The record-union., 1899-06-15

Industry properly required, resulted, ir-
respective Of the great injury and in
Justice done, In the passage of the exist
Ing sugar schedule.
whether the Sugar Refining Com
pany has been benefit or injury to the
community can be best expressed in a
table showing the prices for consid-
cradle period prior to the formation Of
the trust and for corresponding period
nation shows an advantage to the con-
sumer-note that consumer-of over
one-eighth Of cent per pound.
What the sugar company has dis
bursed in dividends has been not be-
cause of any extreme protection under
the tariff, but out of conditions per-
fectly legitimate and commenda BILE. The
record. shows conclusively that no ad-
vantage has even been taken by the
company of any protection in excess of
the 8 per cent. claimed, that is, IA cents
per pound, under tariff
On the question of labor, Mr.. Have
meyer said the laboring element were
forced to form organizations, but that
in doing 50, they sacrificed much inde-
pendence and the unions had the "effect
of bringing other men down to a low
level" He contended that he was a
friend of labor, and said that good men
in the employ of the trust were paid
ten per cent. more than they could get
elsewhere.
Mr.. Havemeyer said that many things
were done in business which looked
cold -blooded and harsh, but that busi-
ness conditions often required conduct
justifying such characterization. The
farmers he thought, ought to estab-
lish a trust for their protection.
He declared that his company had
not gone into a combination with any
of the Independent refineries. Reports
that such a consolidation had been eff
fected were untrue.
Replying to a question as to how he
could conduct business at a loss and
still declare dividends, Mr.. Havemeyer
declared laughingly: "One is an exc
business"
The witness expressed the opinion
that it would be good plan to expose
the business books to Government
inspector He closed with a protest
against what he called the tariff dis
ordinations against sugar, reiterating
that it was due entirely to the feeling
against combinations in business.
Replying to questions by Professor
jerks atter he had concluded the read
Ing of his paper. Mr.. Eavemeyer said
the American company was capitalized
for much less than il was worth. but
for the clamor against trusts" he said,
'it could be sold for three times its
capitalization" Yet he thought the re-
fineries could be duplicated for S35,-
100000 or $tO.0OO,OOO.
The present capacity of the trust
is,'' he said, $4,000 barrels a day, and
the output 10000"
He thought the trust was refining
about Sc per cent. of the sugar refined
in the United States.
The witness spoke freely OF the meth
ods of the company in preserving and
extending its business. Of the earlier
history, he said he had not fought the
Harrison refinery at Philadelphia. 'Eut
We had to fight Spreckels when he came
into the field with his enormous plant.
We had to do that or suspend our divi-
dends. We went into the fight, and we
kept it up until we got the refinery"
The late drop in the price of sugar
had been caused by the starting Of new
refneries which had threatened to take
80 per cent of the business. 'It was a
part of our policy to put prices down
and let the opposition take the result,
whatever it may be. Every sale made
by the opposition displaces so much Of
the company's produce" he said. I'VE
must protect our own business
Mr.. Havemeyer then went on to say
that what the company did it did not do
for motives of philanthropy-tha it had
its own shareholders to protect. ANY
body can buy our stock he continued,
"and in consequence the public owns
the stock But I doubt whether any
one would want any of the stock of
the Independent refineries."
How many stockholders have you 20
asked Professor jerks.
About II 1,O00." he replied, and added:
Enough to take Cuba-and they would
take it if they could"
The latter remark was made in a
light vein. He stated as his opinion
that the Cuban sugar should be brought
in free of duty. and that this course
would bring refined sugar down to 3
cents a pound.
Speaking of the coffee business. Mr..
Havemeyer said he was in the business,
and in it to stay.