Michael P. Grace
Encyclopedia
Michael Paul Grace was an international businessman who was a shareholder and Chairman of the Board of Directors
of W. R. Grace and Company
of New York City
and of Grace Brothers & Co. Ltd. of London
, England
.
Born in Queenstown, County Cork
, Ireland
to a wealthy family, as a young man he went to Peru
where his father had business interests and where he joined his brother William
who had formed a partnership with John Bryce to operate as ship chandler
s. William Grace would emigrate to the United States in 1865 where he established W. R. Grace & Co. of New York while Michael Grace remained in Peru developing government contacts for the business that became Grace Brothers & Co. Michael Grace expanded the business into new fields including a near monopoly in the business of supplying the construction contractors building Peru's railway system with rail track
iron and timber for rail ties
plus foodstuffs and other provisions. The Grace brothers influence with the Peruvian government saw them obtain the majority of contracts to provide munitions and battle ships during the Peru-Chile War of the Pacific
between 1877 and 1884. When the war ended, Michael Grace traveled to England and in 1887 put together a consortium of lenders to provide the funding necessary to stabilize the cash strapped government of Peru. http://query.nytimes.com/mem/archive-free/pdf?res=9C02E1DD1530E633A25752C3A96E9C94669FD7CF
, widened their business in Peru to include control of the guano
deposits along the Pacific coast
, vast tracks of land containing both oil and mineral deposits including silver mines
at Cerro de Pasco
that were reported by the New York Times in its June 22, 1885 edition as "probably the richest and most extensive in the world." In conjunction with the Cerro de Pasco mines, the Grace's acquired a ninety-nine year lease, the first seven of which were free, on the financially troubled Oroya Railroad originally built in early 1870s by American promoter Henry Meiggs
but not fully completed. In that same June 22, 1885 story, the New York Times concluded that "Mr. Grace [Michael P.] gets a property which cost $
27,600,900--86 miles of railroad already equipped and in operation, 50 miles of the most expensive tunneling and grading in the world--for nothing provided he will complete the line." http://query.nytimes.com/mem/archive-free/pdf?res=9B01E7DB1439E533A25751C2A9609C94649FD7CF
, the Grace brothers set up representative offices throughout most of South America
and through their Compania Salitrera obtained control over all nitrate
exported by the government of Chile
. Their business in Chile was such that they eventually established Grace & Co. in Valparaíso
. http://query.nytimes.com/mem/archive-free/pdf?_r=1&res=9801EFD9123FE533A25751C2A9649D94649FD7CF To support the vast Grace South American operations with lower costs and in-house control, in 1892 the Grace brothers established The New-York and Pacific Steamship Company, Limited, progenitor of their Grace Steamship Company. The operation began with a fleet of six newly built steam-powered freighters that shipped products manufactured in the United States from the port at New York City around Cape Horn
to various ports on the west coast of South America
. The ships returned with cargos of raw material
s, primarily from the Grace brothers South American businesses.
The shipping company was incorporated and headquartered in London, England, with Michael Grace as Chairman of the Board. He began spending a part of each year in England where between 1894 and 1915 he leased Battle Abbey
as a residence for his family. http://www.battle-abbey.co.uk/visitor04.htm He spent the other part of the year in the United States where he maintained a home at Westbury
on Long Island
near daughter Margarita and her husband, John Shaffer Phipps
, of the prominent Phipps family
. In 1916, Michael Grace oversaw Grace Steamship Company's addition of a mail delivery service between New York and its regular South American ports.
. However, with Michael based in London
, England
for half the year plus his extensive travelling to South America
, when William developed health problems in the early 1890s it made it necessary for John to come to New York to help oversee operations. As part of estate and successor planning, in 1895 the three brothers consolidated most of their holdings into a new private company incorporated in West Virginia
called W. R. Grace & Company. The consolidation involved W. R. Grace & Co. of New York, Grace Brothers & Co. of Lima, Peru, Grace & Co. of Valparaíso, Chile, William R. Grace & Co. of London, and J. W. Grace & Co of San Francisco. The officers of the new company were:http://query.nytimes.com/mem/archive-free/pdf?res=9B0DE0DD123DE433A25752C1A9679C94649ED7CF
J. Louis Schaefer, who joined the company as a boy, would play a key role in not only W. R. Grace & Company in which he became a vice-president, but also as president of Grace National Bank
. Schaefer would be a co-executor of the Estate of Michael Grace with William's son and corporate successor, Joseph P. Grace
. J. Louis Schaefer died in 1927. http://select.nytimes.com/gst/abstract.html?res=F50F14F83E5A167A93C3AB1789D85F4D8285F9
William Grace died in March 1904 in New York and brother James in September of that same year in London, England. http://pqasb.pqarchiver.com/courant/access/781822082.html?dids=781822082:781822082&FMT=CITE&FMTS=CITE:AI&type=historic&date=Sep+20%2C+1904&author=&pub=Hartford+Courant&desc=John+W.+Grace+Dies+In+England&pqatl=google. Michael Grace then assumed control of all their companies. Because he had four daughters but no sons, Michael took William's most capable son, Joseph
, under his wing and would eventually transfer his interest in the Grace businesses to him.
. Elisa Mercedes Grace married the Hon. Hubert Beaumont
, a former Member of the British Parliament
for Eastbourne
. Elisa and Michael Beaumont had one child, Michael Wentworth Beaumont
. She was working as a volunteer for the Red Cross during World War I
at the time of her death. http://query.nytimes.com/mem/archive-free/pdf?res=990DE5DE103AE433A25754C1A96E9C946696D6CF
While on an annual business trip to London, England in the late summer of 1920, the then seventy-eight-year-old Michael Grace died. He, and his wife Margaret, are buried in the churchyard in Battle Abbey.
Board of directors
A board of directors is a body of elected or appointed members who jointly oversee the activities of a company or organization. Other names include board of governors, board of managers, board of regents, board of trustees, and board of visitors...
of W. R. Grace and Company
W. R. Grace and Company
W. R. Grace and Company is a Columbia, Maryland, United States based chemical conglomerate.The company has two main divisions, Davison Chemicals and Performance Chemicals. The Davison unit makes chemical catalysts, refining catalysts, and silica-based products that let other companies make...
of New York City
New York City
New York is the most populous city in the United States and the center of the New York Metropolitan Area, one of the most populous metropolitan areas in the world. New York exerts a significant impact upon global commerce, finance, media, art, fashion, research, technology, education, and...
and of Grace Brothers & Co. Ltd. of London
London
London is the capital city of :England and the :United Kingdom, the largest metropolitan area in the United Kingdom, and the largest urban zone in the European Union by most measures. Located on the River Thames, London has been a major settlement for two millennia, its history going back to its...
, England
England
England is a country that is part of the United Kingdom. It shares land borders with Scotland to the north and Wales to the west; the Irish Sea is to the north west, the Celtic Sea to the south west, with the North Sea to the east and the English Channel to the south separating it from continental...
.
Born in Queenstown, County Cork
Cobh
Cobh is a seaport town on the south coast of County Cork, Ireland. Cobh is on the south side of Great Island in Cork Harbour. Facing the town are Spike Island and Haulbowline Island...
, Ireland
Ireland
Ireland is an island to the northwest of continental Europe. It is the third-largest island in Europe and the twentieth-largest island on Earth...
to a wealthy family, as a young man he went to Peru
Peru
Peru , officially the Republic of Peru , is a country in western South America. It is bordered on the north by Ecuador and Colombia, on the east by Brazil, on the southeast by Bolivia, on the south by Chile, and on the west by the Pacific Ocean....
where his father had business interests and where he joined his brother William
William Russell Grace
William Russell Grace was the first Roman Catholic mayor of New York City and the founder of W. R. Grace and Company.-Biography:He was born on May 10, 1832 in Ballylinan, County Laois, Ireland....
who had formed a partnership with John Bryce to operate as ship chandler
Ship chandler
A ship chandler is a retail dealer in special supplies or equipment for ships.For traditional sailing ships items that could be found in a chandler might include: rosin, turpentine, tar, pitch , linseed oil, whale oil, tallow, lard, varnish, twine, rope and cordage, hemp, oakum, tools A ship...
s. William Grace would emigrate to the United States in 1865 where he established W. R. Grace & Co. of New York while Michael Grace remained in Peru developing government contacts for the business that became Grace Brothers & Co. Michael Grace expanded the business into new fields including a near monopoly in the business of supplying the construction contractors building Peru's railway system with rail track
Rail tracks
The track on a railway or railroad, also known as the permanent way, is the structure consisting of the rails, fasteners, sleepers and ballast , plus the underlying subgrade...
iron and timber for rail ties
Railroad tie
A railroad tie/railway tie , or railway sleeper is a rectangular item used to support the rails in railroad tracks...
plus foodstuffs and other provisions. The Grace brothers influence with the Peruvian government saw them obtain the majority of contracts to provide munitions and battle ships during the Peru-Chile War of the Pacific
War of the Pacific
The War of the Pacific took place in western South America from 1879 through 1883. Chile fought against Bolivia and Peru. Despite cooperation among the three nations in the war against Spain, disputes soon arose over the mineral-rich Peruvian provinces of Tarapaca, Tacna, and Arica, and the...
between 1877 and 1884. When the war ended, Michael Grace traveled to England and in 1887 put together a consortium of lenders to provide the funding necessary to stabilize the cash strapped government of Peru. http://query.nytimes.com/mem/archive-free/pdf?res=9C02E1DD1530E633A25752C3A96E9C94669FD7CF
The Oroya Railroad and the richest silver mine in the world
Michael Grace too emigrated to the United States where he would become an American citizen. The Grace brothers, along with Michael Grace's English son-in-law, Richard Hely-Hutchinson, 6th Earl of DonoughmoreRichard Hely-Hutchinson, 6th Earl of Donoughmore
Richard Walter Hely-Hutchinson, 6th Earl of Donoughmore KP, PC , styled Viscount Suirdale until 1900, was an Irish peer and Conservative politician...
, widened their business in Peru to include control of the guano
Guano
Guano is the excrement of seabirds, cave dwelling bats, and seals. Guano manure is an effective fertilizer due to its high levels of phosphorus and nitrogen and also its lack of odor. It was an important source of nitrates for gunpowder...
deposits along the Pacific coast
Pacific Ocean
The Pacific Ocean is the largest of the Earth's oceanic divisions. It extends from the Arctic in the north to the Southern Ocean in the south, bounded by Asia and Australia in the west, and the Americas in the east.At 165.2 million square kilometres in area, this largest division of the World...
, vast tracks of land containing both oil and mineral deposits including silver mines
Silver mining
Silver mining refers to the resource extraction of the precious metal element silver by mining.-History:Silver has been known since ancient times. It is mentioned in the Book of Genesis, and slag heaps found in Asia Minor and on the islands of the Aegean Sea indicate that silver was being separated...
at Cerro de Pasco
Cerro de Pasco
Cerro de Pasco is a city in central Peru. It is the capital of the Pasco region, and an important mining center. It is connected by road and by rail to the city of Lima.- Overview :...
that were reported by the New York Times in its June 22, 1885 edition as "probably the richest and most extensive in the world." In conjunction with the Cerro de Pasco mines, the Grace's acquired a ninety-nine year lease, the first seven of which were free, on the financially troubled Oroya Railroad originally built in early 1870s by American promoter Henry Meiggs
Henry Meiggs
Henry Meiggs , was a promoter/entrepreneur and railroad builder. He was born in Catskill, New York. He came to New York City in 1835 and began a lumber business, but was ruined by the Panic of 1837. He restarted his business, this time in Brooklyn, but again met with failure...
but not fully completed. In that same June 22, 1885 story, the New York Times concluded that "Mr. Grace [Michael P.] gets a property which cost $
United States dollar
The United States dollar , also referred to as the American dollar, is the official currency of the United States of America. It is divided into 100 smaller units called cents or pennies....
27,600,900--86 miles of railroad already equipped and in operation, 50 miles of the most expensive tunneling and grading in the world--for nothing provided he will complete the line." http://query.nytimes.com/mem/archive-free/pdf?res=9B01E7DB1439E533A25751C2A9609C94649FD7CF
The New-York and Pacific Steamship Company
From a base in LimaLima
Lima is the capital and the largest city of Peru. It is located in the valleys of the Chillón, Rímac and Lurín rivers, in the central part of the country, on a desert coast overlooking the Pacific Ocean. Together with the seaport of Callao, it forms a contiguous urban area known as the Lima...
, the Grace brothers set up representative offices throughout most of South America
South America
South America is a continent situated in the Western Hemisphere, mostly in the Southern Hemisphere, with a relatively small portion in the Northern Hemisphere. The continent is also considered a subcontinent of the Americas. It is bordered on the west by the Pacific Ocean and on the north and east...
and through their Compania Salitrera obtained control over all nitrate
Nitrate
The nitrate ion is a polyatomic ion with the molecular formula NO and a molecular mass of 62.0049 g/mol. It is the conjugate base of nitric acid, consisting of one central nitrogen atom surrounded by three identically-bonded oxygen atoms in a trigonal planar arrangement. The nitrate ion carries a...
exported by the government of Chile
Chile
Chile ,officially the Republic of Chile , is a country in South America occupying a long, narrow coastal strip between the Andes mountains to the east and the Pacific Ocean to the west. It borders Peru to the north, Bolivia to the northeast, Argentina to the east, and the Drake Passage in the far...
. Their business in Chile was such that they eventually established Grace & Co. in Valparaíso
Valparaíso
Valparaíso is a city and commune of Chile, center of its third largest conurbation and one of the country's most important seaports and an increasing cultural center in the Southwest Pacific hemisphere. The city is the capital of the Valparaíso Province and the Valparaíso Region...
. http://query.nytimes.com/mem/archive-free/pdf?_r=1&res=9801EFD9123FE533A25751C2A9649D94649FD7CF To support the vast Grace South American operations with lower costs and in-house control, in 1892 the Grace brothers established The New-York and Pacific Steamship Company, Limited, progenitor of their Grace Steamship Company. The operation began with a fleet of six newly built steam-powered freighters that shipped products manufactured in the United States from the port at New York City around Cape Horn
Cape Horn
Cape Horn is the southernmost headland of the Tierra del Fuego archipelago of southern Chile, and is located on the small Hornos Island...
to various ports on the west coast of South America
South America
South America is a continent situated in the Western Hemisphere, mostly in the Southern Hemisphere, with a relatively small portion in the Northern Hemisphere. The continent is also considered a subcontinent of the Americas. It is bordered on the west by the Pacific Ocean and on the north and east...
. The ships returned with cargos of raw material
Raw material
A raw material or feedstock is the basic material from which a product is manufactured or made, frequently used with an extended meaning. For example, the term is used to denote material that came from nature and is in an unprocessed or minimally processed state. Latex, iron ore, logs, and crude...
s, primarily from the Grace brothers South American businesses.
The shipping company was incorporated and headquartered in London, England, with Michael Grace as Chairman of the Board. He began spending a part of each year in England where between 1894 and 1915 he leased Battle Abbey
Battle Abbey
Battle Abbey is a partially ruined abbey complex in the small town of Battle in East Sussex, England. The abbey was built on the scene of the Battle of Hastings and dedicated to St...
as a residence for his family. http://www.battle-abbey.co.uk/visitor04.htm He spent the other part of the year in the United States where he maintained a home at Westbury
Westbury, New York
Westbury incorporated in 1932 as a village in Nassau County, New York in the United States. The population was 15,146 at the 2010 census.The Village of Westbury is in the Town of North Hempstead....
on Long Island
Long Island
Long Island is an island located in the southeast part of the U.S. state of New York, just east of Manhattan. Stretching northeast into the Atlantic Ocean, Long Island contains four counties, two of which are boroughs of New York City , and two of which are mainly suburban...
near daughter Margarita and her husband, John Shaffer Phipps
John Shaffer Phipps
John Shaffer Phipps was an American lawyer and businessman who was an heir to the Phipps family fortune and a shareholder of his father-in-law's Grace Shipping Lines. He was a director of the Hanover Bank, U.S. Steel Corp. and W. R...
, of the prominent Phipps family
Phipps family
The Henry Phipps family of the United States was founded by Henry Phipps, Jr., the son of an English shoemaker who emigrated in the early part of the 19th century to Philadelphia, Pennsylvania before settling in Pittsburgh. When a child, Henry Phipps was a friend and neighbor to Andrew Carnegie...
. In 1916, Michael Grace oversaw Grace Steamship Company's addition of a mail delivery service between New York and its regular South American ports.
Consolidation of holdings
Michael and William Grace had a third brother, John W. Grace. For years he remained mostly out of the limelight running a business in San Francisco, CaliforniaSan Francisco, California
San Francisco , officially the City and County of San Francisco, is the financial, cultural, and transportation center of the San Francisco Bay Area, a region of 7.15 million people which includes San Jose and Oakland...
. However, with Michael based in London
London
London is the capital city of :England and the :United Kingdom, the largest metropolitan area in the United Kingdom, and the largest urban zone in the European Union by most measures. Located on the River Thames, London has been a major settlement for two millennia, its history going back to its...
, England
England
England is a country that is part of the United Kingdom. It shares land borders with Scotland to the north and Wales to the west; the Irish Sea is to the north west, the Celtic Sea to the south west, with the North Sea to the east and the English Channel to the south separating it from continental...
for half the year plus his extensive travelling to South America
South America
South America is a continent situated in the Western Hemisphere, mostly in the Southern Hemisphere, with a relatively small portion in the Northern Hemisphere. The continent is also considered a subcontinent of the Americas. It is bordered on the west by the Pacific Ocean and on the north and east...
, when William developed health problems in the early 1890s it made it necessary for John to come to New York to help oversee operations. As part of estate and successor planning, in 1895 the three brothers consolidated most of their holdings into a new private company incorporated in West Virginia
West Virginia
West Virginia is a state in the Appalachian and Southeastern regions of the United States, bordered by Virginia to the southeast, Kentucky to the southwest, Ohio to the northwest, Pennsylvania to the northeast and Maryland to the east...
called W. R. Grace & Company. The consolidation involved W. R. Grace & Co. of New York, Grace Brothers & Co. of Lima, Peru, Grace & Co. of Valparaíso, Chile, William R. Grace & Co. of London, and J. W. Grace & Co of San Francisco. The officers of the new company were:http://query.nytimes.com/mem/archive-free/pdf?res=9B0DE0DD123DE433A25752C1A9679C94649ED7CF
- President - William R. Grace
- 1st Vice-President - Michael P. Grace
- 2nd Vice-President - John W. Grace
- Secretary & Director - Edward Eyre
- Director - Lillius Grace (Mrs. W. R.)
- Treasurer - J. Louis Schaefer
J. Louis Schaefer, who joined the company as a boy, would play a key role in not only W. R. Grace & Company in which he became a vice-president, but also as president of Grace National Bank
Grace National Bank
Grace National Bank was a bank headquartered in New York, New York. It was established as local private bank by W. R. Grace and Company in 1914 to concentrate on business done in South America. On June 19, 1924, the Grace National Bank became a nationally chartered financial institution...
. Schaefer would be a co-executor of the Estate of Michael Grace with William's son and corporate successor, Joseph P. Grace
Joseph Peter Grace, Sr.
Joseph Peter Grace, Sr. was an American businessman, polo player, and owner of Thoroughbred horses in the sport of steeplechase racing....
. J. Louis Schaefer died in 1927. http://select.nytimes.com/gst/abstract.html?res=F50F14F83E5A167A93C3AB1789D85F4D8285F9
William Grace died in March 1904 in New York and brother James in September of that same year in London, England. http://pqasb.pqarchiver.com/courant/access/781822082.html?dids=781822082:781822082&FMT=CITE&FMTS=CITE:AI&type=historic&date=Sep+20%2C+1904&author=&pub=Hartford+Courant&desc=John+W.+Grace+Dies+In+England&pqatl=google. Michael Grace then assumed control of all their companies. Because he had four daughters but no sons, Michael took William's most capable son, Joseph
Joseph Peter Grace, Sr.
Joseph Peter Grace, Sr. was an American businessman, polo player, and owner of Thoroughbred horses in the sport of steeplechase racing....
, under his wing and would eventually transfer his interest in the Grace businesses to him.
Family
Michael Grace married Margaret Mason. The couple had four daughters: Elisa, Elaina, Margarita, and Gladys. Tragedy struck the family on August 10, 1917 when daughter Elisa drowned while swimming in a lake in ItalyItaly
Italy , officially the Italian Republic languages]] under the European Charter for Regional or Minority Languages. In each of these, Italy's official name is as follows:;;;;;;;;), is a unitary parliamentary republic in South-Central Europe. To the north it borders France, Switzerland, Austria and...
. Elisa Mercedes Grace married the Hon. Hubert Beaumont
Hubert Beaumont (Liberal politician)
Hubert George Beaumont , styled The Honourable from 1906, was a British politician.He was third the son of Wentworth Beaumont, 1st Baron Allendale and his wife Lady Margaret Anne de Burgh, daughter of Ulick de Burgh, 1st Marquess of Clanricarde. Beaumont was educated at Eton College and then at...
, a former Member of the British Parliament
British House of Commons
The House of Commons is the lower house of the Parliament of the United Kingdom, which also comprises the Sovereign and the House of Lords . Both Commons and Lords meet in the Palace of Westminster. The Commons is a democratically elected body, consisting of 650 members , who are known as Members...
for Eastbourne
Eastbourne (UK Parliament constituency)
Eastbourne is a parliamentary constituency represented in the House of Commons of the Parliament of the United Kingdom. It elects one Member of Parliament by the first-past-the-post system of election. Traditionally a safe Conservative seat, Eastbourne became very marginal following the 1990...
. Elisa and Michael Beaumont had one child, Michael Wentworth Beaumont
Michael Beaumont
Michael Wentworth Beaumont TD, DL, JP was a British soldier and Conservative Party politician.-Biography:...
. She was working as a volunteer for the Red Cross during World War I
World War I
World War I , which was predominantly called the World War or the Great War from its occurrence until 1939, and the First World War or World War I thereafter, was a major war centred in Europe that began on 28 July 1914 and lasted until 11 November 1918...
at the time of her death. http://query.nytimes.com/mem/archive-free/pdf?res=990DE5DE103AE433A25754C1A96E9C946696D6CF
While on an annual business trip to London, England in the late summer of 1920, the then seventy-eight-year-old Michael Grace died. He, and his wife Margaret, are buried in the churchyard in Battle Abbey.