New-York tribune., 1896-11-23

CAUSES WHICH LED TO THE DOWNFALL OF THE
CONCERN.


CONCERN.
Chicago Nov. pa morning paper says: THE
great Wire Nail Trust. which has levied tribute
the neope of the United States and Canada since
Tune /. 1895 has collapsed and will endeavor to wind
IN its affairs December l. Sales agents representing
mills within the pool were yesterday scrambling TO
sell nails at 81 20 keg in Chicago. which Is precisely
81 per keg below the trusts circular price. and job
hers were selling In lots OF from 1000 kegs
from store AT 50 a keg. Before the end OF the pres
ent week the price will undoubtedly be down 10 81 Is
keg or within 80 cents Of the lowest price they ever
sold here The trust has thrown up both hands and
In circular the jobbers gives them liberty TO sell
at any price they please
Troubles have multiplied the trusts head very
RAPIDLY during the last eight months. In that time
the stream of dollars which poured into its Golfers
during the early months OF its career had TO be used
TO buy up at round prices the opposition mills which
sprang up on all sides. well 10 meet multitude
of other expenses. Not the least OF these was the
maintenance of a regular force OF inspectors almost
as large as the Government Secret Service to keep
all the members of the pool 'toting fair
For this and kindred purposes the trust imposed
a pool tax of 81 80 keg on all the nails sold BY its
members and rebated to them the difference after
the objects sought accomplished A fund OF
sl5OOO0O was returned TO members the showing
made months ago. but since that time the trusts
officials and committees have incurred Liabilities OF
much more than this in their desperate fight TO keep
the trust going. These liabilities will have TO be met
by Individual Mills COMPOSING tTust. ana =
long period of litigation is highly probable.
The advance OF l5 cents keg ordered by the trust
at its March meeting in this city was the last act
which marked the trusts DOOM This put the base
price of nails at Ptsburg at 81 80. which. under the
nacuar terms its nail card, meant that the lowest
figure at which any nails could be bought there was
s3O3 A keg. This meant 50 20 In Chicago. and made
The range of commercial nails to Western consumers
81 70 s. keg This resulted In an immense curtat;.
men OF the demand. and in turn forced the trust 10
close up 90 per cent Of its mills and throw It's work.
men out of employment in order TO reduce the output
20 comnly with consumers needs The entire sales
~ nails by the trust mills during July were but 10000
kegs and In August but 2 kegs though the output
agTsed ipon for those months was 5000 and 5000
kegs respectively. The March output reached $4,000
IT H. Parks of No ms Sears Building. Boston.
WAS the originator OF the pool and was It's commits
sioner' To him was delegated the task OF holding
the associa together. and for this service he coll
eced keg on each keg OF nails sold In this
country Besides large appropriation for secre.
taries' salaries and maintenance OF the inspection
bureau the associa tion now has on its hands large
coscton OF leases of factories which IL closed up:
also numerous contracts with manufacturers Of nall
making machinery who were prevented from selling
10 the trusts competitors