The Portland daily press., 1896-04-27
A COAL WAR ON.
Boston & Maine and Grand Trunk
Interested.

| A~ON-AS NAo
and Throws Out All the Bids Made-If
An Agreement Is Not Reached On
Their Own Terms They Will Bring
Coal From Canada.
New York, April 26 "A remarkable in
stance | of the power of the coal roads of
Pennsylvania Maryland. Virginia and
West Virginia in controlling the output
and compelling the owners of coal proper
ties to surrender all but the unmined
mineral was made public yesterday by
the rejection of bids to supply coal by
the Boston & Maine railway.
The railroad companies mentioned are
engaged in an effort to deprive the New
England roads Of their supplies of bitumi-
nous coal. New England roads have de-
olared warfare on their opponents, whose
force Is expended on the score or two
mines Of bituininous in the four soft
coal producing states.
Bituminous coal men have been COM
planning during the last two years of
over production and the low prices. The
railways have charged exorbitant rates
for transportation, making a ton.of coal
which could be sold at mine for 80
cents with profit cost S1.75 to 50. So a
ton at the distributing point. Complaints
were made but the railroads paid no heed
to them, and the miners wers advised
to produced less coal il they wished to
raise prices.
as $40, 100000 of pituminous coal was
mined last year and sold at prices which
gave miners in some instances profit
or only five cents a ton. Kate cutting
reached the point that owners of soft
coal lands were ready to do anything to
Keep their mines open.
The suggestion was repeated to restrict
production and agree on price. In
other words the railways suggested a
trust to raise prices. The restriction
was to be the excuse for adding 80 cents
ton on coal In the harbor. When the
trust was perfected, the railways ex-
planned, they would charge slight in
crease and would aid in the restriction.
| This could be readily done by side track
ing coal until the demand required them.
The Association of Bituminous Coal
Miners was formed. It was avowedly an
| organization for mutual protection. and
1t disavowed being trust. Yet it speed
lily had an executive committee, whose
privilege it is to regulate prices and the
citation.
The price of bituminous coal last years
at the distributing points-South Am
boy, Port Liberty and similar terminals
was 50. Is ton, or 35 ton at pier
in New York harbor. The association
agreed on schedule of prices as follows:
At terminals, So. go ton; in the harbor,
81. 80 ton; at the mines, so cents ton.
This meant at first to the miners that
they would receive a fair profit out Of
their Investment.
But the railway companies investigated
the situation and increased transportation
| rates, SO that the coal men discovered that
instead of fair profit the railway tariff
reduced it to 10 cents ton. There was
indignation, but as one trust had been
victimized by another trust no one said
much about 1t. The miners merely hoped
for the best.
When the bids of the bituminous coal
companies to supply the New England
and Canadian roads with fuel were filed,
all the prices were beyond the association
price, because the agreement was that
there should be no reduction from this
tariff under any circumstances. They
were informed by the coal companies that
the increase in prices would very natur-
ally reduced the earnings Of the New
England roads.
The mine owners waited until last
week when, one by one, the New Eng
land roads threw out ali the bids, dsolar-
ing.thsy would not pay thesprice demand
ed. This meant to the coal miners a re-
striction in their sales as follows: New
York, New Haven & Hartford, 1000, 900
tons Boston & Maine, 500, 00O tons;
Grand Trunk, 500, 900 toms; branches and
subsidiary lines, 1000, 900 tons. Three
million tons of coal, mined and ready to
be turned over to victims of the coal
roads, vemained side tracked or at the
mines.
At once the inquiry came from the rail
ways and miners: What are you going to
do about it? You've got to buy our coal
and pay our rates Ur stop running your
trains"
The answer was decisive. All the coal
needed could be obtained in Canada, and
the next time the miners and coal roads
tried to work "freeze out' game
against the New England roads they
should remember that Yankees are hard
people to cheat in bargain.
!, The miners are now calling the rail
ways a variety of names for having led
them into the sorape. The New England
roads are Independent and will serve 1t to
open immense deposits OF soft coal in
Canada.