The farmer and mechanic. [volume] (Raleigh, N.C.) 18??-19??, 1900-09-25

age of the North Carolina papers
without the cost of soliciting, and
that would be a big business from the
start.
To show the increase in the price
of white paper since the organization,
we NAV state that it is a tax Of 5000
per day on the News and Observer
alone. All other papers are taxed IN
proportion.
The Inland Printer, published at
Chicago, H., acknowledged authority
in the printing trade, has an article
that ought to interest everybody. The
article is as follows:
"A PAPER MILL MANS VIEW OF
THE PAPER TRUST.
ssPatrick Henry Gilkey-Irish Of
name but down-East Yankee by birth
and breeding-is nothing if not rank.
He is by occupation a farmer near
Kalamazoo, Michigan, but he IS also
heavily interested in several paper
mills owned by the trust, IS a direc-
tor in several national banks n a
man of affairs generally. Speaking
recently on the paper trust, MI. Nli-
KEY laid its responsibility at the door
Of the Dineley tariff law. He tells a
story about Editor Dingley Ca son of
the author Of the tariff measure) com
ing to see him to protest against the
upward tendency CT the price OF print
paper.
LET me sce,' | said to him. about
two wears ago you were paying some
thing like $1.70 for paper, weren't
you?'' said Mr.. Gilkcy in telling Of
the interview.
yes lie said. And now it costs
YOU s2.7O. doesn't it?' About that
he says. Well said, were entitled
to the increased price. We paid our
money for it and bought it. We got
our protection in the Dingley tariff
bill that we had paid for. and we held
a love feast over the matter. Then 1T
was only a little while before the
price Of paper in the United States
was in the hands of Il man. lie
wasn't f~celino very well n morning
when he got UP. Put the price up
25 cents" he said. and paper went up
from $1.7O to $685.
.'Thc man in New York didn't stop
with enc little 25-cent rise" continued
Mr.. Gilkey. Tie kept putting on
other 25-cent rises every little while
! until. after two years, he has got the
price up to S2.7O. Every single paper
mill in the country is now in the
! trust. There are 1920 Of them. They
have adopted the policy Of running
the mills one week and. shutting them
down the next. Two objects are ac-
complished. The expense Of opera
! ton is reduced and the limitation Of
49,, ,,.1-or - c.n 40 1,n,iN1IIOf a
prices
Mr.. Gilkey then produced a bank
book and glibly read off various sums,
explaining that each amount repre-
sented a dividend he had received on
his stock in the Bardeen paper mill at
Otsego, twelve miles north of kala-
mazoo. On January 3rd last, accord
ing to the handbook, there was a de-
post Of $3.50, representing a dividend
of FIVE per cent on the stock Mr..
Gilkev owns N this particular mill.
On February 23rd. there was a de-
post of $500, representing Il dividend
of ten per cent. On April 2 there was
a deposit of $3.50, or five per cent. On
the 3Oth of the same month there was
Il still further $500 deposit from o ten
per cent dividend. On June 21st,
there was a $500 deposit from a
ten per cent dividend. From January
3 to June q. accordingly. IN invest
rnent Of $4,000 in stock Of the Bardeen
Paper Company paid no less than So
600 in dividends. or forty per cent on
the investment. Mr.. Gilkey says that
before January 1 next that stock will
pay forty per cent more in dividends
at least. or eighty per cent for the
entire year. amounting to $4,000 on a
s.. 900 investment.
Mr.. Gilkey added that the stock
would have paid larger dividends but
that considerable sums had been car
ried to the surplus account. The Bar
deem mill. Mr.. Gilkey explained, was
established by Mr.. Bardeen about
thirteen years ago. It's capital stock
was $4,000. For the first five years
it paid no dividends. All profits were
carried to the surplus accoun and
from this account during that time g
second mill as large as The first was
built. Then it began to declare di-
vidends. In something like eight
years it has paid in dividends $2.15 for
every ST in the original investment
and besides that has built still a third
mill from the profits.
Whatever NAV be thought of Mr.
Gilkey's opinion hat the paper trust
was made possible by the DingleN
tariff, no consumer of paper vii
gainsay his knowledge as to the
trusts workings.
The above ought to interest news
paper men. Perhaps all Of them dc
not know the facts. Pass this along
for their information and think about
it yourself. It should be read by
EVERY MAN WHO USES PAPER. ,
TRUSTS HERE AND ABROAD.