History of Frito-Lay Company

The Frito Company
Corn chips, which are derived from corn masa like that used in tortillas, were originally developed by Gustavo Olguin. Charles Elmer Doolin worked for him as a fry cook for a short time.

In 1932, Charles Elmer Doolin purchased a Gustavo’s corn chip recipe, a handheld potato ricer and 19 retail accounts for $100. Doolin set his new business venture in his mother’s kitchen. Because there was no money for hiring employees his family helped him.

In 1933, the fritos production was increased by designing a ‘hammer’ pres and the company continued to expand.

In 1945, The Frito Sales Company was established, which separated sales from production activities. Expansion by the Frito National Company continued with issues of six franchises in 1945.

H. W Lay & Company
Herman W. Lay was a salesman for Sunshine Biscuit Company, but during the Depression he lost his job.

In 1932 Lay was hired by Barrel Foods a snack food firm in Atlanta Georgia, and began selling peanut butter sandwiches in southern Kentucky and Tennessee. His job is to sell and make deliveries for the company by his model A Ford touring car.

Lay was an aggressive business and began acquiring distributorships. As his territories expanded, his profits arise. When Barrett’s founder died in 1937, Lay bought the company, which included plants in Atlanta and Memphis, Tennessee.  He changed the company name onto H. W Lay Co. Inc on October 2, 1939.

By end of the World War II, Lay’s had become a major regional produce of snack food. After the war Lay automated his potato chip manufacturing business and diversified its products.

Popcorn, manufactured in Nashville, Tennessee, was the first product to have the ‘Lay’s’ brand name. Lay also manufactured potato chips.

Frito Lay Incorporation
In 1945, Lay met Elmer Doolin. Doolin franchised Herman Lay a license to distribute Fritos.  The two companies also cooperated on other products.

In September 1961, The Frito Company and H. W Lay & Company merged to become Frito-Lay, Inc.

On June 8, 1965, the merger of Frito-Lay and Pepsi-Cola Company was granted by shareholders of both companies, and a new company called PepsiCo, Inc was form.

By the end of the 1960s, Frito –Lay was the dominant company in the snack world.
History of Frito-Lay Company