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533:, a company he knew from his trucking company days when his trucks transported Reynolds cigarettes across the United States. In January 1969, Reynolds agreed to buy Sea-Land for $ 530 million in cash and stock. McLean made $ 160 million personally and got a seat on the company's board. To carry out the purchase, Reynolds formed a holding company, named R.J. Reynolds Industries, Inc., which bought Sea-Land in May 1969. That same year, Sea-Land ordered five of the largest, fastest container ships in the world -
32:
390:, which he converted to carry containers on and under deck. McLean oversaw the construction of wooden shelter decks, known as Mechano decking. This was a common practice in World War II for the carriage of oversized cargo, such as aircraft. It took several months to refit the ships, construct containers to carry on and below the vessels' decks and design trailer chassis to allow removable containers.
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was sold to
Diamondhead Corporation, a land development company headquartered in a Mountainside, New Jersey and owned by McLean. The venerable old resort which had seen virtually no noticeable changes in its 75 years before its sale became the center of controversy. Finally, in 1982, Pinehurst became
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container ships that were the largest afloat at the time. The ships, operating in round-the-world service, were designed in the aftermath of the 1970s oil shortages and were fuel-efficient but slow, and therefore not well-adapted to compete in the subsequent period of cheap oil. USL went bankrupt in
453:
to handle even more container traffic. The development of the container market was slow until the late 1960s. Many ports did not have the cranes to lift containers on and off ships, and change was slow in an industry steeped in tradition. Moreover, unions resisted an idea that threatened their
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Malcom revolutionized the maritime industry in the 20th century. His idea for modernizing the loading and unloading of ships, which was previously conducted in much the same way the ancient
Phoenicians did 3,000 years ago, has resulted in much safer and less-expensive transport of goods, faster
422:
In 1956, most cargoes were loaded and unloaded by hand by longshore workers. Hand-loading a ship cost $ 5.86 a ton at that time. Using containers, it cost only 16 cents a ton to load a ship, 36-fold savings. Containerization also greatly reduced the time to load and unload ships. McLean knew
375:
In the early 1950s, McLean decided to use the containers commercially. By 1952, he was developing plans to carry his company's trucks on ships along the U.S. Atlantic coast, from North
Carolina to New York. It soon became apparent that "trailerships", as they were called, would be inefficient
967:
International
Symposium on Theory and Practice in Transport Economics Transport and the Challenge of Structural Change Eighth International Symposium on Theory and Practice in Transport Economics, Istanbul, 24-28 September 1979. Introductory reports and a summary of the discussion: Eighth
658:
In 1982, McLean made the Forbes 400 Richest
Americans list with a net worth of $ 400 million, however, a few years later, having gambled on rising oil prices that failed to materialize, McLean had to file for Chapter 11 bankruptcy owing debt of $ 1.3 billion.
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the property of
Diamondhead's major lenders, who formed a NC corporation called Resort Assets Corporation. With their takeover, a more viable effort was then made to work in concert with Pinehurst village officials to restore the overall community.
559:, the financial-ratings firm, named RJR one of its five best-managed companies in America. But in 1975, Sea-Land's earnings dropped sharply, along with Aminoil's. McLean relinquished his Reynolds board seat in 1977 and cut ties with the company.
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began. For transporting passengers' baggage, four containers were used. These containers were loaded in London or Paris and carried to ports, Dover or Calais, on flat cars in the UK and “CIWL Pullman Golden Arrow
Fourgon of CIWL” in France.
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As the advantages to McLean's container system became apparent, competitors quickly adapted. They built bigger ships, larger gantry cranes and more sophisticated containers. Sea-Land needed cash to stay competitive. McLean turned to
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Under
Reynolds, Sea-Land's profits were intermittent. By the end of 1974, Reynolds had put more than $ 1 billion into Sea-Land, building huge terminals in New Jersey and Hong Kong and adding to its fleet of container ships.
434:, began regular service between New York, Florida, and Texas. During the summer of 1958 McLean Industries, still using the name Pan-Atlantic Steamship Corporation, inaugurated container service between the U.S. mainland and
376:
because of the large waste in potential cargo space on board the vessel, known as broken stowage. The original concept was modified into loading just the containers, not the chassis, onto the ships, hence the designation
320:
by eliminating the need for repeated handling of individual pieces of cargo, and also improved reliability, reduced cargo theft, and cut inventory costs by shortening transit time. Containerization is a major driver of
419:, was asked what he thought of the newly fitted container ship. Fields replied, "I'd like to sink that son of a bitch." McLean flew to Houston to be on hand when the ship safely docked.
760:
Trailer Bridge, Inc., which McLean founded in 1992, annually awards the Malcom P. McLean
Innovative Spirit Award. The annual McLean Award recognizes an outstanding graduating student at
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to shareholders, as an independent, publicly held company, with stock trading on the New York Stock
Exchange. Sea-Land achieved the highest revenues and earnings in its 28-year history.
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In 1935, when he finished high school at Winston-Salem, his family did not have enough money to send him to college, but there was enough for McLean to buy a used truck.
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1986. McLean took very personally the criticism directed against him after the collapse of USL and the resulting loss of many jobs associated with and dependent on USL.
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In 1974, R.J. Reynolds Industries had its best year. Sea-Land's earnings increased nearly 10 times, to $ 145 million. Aminoil's earnings soared to $ 86.3 million.
355:
The idea of transporting trucks on ships was put into practice before World War II. In 1926, regular connection of the luxury passenger train from London to Paris,
1323:
Frank Broeze. (2002). - "The Globalization of the Oceans: Containerization from the 1950s to the Present". - International Maritime Economic History Association.
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International Symposium on Theory and Practice in Transport Economics, Istanbul, 24-28 September 1979. Introductory reports and summary of the discussion
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lead and became vigilant about standardization. His efforts to increase efficiency resulted in standardized container designs that were awarded
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552:, for $ 56 million. RJR put millions into oil exploration, trying to get Aminoil large enough to compete in the world exploration market.
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595:, which accounted for approximately 36% of the total U.S. marine container shipments between the continental U.S. and the markets of
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1370:"The Box That Built the Modern World: How shipping containers made distance irrelevant." By Andrew Curry, July 25, 2013, Nautilus
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McLean also developed non-maritime inventions, including a means of lifting a patient from a stretcher onto a hospital bed.
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named him one of the ten outstanding innovators of the past 40 years. In 2000, he was named Man of the Century by the
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delivery, and better service. We owe so much to a man of vision, "the father of containerization," Malcolm P. McLean.
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had 27,000 trailer-type containers, manufactured by Fruehauf, 36 trailer ships and access to over 30 port cities.
910:. - (c/o National Academy of Sciences). - Number 246. - September–October 2006. - (Adobe Acrobat *.PDF document)
530:
399:(informally dubbed the "SS Maxton" after McLean's hometown in North Carolina), was loaded and sailed from the
82:
53:
49:
993:"TANKERS TO CARRY 2-WAY PAYLOADS; Filled Trailer Vans to Form Cargoes for Vessels That Normally Carry Ballast"
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in April 1960. McLean's operation was profitable by 1961 and he kept adding routes and buying bigger ships.
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McLean died at his home in New York City on May 25, 2001, age 87, of heart failure. His death prompted
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or "box" ship. At the time, U.S. regulations would not allow a trucking company to own a shipping line.
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On the morning of McLean's funeral, container ships around the world blew their whistles in his honor.
312:, which revolutionized transport and international trade in the second half of the twentieth century.
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The same year, McLean, his sister, Clara, and his brother, Jim, founded McLean Trucking Co. Based in
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Sea-Land's international services were sold to Maersk in 1999, and the combined company was named
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in 1913. His first name was originally spelled Malcolm, though he used Malcom later in life.
922:"Czechoslovak activity to prepare European norms for containers before the Second World War"
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347:, McLean Trucking started hauling empty tobacco barrels, with McLean as one of the drivers.
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On April 26, 1956, with 100 invited dignitaries on hand, one of the converted tankers, the
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1131:"CITIBANK GROUP TO GET THE PINEHURST RESORT," Special to the New York Times, March 4, 1982
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8:
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1303:
The Box: How the Shipping Container Made the World Smaller and the World Economy Bigger
1142:"Bankruptcy Step Taken By McLean," by Susan F. Rasky, The New York Times, Nov. 25, 1986
854:
The Box: How The Shipping Container Made The World Smaller and The World Economy Bigger
829:
725:
671:
308:(November 14, 1913 – May 25, 2001) was an American businessman who invented the modern
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1074:"Fruehauf Engineers the Shipping Container," The Fruehauf Trailer Historical Society
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protection. McLean made his patents available by issuing a royalty-free lease to the
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In 1967, Sea-Land was invited by the U.S. government to start a container service to
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McLean was inducted into the Junior Achievement U.S. Business Hall of Fame in 1982.
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411:, later called containers, along with a regular load of liquid tank cargo. As the
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216:
1061:"BBC Radio 4 - Things That Made the Modern Economy, Series 1, Shipping Container"
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McLean was inducted into the North Carolina Transportation Hall of Fame in 2006.
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McLean is the only person to found three companies that were later listed on the
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1311:
Outside the Box: How Globalization Changed from Moving Stuff to Spreading Ideas
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In August 1963, McLean opened a new 101-acre (0.41 km) port facility in
442:. The name was officially changed from Pan-Atlantic Steamship Corporation to
383:
McLean secured a bank loan for $ 22 million and, in January 1956, bought two
322:
16:
Transport entrepreneur who developed the modern intermodal shipping container
1157:
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905:"The Containership Revolution: Malcolm McLean's 1956 Innovation Goes Global"
577:. Sea-Land Corporation common stock was exchanged for $ 28 per share, cash.
476:. The service to Vietnam produced 40% of the company's revenue in 1968/69.
384:
1275:. North Carolina Transportation Hall of Fame. June 1, 2013. Archived from
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In late 1968, commercial container ship service was inaugurated from the
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To achieve reductions in labor and dock servicing time, McLean followed
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The former Sea-Land's domestic services was operated until 2015 as
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inducted McLean into its Business Hall of Fame in 1982. In 1995,
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as the greatest revolutionary in the history of maritime trade."
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225:
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European Conference of Ministers of Transport (2 January 1980).
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Sea-Land's biggest expense was fuel, so in 1970, RJR bought the
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In April 1966, Sea-Land commenced service between New York and
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left the Port of Newark, Freddy Fields, a top official of the
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called McLean "one of the few men who changed the world."
894:
1306:. - Princeton, New Jersey: Princeton University Press.
1222:"Malcolm McLean; Pioneered use of Shipping Containers"
562:
In June 1984, R.J. Reynolds Industries, Inc. spun off
742:
In 2000, McLean received an honorary degree from the
1179:"Malcolm McLean Made Waves With Shipping Containers"
1034:
Ebeling, C. E. (Winter 2009), "Evolution of a Box",
1156:. Trailerbridge.com. April 15, 2013. Archived from
573:merged with CSA Acquisition Corp., a subsidiary of
483:to the United States. This service was expanded to
56:. Unsourced material may be challenged and removed.
851:
1011:"Who Made America? - Innovators - Malcolm McLean"
627:In 1968 McLean financed a real estate project in
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1318:Box Boats: How Container Ships Changed the World
1201:
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825:"M. P. McLean, 87, Container Shipping Pioneer"
516:International Organization for Standardization
427:", and based his business on that efficiency.
316:led to a significant reduction in the cost of
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890:. Vol. 10, no. 1. 1949. p. 84.
430:In April 1957, the first container ship, the
957:
884:"Men, Money and Ideas Are Remaking A Region"
876:
1273:"2006 Induction and Awards Ceremony Photos"
919:
1340:Photo of Ideal-X, the first container ship
843:
666:, which operates between the US mainland (
638:In 1971, the Pinehurst Resort property in
287: 1993–2001)
267: 1959–1992)
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698:In an editorial shortly after his death,
584:, which, in 2006, became known simply as
425:A ship earns money only when she's at sea
407:, Texas, carrying 58 35-foot (11 m)
116:Learn how and when to remove this message
1154:"History of Trailer Bridge Incorporated"
849:
417:International Longshoremen's Association
1360:The Box That Changed Asia and the World
1033:
770:
1377:
1205:"Shipping Pioneer Largely Ignored". -
858:. Princeton University Press. p.
807:
615:. In 2015 the company was acquired by
822:
451:Port Newark-Elizabeth Marine Terminal
401:Port Newark-Elizabeth Marine Terminal
1410:20th-century American businesspeople
1111:Katrina and the Forgotten Gulf Coast
144:McLean at railing, Port Newark, 1957
54:adding citations to reliable sources
25:
1400:American businesspeople in shipping
734:International Maritime Hall of Fame
650:. There, he built a fleet of 4,400-
611:. The company was headquartered in
350:
13:
1415:Businesspeople from North Carolina
1395:People from Maxton, North Carolina
1300:Marc Levinson. (2016, 2nd ed.). -
1089:- (Apparatus for shipping freight)
971:. OECD Publishing. pp. 142–.
221:Founder of McLean Trucking Company
14:
1426:
1333:
1113:, Dog Ear Publishing, LLC, 2006.
689:to make the following statement:
19:For those of a similar name, see
823:Saxon, Wolfgang (May 29, 2001).
188:"The Father of Containerization"
30:
21:Malcolm Maclean (disambiguation)
1405:20th-century American inventors
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920:Lewandowski, Krzysztof (2014).
662:In 1991, at 78, McLean founded
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41:needs additional citations for
1366: (archived March 1, 2007).
1313:. Princeton University Press.
1185:. investors.com. June 25, 2014
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1:
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310:intermodal shipping container
1364:(Error: unknown archive URL)
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1354:(Error: unknown archive URL)
1320:. - Fordham University Press
744:U.S. Merchant Marine Academy
623:Subsequent business ventures
546:American Independent Oil Co.
7:
1316:Brian J. Cudahy. (2006). -
345:Red Springs, North Carolina
10:
1431:
1362:at thutucxuatnhapkhau.net
1352:at thutucxuatnhapkhau.net
1247:"Malcolm McLean 1913-2001"
764:, selected by professors.
646:In 1978, McLean purchased
18:
1211:. - June 14, 2001. p.23A.
1183:Investor's Business Daily
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640:Pinehurst, North Carolina
617:Matson Navigation Company
613:Charlotte, North Carolina
521:By the end of the 1960s,
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196:Inventor and Entrepreneur
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1350:The Passing of a Pioneer
1327:The Container Revolution
1036:Invention and Technology
753:(plus two others on the
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633:Diamondhead, Mississippi
531:Reynolds Tobacco Company
238:Diamondhead, Mississippi
1309:Marc Levinson. (2020).
850:Levinson, Marc (2006).
762:George Mason University
751:New York Stock Exchange
670:), Puerto Rico and the
369:French Northern Railway
696:
444:Sea-Land Service, Inc.
403:, New Jersey, for the
335:Maxton, North Carolina
318:freight transportation
226:Sea-Land Service, Inc.
161:Maxton, North Carolina
154:Malcolm Purcell McLean
1086:U.S. patent 2,853,968
903:Cudahy, Brian J., -
691:
668:Jacksonville, Florida
629:Waveland, Mississippi
436:San Juan, Puerto Rico
306:Malcom Purcell McLean
1279:on February 18, 2015
1099:Hanseatic Lloyd—News
771:Notes and references
664:Trailer Bridge, Inc.
571:Sea-Land Corporation
564:Sea-Land Corporation
557:Dun & Bradstreet
232:Trailer Bridge, Inc.
50:improve this article
942:10.22306/al.v1i4.25
648:United States Lines
569:In September 1986,
523:Sea-Land Industries
333:McLean was born in
299:3 (with first wife)
1345:Ideal-X and McLean
830:The New York Times
672:Dominican Republic
548:, better known as
1226:Los Angeles Times
1208:The Baltimore Sun
999:. April 27, 1956.
978:978-92-821-0730-0
730:American Heritage
303:
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201:Years active
179:New York City, US
157:November 14, 1913
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361:Fleche d'Or
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1283:2015-07-22
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