The Indianapolis journal. [volume] (Indianapolis [Ind.]) 1867-1904, 1899-07-07
WESTERN PAPER TRUST
INDIANA MAY BE THE CENTRAL
POINT FOR ITS FORMATION.
Crawford Fairbanks Said to Be Inter-
ested in the Combjne-CoIonel
Durbin's Information.

According to Colonel Winfield T. Durbin
Indiana will soon be the central point for
the formation of paper trust to control
the paper trade Of all the country west of
Pittsburg. Colonel Durbin was until recent
ly one OF the owners of the Diamond Paper
Company. of Anderson, but disposed of his
interests in the plant to Crawford Fair
banks, of Terre Haute, who was also one
of the owners. Mr.. Fairbanks is the head
of the strawboard trust, the main Offices Of
which are in this city. and his action in Sc
curing control of the Diamond plant at An
derson is looked upon as first step toward
the organization of a paper combination to
control the trade of the West by agreement
with the International Paper Company.
which is the Eastern paper trust. and which
does not operate extensively west of Pitts
burg.
The combination of Western paper mills
was made necessary by the fact that the
International Paper Company. by reducing
its operating expenses. could maintain
branches in Chicago. from which heavy in
roads have been made into the business of
the Western mills. which could not stand
the competition at reduced prices. The re-
suit has been, according to Colonel Durbin.
any money and shareholders have forgotten
when it was that the last dividend was de-
clared. In discussing the combination, of
which Mr.. Fairbanks is credited with being
the head, Colonel Durbin said that he felt
sure that the details of the organization
had all been arranged before he returned
from Cuba. His shares in the Diamond mill
had never yielded him any return and when
. " a a oh n sci har m In
Fairbanks he closed the deal with little loss
of time. He Is of opinion that a combina-
ton of Western mill owners is not only de-
sirable. but necessary, as the money now
spent in meeting competition and in oper-
ating plants independently would II saved
for the owners. yield handsome profit,
while under the old conditions few If any
are making any money at all.
When Crawford Fairbanks was asked for
information concerning the new trust he
said that. as yet, nothing had been done to-
ward effecting combination of paper men
in the West. He admitted. however. that
the pressure created by the international
Paper Company in the Western markets
was not relished and that none of the West
ern mills were making any money at pres
ent. He volunteered the information that the
price Of pulp, or newspaper, was about to
go up. but in the same breath denied that
the formation of a combination had any,
thing TO do with 1t. although admitting that
the Western mills were having their hands
full to get business at the present low
prices.
What shape the negotiations will assume
| IN the near future 1t is impossible TO say
| as Colonel Durbin, who was made aware OF
| the plan at Its inception. has not been in
the councils of the manufacturers since dis
posing of his interests. 1t Is assumed, how
| ever. that the Western paper mills will be
absorbed entirely or operated in connection
with the strawboard trust, which in the
orQnary course OF business with the paper
| box factories Of the country. has oppor-
| tunities for marketing vast quantities OF
paper for Innings, or coverings, for the
| strawboard used in making boxes and other
paper products.