Evening times-Republican. [volume] (Marshalltown, Iowa) 1890-1923, 1899-09-11
IOWA |. !! NElN APERS.

TGrinnell Herald. j

lGrlnnell Herald.1
The real secret under the prevailing
4 rush to make trust of every Industry
with any real value in 1t crops out very
clearly In the effort to seize and COM
bine the glove factories. The. impress
sion IL generally made that the desire
Tor combination exists among the man
+ ufacturers for the purpose of overcom-
ing the friction and detail OF Individual
enterprise by the concentration of man
Aagement. Another motive becomes
obvious in the matter of the glove MAX
ing industry and it is one that may
prevail and result in the destruction OF
the smaller factories. Mr.. d. s.. Nor
rison went to Gloversville, N. T.. re-
GENTLY in search of q new superintend-
ent for the glove factory. He knew Of
the talked Of scheme to form glove
manufacturers trust and expected tot
ind the eastern glove makers In favor
of 1t. He found the sentiment there
wholly opposed to 1t, and learned that
the scheme originated with Chicago
promoters who are backed by large
Chicago bank. The plan outlined is to
issue $20.000,000 of stock. $4,000. 900 OF 1t
preferred and $12,O00,000 common: to
purchase the factories at valuation
fixed by committee OF three and pay
for them in cash or In preferred stock
at $3.50 Of stock for each dollar Of plant
valuation.
Now the outside rating of all the Full
ton county, New York, glove manu-
facturers, who make the bulk Of the
gloves made in this country. is 81, 900,
000 Itsis safe to say that all the fac
tories In this country would not ex-.
coed this amount in sale valuation.
Here are $4,000, 900 of actual valuation
and $15,0OO,000 Of wind" or water" at
the very beginning. To say that these
Barney Barnato promoters were elo-
s quent Is to speak mildly. They We're
said in Gloversviile to have ''ball-bear-
ing" Jaws. They urged all the legfti-
mate grounds of economy In combina-
ton, such as saving Of detail and fric-
ton, etc, and besides, through the
eastern press, held out the prospect of
the control of the foreign market. Ev-
cry glove maker knows that Europe
can make gloves cheaper than we can.
Gloves can be bought in Berlin at less
than the cost of making them here.
Gloves that are made from skins pro-
duced here can be made. on basis with
European competition, but not gloves
that are made from stock that has to
be brought here from Europe. But the
millions in prospect from stock jobbing
is the chief object of these people, and
not the interests of the manufacturers.
! The factories would be run to effect re-
suits on the stock board, and the prime
move would be the shutting up of the
small factories by purchase or by
freezing out" One glove maker who
asked what he might expect If he re-
fused to "go in was answered that 1t
would not be polite 70 say to him. 1t
was plainly intimated that the factories
in Grinnell would be shut up.
Generally the glove making industry
in the United States Is in wholesome
condition, but there are probably I'M
profitable Establishments whose owners
have given options on their factories
and through these the Barney Berna-
tos' are exercising pressure on the
others by threats to enter their terri
Il tory and underseil them. There is OPP.
position to this proposed trust among
nearly all Interested. makers and job
bers, and it is a question whether the
nefarious scheme will succeed. If the
bandits can make it work long enough
to unload their millions of watered
stock it is probably all they desire. This
done the unfortunate holders of the
stock will have to pull themselves to-
gether and pick up the frayed edges oil
the glove trade and begin anew or sci
their stock for nothing to the men who
can do this.
What of the bank that is willing t.
lend its deposits or surplus for an,
such purpose? Why, it makes its com
mission on the sale of the stock ane
takes no risk.
MACHINE ROAD RIrIr .D1N1T.