The semi-weekly messenger. [volume] (Wilmington, N.C.) 1897-1908, 1901-05-14
HOW IT ATTEMPTS TO MONOP0uIZE
THE GOUNTRY'S TRADE.
PRESIDENT DUKES DENIAL
Of the Sworn Statements of Jobbers
that They Have Been Forced by the
Trust to Stop Handling the Goods of
Independent ManufacturerS-Hear-
ing on this Question by h Industrial
Commission-Witnesses Before the
Commission.
Commission.

Washington, May 9.-The industrial
commission gave it's attention today to
the manufacture of tobacco, with es-
pecial reference to the effect of com
binations in the business. Several wit
neSses, both for and against the trusts
were heard, the first of them being
Hugh Campbell, president of the Unit
ed States Tobacco Company, of Rich
mond, Va, manufacturers of plug to-
bacco. Mr.. Campbelrs is one of four
independent companies and he COM
planned of radical Determinations
against his company, especially in New
England, because of the eXactions of
the Continental Company, which man
ufactureS a large percentage of the
chewing tobacco made in the n
He said hat the representatives of
that company had mad a proposition
to jobberS to give them a reduction OF
3 per cen in addition to the usual
jobbers' reduction of 2 cents a pound
and had, later, increased the percent
age reduction to 5E, at the same time
reducing the 2 cents a pound reduction
to. 1 cent. These advantages We're, he
said. given on the explicit understand
ing that the jobbers should refuse TO
sell the brands of the Independent man
ufacturers. The result had, Mr.. Camp
bell said, been very injurious to his
business.
Mr.. Campbell said that the CONT
mental Company's proposition applied
to the United States company, the
Wetmore Company, of st. Louis, Fin
ger Brothers of Louisville. n the
Manufacturing Tobacco Company OF
Louisville. The last reduction to the
inhhQrS and the fact that the COnti-
mental company had refused to do bust
ness with those handling the indepen-
lent company'S goods had so frighten-
ed many of them, that they had refus-
ed to continue business with outside
companies. He said that jobbers them
selves told him of this exaction on the
part Of the Continental Company, as
surfing him at the same time of their
satisfaction with the United States
Company's goods.
MI. Campbell declared hat the eff
feet of the organization of the Amer
lean and Continental Companies a
been to reduce the price of raw mate
rial, to the injury of the former and
without benefitting the consumer. He
asserted that the manufacturers and
dealers would secure the entire benefit
to be derived from the reduction of
the tobacco tax which is to take place
on July 1st. Mr.. Campbell said he
a not proceeded under the anti
trust law because he neither had the
time nor the means for such a con-
tsst. 1t would be like a mosquito
fighting an elephant" he said.
James B. Duke, president of both
the Continental Tobacco Company n
the American Tobacco Company, ex-
planned in detail the methods Of those
two organizations. He denied that AM
threats had been made to drive out
the brands Of other manufacturers.
"All brands stand upon their own bot
toms,'' said he, II do not, of course.
know what our agents may have done
in making terms with dealers, but IL
they have made any such exaction as
represented it has been made without
our consent, and ] do not believe they
have done so. I ont know of a
does not handle other brands than
OURS"
Mr.. Duke estimated that the Amer
lean Company makes IS per cent. of
the cigarettes manufactured in the
United States and the Continental
| Company 60 per cent. of the plug to-
bacco. The American Company ex-
ports about 1000, 900. 900 cigarettes an
nually and has foreign factories which
manufacture 100000 a day in Japan,
20O,0 O0,0 900 a year in Australia and 10o,-
10000 a year in Canada. He said that
his two companies probably employed
from 5000 to 10000 persons. He paid
no attention to whether they belong 10
labor organizations. we do not ask
a mans politics or religion or his labor
affiliations" he said, but We pay
good prices and expect efficient ser
vice. which We generally get We
treat our people well and get on with
them"
He added that he would not agree
that his business should be run by
walking delegates" and that he had
not consented to have labor union Ia
bells placed upon his goods al
J the goods stand on their own merits.