The San Francisco call. [volume] (San Francisco [Calif.]) 1895-1913, 1896-01-04
The BEER WAR HAS BEGUN
Two Brewers Found Guilty of
Breaking the Association
Rules.
A STORMY MEETING WAS HELD.
Half of the Members in Favor of
Crushing the Offenders Out of
Existence.

The special committee appointed TO in
vestigate the charges that the California and
Broadway breweries had been cutting the
price of beer in violation of the association
rules reported that the charges were true.
1t further recommended that the members
of the association discipline the offending
members by meeting the cut with larger
reduction Five representatives of the
largest breweries advocated the reduction,
and a wrangle followed, but the brewers
did not arrive at any understanding.
The history of these troubles dates back
for many months, perhaps for years.
When the ASSOCIATION was started it was
for the purpose of projecting the brewers
against the demands of the Brewery
Workmen's Union and themselves against
themselves. In the former case the asso-
citation spent between $40, 900 and $50, 900 in
breaking up the Cooperative Brewery,
which the striking union men starte IN
opposition to those brewers who would not
recognize the union.
In the latter case the association
adopted large number of rules and regu
latlonS 10 govern their business transac-
uons, and the principal rule was that no
brewer should try to get another's
patrons, and that the price of beer should
be 50 a barrel, with an allowance of so
cents TO the drivers TO spend with the
Saloon-keeperS.
In spite of these rules and in spite of the
fact that every member OF the association
was under a heavy cash bond to live up to
the agreement more than one broke away
quietly and violated the compact.
Complaints were frequently made OF
these violations, but there was no open
rupture in the ranks because two of the
hra prTa no Not l.,
hghtlng the wOrkmen's union A month
or SIX weeks ago, much to the surprise of
all, the boycott on National and Jackson
beers was raised by the union. The asso-
cations members believed that it was a
victory over the union workmen and a
victory that had broken the back of the
union. In this they made a mistake. for
they were simply being led into an am
bush and entered the trap without the
least suspicion OF the results.
These external troubles settled the brew
ers undertook to straighten out their in
ternal difficulties. The first move was to
prefer charges against the California and
Broadway breweries for cutting the price
of steam beer in order to take trade awav
from the others. So well founded was the
charge that about four weeks ago Mr.. Fred
erlck OF the Jackson brewery tried to get
the price of beer cut from So the standard
price, to 81, in order to crush the offenders
out Of existence. 1t was a stormy meet
ing, but the conservative element pre-
vailed and secured the appointment OF
committee to investigate the charges
against the accused brewers.
That committee was composed of Will
liam CAIRNS of the Milwaukee brewery,
Thomas Thode of the Union brewery, Mr..
Folz OF the National. c.. B. Stone, repre-
senting the Syndicate (limited) and Henry
Wreden OF the Washington.
At yesterdays meeting of the associa-
ton all sixteen breweries were represented
by one or more membe of each firm
The meeting had hardly been called to
order before the circus began. 1t started
with the committees report that the &C
cused, the California and Broadway brew
cries, had been found guilty of the charges
made that they had been cutting below
the standard price, Notwithstanding their
protestatlons of innocence. The commit
tee reported that while both breweries
were guilty the California brewery had
offended the most frequently and with the
most persistency.
According TO the report these breweries
did not cut to any fixed rate but went into
the reduction on the cut-throat principle
In the case of patrons where they felt Sc
cure the standard rate of So was MAN.
tanned. To others beer was sold for 81
and TO still others whose patronage was
very uncertain the beverage was sold for
So so. These were all net prices. The
only difference between the two breweries
was in the amount of beer sold at the cut
rates, but both were equally guilty of vio-
Iating the agreements so far as the princi-
pie was concerned.
Four of the largest breweries, the Ma
tional, Jackson, Milwaukee and Washing
ton, and the syndicate representing the
Philadelphia, Chicago, United States, Will
lows and South San Francisco openly de-
Plarqd for adODtiDo the rppnr1, a11d OF ioD of
the committee and making grand cut in
the price of beer.
To this proposition ten of the smaller
breweries protested. The thought spread
among the conservative element that the
breweries which preferred the cut were
represented on the investigating commit
tee, with the exception of Thode of the
Union.
One who was present said that the row
that followed beggared description. Every
body denounced eacn other, and in his
language, it was the hottest meeting this
size OF the Arctic circle.
J. Rohr of the Broadway, and Detman
and Peters of the California sat by and for
awhile maintained a judlcious silence.
When they got an opportunity, SO it is
said, neither made an attempt to refute
the truth of the charges nor deny the
truth of the committees findings. 1t is
reported that they said in substance: "1f
the committee has found that we are
guilty, we will promise never to offend
again, but don't cut the price of beer"
The others would not have it that way.
Their blood was up, and they wanted to
fight, no matter who was hit. After
time of wrangling the fight began to
assume something like definite lines. On
the side fayoring a big cut were the four
large breweries and the syndicate, repre-
senting five other large breweries. On the
other side was arrayed the remaining ten
Drewerles, most of which are rated as
small institutions. The latter knew that
such fight would mean the crushing out
OF their. business, for while the big brew
cries, with plenty of money in bank, could
stand long siege of cheap beer, produced
at loss OF from 81 to So barrel, the
smaller would go the wall.
AT last Mr.. Mclaughlin of the National
threw bombshell into the cut-rate forces
that set them all to thinking. He said
that to Jump upon the offending breweries
and attempt to crush them out by under
selling them would result in the final SUI
premacy of the Brewery Workmen's
Union that the association has been fight
ing so long, and at cost of 5000, and
probable general loss to the breweres OF
several hundred thousand dollars. He
spoke with much feeling of the long fight
a in ct tha 1Ipi0u ha pDp,aro,,.