Evening star., 1898-11-05
? PROBABLE RATE WAR
Outcome of the Effort to Control the Ice
BuMnesx
Offers to Large Gonsfeners to Make
Contracts atsn Reduction of
Thirty Perl Cent.

The railroad andshotel men and other
large consumers office in this city are be-
| ing visited by representative of the
hnickerbocker Ice Company and given
| opportunity to make contracts for the ice
which they use at rates much less than
they are now paying. 1t will be recalled
that a short time ago the Knickerbocker
company completed arrangements by which
! the ownership of the Hygienic plant of this
city passed into its hands. The latter
company, as is we'll known, has a plant in
the northeastern part of the city for the
| manufacture of ice. and the purchase in
cluded, of course, this property, as well
the business, and the latter has since been
carried on by the new owners. thny having
retained the same superintendent.
1t was understood at that LINE. ard
stated in The Star, that it was the inten-
ton of the purchasers of the Hygi"nic com
panys plant to attempt also to get control
of the other two companies in this city
which do the largest business, with the
view of securing the control OF the ice in
terests in this city, as has been uone in
other places by the same company. notably
in Baltimore, New York, Philadelphia and
Chicago.
Probable War Over Rates.
AS far as can be learned, no understand
ing has as yet been reached in regard 20
procuring the control of the Independent
and the Great Falls ice companies respec-
lively, and some of those who are interest
ed in these companies say that there is no
prospect of the management of either or
both being changed in the near future.
However, If the rumored ice combine has
not yet been formed ii is thought the first
step has been taken in beginning
over rates which it was thought would fol-
low the advent into the market of this city
of the knickerbocker ice Company. 1t is
believed by those who are well posted that
there is to be contest over the control of
the ice business here, which will probably
take the form of a cut in rates
1t is conjectured that such tactics will be
rcsorted to in order to drive the companies
that remain out of the combine TO the wall
but whether it will assume tha- phase or
not remains to be seen. All thai IS known
positively is, that many of the large con-
sumerS of ice in this city are being given
the opportunity to make contracts with the
new concern for six months, year, two or
three years or more at rates which in some
cases at least are 50 per cent less than the
rates now prevailing in this market.
Prevailing Rule.
1t Is stat ed that it has not always been
the custom for ice consumers in this city
to make cortrects for a fixed period with
the ice companies for their service. The
prevailing rule is for the consumer TO have
the ice is furnished as long as the arrange
Tent is mutually satisfactory.
The new &C mpany.H however. proposes 20
make a regular contract to furnish ice al
an agreed rate for certain period of vary
ing length. 1t is also stat ted that it will
agree to furnish either the natural or the
artificial Ice, according as the customer
may elect.
AS the 1ew company has only a plant in
tkis city for making artificial ice, and did
not acquire in the purchase of the HySienic
Ice Company any wmrves or ice houses for
the storage of natural Ice. 1t is interesting
10 know how 1t expects to be able to sup
ply natural ice to it's customers.
Rumor Nt Verified.
In this connection it may be noted that
there is rumor. not yet verified, that
some understa nding has been reached in re-
gard to the wharf t'the foot of 18th street.
now occupied by the Home comDany,uana
II is conjectGIed that if the Knicker!Jocker
company should desire, to bring natural
ice to this city it will be landed at tina.
wharf and stored in the ice houses at thai
point.
1T is stated the company controls ice fields
i'll M2ine AMI also has facilities for trans
porting the output here that if a Iand-
ing place is secured it is said that the new
concern will be able to furnish both kinds
OF ice.
1t is not krCWn what success the new
company is meeting with in increasing It's
business here, but it the opinion of some
'i''t' al '-ioil Will DC iIdte DN the other
companies to meet this competition and in
that event there will be rate war The
representatives of the two large comma
nieS in this city do not seem to he disturbed
by the situation.
Trade Journals Comments.
The following editorial comment on the
situation In this city appeared in tie last
issue of Ice and Refrigeration a Journal
published In the interests of the ice trade.
'WaShington iCe-makers and dealers have
been tempted by the alluring proposals of
The promoters of consolidation. There are
six companies in Washington viz: the Nv
gienic. the Washington and the Purity
who manufacture ice. and the Indepen-
dent. the Great Falls and the Na:iona!
Capital who handle Maine ice. The Purity
sells both manufactured and natural ice.
All these companies are heavily capitalized
promoter or manager of the proposed 1ou-
of New York.
THE objects of the consolidation are
given as: Stopping ruinous competition ee-
curing uniformity in prices and reducing
eXpei ses in management and in delivery of
ice. According to report local companies
were presented the alternative of selling
cut to the consolidation or taking TIE
chances of competition and reduction of
prices. The latter is probably a mistake
tor American citizens are not in the habit
of yielding to threats, and ice men are no
exception to the rule. Benefit, ultimate as
we'll immediate, must be clearly shown
to induce the companies to surrender their
indviduality.'