In 1879, William Davies constructed a new facility further to the east, on the south side of Front Street at the
Don River, which soon became the second largest pork processing plant on the
continent. In addition to curing pork for export, he began slaughtering and processing hogs, and his business became the first continuous/moving rail hog-slaughtering facility in Canada. In 1891, the new plant was the first in Canada to feature an artificial refrigeration unit. In 1891, the business was reorganized as the
William Davies Company Limited. By mid-1917, the majority of the shares were held by Sir
Joseph Flavelle, a prominent Toronto businessman. The company was the first Canadian food producer to establish its own chain of retail meat and grocery stores, the first major chain of food stores in Canada. By the 1880s, it operated 84 retail outlets across
Ontario. The firm was quick to open stores in fast growing areas along
streetcar lines; Flavelle was quoted as saying "where the trolley goes it fair to assume that we shall follow shortly." The company was particularly successful during the
First World War. As a result of articles in the Canadian press suggesting that meat-packing plants were making excessive profits from the domestic market in wartime, the entire pork industry was the focus of much public outcry, including charges of excess profits and fraudulent meat curing practices. The managers of William Davies were routinely accused of being war profiteers and monopolists. The
federal government established a
Royal Commission by
Order in Council in July 1917 to investigate both the William Davies Company and Matthews-Blackwell Company Limited (the firms later referred to in the commission's report as "the principal dealers in Canadian hog products in the English market"). In November 1917, after a series of hearings, the commission cleared the two companies of any wrongdoing, noting that any exceptionally high profits during the war were subject to the federal government's war taxes. ==Establishment of Canada Packers==