Russian-American Company

Russia's first joint-stock company, it came under the direct authority of the Ministry of Commerce of Imperial Russia. Count Nikolai Petrovich Rumyantsev (Minister of Commerce from 1802 to 1811; Minister of Foreign Affairs from 1808 to 1814) exercised a pivotal influence upon the early activities of the company. In 1801 the company's headquarters moved from Irkutsk to Saint Petersburg, and the merchants who were initially the major stockholders were soon replaced with Russia's nobility and aristocracy.


Count Rumyantsev funded Russia's first naval circumnavigation of the globe under the joint command of Adam Johann von Krusenstern and Nikolai Rezanov in 1803–1806. Later he funded and directed the Ryurik's circumnavigation of 1814–1816, which provided substantial scientific information on Alaska's and California's flora and fauna, and important ethnographic information on Alaskan and Californian (among others) natives. During the Russian-California period (1812–1842) when they operated Fort Ross, the Russians named present-day Bodega Bay, California as "Rumyantsev Bay" (Залив Румянцев) in his honor.

Later period[edit]

In 1818 the Russian government had taken control of the Russian-American Company from the merchants who held the charter. Starting in the 1820s the Company's profitability slumped due to declining populations of fur-bearing animals. It had already had bad annual returns, in 1808 slightly less than half of the 2,300,000 rubles of expense were covered.^[4] Between 1797 and 1821 the RAC or its forerunner the United American Company collected the following inventory of furs, worth in total 16 million rubles: 1.3 million foxes of several species, 72,894 sea otters, 59,530 river otters, 34,546 beavers, 30,950 sables, 17,298 wolverines, 14,969 fur seals along with smaller numbers of lynx, wolf, sea lion, walrus and bears.^[28]


In 1828, Emperor Nicholas I of Russia ordered the RAC to begin to supply the Russian settlements on the Kamchatka Peninsula, such as Petropavlovsk, with salt. The Company was expected to ship between 3,000 and 5,000 poods of salt annually.^[29] Continual difficulties in securing large amounts of cheap salt in the Kingdom of Hawaii and Alta California led officials to consider Baja California instead. Arvid Etholén was dispatched in the winter of 1827, and soon secured permission from Mexican authorities to gather salt around San Quintín.^[29] Transportation was arranged with the Misión Santo Tomás.


The explorer and naval officer, Baron Ferdinand Petrovich von Wrangel, who had been administrator of imperial government interests in Russian America a decade before, was the fifth governor (in office: 1830 to 1835) during the government period. Eventually during the 1840s the governing board of the company was replaced with a five-member administration of imperial naval officers.^[4]


During the Crimean War of 1853 to 1856, when the United Kingdom fought against the Russian Empire from 1854 to 1856, officials of the RAC began to fear an invasion of their Alaskan settlements by British forces. The RAC began discussions with the Hudson's Bay Company in the spring of 1854, with each company pledging to continue peaceable relations and to press their respective governments to do the same.^[27] The United Kingdom and the Russian Empire accepted the deal by the companies, but both governments specified that naval blockades and seizure of vessels were acceptable actions.^[27] The British HMS Pique and the French Sibylle attacked an RAC outpost on Urup Island in the Kuriles in 1855, in the belief that the agreement did not cover the Kuriles.^[30]


The company built a whaling station at Mamga in Tugur Bay in the Sea of Okhotsk in 1862. It operated from 1863 to 1865 before being sold to Otto Wilhelm Lindholm. Two schooners used the station as a base, sending out whaleboats to catch bowhead whales, which were towed ashore and processed at a nearby tryworks.^[31]


The Russian-American Company has been appraised as being run with "poorly chosen and inadequately skilled staff", floundering in part from "the lack of experience of the executives handling an organization which overreached itself through its expansion across the Pacific and along the American coast into California..."^[4] The company ceased its commercial activities in 1881. In 1867, the Alaska Purchase had transferred control of Alaska to the United States and the commercial interests of the Russian-American Company were sold to Hutchinson, Kohl & Company of San Francisco, California, who then renamed their company to the Alaska Commercial Company.