C.O.C.A. Times

Issue: 2006-March - Vol 7 Num 1

The History of the
Paul E. Berger
Manufacturing Company
by ROGER P. SMITH
You might get a very different answer to the ques-
tion "Who wants a Berger?" if you ask a slot machine
collector or a vending enthusiast. Advanced slot collec-
tors may know the Paul E. Berger Manufacturing Com-
pany of Chicago Ridge as one of the most successful,
but short lived of the early makers of upright electric
slot machines. Vending enthusiasts may know little or
nothing about this company except for a single vendor
in Ken Rubin's book or Bill Enes' books. The real story
of Paul E. Berger and his company is more complex
and is one of wild success and catastrophic failure, all
in a very short period of time.
In one of his books, the late Richard Bueschel attri-
butes the first Berger slot machines to 1896, but corpo-
rate records show that the Paul E. Berger Manufactur-
ing Company of Chicago received its corporate charter
March 28, 1898. The charter lists the company as a
manufacturer of 'novelties' but its main products in the
early years were upright (floor) electric slot machines
and cash registers. The small city of Chicago Ridge
was chosen as the location for the company's manu-
facturing plant. Located 15 miles southwest of the
Chicago Loop, Chicago Ridge and its neighbor, Worth,
both grew up along a feeder canal for the Illinois &
Michigan Canal that reached from the Little Calumet
River westward through the Saganash-kee Slough. The
area was first settled in the 1840s and 50s by German
and Dutch farmers, but the area languished economi-
cally until the coming of the Wabash, St. Louis & Pa-
cific Railroad in 1882. Later, the Wabash would be
crossed in the middle of Chicago Ridge by the Chicago
& Calumet Terminal Railway, which also established
rail yards in the village. In I 898, the Berger Company
located its plant on 5 acres at Birmingham & Oxford,
adjacent to the railroad intersection using some of the
existing buildings of the Navy Cash Register Company.
The Navy Cash Register Company was also known as
the Chicago Cash Register Company and was eventu-
ally acquired by National Cash Register Company in
1905. The Berger Company built housing for its em-
ployees, and a settlement with a tavern, rooming house,
and grocery store emerged around the factory. The first
post office for Chicago Ridge opened in 1900 in the
Berger factory (James H. Robison was named the first
Postmaster, April 2, 1900) and, in 1902, the Wabash
Railroad established a train station. Some longtime
residents of Chicago Ridge even credit Paul Berger as
"the man that built the town."
James Jacob Ritty of Dayton, Ohio, is credited with
inventing the cash register ("Ritty's Incorruptible Ca-
shier") in 1879. While the field of cash registers contin-
ued to be one of innovation and change for many years,
Paul Berger concentrated on other areas. It appears that
Berger had his fingers in many pies, but most of his
inventing and manufacturing efforts were spent on slot
machines. The first payout slot machines appeared in
1892, making slot machines the hot item of the day with
a number of manufacturers bringing out new models as
fast as an eager market demanded. Times were good;
the stock market crash of a few years prior (1893) had
passed, the Alaska Gold Rush of 1898 was prompting
over 50,000 men to brave the element for a chance to
get rich quick and discretionary money that could be
risked on a game of chance was available. These new
gambling devices offered novelty and a chance to win
a tidy sum. Berger joined several other manufacturers
(Mills, Caille, Paupa and Hochriem, Daniel H. Schaal,
Watling, White and the Automatic Machine Company)
and brought out dry-cell operated electrical slot ma-
chines, rising to be the primary producer of this type
of machine.
The Paul E. Berger Manufacturing Company brought
out upright (floor) model slot machines called the Chi-
cago Ridge ( 1898-1905), the Magic Fortune Teller
(1899), and what was probably their most popular ma-
chine, the Uno (1900-1902). They also made machines
that were named for other cities and states; The Mis-
souri, the Oshkosh, The Kalamazoo, and The Monadu-
ock, of which only a total of about 30 are known to
have survived. The period was one of rampant corpo-
rate copying of any successful idea, name, or product.
Like other manufacturers, Berger brought out his own
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versions of the popular Owl, Fox, Lion, Star, and Judge
(1900-1902, of which only one example made by Berg-
er is known). Paul Berger brought out his American
Beauty slot in 1901 and an unusually named Oom-Paul
(1901-1903) that has the distinction of being one of the
tallest floor model slot machines ever produced. The
Oom-Paul was named for Paul Kruger (1825-1904),
one of the fathers of the South African Republic and
swashbuckling figure of the Boer Wars. Oom-Paul is
derived from the Dutch word for Uncle but in popular
parlance of the day it had become slang for "daring-
do." It is said that Paul Berger named the machine for
this daring-do combined with his own first name. The
Berger company also brought out their own version of
the very popular 'Dewey' upright slot (1901-1904), but
as Bueschel put it, it was the "worst looking Dewey of
them all." The Berger Company was sufficiently suc-
cessful that the Sapho Manufacturing Company, also
from Chicago, licensed it to produce the Sapho floor
peep show. (Sapho also licensed this machine to Mills,
RJ White, and others at about the same time.)
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appears to be the later National Vender, made in 1907,
that is often found selling Colgan's Taffy Tolu gum
or Wilbur's Chocolates. The connection between this
patent and the subsequent manufacture of the machine
by another company remains unknown, but suggests a
need to sell or license the patent to raise cash.
With so many products in a popular field, what hap-
pened to spell the doom of the Berger Company? Elec-
trically operated slot machines of this era used power
from a dry-cell battery to detect a winning combination
and effect a payout. While this sounds like prescient
technology - one that would not make its reappearance
for many decades - it was sadly before its time. The
contacts of these machines became dirty and unreliable,
batteries had to be replaced often, and the player would
only receive their winnings if they remembered to hold
down the activating lever while the machine completed
its cycle. These were all major drawbacks that had to
be put up with, but when fully mechanical slots made
their appearance, the electric slot machines faded as
fast as they had risen to popularity.
Another key to the demise of this company may
have been the success of the young Mills Novelty
Company. In 1897, Herbert S. Mills bought out his
father 's M.B.M. Cigar Vending Machine Company and
began selling slot machines, using the relatively new
medium of printed catalogs. What worked for Sears,
Roebuck and Co., worked for Mills and the combi-
nation of widespread advertising and a mechanically
superior product put pressure on most of the compel -
ing producers of early slot machines. By 1902, the
production of electric slot machines effectively ended
because of this pressure. To further this leadership, in
1907, Charles Fey teamed up with the Mills Novelty
Company to manufacture the Mills Liberty Bell. The
Liberty Bell featured a cast iron case, with a Liberty
Bell cast into the front of the machine. The machine
originally had cast iron feet with toes, but in later mod-
els the toes were eliminated and replaced with simpler
ornate scrolled feet. The machine's reel strips depicted
playing cards (the king, queen, and jack) and it had a
bell that rang with a winning combination. The ringing
bell was quickly dropped, but the original concept was
not lost - modern slot machines use a bell that signals
a jackpot. In 1910, the Mills Novelty Company intro-
duced a slight variation to the Liberty Bell and called it
the Operator Bell because it was more available to the
operators than competing machines. This machine had
a gooseneck coin entry and featured the now famous
fruit symbols, which are still used today. It is estimated
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Paul Berger was himself an inventor. In 1898, he ob-
tained a patent for a coin acceptor (No. 612656, October
18, 1989, Figure 1) and in 1901 , was granted a patent
(No. 676,114, June 11, 1901, Figure 2) for a slug ejec-
tor/ coin head for slot machines that eventually found
use on some of his later models. While it appears that
this later coin head was an improvement over what was
available, it was inexplicably not added to Berger's ma-
chines until several years later when a competing coin
head system that did not require the user to turn a crank
had already made its appearance on other machines.
We don ' t know if this failure to take advantage of a
new technology was because of financial problems the
company was experiencing, or if this failure to respond
to rapidly changing issues in the marketplace resulted
in the company 's hard times. Berger also patented a
match or gum vender (No. 822,909, June 12, 1906) that
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