This episode of business wars is brought to you bide the Simpsons on Dizny plus the Simps is one of the longest running and most award winning series in history, and you can stream the first thirty seasons of the Simpsons and so much more right now, when you subscribe to Disney plus in the U S Wondern note Noto Lister this episode contains adult content, Pitchs June nineteen, twenty three Selma, California, the raising. Capital of the world Rusty Escan, area and through his vineyards in the burden, San Joaquin Valley, the his just dip below the horizon and it's getting dark walking through the rows of grapes, he feels peaceful. It's a far cry from the boister, dinner table that awaits him at home. Rusty is thirty years old, a small,

intimidating man with a boyish, but when provoked a steely resolve, takes hold in an inner fierceness rises up rusty, likes handling the smooth, green berries, still warm from the sun. They werea im of his home back it Armenia. He and his parent fled years ago in nineteen twelve, getting out just for the genocide that killed his entire extended family. Once in the United States. They moved to California, where they worked, his feel Nce, while they saved enough money to buy their own vineyard. It took years. Walking. The rows still feels rusty with pride. Suddenly, a Ckstruck turns into his row and skids to a stufk stitting. Cloud of dust, adrenaline, floods, Rusty's body, e searches for one of the wooden stakes. They used to train the grape vine to defend himself, but the headlights lights. Blinded rust,

here. Several men come out of the truck, but he can't tell how many his hand. Elds for the stake. He grasps it for he can pull it out of the ground. He's plunched hard across the jaw rusty alls to the ground dirt it's in his mouth and his eyes. He tastes blood, rusty struggles to stand up, but he's kicked hard in the ribs, knocking him back down, he's overpowered and outnumbered. S. Attackers tie his wrists gank him to his feet and threw a the back of the shrug inside Rusty sees he's not alone. There are seven other men all bloody with their hands. Tied behind their backs. Nfarms near by he know They all have one thing in common they've refused sell their crops to Sun made raisin corporation, and it seems son made, will stop it. Nothing

to change their minds. Support for business wars comes from capital, one with a spark. Shcard card from capital, one you earn unlimited two percent cash back on all of your business purchases, think about it. Unlimited two percent cash back on everything you buy for your business and that cash back can add up to thousands of dollars, which you can reinvest back in your business. So you can keep growing. Imagine what unlimited two percent cash back could do for your business. Learn more a capital, one do come. What's in your wallet. From Wondery I've, David Brown This is business

Raisins it's hard to think of a more innocent and dist food, the morsel that looks like a chack- ship in trail makes but Sadley isn't the little Red BB His kids abandoned in their lunch boxes or toss out of Halloween bags, Almost all of the raisins produced in the United States come from just two hundred thousand acres in California, San Joaquin Valley, with low p margins in high labor costs. It's a cut insular world that pits the gargantuan sun made raising corporation against all growers for a bigger share of

five hundred million dollar business it are now Repart series get one of the longest running business wars in the United States, a tail, as sordid as any gangster story with violence, bare legal business practices and betrayal. This is episode. One, Breat Brotherhood its nineteen eighteen in Fresno California widely, given this jacket over his protruding stomach it six years old. He is starting to put on extra pounds, but he carries it with a confidence as he stretched. Theruh His brand new processing plant It's Sunday, so the place is empty to morrow. The grand opening, but in his head He can already hear the chatter of workers as they soared in package tons of raisins. He Gren to himself.

It's a whole new day for raisins, and it's all thanks to him six years ago, the raisin industry was in the dumps. Raisins were relatively new commodity. In the United States, consumers weren't taking to them as fast as farmers expected prices dropping so low that farmers couldn't cover their production costs formers talking about forming a raisin growers, collective other agricultural, Reflek Ceteras were hugely successful when they did this it'll farmers to pool their resources and negotiate higher prices than individual could on their own, but all the efforts to organized raisin. Farmers fell apart raisin growers were a desperate and stubbornly individualistic group but wily, given an unedu boy from Pennsylvania and the son of a preacher found a first instead of organizing the California Associated Raisin Company or cark. Is

calt. It is a non profit organization as most grow collectives were he made it a corporation this allowed bankers, lawyers and others in Fresno's upper class to buy stock. Corporation, giving the collective an influx of cash were the money at hand given told that if seventy five per cent of the farmers joined the co operative, he use the money to market raisins farmers signed up THA Giffon made good on his promise. He hired the best man he could find and he came up with a perfect slogan for the raisins that Kark produces Sun may Griffin loves to play on The raisins are literally made by the sun right, but it's Imay IDE both for the beautiful girl on the box and than the Trademart. Ekind kind of wishes. That was the name of the collective. It's bet an cart Eell change it in the future. That's a problem another day right now

an is putting his money where his mouth is. He spends four thousand dollars a year on marketing, Carksan sails traps to grocery stores, to talk about wonders of Sun made raisins Atd its paying off. Ere Ince once seen as a luxury are now on shopping lists of every housewife. Sails her up and farmers are getting double for their crops, what they did before the collective. Giffin, moved on to stage two of his grand plan, a processing factory. At a in operation now the door opens and a balding man holding a notebook walks in Mest Ten, I'm with the Fresno Bee We have an interview schedule. Do you rememberh? Yes, yes, please come in the newspaper report, round the space He runs his hand along the sorting table where the raisins are prepared and then box for shipment. This is a very impressive facility. Giffin can't help notice t the Reporterth

actually seem too impressed. So tell me, what made you decide to open this factory Well. I was the logical next step. We have Y two hundred growers with us. You know it's: the largest percentage of growers IND a collective of any agricultural sector in the state right. I do know that again, Giffon Cloxa sceptical on the reporter's face. He his was going to be a glowing story about the new factory. After all, its bringing hundreds of jobs to the area He's starting to wonder if reporter has another agenda but give in Carrie's. Ought Well, the best way to move forward, so we could make a propit was to cut out the middle man and struct acking ourselves, its complete, Linigration it be cold blooded and I feel for the packing houses. They are losing a good deal of business. Seventy five percent of their business. I hear right, but it's. I job to raise propits for growers, and this was the way to do Itm.

I heard one wholesailor describe. Cark is the most air tight monopoly. He'd ever met Giffin laughs, Now he knows what this reporter's problem is he is one of these men, Whoe sceptical of monopolies, but Giffen thinks Merica's obsession with that is misguided. He believes the power of individualism is a myth. The best get ahead is to unite and take Control They may call us a monopoly or trust, but we're a benevolent one. Hebly that growers who don't join the collective are ruining it for everyone else and the way to make money for everyone is to have complete control of all specks of growing and selling raisins the more monopolistic, the better U S. Government does see it that way, it's nineteen, twenty three and twenty three Andrusky Eskandarian walks with his wife

three voys to the annual raising festival in the town center. It's a big to do. Hs live music, dancing competitions. Ne of his sons walks ahead a violin case in his hand, hurry a at I told pity. I'd meet him at the stage at three o'clock. We could tune up together beatye's. Never in to, but as rusty comes to courthouse Park, he slows down. You see Thousands of farmers gathered grim, looks on their faces. You go ahead, son, I'm going to stay here and listen to what Mister Merrit has to say: isn't he, the new head of Sun made yep. I thought we hated Sunmad Rusty and his wife, both huh Look around nervously: it's not safe to that in public there are rumors that knight writers, gangs of Sun made of Filigats or targeting independent ors, coercing them to join rusty Quy. Tells his son if we were independent. What

happens to Sunmaide affects us all. Okay, it's important that we know. What's going on, he splits off from his family, joins the other farmers in the park. Its packed wut The estimates that there must be a few thousand people here after a moment insevere. Looking man steps up to the Podeum, its Ralph P, Merritt the new head of Sunmaid, the crow. Watches him dubiously. He has finances background and hi's work cattle and rice, but he's never worked with raisins. The crowd grow silent As you know, we are in a time of crisis. The old Sun made corporation was bound to be in violation of United States, Anti trust laws, rust, shifts uncomfortably in stays. Quiet merit continues. Fortunately Congress stepped in and passed a law that allows grower collectives to set prices

but they have new rules that we need to follow. The MAS important one is that we need eighty five percent of you to sign up in order to be considered a collective. We one month to reach this goal. Can we do it? If son made fails, thes entire region fails. Don't that happened. The crowd begins to disperse, lest he heads out to meet his family at the vestibule. As he is leaving a Sony employee approaches him waving a contract. Can I get you to sign this rusty tenses as survivors of the armenian Genicide, Rusty's parents and Stille the strong sense of independence. In him they told him don't and on any one else, but rush sobjections to Sun, Sunmade or more than philosophical. It's about economics before it distributes profits to farmers. The

elective extracts spfees for marketing and the cost of them as if smaller growers fail to deliver the harvest they promised, and that could be ruinous for a small farm like Rusty's he'd, rather his chances negotiating with a few independent packers that are left I'm going to hold off as rusty walks away feel the man's eyes. Narrowing boring into him. He TR, s not to show his fear? But he knows there is now a on his back a few weeks later, rusty finds himself tied up in the back of a truck with other sun made hold house. After what s like an hour. The truck finally stops the Phador opens all the sun made. Men grab the farmers roughly throwing them out of the Trugh Let's go lump again's that tree now. Oh he kicks them

next to rusty. To emphasize his point, the formers are tied to a fig tree he stares at the men, pushing them around. Their are blonde hair and blue eyes are in stark contrast with the ethnic features. Farmers, they've tied up. Scandinavians and Armenians have both been in the valley since the late eighteen, hundreds growing raisins, but The Scandinavians were welcomed by the upper crust with open arms. They ar idians we're not. One of the sun made men cracks a whip with one hand he holds up a contract in his other All you have to do is sign your raisins over the sun maid. An all this will be over none. The Farmers move the man with the whip size I guess we're doing this. The hard way I witness egains rusty, looks the man right in the eye, as the whip

Shis, rusty legs and torso. He wond ive him. The satisfaction of wincing one by one. The farmers around him give in they signed the contracts, but they get to rusty. Two sides, but he has a CK up his sleeve make sure to get as much of his blood as he can on. The paper What is this? We can't turn in a bloody contract, Atgo. We have enough signatures for to night rusty, anages, a small, grin, may be bloody and beaten, but I Still, an independent farmer rusty, survives t that he never signs with Sunmaid the ekes out a living is an independent raisin farmer until his death, Nineteen sixty two for forty years Unmaid's power will be unmatched.

Neighteen sixties, one UN Gle farmer will dig in his heels a challenged. Sun maids hold edge take up. Oraise it industry Hale won a talk. For just a moment about our sponsor courts. You know about courts right quartz is full of creative, intelligent journalism, it was bounded in twenty. Twelve were a new kind of business leader at quartz. They take you out. The breaking new cycle. You know the cable news and all that kind of stuff you go way beyond help. You better understand how the world your work and your place in both are changing. For example, have you wondered what Bill gates might do if he could turn back the clock to when he was fifteen, don't you think about I actually saw a Vidio interview with a microso founder on courts. Talking about that very thing thing else I saw ion court was a fascinating pece when,

Silicon Valley is becoming an increasingly powerful political force, not just a tech force. These are the deep dives that you'll find I ports. These are stories that go way. On the main stream, the stories that make you think about where you and your business, my fit into this changing world. But look, I'm only cratching the surface. If you become a quartz member, even more incredible content opens right up to you. From exclusive guides, bidioseries and presentations to conference calls Give you one on one: access to Quourt journalists and experts. Qort is offering listeners of business were something very special. Fifty per cent off your first year of membership just go to cusi dot com click become a member and then inner code B, W with no space. That's promo code. Bido you no space to get fifty per cent off your first year of Memby

hip with quartz over the course of a lifetime, the average person spends more than one hundred fifteen thousand hours at work. Well, at's about thirteen years so finding a way to make work more, rewarding, fulfilling and enjoyable is pretty much guaranteed to be a good use of your time. Don't you think Lintoln's new podcast, hello Monday with Jesse Hemple, is back. Season, two brought you by Lincoln's editorial team. This podcast tackles how to get the most for Monday, with the office is a skyscraper in midtown or a spare bedroom. Upstairs each week host Jesse Hemple sits down with featured guests to investigate the roll work place in our lives and uncover lessons, you can apply to your own career, so whether your five hours into your first job or have just five hundred left. O retirement you'll be ready to take on Monday and the rest of the work week. For that matter, with the knowledge to shape own future find hello Monday, with Jesse Hemple and Apple pod guests

wherever you listen to bocasts. I'm sorry boys. We can't go up any higher. It's sixty six and earning Bedrojian and his brothers Kenneth and Crecors or sitting in the office of a sun made, executive earnie is a carriae. Matic man who started attending Raisin board meetings when he was in college at Fresno state. He has a deep passion for the he's in business, but today he hates it. They've been here for hours trying to negotiate a price for this year's crop. Their form is in to but Sunmad is started. Buying additional raisins from independent farmers to boost out put at their packing house me tries again to get the price he needs at hundred forty dollars per a time we won't break even Two hundred and fifty the exact shrubs

is take your leave at time. If you don't Sdeal. I have growers waiting to meet with me, who will the brothers change, a look two hundred forty dollars. Ton will meet their margins, are tight but I's just one small form. They don't have. A lot of leverage as the bigges, Byer son, made effectively sets the price reluctantly the brothers agree. On the drive back to the farm here, demoralized every The negotiations get more difficult, ever know what price they're going to get her. Even when they'll get paid. It all fields? their control in the back seat? Earny stews We wouldn't be in this position. If we had a raisind bargaining association, all the independent growers could unite and set a price. Some ad couldn't undercut us in the front burning

brothers exchange a look. This is not the Irsttime Earnie's raised this point. He's been talking, since College Kenneth, sighs. Are you going to tell us about the tomato growers? Again? prices rose two hundred per cent after they formed a bargaining association. Why can't we do that? you couldn't get a group of raisin farmers to agree on where to have dinner you're, never going to get enough of them to join a bargaining association, not enough for it to have any power anyway. Creaker agrees The raisin farmers who were still independent now stay independent. They stood up to the night rider's dugs they're, just not joiners. N. He looks out the window they're passing another packing plant, outside. He sees men. He knows from a nearby farm, their picketing, demanding a higher rate from the packing plan. I don't know, I think they

Different. Now, I think, is time o with permission from his brother Earnee takes the next year off from the farm and spends it organizing. What will become known is the Reat bargaining, association or R B, a it's slow go but Earny is able to use his natural Carisma Armeni an heritage and deep knowledge of the business to Convecnt. People to sign on he's tireless. He sets of tar how many tons of raisins he needs to have leverage, organizes district meetings. He makes personal contact with rose. He works with a s government to establish them as an official association, and he makes progress finally in February nineteen sixty seven, he draw up to one of the last farms, a drinaline Hups through his veins,

this farmer was one of the last holdouts, but Ernie was able to earn. His trust he's indicate he's ready to sign Ernie just hopes he has changed his mind in a half hours taken him to drive over here. Earni takes a deep breath and knocks on the door the tall dark. Hair's man opens the door hired hi, so you ready to do this yeah. I guess I still feel, like my dad, has Goin a roll over in his grave and well tie change. I know our people like to stay independent, but what's the point Independence, if we can't make a living, the man nods you're right, Erney presents a contract in a pen. The man signs his name mark Esgandarian, he's Rusty's son. Earny grins wide he's done it h

mark signature He has nearly two thousand, er signed up the yard. PA represents farmers growing more than one hundred fifty thousand tonnes of raisins? Finally, Ernie has the Lebargy needs to negotiate with Sun Sunmad and that fall it's time to see what kind of money he can get for his newly unified growers. Earne lets out a satisfied sigh as he puts his Waterglass on the table. You Ans back in his seat? He's ing with the sun made exacts again, but this time o, I feels entirely different. He has power now good news boys We are willing to improve our prize from last year to two hundred forty two dollars per time. No, I'm sorry the rb, a his set, the price of three hundred seven dollars per time we

can't go below that and when I say we to be clear, I mean eighty per cent of the independent growers in the area. You understand the ex did puffs out his chest. Well, perhaps we to continue these conversations with the growers who are not in the r B, a Erniye he's through his bluff. Ush You can do that. Fall? All you need is twelve thousand tons of raisins that's all they have the executive grows pale. He has no option but to accept the arbie's price in Teen sixty seven its first year in existence. The arbie gets a twenty eight percent. Ce increase for its members, but, more importantly, it gets a en against Sunmade something that was on cable for years, and that, threatens sun maids control over the market for now, but Suddeny

still has some tricks up its sleeve on the next episode, California raisin space, a new competitor from over scenes, the r B, a overplays its hand, and son made bightes to establish its dominance from r. This is business wars. We sure hope you enjoyed this episode and we invite you to subscribe on Google gasps Botify Apple pot, guests, Stid, your Eyehor radio, wherever you listened upon, guess, there's a linkl episode notes and a few tappers wipe over the cover. Art you'll see some offers more sponsors. He hoped support our show by supporting them. If you like what you've heard, we would love it. If you give us a five star rating, an tell your friends how to subscribe to another support us as by answering a short survey at one Rydot comb, slash survey and tell us what business wore stories you like to hear:

We should say something about the conversations in this episode. We can't know exactly what was said, but the dialogue he is based on our best research. I'm Yourh vid Brown lost in reckless wrote this story. Karen LO is our senior producer and editor sound, designed by Cile Randall for Baaria Sound. Our executive producers are Jinnie Lowerbeck an is marshal Leuin created by Fernand Lopez. Por, wonder.