Watertown republican. [volume] (Watertown, Wis.) 1860-1906, 1898-12-14
MILK FOR TWO CENTS.
The Chicago Dairy Consolidation
Scheme is Said to be Def.
niteIy Settled.

Chicago, Ill, Dec. 10.-Joseph Letter
hopes to be the Santa Claus who will
present Chicago with 2-cent milk by
Christmas. He thinks this will work a
blessing to the infantile population. In
cidentally he expects to crush out the
5000 small dealers while giving to the
poor the benefit of his benefcence.
The milk trust, with a capital stock of
$1O,0O0,O0O, which is expected to earn an
amount nearly equal to its capital stock
each year, is now an assured fact. and
application will be made within ten days
for articles Of Incorporation.
Young Mr.. Letter, who began investi-
eating dairying a few weeks ago, discov-
cred that it was a business, which with a
profit Of so per cent. on each transac-
ton, turned over it's entire stock every
day. Levi Il. Letter, to whom he made
known the discovery, knitted his brows
for a few minutes, and said that ought
to be as good as wheat at least. Then
the son went down to Philadelphia
wkere milk trust controls the business,
and found that the profits were as great
as he had hoped Tor.
The result is nightly meetings of Mr.
Letter, a few other capitalists and about
a dozen Of the largest Chicago milk deal
ers. The meetings are held in different
offices or at private residences. L. q.
Letter and William G.. Sepp are to be the
largest stockholders and each will be in
terested to the extent of So, 500,00U Milk
dealers who are taken in will be given
stock according to the value of their
plants. Part of the dealers who will be in
the company are kee d Chapel, Bowman
Dairy company, Ira ]. Mix. Sidney Wan
ger, A. j. Olson and the Wisconsin Milk
company.
Negotiations are now in progress with
the railroads for reduced rates, and the
directors of the Milk Shippers union have
been approached with propositions for the
purchase of their product.
The only dealer of consequence left out
of the trust is the Borden Milk company,
which runs eighty-fve wagons. 1t is q
powerful rival backed by large capital,
and war is expected between the two Or
CARNATIONS. The trust has decided that it
must have all of Chicago's business and
will spend a large part of its capital stock
to get it. After milk has been sold for
low prices until every rival has closed his
shop and sold his wagons, the trust eX-
poets 20 regulate the price of milk on the
price of butter. 1t will then retail for )
or cents, as the Elgin butter market may
be up or down.
At present $500 cans of milk come
into Chicago each day. Each can holds
eight gallons. and the farmer receives 81
for it. Not including the cream, i por-
ton of which is removed and sold separ-
ately, a can of milk retails for $500 The
cost at present is about 80 cents to the
dealer for handling the can, which leaves
on all the cans a profit Of something like
$50, 900 each day. The cost of distribu-
ton under the operation Of the trust will
be so reduced that it is hoped to make a
profit each year nearly equal TO the capi-
tai stock. The downtown offices will oc-
cupy a whole building. 1t is not yet de-
cideI whether Joseph Letter or one of
the Bowmans will be the manager.
To furnish pure milk to Chicago stock
holders declare is one of the objects of
the trust. 1t will make regulations for
the farmers, furnish them the cans and
run the milk through a cleaner. The
milk-shippers regard the trust in a rath-
er favorable light. They have been prom
ised fair prices, based on the price Of
butter