Richmond dispatch. [volume] (Richmond, Va.) 1884-1903, 1897-02-07
SUGAR AND COFFEE.
CoNTR ADDICTION OF HAvEMEiER
As TO PROFIT IN LATTER.
A FIFTY PER CENT. DIVIDEND.
inference OF Two Cents I'm Output
Cost would Justify It-Discharge
of Employees Due TO Closing Oh
Re6nerfcs.
Refnerics.

committee appointed by the Legislature
10 investigate trusts and monopoies IN
this state resumed its sessions this MORN
ing. 1t was II 80 O'Clock when Mr.. LeNow
rappcd for order lie directed the ser
ceant-at-arms to cali the name of John
L. Searles There was no response. Law
yer Parsons arose and said that MI
Searies was on his way TO take Tram
FOR Washington when he was served win
the committees subpoena. He PROMISED
that Mr.. Searles would appear before the
committee on Monday next and bring the
REQUIRED data.
John Arbucxle was then recalled 10 the
stand. lie informed the committee that
he wished 10 make a statement. lie lolu
the committee that the profit from coHee
3n 1895 was only 80 Of q cent. pound, IN
1sa5 a little less than clio Of cent, ia
1891 clio OF a cent. and in 1885 little less
than Gle of cent
There is no profit in the coffee business
for us row. and / should say the Have
neyers must be losing from 500 TO SLOW a
day in the business" said Mr.. Arbuckle.
The witness also said that he beheNed
that II his company stopped DuiIolhs us
sugar refinery the Havemeyers would go
out of the coffee business tomorrow.
James y. Jarvie, the partner OF Mr.. Ar
buckle was also recalled. He also tes-
tilted that there had been no profit In the
coffee business for the past two years.
This was in direct contradiction OF the
statement Of II. O. Havemeyer, who tes-
tilted yesterday that the coffee business
presented a most alluring field Tor specu-
latIon. and gave magnificent returns Tor
an investment
MIR. Jarvie said there were about LOO
embarrassing firms In the United states
The three leading firms are the Arbuckle
Company, the Mclaughlin Company. or
Chicago. and the Woolson Spice Com
pany.
Senator Lexow then went into an ex-
haustive inquiry about the coffee trade
and the witness explained all about the
process.
Nr. Jaryie testified that when the
American Sugar-Refning Company went
into the coffee business, through the
Woolson Spice Company, the market price
for real coffee was 10 cents. They sold II
at IL cents TO the middlemen. They now
sell IL at 10 IL, and the Woolson Company
. sells IL at -.
80 PER CENT. DIVIDEND.
The witness, in reply TO a question, said
ne thought difference Of cents in the
output cost of the Woolson Spice Com
pany would justify a dividend of 80 per
cent.
DO you. as a manufacturer, consider
1t fair TO smass from consumers enor-
nous profits, TO be distributed among the
directors and stockholders in the charge
of unreasonable prices?'
Mr.. Jarvie took long time to answer
this question, and seemed to beat about
the bush, and the spectators stamped
their feet on the floor in disapproval He
finally said that the 80 per cent. dividend
only represented a per cent. dividend
on the present value of the stock.
rs It fact that they are putting up
better coffee at less price than you are,
for the purpose Of driving you out of the
market?" asked Chairman Lexow.
II think our coffee is better than
theirs" replied Mr. Jarvie.
Mr.. Lexow announced a recess until
2 O'Clock and said that in the mean
time the committee would hold a secret
session.
The secret session lasted about ten
minutes. At its conclusion, Chairman
Iexow announced that the committee had
deferred action in the Searles matter
until 10 o'clock Monday next when il
was expected he would be present. They
would then decide whether he should be
held In contempt or allowed TO purge
himself.
II. o. HAVEMEYER RECALLED.
Mr.. H. o. Havemeyer was on hand
when the committee reassembled. lie
was recalled. and in reply to a question.
denied that there were any sugar re-
fineries closed after the consolidation in
1891.
81 think my brother was in error when
he said that some of the refineries were
closed after the consolidation. in 1891
The witness SAID that about six re-
fneries were closed previous to the con-
solidation. There were about 5000 men
employed in them.
''Were the four Philadelphia refneries
acquired by the trust closed after the
formation Of the trust?'
mo. sir; they are running now.
rs il true that after the organiza-
tion Of the Sugar Trust, you discharged
700 men, of whom only few were re-
empioyed?'
employed 1900 men in the state Of New
York"
In reply to a question. the witness
identified the copy Of the deed drawn up
at the organization of the Sugar Trust.
This was put in evidence.
Mr.. Havemeyer gave lot Of figures,
showing that the price Of sugar had
been reduced 10 cents per hundred POUNDS
since the formation of the trust.
John Ergen, the next witness testlned
that he was employed as foreman on
the docks Of the American Sugar Re
1ning Company up to 1892, when he was
discharged. Between 800 and 600 men
were discharged.
The witness said that at the time or the
organization Of the Sugar Trust IN 1885,
Sreat number Of men were discharged.
'sAbout how manyY
"About 600 or 1900"
Mr. HaVemeyer, who was sitting near
the reporters table. smiled at this state
nent. and said: That man Is bigger
liar than he looks"
The witness said that the men were not
re-employed. and had 10 scatter all over
the country I'm search OF Work.
ARBUCKLE, AGAIN.
1obp Arbuckle again took the STAND.
he wanted to explain that the price OF
coffee was very variable, and he beneVeu
A. was the most speculative business III
the world.
"what proportion Of the coffee trade OF
the United States do you control?' asked
Senator IeXow a.
awe don't control the trade; but we do
about one fourth Of the trade. handling
about 100000 bags"
"Haye you an agreement with the other
big firms 10 fix the priceE
mo. sir we have no agreement; we
only fix our own price"
The witness, however, admitted that the
price fixed by his firm was pretty gene
rally followed by the other dealers.
Professionally. however. their price rams
upder ours" explained Mr.. Arbuckle.
A, This iuncture Chairman Lexow an
nounced that an adjournment would be
taken until 10 o'clock on Monday morning
next. ....-.
LOST, sTRAYED, AND FOUND.
LOST A WHITE TERRIER