The Portland daily press. [volume] (Portland, Me.) 1862-1921, 1894-08-21
GIGANTIC COMBINES.
Trusts That Have Millions Wrapped
Up in Them.


Came Iuto Existence With the Year
1s9O-Mystifying Authorizations
The exciting times in, the Senate and
interesting proceedings of the Senate
sugar trust Investigating committee have
brought before the public the great COM
binations of capital as they have never
been before. Outside the monied classes
little is known of trusts, their working
methods, or their quotations on the
stock market. The Standard Oil Com
pany has been the best known for
years, as it is about the Oldest and
strongest, and as result Of its propen-
sity to gobblesup any thing from single
oil we'll to a million-dollar refinery, OBJ
tanned notoriety not relished by the in
corporators of the combine The same
words apply TO the sugar trust, with the
exception that their notoriety is a direct
result of dabbling in politics. Outside
of these two combinations very little is
known of the methods or titles of the
many other com blnes. 1t is generally
known that a trust is formed for the
purpose of controlling production of GER
tain articles, and if this purpose is at
tanned SUCCESS is assured. The ratio Of
success to failures is about one half.
demonstrating that it is quite differ
emit matter to conceive a thing and to
put it into successful operation. The
very latest failure in the trust line is
the UNI brella com bine. The first resort
to control the output appeared to be sue
cessful, but their capital proving made
quate they went to the wall with rush.
f..s re
boon to the general reading pu bic was
that of the book trust. One year ago
the average price for novel from the
pen of a reputable novelist WAS fifty to
seyenty-fve cent?, that is bound in
paper, while today the same ed itions can
be bought for ten cents. The more cost
ly bound books have also taken great
drop, but as this class of reading matter
is generally copyrighted, a standard
price prevails. AT the book stalls one
frequ emily ove-heafs remarks to the
effect that it cannot be understood how
books can be sold SO low with profit re-
sulting thereform. 1t is well known
fact thatlone of the publishers controls
patent press that turns out book,
printed, pasted and bound, at an aver
age cost of not quite two cents. What
nice profit at ten cents, and what a
huge one at fifty cents.
In conversation with well known
stock broker whose office is located up
on street, reporter of the Evening
Star recently cleaned considerable infor-
nation about trusts and their methods
and capitalization. Among the long
list of stocks quoted daily and published
in the Star, are number of tru SITS
whose names hardly convey to the un-
informed the nature of the com bination
quoted in the market. The broker said
The fhistory of trusts Is short, COM
q G m
few of the combinations, such as they
are now. were known to those familiar
with the stock exchange bulletin boards
and quotations. The success of the
larger combines CAVES great boom to
the idea of controlling production under
one head, andsas result trusts became
great fad with would-be Napoleons of
finance. Millions were made and mil
lions were lost. AGO., D.and G. f. c.,
AS. r., cordage, National Lead, Edison
General, Ghicago Jas and several other
abbreviated terms do not convey much
meaning to the uninitiated, but they
have world of Interpretation to the
speculation. These trusts. with the
great railroad stocks, make up most of
the list daily quoted il the Stars inan-
cial column, and bulletined on change
and in the brokerage offices, and in
larger cities, through the almost omni-
present ticker, whose Ineligible tick
or unmakes mems fortunes, Ringing on
margins
THE GREAT SUGAR TRUST.
"A bout the best known of all trusts
at the present time is the American Su-
gar Refining Company, but few people
are aware of the immense amount of
money wrapped up in the coucern. This
com bine is New Jersey corporation,
with an original capital of $50, 600, 900,
divided equally between the common
and preferred stockholders. III January,
1892, an additional S25, 200, 900 in stock
was voted, making the capital of the
trust S75, 900, coo. This additional $25, 000,-
600 was voted to buy up sugar re-
fineries. The stock is a great specula-
tive, being good to buy or sell anywhere
from % to 100. and many Washginton
people will vouch for the correctness of
this statement. The great Havemeyer,
the Spreckles, the Franklin Sugar Com
any and Others are in the trust which
has tremendous grip On the sugar
producing business of the country east
OF the Rocky mountains.
Several good stories afe told in con-
nection with the expenditure of the $685.,
6o0. 600 additional stock that was voted
IN 1899 IN which &c MIR. Claus Spreckles
figures as the bright particular star.
For many years back Mr.. SpreckleS has
mad monopoly Of the Pacific coast, and
all he asked of the trust was that he be
left alone. But the trust felt strong
and invaded his territory. This aroused
the strong Teutonic blood in Mr.. Spreck-
les, and ne decided to retaliate in Kind.
He came east. and, after purchasing a
site in Philadelphia, started the ball of
competition rolling. He not only built
q mil1ion-dollar plant, but prepared for
long fight by pc suading hundreds of
Pennsylvania farmers to go into the
cultivation of sugar beets, promising to
take the entire product at PORTABLE
figures. Many farmers stopped raising
tobacco and went into the sugar beet
cultivation, and made money at it, too.
Seeing these preparations for great
fight the trust decided upon compro-
mise. but MIR. Spreckles, seeing his great
bold on the trust. decided to make them
pay for inaugurating the fight. His
plant In Philadelphia cost. all told,
about 81. SOC, 200, and to pacify the farm
ers around that city take another $780,
><ral n W..