Eye on America: Millionaires
DAN RATHER: One of the great stories of America in the last fifth of the 20th century is how many Americans have become millionaires. Tonight, the CBS EVENING NEWS begins a two-part series on how people do become millionaires. It's in two easy lessons, but please note, it is the lessons that are easy. There's certainly no guarantee that you will become a millionaire. But we will show you how others have done it and are doing it. CBS NEWS Economics Correspondent Ray Brady has lesson one tonight in a town built on soda pop.
JULIA WOODWARD: See, there you go.
RAY BRADY: In Quincy, Florida, it might as well be the town symbol.
BRADY: With good reason. Julia Woodward and a lot of others in Quincy, Fla., got rich, really rich, investing in Coca-Cola. And as the stock rose a world away on Wall Street, back in this sleepy Southern town, people in Quincy are getting still richer -- not by chance. Julia Woodward's father started it all. Pat Munroe, Mr. Pat, was the town banker. In the '20s and '30s, Mr. Pat told everybody here-- wrote letters to them, too-- buy Coca-Cola, even a few shares, and never sell.
BRADY: Mr. Pat would even lend depositors money so they could buy the stock.
JULIA WOODWARD: He said during the Depression that everybody would really have a nickel for a Coca-Cola, whereas they wouldn't have it for something else. He thought that that was one of the staying powers it had.
BRADY: And what was his argument when he told people never to sell the stock?
WOODWARD: Well, he just believed in it.
BRADY: No wonder. One share bought in 1919 for $40, dividends reinvested, you'd have today $5,629,831.00, all out of that one $40 share. Mort Bates started buying when he was 12; he's still buying.
MORT BATES: A young friend of mine called me up one day and asked-- he says, "Mort," says, "when is the best time to buy Coca-Cola?" I said, "Anytime you got the money."
BRADY: At Bell & Bates hardware, Mort Bates' store, you can get
investment advice on Coke anytime.
MORTON BATES: It's got a certain taste that people like. Everywhere they go, they like it. They like it in China. They like it in Russia. They even like it in France.
BRADY: And they like it in Quincy, Florida.
BATES: Yes, sir, they like it here.
BRADY: Altogether there've been at least 25 Coke millionaires in this town of 9,000. At one point, Quincy, Florida, was the richest town per capita in America. And Coke millions built a cultural center, sent local kids to college, and even today give this town an edge others don't have.
W.C. "Bud" BRANSON: Other towns kind of envy Quincy.
BRADY: W.C. "Bud" Branson heads Mr. Pat's old bank.
I've been in a lot of trust departments, but I've never seen one with Coca-Cola on display.
BRANSON: You've probably never been in a trust department that-- that had the impact on it that Coca-Cola has with us.
BRADY: A phenomenal 65% of the assets in this trust epartment are Coke stock. Coke dividends saved this agricultural town in the Depression of the '30s and in every recession since.
What would you tell somebody who owns Coca-Cola today? Would you say hold it or sell it? What would you tell them?
WOODWARD: Why wouldn't I say to hold it? I-- it paid off for me.
BRADY: And it also paid off in new schools and beautiful homes, the legacy of a small town banker and a big stock.
In Quincy, Florida, I'm Ray Brady for Eye on America.
Copyright 2009 CBS. All rights reserved. JULIA WOODWARD: See, there you go.
RAY BRADY: In Quincy, Florida, it might as well be the town symbol.
BRADY: With good reason. Julia Woodward and a lot of others in Quincy, Fla., got rich, really rich, investing in Coca-Cola. And as the stock rose a world away on Wall Street, back in this sleepy Southern town, people in Quincy are getting still richer -- not by chance. Julia Woodward's father started it all. Pat Munroe, Mr. Pat, was the town banker. In the '20s and '30s, Mr. Pat told everybody here-- wrote letters to them, too-- buy Coca-Cola, even a few shares, and never sell.
BRADY: Mr. Pat would even lend depositors money so they could buy the stock.
JULIA WOODWARD: He said during the Depression that everybody would really have a nickel for a Coca-Cola, whereas they wouldn't have it for something else. He thought that that was one of the staying powers it had.
BRADY: And what was his argument when he told people never to sell the stock?
WOODWARD: Well, he just believed in it.
BRADY: No wonder. One share bought in 1919 for $40, dividends reinvested, you'd have today $5,629,831.00, all out of that one $40 share. Mort Bates started buying when he was 12; he's still buying.
MORT BATES: A young friend of mine called me up one day and asked-- he says, "Mort," says, "when is the best time to buy Coca-Cola?" I said, "Anytime you got the money."
BRADY: At Bell & Bates hardware, Mort Bates' store, you can get
investment advice on Coke anytime.
MORTON BATES: It's got a certain taste that people like. Everywhere they go, they like it. They like it in China. They like it in Russia. They even like it in France.
BRADY: And they like it in Quincy, Florida.
BATES: Yes, sir, they like it here.
BRADY: Altogether there've been at least 25 Coke millionaires in this town of 9,000. At one point, Quincy, Florida, was the richest town per capita in America. And Coke millions built a cultural center, sent local kids to college, and even today give this town an edge others don't have.
W.C. "Bud" BRANSON: Other towns kind of envy Quincy.
BRADY: W.C. "Bud" Branson heads Mr. Pat's old bank.
I've been in a lot of trust departments, but I've never seen one with Coca-Cola on display.
BRANSON: You've probably never been in a trust department that-- that had the impact on it that Coca-Cola has with us.
BRADY: A phenomenal 65% of the assets in this trust epartment are Coke stock. Coke dividends saved this agricultural town in the Depression of the '30s and in every recession since.
What would you tell somebody who owns Coca-Cola today? Would you say hold it or sell it? What would you tell them?
WOODWARD: Why wouldn't I say to hold it? I-- it paid off for me.
BRADY: And it also paid off in new schools and beautiful homes, the legacy of a small town banker and a big stock.
In Quincy, Florida, I'm Ray Brady for Eye on America.
