The daily morning journal and courier., 1894-08-28
MIR. PULLMAN ON THE STAND
HE TELLS MANY FACTS REGARDING
 THE RECENT BIC STRIKE.

sAS A11Ao Iu.fNi FhtIS hEthHDANu " THE RECENT BIG STRIKE.
 To All Questions That He Was Asked He
 Gave Direct Answers-The Company Built Many Cars at Q Loss in Order to
 Keep the Men at Work.
 Chicago, Aug. 27.-Edward F. Bray ant cashier and manager of the Pull man Loan and Savings bank, was the first witness to testify before the Ma ton Labor commission to-day. George M. Pullman took the stand after recess. He stated the Pullman Palace Car company was organized July 31. 1867. with a capital of $1,oOo. 900. The town of Pullman was established in 1880.
 Commissioner Wright conducted the examination of MT. Pullman. He asked the president of the Palace Car com pany to tell in his own way the ob- jects of the company. .and why the town was built
 "The plan was," said MT. Pullman, reading from a typewriter manu- script, "to establish a community for workingmen which would enable them to live in harmonious relations with the company. The relations of the Pull man company are, however, simply those of a landlord in regard to its en- ployes, which 1t treats as tenants. The basis of profit was 6 per cent. per an- num-, which at that time was a fair profit on the investment. The cost of es- course considered in making calcula- tion. This does not include the cost of the manufacturing plant"
 The Pullman company, he stated, did not sell property within the limits of the town of Pullman, because the company did not wish objectionable characters to establish themselves in the town. There were in consequence no saloons or houses of ill-repute in Pullman, as there might otherwise have been.
 Mr. Pullman explained that the clause in the lease which provides that either party may terminate it by giving ten days notice was for the protection of the Pullman company. What is the capital of the Pullman company" ask ed Chairman Wright. "Thirty-six mill ions."
 Tt has been stated in the public press that the Pullman company has a sur plus of $16,000, ,00O." Tt is more than that" said MT. Pullman. "This repre- sents individual profits, and is for the most part invested in assets"
 Are the dividends you based on a capital of $Ss,0OO, ,00O?" "They are. The dividends are per cent. quarterly. The company has paid dividends since the beginning" r.a & Has it been the practice of the com pany to reduce wages from time to time?'' asked MT. Wright q am not familiar with the daily workings of the town of Pullman. I will have to refer the commission to the second vice pres- ident for those details"
 MT. Pullman stated that for months the company did not have an order for a car. He realized that unless some thing was done there would be suffering in Pullman. He, therefore, bid for fifty five cars at from $500 to s4OO below the cost of a car, deciding to make this con- tribution rather than see the men idle. Afterwards he bid for 25O cars at a loss of $15 on each car. It cost the company about $50,O00 to keep the men in work as long as it did.
 MT. Pullman continued: CT explained all this to MT. Heathcote, the leader of the strikers, who said to me- We want ;he wages of 1S93.' informed him that that was impossible; that it would be 8 most unfortunate thing if the wages of 1893 were restored: tha. there was only six or eight weeks work here, as it was, and there was none in sight at the rate on which the wages of 1893 were based"
 MT. Pullman said he told MT. Heath cote that as long as he remained in the employ of the companay he could have access to the highest officials and could even sec the books.
 The books were not shown to the sti ike committee because tine men made no effort to See them.
 "What attempts did you make for a satisfactory adjustment of the troubles at Pullman?"
 'An answer to that will come better from Vice President Wickes"
 "Jt has been stated publicly that you were approached by the strikers, who looked for a settlement of The troubles, and that you said you had nothing to arhitrate." ~
 T did not use exactly those words. nay have told them something Of the sort.' .,.
 Judge Worthington asked if the Pull man land association was & separate corporation from the Pullman Car company.
 MT. Pullman replied that it was ell- tira!y so. The stockholders were about the same.
 MT. Pullman stated that the average increase of the capital stock of the car company had been about {. million q year. There had never been any stock watering or extra dividends. The prof. It's fell off nearly $60O,0OO in August alone last year as compared with the same month in 1892.
 Has the company made or lost money during the past year?"
 Tt has made money. It has paid it's usual dividend of per cent, about $. 900, ,0O0 in all"
 "Do you not think it would have been right, MT. Pullman, for a company making as much money as that to have in some measure shared its profits with %h. oy,a n1ovas at .o,l1Iuna n ?" k+