The herald., 1896-12-19
COFFEE PRICES WILL DROP
And Sugar May Also Take a
Tumble
WAR AMONG MONOPOLISTS
Coffee King and Sugar Trust Prepare
For War
If Arbuckle Refines Sugar the Trust
Will Roast Coffee-The Public
Will Get the Benefit
Associated Press Special Wire

TOLEDO, O., Dec. 1S-The American
Sugar Refinery company, better known
as the sugar trust, has closed deal
for HOO shares of the Woolson Spice
company Of this city, being eleven
to be paid is $685. 900.
The story of this gigantic transaction
is an interesting one. Some time ago the
Arbuckles, the ''coffee kings" branched
out into the sugar business. A large re-
fnery was built in New York and there
by the Arbuckles became the compet-
itors of the American Sugar Refining
company. The latter was not at ali
pleased with what 1t considered an in
trusion. At first the refining company
offered to buy out the Arbuckle plant,
so the story goes, but the latter refused.
Then the refining company concluded
to flank the movement of the Arbuckles,
and hence this deal.
Representatives of the refining COM
pany opened negotiations with the
Woolson people. who are a very close
second to the Arbuckles in the coffee
business, and Lawrence Newman, one
of the largest shareholders of the Wool
son Spice company, went to New York
to confer with the refining company. He
is there now and has practically closed
the deal.
A SURE GO
NEW YORK, Dec. 1S.-The report
that interests identified with the Amer
lean Sugar Refining company have OBJ
tanned control of the Woolson Spice
Packing company of Toledo, with the
view of retaliating upon the Arbuckle
Coffee company because of their deter
mination to build a sugar refinery, is
confirmed to an extent by the fact that
the Woolson company, which is the Sec
ond largest roaster of coffee in the
United States, reduced the price of it's
product yesterday one-half cent per
pound. This is a most unusual occur
renee and is regarded in the trade as
very significant
In speaking of the matter today the
head of one of the largest houses in Wall
street said:
THE purchase of the Woolson compa-
ny will have a wide-reaching effect
throughout the trade. The purchase of
the plant by the American sugar people
is accepted by the trade as move to
meet the Arbuckles in their venture at
building sugar refinery, work on which
is now going on in Brooklyn.
"The first effect of the purchase was
evidenced today when the Woolson COM
pany sent out announcements to deal
ers all over the country that they had de-
cided to reduce the price of their coffee
half cent per pound. and this has been
followed by an announcement from the
Arbuckles that the price of their coffee
to their Ohio consumers had been SINH
larly reduced half cent a pound, which
means that. the first guns have been fired
and that the fight is already on for su-
premacy in the coffee trade"
At present the Arbuckles control one
fifth of the roasted trade in the United
States, the product of their mills aggre-
eating 100000 bags year. The Wool
son mills have capacity of $50. 900 bags
a year, but it is said that their plant will
soon be added to. so that they can put
on the market about 100000 bags of
roasted coffee annually.
AS the Arbuckles and the Woolson
company receive their coffee direct from
Sauth America, the 100000 additional
bags that will be contracted for by the
Woolson company from that source will,
it is said, take just SO much business out
here who sell to the smaller concerns.