The Topeka state journal. [volume] (Topeka, Kansas) 1892-1980, 1899-12-25
sA11NA TRUST MAGNArE.
H D. Lee Talks of 100000 Com
missions He Will Make
on Tobacco.

Salina, Kan, Dec. 25.-H D. Lee,
who originated the plan of having all
Of the tobacco of the country handled
through one purchasing agency, has re-
turned to his home at Salina. Mr.. Lee
has been a wholesale grocer in Central
Kansas for about ten years and, as he
says, has fought hot winds, lack of
moisture, railroads and the Missouri
grOcerS and made money at it. His
present position is anomalous. He is
the purchasing agent of all the tobacco
jobbers in the country and every jobber
who buys trust tobacco must buy
through Lee or get no commission.
This arrangement was a purely bust
ness, sensible One, he said tonight
When I was a boy remember my
little sister getting up a club Of children
to buy candy because the more they
bought the more they could get for a
given amount of money"
A YEARLY COMMISSION OF 800, 900.
What will be your proft?"
my commission, small as it is, will
amount to 500, 600 a year. I expect
that much; wouldn't have taken it in
hand if I hadn't. The tobacco business
of this country amounts to 450 million
dollars a year. 1t grows with the
growth of the country. When our new
arrangement was put into effect there
was kicking, particularly by the Mis-
souri, river jobbers, but they are all
cOming to see the matter in a business
way. I had orders Monday morning for
$40, 900 pounds of tobacco. At that rate
the business would run to 20 million dol
lars a month. We only ask for mil
lions.
''Ruinous competition had to be sup
pressed. About IS per cent Of the men
who are in business are in business for
the money that's in it. The balance
seem to be doing business for fun and
noise. One grocer who cuts prices will
ruin the business of his whole section.
The men who are doing business for
profit must protect themselves Com
bination is the only way they can do it
THE FATE OF PRICE CUTTERS.
n
buy for the man who cuts prices and
he will be forced to maintain a fixed
rate or fail to get the gOods?"
Il won't waste the scratch of a pen
on the man who cuts; he must sell at
the established rate or have no bust
ness for him"
the tobacco of an independent manu-
featuring cOncern?'
Il don't know what will become of
him." Mr.. Lee said, rising and crossing
the room two or three times. Now"
he added, with apparent earnestness,
there is no other way; combination in
some form is the only protection the
merchant has. When We had the equal
ity arrangement in effect here in Kan
sas every dealer knew what his neigh
Dor was paying for goods and could
tell what to sell for. When the assOci-
alton was broken up a new condition
came about and nobody knew what his
competitor could sell for, consequently
grOcerS are handling sugar, which IS 81
per cent Of all their business, for absO-
lutely no profit. State laws against
pooling are the ruin of all business
They help to bring products under
single control"
POOLING THE DEALERS SALIVA
TON.
You believe, then, in legalized pool
ingT'
Eyes. in every line of business it is
the only salvation, it is the only way
to prevent monopoly. People talk
about trusts: what is a trust2 As a
matter of fact there never existed but
one trust and that was the Standard
Oil company under the old organiza-
ton. It is not trust now. The var
iOuS companies that were in II -~uSt
were consolidated into one company
As for the tobacco business I expect