The times. [volume] (Richmond, Va.) 1890-1903, 1890-01-09
THE CIGARETTE TRUST.
OFFICIALS OF THE BONSACK
COMPANY RETlCENT.

4 special dispatch from Lynchburg, Va,
yesterday said: The correspondent Of The
TIMES interviewed to-day some Of the lead
ing members Of the Bonsack's Cigarette Ma
chine Company with a view Of ascertaining
any connection II might have with the To
bacco Trust company which now occupies
so much anxious discussion in business
and tobacco circles, as well as in the Legis-
laturc.
The officers Of the company, the leading
ones Of whom are here, are very reticont
and refuse TO give any general information
to newspaper men. They say they are not
at liberty to divulge the inier-proccedings
or intentions Of the company.
But the leading and. Of course best in
formed officer Of the BOusack Company,
authorizes your correspondent 20 say that
there has not yet been any consolidation Of
the two companies, nor positive agreement
as % any negotiations. The regular annual
meeting Of the company will assemble i'm
this city, at Mr.. j. A. kricsc's banking
house January -. when. no doubt. final
/ conclusions will be reached as % the ncgO-
tiations now on hand, and transitions
which may take place between the two
companies or combinations OF tobacco and
cigarette trusts.
The general impression. as derived from
close inquiry among the tobacco and other
business men, is that the combination be-
tween The two companies and interests will
Doe complete on the 22d, when the Bonsack
! Company meets in this city. but Of course
I the terms Of II cannot now be determined.
/ ON application Of the TINES correspondent,
one of the leading and most reliable tobacco
, shipping houses i'm this city. and perhaps in
the country, gives The following view Of the
question as involving the Bonsack and
Ginter combination or trust company.
I'VE have hardly sufficient light as yet as
20 the details Of the company formed, their
intention and their probable policy. The
violent competition. the immense expense
in conducting the cigarette business. the
premiums given the smokers or consumers,
which involved heavy outlay, swallowing up
/ the bulk Of the profits. the increasing Bit
terness Of competition; these are some Of
the reasons, no doubt. that have led tO this
| combination. one organization viii suffice
where formerly il required five, one sales
man, one Office and supply-house in large
cities where formerly itrequired four or i've.
| less advertising, fewer premiums. if any
in fact. the saving viii amount far over a
million dollars per annum IN the expense OF
conducting the business.
"Ihc concentration Of their purchases iu
/ the hands Of one buyer on each market will.
of course, do away with excessive prices.
/ but we think the competition of export
| buyers and Of other manufacturers will still
insure the planter a fair price for his to-
| Dacc0. The syndicate will. Of course. dis
| claim any intention TO buy cheaper than
| before. or 10 have any intentions except fOI
I Che benefit Of the farmer and the benefit of
/ the public at large, bat il is oDly reasonable
To suppose that they will buy as cheap a-
/ they can, and consult their own i'm
( iercsts before those Of others. This
combination will hurt the tobacco
dealers likewise, and not curtailng the
competition i'm the open market. the farmer
Will have no cause 10 grumble. as said De-
| fore. Fine bright tobacco will. however. still
give him fair returns for his labor As tOthe
i B0nsack COmpany's connection with the
deal, IL is somewhat premature 90 speak. The
company itself has not ceased 10 exist. nor
sold its rights, but will continue as before.
leasing IFS machines and ROYALTY. With a
contract insuring its continued use andstho
assurance of "a regular income, even If
somewhat reduced i'm amount. counter
| balanced. perhaps. gradually 10y the in-
| creased product of cigarettes. the interests
Of its stockholders are well secured. il
would SEEM
TOBACCO INTERESTS AGAIN HEARD.
A special Yesterday from Washington said.
The hearing of persons Interested in thl
tobacco interest was continued before ihl
WAYS and Means Committee to-day /. Bi.
jour, of New York. was the first witness in
Obiecting 10 the placing Of "a specific tax on
imported tobacco. Mr. BiiuOr said this
would be manifestly unjust. for the reason
| that some tobacco was worth five cents per
pound. while some was worth six dollars
per pound. He thought a remedy could De-
had by leaving the duty on filters no thirty
five cents and placing a duty ON wrappers
at from three 90 five dollars.
:. G.. Hubbard, president of the New Eng
land Tobacco Growers Association. said he
would like tO see the internal revenue tax
repealed, and the duty ON >umatra tobacco
" all kinds increased.
W. 4. Morris. Of Painted Post. New York.
representing the Chemuten HALEY Tobacco
! Growers Association, read - statement
! protesting against the admission of foreign
| tobacco 40 the present rate Of duty. The
| farmers, he said. were becoming Respondent
40 the present condition of things. and they
earnestly demanded "A change. sumatrt
| tobacco was not 80 for smoking. ltdid not
compare in aroma with the American pro-
| ducts. However. he said. sumatra cigars
[
American trade
] Jonathan Wychen. of Onandaga. New
I York, q tobacco farmer argued in favor of
] protection Tor the producer. lie said that
/ The manufacturer of cigars was protected.
| while the producer was not
After recess +. y. Fenner. of Utica. New
/ York. addressed the committee in favor of
high protective duty on an imported to-
baccO.
George r. Stage. of Kentucky, said he
wanted 20 be relieved from giving enormous
whisky bonds. and favored giving am an
nual bond and doing away with the monthly
bonds. The amount of the bonds he SAID
should be reduced.
lie said further that he would not COM
plain Of the tax, but would like 10 see 10 Ie-
duced. When Questioned by MIR. Carlisle I'M
regard to the whisky trust. he knew nothing
If il, and if it existed the Kentucky
people had nothing 10 do with it,
He was followed by Y. +. piO.Di. a
farmer Of Pennsylvania, who addressed the
committee ON the repeal of the tobacco
tax. The American, he said, wanted "a
duty imposed ON all agricultural products
imported equal to the difference in cost Of
labor, ana II this Congress did not DO this
the farmers, he said. would get one that
would He also wanted a duty placed on
hides equal 10 the duty placed on leather
Also a duty on eggs and cabbage. and he
stated that he did not think our hens should
be compelled 10 lay against the pauper hens
of Europe. He proposed duty of i've conts
per pOzen on eggs.
John screyer, of Savannah, Ga. addressed
the committee on behalf of the rice assOcia-
ton of that state lie argued i'm iayOr of
protecting the rice industry. and said that 10
received an the protection Congress could
give. for since the emancipation of slaves
the rice raiser had 10 compete with the cheap
labor abroad.
f. G.. Earnest. OF New Orleans. represent
ing the manufacturing rice industry. asked
the committee TO establish code 20 distin-
guish the different grades of rice so as %
compel the imported article 90 pay its prop
er duty. and wanted the same rate Of duty
ON cleaned and uncleaned rice. lie was fol-
lowed 10y +. Dupre, Of New Orleans. who
spoke in favor of protecting the rice indus
try.
j.. b. Bissell, Of Charleston, :. c.. spoke
in favor of retaining the duty on rice. Col.
Gresham Lansing, OF New York, argued
in favor Of extending protection 20 this in
dusiry rs far as possible. He also asked %
have the duty ON beans and peas increased
from twenty 20 forty cents per bushel. aud
an increase on barley from ten cents o.