ITT history

ITT's first major expansion was in 1923 when it consolidated the Spanish Telecoms market into what is now Telefónica.

The combined effects of good timing, well-placed connections, and Sosthenes' charm brought ITT the concession for telephone service in Spain in 1924.

A National City banker arranged a meeting between Walter Gifford, chairperson of bank customers at AT&T, and Sosthenes Behn, which resulted in the sale of the company to ITT on September 30, 1925, along with temporary use of some of AT&T's patents.

In the United States, ITT acquired the various companies of the Mackay Companies in 1928 through a specially organized subsidiary corporation, Postal Telegraph & Cable.

The onset of the depression in 1931 brought financial difficulties, but Behn’s skillful handling of the firm’s indebtedness enabled Itt to survive and grow.

A boardroom battle for power occurred, which Behn eventually lost, despite having reinstated the dividend in 1951.

MOVE! Reap profits." The author of these military-like directives was "Hurry-Up-Hal" Geneen, ITT Chairman and President since 1959.

ITT was the largest owner of the LM Ericsson company in Sweden but sold out in 1960.

In 1963, ITT began to make a significant number of acquisitions, averaging one company a month.

In 1965, ITT attempted to purchase the ABC television network for $700 million.

At the time Farnsworth was also developing the Fusor fusion reactor, which was funded by ITT until 1967.

The first of a stunning series of setbacks came in 1968, when the conglomerate lost its bid to acquire the American Broadcasting Co. when the United States Justice Department challenged the takeover on antitrust grounds.

The Justice Department made several more moves against ITT, including litigation attempting to prevent its takeover of Hartford Fire Insurance in 1970.

In May 1971, ITT president Geneen pledged $400,000 to support a proposal to hold the convention in San Diego; only $100,000 of the contribution was publicly disclosed.

4 / April 1972- 3 - this firm operates at 1,336 airports around the world and in the United States -- Continental Baking; Makes Wonder Bread (6 million loaves a day.), Hostess Cupcakes, Twinkies, etc.

In March 1977 Lyman C. Hamilton was appointed CEO, and Geneen became Chairman of the Board.

In July 1979 Rand Araskog became CEO. Shortly thereafter, Araskog insisted that the board remove Geneen as Chairman, though Geneen remained on the board for four more years.

Under the leadership of Rand Araskog from 1980, however, ITT sold off many of the companies it had acquired earlier under Geneen, including its Continental Baking subsidiary.

ITT agreed to divest assets equal to those of Hartford's--including Avis, Levitt, Canteen, and Grinnell--and pledged not to acquire any companies with assets over $100 million until 1981.

The design was done at the Advanced Technology Center (Stamford, Connecticut and then Shelton, Connecticut). Manufacturing was by ITT's subsidiaries, such as BTM in Belgium, where the first production system was installed at Brecht, in August 1982.

By the end of 1984, the company had divested 69 subsidiaries totaling nearly $2 billion.

While fighting off hostile overtures from three corporate raiders--Jay A. Pritzker, Philip Anschutz, and Irwin Jacobs--Araskog continued to liquidate ITT's holdings, selling over 100 subsidiaries by 1986.

In 1987 it divested its telecommunications businesses by forming a joint venture, Alcatel N.V., with France’s Cie.

Institutional investors, especially the California Public Employees' Retirement System (CalPERS) revolted against ITT when, in 1990, Araskog's salary doubled to $11.4 million in spite of a 20 percent decline in the corporation's stock price and a 30 percent drop in income from operations.

Writing in 1992 for Business Horizons, Danny Miller compared Geneen's managerial style to Icarus of Greek mythology--both characters' greatest assets led to their demise.

Late in 1993, Araskog announced the pending spin-off of forest products subsidiary ITT Rayonier Inc. to shareholders.

In fact, Business Week quoted him calling that option "not outlandish," and the company announced that it was exploring the possibility early in 1994.

In 1995 it sold its financial-service businesses and acquired Madison Square Garden in New York City and Caesars World, Inc., a large casino operator.

Araskog's pending retirement (in 1996, at age 65) and the resurgence in divestments combined to fuel speculation that the CEO might break ITT up into three independent companies.

Geenen, The Economist wrote in his 1997 obituary, “postulated that a company could successfully invest in any sort of business anywhere.

In 1998 this new ITT Corporation was acquired by Starwood Hotels & Resorts Worldwide, Inc.

Declassified documents released by the United States Central Intelligence Agency in 2000 reveal that the company financially helped opponents of Salvador Allende's government prepare a military coup.

In March 2007, ITT Corporation became the first major defense contractor to be convicted for criminal violations of the United States Arms Export Control Act.

On April 16, 2009, ITT announced it has signed a definitive agreement to acquire Laing GmbH of Germany, a privately held leading producer of energy-efficient circulator pumps primarily used in residential and commercial plumbing and heating, ventilating and air conditioning (HVAC) systems.

An announcement was made September 14, 2010, to close the Cleveland site.

On January 12, 2011, ITT announced a transformation to separate the remaining company into three publicly traded independent companies.