree, to rest. Taking off his well-worn hat, he laid it on his knee, and closing his eyes, sat enjoying the breeze which had just then sprung up. He was very tired, and his whole figure expressed his weariness. As he sat there in his shabby dress, with his eyes closed, and his hat resting on his knees, he looked the very picture of a blind beggar soliciting charity. For such, indeed, he was mistaken by a working man who passed by a few minutes later, and who, pitying the supposed unfortunate, tossed a few pennies into his hat. The noise of the coppers made the old man open his eyes and look up; and to his amazement the workman recognized in the object of his charity Nicholas Longworth, the millionaire. Mr. Longworth looked at him a moment in his dry, quizzical way, and then, thanking him politely, put the coins in his pocket, and, closing his eyes, once more resumed his former position.

Mr. Longworth had erected a magnificent mansion in the midst of his vineyard. He gathered there a fine library, and a collection of paintings, statuary, and other art treasures, which were his pride. He died there on the 10th of February, 1863, at the age of eighty-one. His loss was severely felt by the community, especially by his "devil's poor," for whom he had cared so tenderly.


CHAPTER VIII.

GEORGE PEABODY.


It is not often that men who pass their lives in the acquisition of money are able to retain the desire to give it to others who have had no share in the earning of it. In European countries, the wealthy merchant commonly uses his fortune for the purpose of founding a family, and securing sometimes a title of nobility. His wealth is entailed, that it may remain in his family and benefit remote generations; but few save those of his own blood enjoy any benefit from it, and the world is no better off for his life and success than if he had never been born. In America, instances of personal generosity and benevolence on a large scale are of more common occurrence than in the Old World. We have already borne witness to the munificence of Girard, Astor, Lawrence, Longworth, and Stewart, and shall yet present to the reader other instances of this kind in the remaining pages of this work. We have now to trace the career of one who far exceeded any of these in the extent and magnitude of his liberality, and who, while neglecting none connected with him by ties of blood, took the whole English-speaking race for his family, and by scattering his blessings far and wide on both sides of the Atlantic, has won a proud name

"As one who loved his fellow-men."



GEORGE PEABODY

George Peabody came of an old English family, which traced its descent back to the year of our Lord 61, the days of the heroic Boadicea, down through the brilliant circle of the Knights of the Round Table, to Francis Peabody, who in 1635 went from St. Albans, in Hertfordshire, to the New World, and settled in Danvers, Massachusetts, where the subject of this memoir was born one hundred and sixty years later, on the 18th of February, 1795. The parents of George Peabody were poor, and hard work was the lot to which he was born, a lot necessary to develop his sterling qualities of mind and heart. He was possessed of a strong, vigorous constitution, and a quick, penetrating intellect. His education was limited, for he was taken from school at the age of eleven, and set to earning his living. Upon leaving school, he was apprenticed to a Mr. Sylvester Proctor, who kept a "country store" in Danvers. Here he worked hard and faithfully for four or five years, devoting himself, with an energy and determination surprising in one so young, to learn the first principles of business. His mind matured more rapidly than his body, and he was a man in intellect long before he was out of his teens. Having gained all the information it was possible to acquire in so small an establishment, he began to wish for a wider field for the exercise of his abilities. A retail grocery store was no longer the place for one possessed of such talents, and thoroughly conscious of them at such an early age, and it was natural that he should desire some more important and responsible position.

Accordingly, he left Mr. Proctor's employment, and spent a year with his maternal grandfather at Post Mills village, Thetford, Vermont. "George Peabody's year at Post Mills," says a writer who knew him, "must have been a year of intense quiet, with good examples always before him, and good advice whenever occasion called for it; for Mr. Dodge and his wife were both too shrewd to bore him with it needlessly.

"It was on his return from this visit that he spent a night at a tavern in Concord, N.H., and paid for his entertainment by sawing wood the next morning. That, however, must have been a piece of George's own voluntary economy, for Jeremiah Dodge would never have sent his grandson home to Danvers without the means of procuring the necessaries of life on the way, and still less, if possible, would Mrs. Dodge...."

"The interest with which Mr. Peabody remembered this visit to Post Mills is shown by his second visit so late in life, and his gift of a library—as large a library as that place needs. Of its influence on his subsequent career, of course, there is no record. Perhaps it was not much. But, at least, it gave him a good chance for quiet thinking, at an age when he needed it; and the labors of the farm may have been useful both to mind and body."

At the age of sixteen, in the year 1811, he went to Newburyport, and became a clerk in the store of his elder brother, David Peabody, who was engaged in the dry goods business at that place. He exhibited unusual capacity and promise in his calling, and soon drew upon himself the favorable attention of the merchants of the place. He was prompt, reliable, and energetic, and from the first established an enviable reputation for personal and professional integrity. It is said that he earned here the first money he ever made outside of his business. This was by writing ballots for the Federal party in Newburyport. Printed ballots had not then come into use.

He did not stay long in Newburyport, as a great fire, which burned up a considerable part of the town, destroyed his brother's store, and obliged him to seek employment elsewhere. He always retained a warm attachment to the place, however, an attachment which a resident of the town explains as follows:

"The cause of Mr. George Peabody's interest in Newburyport was not alone that he had lived here for a brief period, or that his relatives had lived here; but rather it was the warm friendship that had been shown him, which was, in fact, the basis of his subsequent prosperity. He left here in 1811, and returned in 1857. The forty-six intervening years had borne to the grave most of the persons with whom he had formed acquaintance. Among those he recognized were several who were in business, or clerks, on State Street in 1811,—Messrs. John Porter, Moses Kimball, Prescott Spaulding, and a few others. Mr. Spaulding was fourteen years older than Mr. Peabody, and in business when the latter was a clerk with his uncle, Colonel John Peabody. Mr. Peabody was here in 1857, on the day of the Agricultural Fair, and was walking in the procession with the late Mayor Davenport, when he saw Mr. Spaulding on the sidewalk, and at once left the procession to greet him.

"Mr. Spaulding had rendered him the greatest of services. When Mr. Peabody left Newburyport, he was under age, and not worth a dollar. Mr. Spaulding gave him letters of credit in Boston, through which he obtained two thousand dollars' worth of merchandise of Mr. James Reed, who was so favorably impressed with his appearance, that he subsequently gave him credit for a larger amount. This was his start in life, as he afterward acknowledged; for at a public entertainment in Boston, when his credit was good for any amount, and in any part of the world, Mr. Peabody laid his hand on Mr. Reed's shoulder, and said to those present, 'My friends, here is my first patron; and he is the man who sold me my first bill of goods.' After he was established in Georgetown, D.C., the first consignment made to him was by the late Francis Todd, of Newburyport. It was from these facts that Newburyport was always pleasant in his memory; and the donation he made to the Public Library was on his own suggestion, that he desired to do something of a public nature for our town."

From New England, George Peabody turned his face southward, and entered the employment of his uncle, Mr. John Peabody, who was engaged in the dry goods business in Georgetown, in the District of Columbia. He reached that place in the spring of 1812; but, as the second war with England broke out about the same time, was not able to give his immediate attention to business. He became a member of a volunteer company of artillery, which was stationed at Fort Warburton, but as no active duty was required of the company, he soon went back to his uncle's store. His uncle was a poor man and a bad manager, and for two years the business was conducted by George Peabody, and in his own name; but at the end of that time, seeing the business threatened with ruin by his uncle's incapacity, he resigned his situation, and entered the service of Mr. Elisha Riggs, who had just established a wholesale dry goods house in Georgetown. Mr. Riggs furnished the capital for the concern, and Mr. Peabody was given the management of it. Soon after this, the latter became a partner in the house. It is said that when Mr. Riggs invited Mr. Peabody to become his partner, the latter informed him that he could not legally assume the responsibilities of the business, as he was only nineteen years old. This was no objection in the mind of the merchant, as he wanted a young and active assistant, and had discerned in his boy-manager the qualities which never fail to win success.

The new business in which he was engaged consisted chiefly in the importation and sale of European goods, and consignments of dry goods from the northern cities. It extended over a wide field, and gave Mr. Peabody a fine opportunity for the display of his abilities. Mr. Riggs' friends blamed him very much for leaving his business so entirely in the hands of a boy of nineteen; but he had better proof than they that his affairs were not only in good but in the best hands, and he answered them all by telling them that time would justify his course. Mr. Peabody traveled extensively in establishing his business, often journeying into the wild and unsettled regions of the border States on horseback. He worked with energy and intelligence, and in 1815 the business was found to be so extensive that a removal to Baltimore became necessary. About this time a sort of irregular banking business was added to the operations of the house. This was chiefly the suggestion of Mr. Peabody, and proved a source of great profit.

Mr. Peabody quickly took a prominent rank among the merchants of Baltimore. His manner was frank and engaging, and won him many friends. He was noted for "a judgment quick and cautious, clear and sound, a decided purpose, a firm will, energetic and persevering industry, punctuality and fidelity in every engagement, justice and honor controlling every transaction, and courtesy—that true courtesy which springs from genuine kindness—presiding over the intercourse of life." His business continued to increase, and in 1822 it became necessary to establish branches in Philadelphia and New York, over which Mr. Peabody exercised a careful supervision. He was thoroughly familiar with every detail of his business, and never suffered his vigilance to relax, however competent might be the subordinates in the immediate charge of those details. In 1827 he went to England on business for his firm, and during the next ten years made frequent voyages between New York and London.

In 1829 Mr. Riggs withdrew from the firm, and Mr. Peabody become the actual head of the house, the style of the firm, which had previously been "Riggs & Peabody," being changed to "Peabody, Riggs & Co." The firm had for some time been the financial agents of the State of Maryland, and had managed the negotiations confided to them with great skill and success; and every year their banking department became more important and more profitable.

In 1836 Mr. Peabody determined to extend his business, which was already very large, to England, and to open a branch house in London. In 1837 he removed to that city for the purpose of taking charge of his house there, and from that time London became his home.

The summer of this year was marked by one of the most terrible commercial crises the United States has ever known. A large number of the banks suspended specie payment, and the majority of the mercantile houses were either ruined or in the greatest distress. Thousands of merchants, until then prosperous, were hopelessly ruined. "That great sympathetic nerve of the commercial world, credit," said Edward Everett, "as far as the United States was concerned, was for the time paralyzed. At that moment Mr. Peabody not only stood firm himself, but was the cause of firmness in others. There were not at that time, probably, half a dozen other men in Europe who, upon the subject of American securities, would have been listened to for a moment in the parlor of the Bank of England. But his judgment commanded respect; his integrity won back the reliance which men had been accustomed to place in American securities. The reproach in which they were all involved was gradually wiped away from those of a substantial character; and if, on this solid basis of unsuspected good faith, he reared his own prosperity, let it be remembered that at the same time he retrieved the credit of the State of Maryland, of which he was agent—performing that miracle by which the word of an honest man turns paper into gold."

The conduct of Mr. Peabody, as well as the evidences which he gave of his remarkable capacity for business, in this crisis, placed him among the foremost merchants of London. He carried on his business upon a large scale from his base of operations in that city. He bought British manufactures in all parts of England and shipped them to the United States. His vessels brought back in return all kinds of American produce which would command a ready sale in England. Profitable as these ventures were, there was another branch of his business much more remunerative to him. The merchants and manufacturers on both sides of the Atlantic who consigned their goods to him frequently procured from him advances upon the goods long before they were sold. At other times they would leave large sums in his hands long after the goods were disposed of, knowing that they could draw whenever they needed, and that in the meanwhile their money was being so profitably invested that they were certain of a proper interest for their loans. Thus Mr. Peabody gradually became a banker, in which pursuit he was as successful as he had been as a merchant. In 1843 he withdrew from the house of Peabody, Riggs & Co., and established the house of "George Peabody & Company, of Warnford Court, City."

His dealings were chiefly with America, and in American securities, and he was always regarded as one of the best specimens of the American merchant ever seen in London. He was very proud of his country; and though he passed so many years of his life abroad, he never forgot that he was an American. In speaking of the manner in which he organized his business establishment, he once said: "I have endeavored, in the constitution of its members and the character of its business, to make it an American house, and to give it an American atmosphere; to furnish it with American journals; to make it a center of American news, and an agreeable place for my American friends visiting London."

It was his custom, from his first settlement in England, to celebrate the anniversary of the independence of his country by an entertainment at one of the public houses in the city, to which the most distinguished Americans in London were always invited, as were also many of the prominent men of Great Britain; and this dinner was only discontinued in deference to the general celebration of the day which was afterward instituted by the whole body of Americans resident in the British metropolis. In the year 1851, when it was thought that there would be no representation of the achievements of American skill and industry in the Great Exhibition of that year, from a lack of funds, Mr. Peabody generously supplied the sum of fifteen thousand dollars, which enabled the Commissioners to make a suitable display of the American contributions. Said the Hon. Edward Everett, alluding to this act:

"In most, perhaps in all other countries, this exhibition had been a government affair. Commissioners were appointed by authority to protect the interests of the exhibitors; and, what was more important, appropriations of money had been made to defray their expenses. No appropriations were made by Congress. Our exhibitors arrived friendless, some of them penniless, in the great commercial Babel of the world. They found the portion of the Crystal Palace assigned to our country unprepared for the specimens of art and industry which they had brought with them; naked and unadorned by the side of the neighboring arcades and galleries fitted up with elegance and splendor by the richest governments in Europe. The English press began to launch its too ready sarcasms at the sorry appearance which Brother Jonathan seemed likely to make; and all the exhibitors from this country, as well as those who felt an interest in their success, were disheartened. At this critical moment, our friend stepped forward. He did what Congress should have done. By liberal advances on his part, the American department was fitted up; and day after day, as some new product of American ingenuity and taste was added to the list,—McCormick's reaper, Colt's revolver, Powers's Greek Slave, Hobbs's unpickable lock, Hoe's wonderful printing presses, and Bond's more wonderful spring governor,—-it began to be suspected that Brother Jonathan was not quite so much of a simpleton as had been thought. He had contributed his full share, if not to the splendor, at least to the utilities of the exhibition. In fact, the leading journal at London, with a magnanimity which did it honor, admitted that England had derived more real benefit from the contributions of the United States than from those of any other country."

As has been said, Mr. Peabody made the bulk of his colossal fortune in the banking business. He had a firm faith in American securities, and dealt in them largely, and with confidence. His business instinct was remarkable, his judgment in mercantile and financial matters almost infallible, and he made few mistakes. His course was now onward and upward, and each year marked an increase of his wealth. His business operations were conducted in pursuance of a rigid system which was never relaxed. To the very close of his life he never abandoned the exact or business-like manner in which he sought to make money. He gave away millions with a generosity never excelled, yet he could be exacting to a penny in the fulfillment of a contract.

In his youth he contracted habits of economy, and these he retained to the last. Being unmarried, he did not subject himself to the expense of a complete domestic establishment, but lived in chambers, and entertained his friends at his club or at a coffee-house. His habits were simple in every respect, and he was often seen making his dinner on a mutton-chop at a table laden (at his cost) with the most sumptuous and tempting viands. His personal expenses for ten years did not average three thousand dollars per annum.

The conductor on an English railway once overcharged him a shilling for fare. He promptly complained to the directors, and had the man discharged. "Not," said he, "that I could not afford to pay the shilling, but the man was cheating many travelers to whom the swindle would be offensive."

Several years ago he chanced to ride in a hack in Salem, Massachusetts, and upon reaching his destination tendered the driver his usual fee of fifty cents.

"Here's your change, sir," said the man, handing him back fifteen cents.

"Change!" exclaimed Mr. Peabody; "why, I'm not entitled to any."

"Yes, you are; I don't charge but thirty-five cents for a ride in my hack."

"How do you live, then?"

"By fair dealing, sir. I don't believe in making a man pay more than a thing is worth just because I have an opportunity."

Mr. Peabody was so much pleased with this reply, that as long as he remained in Salem he sought this man out and gave him his custom.

In his dress Mr. Peabody was simple and unostentatious. He was scrupulously neat and tasteful, but there was nothing about him to indicate his vast wealth. He seldom wore any jewelry, using merely a black band for his watch-guard. Display of all kinds he abominated.

He made several visits to his native country during his last residence in London, and commemorated each one of them by acts of princely munificence. He gave large sums to the cause of education, and to religious and charitable objects, and made each one of his near kindred wealthy. None of his relatives received less than one hundred thousand dollars, and some were given as much as three times that sum. He gave immense sums to the poor of London, and became their benefactor to such an extent that Queen Victoria sent him her portrait, which she had caused to be executed for him at a cost of over forty thousand dollars, in token of her appreciation of his services in behalf of the poor of her realm.

Mr. Peabody made another visit to the United States in 1866, and upon this occasion added large sums to many of the donations he had already made in this country. He remained here until May, 1867, when he returned to England. He came back in June, 1869, but soon sailed again for England. His health had become very feeble, and it was his belief that it would be better in the atmosphere of London, to which he had been so long accustomed. His hope of recovery was vain. He failed to rally upon reaching London, and died in that city on the 4th of November, 1869.

The news of his death created a profound sadness on both sides of the Atlantic, for his native and his adopted country alike revered him as a benefactor. The Queen caused his body to be placed in a vault in Westminster Abbey, amidst the greatest and noblest of her kingdom, until all was in readiness for its transportation to the United States in a royal man-of-war. The Congress of the United States authorized the President to make such arrangements for the reception of the body as he should deem necessary. Sovereigns, statesmen, and warriors united to do homage to the mortal remains of this plain, simple man, who, beginning life a poor boy, and never departing from the character of an unassuming citizen, had made humanity his debtor by his generosity and goodness. He was borne across the ocean with kingly honors, two great nations acting as chief mourners, and then, when the pomp and the splendor of the occasion were ended, they laid him down in his native earth by the side of the mother from whom he had imbibed those principles of integrity and goodness which were the foundation of his fame and fortune.

It is impossible to obtain an accurate statement of the donations made by Mr. Peabody to the objects which enlisted his sympathy. In addition to those mentioned in the list below, he gave away for various public purposes sums ranging from two hundred and fifty to one thousand dollars, and extending back as far as the year 1835. He divided among his relatives the sum of about three millions of dollars, giving them a portion during his last visit to this country, and leaving them the remainder at his death.

The following is a statement of his more important donations during his life, including the bequests contained in his last will and testament:

To the State of Maryland, for negotiating the loan of $8,000,000 $60,000
To the Peabody Institute, Baltimore, Md., including accrued interest 1,500,000
To the Southern Education Fund 3,000,000
To Yale College 150,000
To Harvard College 150,000
To Peabody Academy, Massachusetts 140,000
To Phillips Academy, Massachusetts 25,000
To Peabody Institute, etc., at Peabody, Mass. 250,000
To Kenyon College, Ohio 25,000
To Memorial Church, in Georgetown, Mass. 100,000
To Homes for the Poor in London 3,000,000
To Libraries in Georgetown, Massachusetts, and Thetford, Vermont 10,000
To Kane's Arctic Expedition 10,000
To different Sanitary Fairs 10,000
To unpaid moneys advanced to uphold the credit of States 40,000
Total $8,470,000