The Wichita daily eagle. [volume] (Wichita, Kan.) 1890-1906, 1897-02-25
BREAKS IN AND PRAIsEs-TRUsTs.
Investigating Committee Finds One Man
Who Relieves in Them.


New York, Feb. 24.-James B. Duke,
president of the American Tobacco COM
pany, was one OF tn first to appear today
in the rooms Of the joint legislature COM
mittee. He brought with him the labor
statistics asked for yesterday by Senator
Lexow. The papers show that prior TO
the incorporation Of the American To-
bacco company in 1890 it gave employ
ment to 1856 tobacco workers.
Today the number of employees in the
employ Of the company is s.l94. making
an increase since the date of consolida-
ton of 1929 hands.
In calling to order, Senator Lexow
said:
1T is the intention Of the committee TO
investigate the so-called coal trust to-
morrow. Charges have been made that
the coal combination is the most vicious
trust that exists and certain newspa pers
have made specific charges Of the exist
ence of this combination, or trust"
President Duke then took the stand.
He said that the capital stock OF the
New Jersey concern, prior 10 consolida-
ton, was $40 900. which, with the ac-
QUESTION of the various companies. was
increased TO s25. 200. 600 This was sub
seauently raised to SIS, $50. 900.
Good will. such as patents and trade
marks, cost s6.e0o,0o0.
How much did Allen & Ginter re-
ceiye?"
The same az the Duke company. ST.
e47. 600"
The witness said that Kinney received
81. 999. 900 in stock, with guarantee Of
81, 500. 900 in live assets. w. s. Kimball
& Co, 81. 4ss. 900. and the Goodwin COM
pany 81, ie9. 900 for common and preferred
stock.
How much was issued for the i've as
sets of the various companies?'
About s. 200. 900 worth OF stock
"And how much for good WHIP"
Nineteen million. nine hundred and
ninety thousand dollars"
Witness said that in distributing the
stock the earning capacity Of the five
original companies was increased. The
number OF the original stockholders wac
from fifteen 10 twenty-five; 1t is now
somewhere between 1000 and 1000. Two
ffths Of the compsny's stock today was
preferred and three-fifths was common
stock The books were kept in the main
Office in New Jersey.
An effort was made 70 have ar. Duke
admit that by the consolidation the trust
secured control OF competing cigarette
ROLLING machines. but his responses were
Of a negative character. Mr.. Mazei ask
ID Mr. Duke y be WAS not buying and
selling the stock OF inc American Tobac-
co company. Mr. Duke said tia, was
private matter ard desired 70 De excused
from answering.
The plug tobacco business was entered
into IN 1890 and about i59.05o-5o9 pounds
is manufactured annually. II cost $50
90 20 introduce the business abroad
Josiah Brown. secretary o. the Tobacco
company. followed Nr. Duke on the
stand He was questioned principally az
t. the business done tn the NeS Jersey
were kept ;here. and gave a. reason
that the law provided that hey should
BE there iocated-
senator Lex0~ sskH3 % look a. al a.
strzct prepared by TIE coE1sSi q ~
company indicating how many censislse
agreements had been revoked FOR hand
Ing opposition Zoods and eating pies
NJ B-oxa said the Is@; vas q correct
che excep; that ne reason tngy were cu-
Of xas because they hat ent pres
FraacSs 2 Thu-oer was aexf czIs4 He
szid - = president 81 Ire American Gro
Ger Publ.sainE company. EalcA o-Hce -
-. Sr-a sv.r4n1 - tz-r -~~1a srzr- ~
sad TIA. sxgr>gsti1o~ g ezpizsi osxas
20 recesve encouragement. ami not -
subjected 20 Unnecessary e5strprT.sz-
ccm6.aes intelligent. ssEs.assir-s1 ~1sx