The Indianapolis journal. [volume] (Indianapolis [Ind.]) 1867-1904, 1894-06-07
AFTERNOON SESSION.
M. C. Patton Advocates the Forma-
ton of "a Trust.

NJ. c. Patton Advocates the Forma-
ton OF "a Trust.
Tn afternoon session was opened by NJ.
c. Patton, Sheboygan, Wis, reading a long
paper. referring to the various manners of
keeping the accounts in the factories so
as to determine definitely the cost Of every
article produced. To the manufacturer his
paper was very interesting, as was shown
by the close attention with which it was
received. 1t was a concise statement of
what should enter Into the item of first
cost Of manufactured goods, and what
should be charged against the business in
general as expense The place to draw this
line of division has always been a Stun
bling block to a large number Of manu-
facturers. On account Of the great differ
ence of opinion, the cost of an article, as
figured by some manufacturers, was con-
siderably less than others, but the differ
ence was Offset by the increased amount
charged in expenses. If Mr.. Patton's sug-
gestions are followed a uniform manner of
bookkeeping will be adopted.
The balance of the address was in refer
ence to the all-absorbing topic of prices.
During the past year. in the general strug-
gle for what few sales were made. most
manufacturers nave reduced prices to such
an extent that very few, If any, of them
have made any money. At the beginning
of the year all was bright for the future
and all factories figured on large sales.
Stocks were manufactured accordingly.
When the crisis came large stocks were on
hand and debts staring the manufacturers
in the face. To raise money. in some cases
prices were ruinously cut. In other cases
prices were maintained, but the large stock
which had to be carried over cut off all
profits. To remedy this condition was the
subject " the latter part of Mr.. Patton's
paper. He said that some manufacturers
were always ready TO join any combination,
but would go 40 further. The only COM
6ination he esked for was one which would
divide the business into branches, as fol-
lows: Chairs, parlor and upholstered goods.
suits, tables, SdeboardS, wardrObes. and
kitchen safes and specialties and novelties.
He thought some such division as this
should be made. and then a committee APP
pointed to secure the names Of all who will
Join q combination, and let this committee
then decide upon a classification and prices
to be- adopted. He did not want n uniform
scale Of prices adopted. but on certain
lines, where individual design and n
mentation entered largely into values, a
certain discretion should be allowed SO as
10 stimulate a fair competition. Then for
large buyers he advocated a graduated
scale OF discounts In proportion to the
amount OF a shipment under a single in
voice. The entire drift of this part of his
paper WAS lOWdIu the establishment or an
other trust. Although all the members ap-
preached on the subject denied that the
trust was for any other purpose than to
regulate prices and put them on a basis
which would allow the factories to run
and make s or s per cent. on their invest
ment, il remains TO be seen whether the
limit will remain at a reasonable per cent.
after the trust is once in good working
order.
This paper was discussed generally by
the members present. and. with a few ex-
ceptions, they were in favor OF such action
being taken by the convention as would
put this new movement on foot.
Secretary Laycock. of this city. read his
report. which showed that New York and
Grand Rapids had withdrawn from the as
ISOLATION with their eighty members but
to offset this loss enough others had Joined
to make the total membership four more
than IL was last year. He also reported
the statistics gathered from the manufac-
turers in regard to fire insurance, which
were quoted above. The convention then
adjourned till $3.50 this morning. Last night.
at s o'clock. about $50 members took a trip
TO Fairview Park Complimentary tickets
were distributed TO the members to the
and most of them VIII view the
city from on high some time to-day.
Residents OF this city do not generally
know the reputation IL has abroad in the
furniture line In the manufacture OF
lounges the city ranks above all other
places in the United States. There are eight