New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1897-02-17

and the four companies acquired in 1893, YOU had
secured about 20 per cent Of the total rubber pro-
Il should say tina: We controlled about 50 or e.
per. cent Of the total business OF the country"
why, when. having under your control 20 per cent
OF the country's productive capacity Of rubber.
capacity you thought II necessary acquire ad-
diona 20 per cent Of the producing facilities OF the
THE SAME OLD OBJECT.
"Our object was to get the advantages and econo-
mics that would result from the Capitalization Of
manufacture"
And incidentally to destroy competition to that
extent"
Not at all"
But. as matter of fact. you did destroy compe-
titon 10 that extent. did sou not?'
no | don't think so"
But after you had acquired these businesses you
did not allow them 10 continue competing agains.
each other did you
Il tank the competitive business continued
10 some extent"
when YOU speak Of competitive bushes. do YOU
mean that. instead ~ destroying certain brands
that had become well known in the market you
"Iu rh.- business o. Trademark is one OF the prn-
Cipal items of vain" !u making sales OF rubber
goods. iua-mueh a- u j. practically impossible for
the consumer 20 fo-u IAN accurate idea OF quality
Merchandise is bought largely or brands. and the
difference or prices j. largely dependent ou brands"
Each brand has its different price,
And each brand completes in the market with
ITO "a certain extent"
Now. when You acquired these brands. you did
not permit one brand 20 comp't" against another
brand owned 10y Won. did YOU"
This WAS a matter ihai was 10 a large extent
within the control Of the United States Rubber
COMPANY but there was "a certain amount OF COM
petition continued.
senator I.rvow was DESTROYS Of delylns deeper
into the details Of tnis corporation. but MI. Flint
ed tina, Charles L. Johnson. the mead Of the sales
DEPARTMENT was the only who could further
enlighten he senator. Proceeding to another line
Of inquiry. Mr. LeXov asked,
viii you explain the way in which YOU fixed me
which you took over and what formed The basis OF
the computation" H.. 49,,
patents trade mark, ana business franchise
When you speak Of the value OF franchise what
element OF value was eiy-n to mat proport'"ha'rN
20 the whole
marks and patents in concerns thd' had nee" run
ming from twenty 10 hity ytars. 49, ,,.,..,o
Did YOU take into estimation the Ultimate
II mink that may hav. been taken into consdera-
DO you know what proportion OF stock was al
II do not was nor a member Of the board OF
directors then nor a member of the committee OF
Apprd:em"ni. , .,.,. ..i,,s ,.,,.
f.r senator l.~xow tending 10 bring ont IN" fact
that the purchase price was largely nN,a upon ,ne
I-uf stated further on ~ his e'id-nc" ihat IN the
United STAGES Rubber COMPANY th"rt W'rt -" pr
sock The former stock carried per cent iht.rest
tu. Wa uou-cumuativc. meaning that in those
y..irs wherein insufficient pront was made TO pay
.,i Interest the holders were Obliged TO iorrgo the
ii,.idCno lie admitted that the capital OF ~" New
tl,,+rev.i.t- COMPANIES Wa Mu'n less man me
.,,,nurf of trust stock issued for their pure chase.
mn Qualified his admission los explaining nat IN"
..,-..I of these, companies ala nor cover ih"lF IN
.-trsi. value. A. matter OF TACT. IN" aGFr'E"t"
,..,It.l sock al all the Companies mat mad been
ea'' - va much less than me certificate issue q
49, United states Company, bui b" cav th' same
t,,t,,a.ior for this discrepancy a IN IN" cas-" or
~ N.w-RrInswck companies asserting ina III
cb instance the original capital OF me companies
ia ,,,t rorrc-,ut their tn" value. MI. fhnt was
~ iJ Tar The amounts Of the capital attached To
-, ~ these companies 81 th" tim" OF th"lr pur-
80. j,it me- Wa unable 90 satisfy IN" committee.
~, ,ro,nis.d however. to prodGc" IN" necessary
IT,. -, tn-dav's session He was also asked u NJ
,,id ,-oluce the report Of m" Appraising Gem
,,i,tsa and also tho company minute book.
RELUCTANT. LIKE MIR. sEARLES
ar Flint showed considerable reluctance IN an
eri,c either request Like Nj Searies NJ SAID thht
- .oud only produc" tne minnt"-hook Il the d.
-.,o,rs would give their consent and could Only
,,,,ard q very vague idea ~ To- the present where
horts Of the apprai'ing report Moreover. the Rub
her T-is, l. apparently intent upon sheiierns Itself
hehlnd the same safeguard that WAS adopted by the
sugar Trust IN the endeavoT to protect us books
that all tls books q. the company