The bank that guarded the secret formula for Coca-Cola
In short: For nearly a century, the original recipe for Coca-Cola was kept in a safe deposit box held by a bank in Atlanta. This wasn't just a storage agreement; it was the result of a century-long financial relationship that saw a bank help build a global empire.
The relationship between SunTrust (originally the Trust Company of Georgia) and The Coca-Cola Company dates back to 1919. Between 1904 and 1922, Ernest Woodruff led the Trust Company, and together with W. The Trust Company of Georgia facilitated the primary public offering by receiving shares from the drink corporation for their fiscal assistance. Bradley, he acquired Coca-Cola for $25 million. C. The beverage firm's shares were taken by the Trust Company of Georgia in return for underwriting the first public offering. A purpose-built vault within the World of Coca-Cola now houses the item.
This partnership was deeply intertwined with the families involved. Robert W. Woodruff, the son of the Trust Company president, served as Coca-Cola's president from 1919 until 1954 and remained a board member until 1984. The two institutions maintained a symbiotic board presence for years, with executives from both companies serving on each other's boards of directors.
The bank's role as a custodian was literal: from 1925 to 2011, the original copy of the Coca-Cola formula was stored in a safe deposit box at a SunTrust location in Atlanta. The original formula was relocated into a dedicated vault at the World of Coca-Cola. SunTrust held a 3.58% stake in the company, owning 48.3 million shares as of 2006.
The era of shared ownership ended due to regulatory pressure. In 2012, the Federal Reserve forced SunTrust to sell all its Coca-Cola shares because the holdings would weigh on the bank's capital ratio under new Basel III rules. After failing a stress test in March 2012, the bank accelerated its divestment plan to comply with new capital requirements.
Opens the Intellect+ feed with this card first. Swipe up for the next one.
Sources
- Summary by Intellect · source: SunTrust
To cite this card, link to https://intellectplus.co.uk/app/science-suntrust.
How we source, check and correct cards: Editorial standards.
General information, not professional advice. Spotted an error? Flag the card or see corrections and complaints.
Intellect Plus is a visual educational discovery platform for exploring fascinating facts and ideas. Brain Food, Not Brain Rot. What is Intellect Plus?
Related
More in Physics · More in Science · Latest · A–Z · All topics
