The morning news. [volume] (Savannah, Ga.) 1887-1900, 1894-08-28
PULLMAN'S PRETTY PILE.
His Company Struggles Along on d
Capital Of $4,000, 600.

CAAANttt5os AAhA. At---E4l dIu II. pINduNs
cashier and manager of the Pullman Loan
and Savings banks, was'the first witness
to testify before the national commission
this morning. 1t was the business of his
bank to transact an ordinary business as
well as to collect rents. Bryant said the
accumulations Of three to four years were
drawn out during the strike. On May /,
1898, the bank had bills to the amount of
1881 to collect from employees. One
year later this amount reached S2S,-
24S, showing forcibly the difference
made by the cut in wages Aug 1 this
amount reached S,773. These bills did
not represent all owing to the company.
1t represented only those placed in the
hands of the bank for collection.
George M. Pullman took the stand inn
mediately on the reassembling of the
| commission this afternoon. He stated
the Pullman Palace Car Company was
organized July 81, 1867, with capital of
81 100000 The town Of Pullman was es-
tablished in 1880
Commissioner Wright conducted the
examination Of Mr.. Pullman. He asked
the president of the Palace Car Company
to tell in his own way the objects of the
company and why the town was built
ing from typewriter manuscript. ITO
establish community for working men
which would enable them to live
| in harmonious relations with
the company. The relations of
the Pullman company are, however,
| simply those of a landlord in regard
to its employees, which it treats as ten
ants. The basis of 6 per cent. per annum.
which, at that time, was fair profit on
| the investment. The cost of estab-
fishing the streets and improve
ments was, of course, considered in
making this calculation. This does not
include the cost of the manufacturing
! plant"
The Pullman Company, Mr. Pullman.
| stated, did not sell property within the
! limits OF the town of Pullman because the
company did not wish Objectionable char
acters TO establish themselves in the
| town. There We're, in consequence, no
saloons or houses of i'll repute in Pullman
as there might otherwise have been. Mr.
Pullman then proceeded to explain the
| Pullman lease.
There is clause in the lease which pro-
| vides that either party may terminate it
by giving ten days notice This was for
the protection of the Pullman company,
so that it might exclude all objectiona-
BILE characters
what is the capital of the Pullman
company" asked Chairman Wright.
1896 900, ,0O0."
1t has been stated in the public press
that the Pullman company has surplus
of S16O0O0 600"
''It is more than that" said Mr.. Pull
man, This represents individual profits
and is for the most part invested in as
sets"
Are the dividends you pay based on
capital of S36, ,000,000?"
'They are. The dividends are per
cent. quarterly. The company has paid
dividends since its beginning. For three
years 1t paid per cent. quarterly, and
for while 916 per cent. annually. Lat
terly 1T has paid per cent. annually"
Has 1t been the practice of the com
pany to reduce wages from time to time,
and if so, will you tell US of such reduc-
tionsl ?" asked Mr.. Wright.
81 am not familiar with the daily work
ings of the town of Pullman. l will have
to refer the commission to the second
vice president for those details. | will
say, however, that for entire months we
did not have an order for a car. |
realized that unless something was
done there would be suffering at
Pullman, and after a consultation
with Vice President Wickes determined
TO make bids under the actual cost of
construction. We did this, and l remem-
d
/ put in bid for these cars at from $500
to S400 below the cost per car, making up
my mind to make this contribution rather
than see my men idle / believe many
other carbuilders in the country
felt the same way. AS evidence
of this, the next lowest bid to mine was
only $24 higher than mine. On another
occasion / bid for lot of $50 cars at loss
of SIS on each car, preferring TO do this
rather than see the freight shops closed
| underbid the next competitor only 81
| car. IL cost US about $50, 900 TO keep
| the men in work as long as
we did. / explained all this TO
Mr.. Heathcote, the leader of the
strikers, who said TO me: 1--WE want the
wages Of '03." | informed him it would
be impossible. / told him it would be a
most unfortunate thing if the wages Of
'93 was restored; that there was only six
or eight weeks work here as il was, and
there was none In sight at the rate on
which the wages Of '93 were based.
Mr.. Pullman then said he told Heath
cote that as long as he remained in the
employ of the company, he could have ac-
! cess to the highest officials and could
even see the books if he pleased. Were
the books, as matter Of fact, shown to
! the strike committee 2" inquired the
/ chairman. They were not, because the
men made no effort to see them"
Are you at the town of Pullman
much2"
Not great deal. don't have time"
What attempts, if any, did you make
for a satisfactory adjustment Of the
troubles at Pullman"
IAN answer TO that will come better
! from Vice President Wickes."
1T has been stated publicly very freely
! that you were approached by the strikers,
! who looked for a settlement Of the trouble,
and that you said you had nothing 10
arbitrate. II did not use exactly those
words. l may have told them something
Of the sort"
Judge Worthington then took the wit
ness in hand. He asked If the Pullman
| Land Association was a separate corpora
! ton from the Pullman Car Company.
MIR. Pullman replied that Il was entirely
so. The latter company owned 500 acres,
on which the town was quilt and
the improvements thereon. The stock
holders of the two companies
were about the same; there was, how
ever, no community OF interest The
witness said he had used his influence 10
keep the land Immediately surrounding
Pullman from being sold, because he was
afraid "Baneful influences might be es-
tablished on the border, after being shut
out Of the town itself. b"
"The profit fell of nearly $500, 900 In
the month OF August alone last year, as
compared with the same month in 1892
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