The New York herald., 1879-08-31
THE COAL TRADE.

PRESIDENT GOwEN's PROPOSITIONS FOR RE.
srRICTINa THE PRODUCTION.
PHILADELPHIA, Pa, August 80 1870.
President Gowen, of the Reading Railroad Com
pany returned to the city late this afternoon and
before leaving for his home penned the following
letter to Judge Lathrop-
AUGUST 80, 1872
MY DEAR JUpGi:-Referring to our several inter-
views during the last ten days, the subject OF the
coal trade. have thought it proper to put into
writing the two alternative propositions suggested
80 that in conference with others you may know
acty the position of onr company. First. we will
AL to unite in general suspension OF mining for
two weeks in December next. two weeks in January
next. two weeks III February next and one week in
March next or second il an absolute suspension
of mining is not satisfactory to all we will unite in
curtailing the output of coal for the five months
named to the following amounts:-For September,
1879, l,250.0O0; for December. 1879 1000.O00; for
january. 1880. 100000: for February $780, 750. .000
for March. 1880, $4,000, ana as the establish
ment of u fixed tonnage for the hve months will in
volve the necessity OF pro rata distribution.
would suggest that in order to avoid disputes about
quotas the entire tonnage for the period named be
divided in the exact proportion III which
each company will have had of the
total output for the eight months
ending with August 81, 1872 Each of the above
alternative propositions is made conditioned upon
the following THAT the price of free burning white
ash coal. board in New York. be at once ad-
vancod him as follows:-Tor September SO
per ton: for October SO 25 per ton; for Novem-
Der ss 80 per ton; TO. for December pssa to March s
satisfactory agreements be made that will practI-
cally guarantee tach of that such prices will be
obtained: and. further, that some supervising and
controlling committee of more persons be
appointed with ample authority to q faithful
compliance with the proposed agreements.
Assuming the second OF the above propositions to
be accepted 1t VIII be practically impossible pro-
duce and ship to market more than the following
tonnage:--For 1879, 2334U.O0o tons; for 1880.
tO0),000 tons, and l think that one
at all conveisant with the trade will doubt
that at least such quantity will be re-
quired i still desire to retcrate what
have often stated TO YOU verbally that in my
opinion there is no such serious over-production OF
coal to account for the present low prices. and
that all that is really necessary TO get good prices is
to ak for them, and while am still convinced that
if any regulation for the trade Is required the
best plan all would be to provide for one
selling agency for the entire product thereby
establishing something Ike a clearing house, by
which all sales must be made and all moneys be COL
lected and distributed am not 80 firmly welded
to my opinions as to insist upon them If they
at all obnoxious 10 others, and our company
is and IL always been, entirely willing to
adopt any plan which. without sacrificing the future.
will practically guarantee to greater profits for
the present Icanno: bnt believe tlati either OF tho
plans have suggested should be adopted All OF the
anthracite companies would at once become divi-
dend coming corporations and rs this is really the
great object to be attained am sure need not
say to you that SO far our company Is concerned
its managers VIII gladly forcgo their OWN views and
adopt any plan by whomsoever suggested that will
in the end produce the desired Very respect
fully yours, FRANKLIN u. GOWEN, President.