The representative. [volume] (St. Paul, Minn.) 1893-1901, 1894-11-07
GIGANTIC TRUSTS.
COMBINES THAT REPRESENT
MILLIONS : 4NE CONTROL
MILLIONS MORE.
Monopolies that, are sapping the
Likelihood.
lChicAgo Times.l

AAAAooNS AU W OIouS uU UC1OIC UIIC puU1lC
the great combinations Of capital as
they have never been before. Outside
the moneyed classes little is known of
trusts, their working methods, or
their quotations on the stock market.
The Standard Oil company has been
the best known for years, as it is
about the Oldest and strongest, and as
a result of its propensity to gobble up
anything from single Oil we'll to a
million-dollar refinery obtained a no.
toriety not yet relished by the incor-
porators 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 combines.
1t is generally we'll known that a
trust is formed for the purpose of con-
trolling production of certain articles,
and ii this purpose is attained success
is assured. The ratio of success to
failures is about one half, demonstrate
ing that it is quite different matter
to conceive thing and put it into
successful operation.
The very latest failure in the trust
line is the umbrella combine, says the
Washington Star. Their first efforts
to control the output seemed to be
successful, but their capital proving
inadequate they went to the wall with
rush. Another trust failure that
has proved boon to the general
reading public was that of the Book
trust. One year ago the average price
of novel from the pen of a reputable
novelist was so cents to Is cents-that
is, bound in paper-while today the
same editions can be bought for 10
cents. The more costly bound books
have also taken a great drop, but as
this class of reading matter is general
ly copyrighted standard price pre-
walls. At the book stalls one fire.
Quently overhears remarks to the eff
feet that it canuUt be understood how
books can be sold SO low with a profit
resulting there from. 1t is a we'll
known fact that one of the publishers
controls pate MT press that turns out
book, printed pasted, and bound, at
an average cost Of quite 2 cents
What nice profit at 10 cents, and
what huge one at SO cents.
In converse tion with wel-known
stock broker, whose office is located up
on f street, reporter recently CLEAN
ed considerable Conformation about
trusts and theirme thods and capt. :
ization. Among the long list of stocks
quoted daily, and published in the
Star, are number of trusts whose
names hardly convey to the uniform
ed the nature of the combination
quoted in the market. The broker
said:
1.-The history of trusts is short, COM
paratively speaking. as prior tC 1890
very few of the combinations, such as
they are now, were known to those
familiar with the stock exchange bull
letin boards and quotations. The
success of the larger combines gave a
great boom to the idea of controlling
production under one head, and as a
result trusts became great fad with
would-be Napoleons of finance. Mil
lions were made and millions we're
lost. A. G. Q. ID. and G.. f. c., A. S.
R., Cordage, National Lead, Edison
General, Chicago Gas, and several 9TH
er atbrevia ted terms do not convey
much meaning to the uninitiated, but
they have a world of Interpretation to
the Spectator. These trusts, with
the great railroad stocks, make up
most of the list quoted in the Stars
financial column and bulletined on
change and in the brokerage offices,
and in the larger cities through the
nj al xx,1,o
Ineligible ticking winds out the
quotations that makes or unmakes
mems fortunes Ringing on margins.
THE GREAT SUGAR TRUST.
"About the best known Of all trus is
at the present time is the America n
Sugar Refining company, but few peo-
pie are aware of the immense amount
of money wrapped up in the concern
ton, with an original capital OF $50
900, 600, divided equally between the
common and preferred stockholders.
In January. 1892, an additional $25,-
0O0,O 900 in stock was voted, making the
capital of the trust $4,000, 900. This
add tional $25 600 900 was voted to buy
up sugar refineries. The stock is a
speculative one, being good to buy or
sell anywhere from 75tO 100, and many
Washington people will vouch for the
correctness of this statement. The
great Havemeyer, the Spreckels, the
Franklin Sugar company, and others
are in the trust, which has tremen-
dous grip on the sugar producing bust
| ness of the country east of the Rocky
| mountains.
Several good stories are told in
connection with the expenditure Of
the $25, O0O,O 600 addition stock that was
voted in 1892 in which Claus Spreckels
| figures as the bright particular star
For many years back Mr.. Spreckles
has had 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 ter
ritory. This aroused the strong
Teutonic blood ip Mr.. Spreckels and
he 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 a 81 100000 plant, but prepared
for long fight by persuading hun
dreds of PENNSYLVANIA farmers to go
into the cultivation of sugar beets,
promising to take the entire product
at profitable figures. Many farmers
stopped raising tobacco and went into
sugar-beet cultivation, and made
money at it, too.
'Seeing these preparations for a
great fight the trust decided upon a
compromise, but Mr.. Spreckels, seeing
his great hold on the trust, decided to
make them pay for inaugurating the