Alma record. (Alma, Mich.) 1878-1928, 1902-03-07
MI ANeT The Sug0T Trust.
Hathaway Quoted from Mr..
Vemeyer's Own Words in
he Hearing Before the
Ways and Means
Committee.
Continued from las, Is.ue.)

output Of sugar in the United
ves.
That In the effort 10 control the
90 and output of sugar, the policy of
trust has been TO crush all forms of
nlcuuon. That according 10 Mr.
vemeyer this net of crushing is an
OF the competitors, not of the trust
That the present capacity of the
peries owned by the trust is more
sufficient 10 supply the entire con-
ptlon IN the United states.
u That having gained control of the
Jar business, Mr.. Havemeyer thinks
II Is then fair TO set out of the con-
ler all he can. That ne does not care
p cents for ethics, and that he does
know enough of them TO apply them.
at IN times past the effect Of the
ar trust has been 10 raise the price of
ned sugar beyond the rates in vogue
ping the period of active competition.
That of the 10000, 600 capital
ok of the American Sugar Refining
npany, fully 60 per cent. is water
{ since ITS organization the trust has
ragged an annual payment of 10 per
I. on all stock; that the per cent. OF
idends has been greatest when the
II ON raw sugar has been least that
II Mr.. Havemeyer's own statement
he amount of business done by his
lpauy, their net profits i'm 1901 were
r $50, 1000 600, which Is approximately
per cent. OF the actual cost of rebuild
all his retnerieS new.
That The sugar trust would be the
ect and greatest beneficiary of any
uction OF the tariff on raw sugar, and
{ this trust Is strongly IN favor of the
bhtion Of all such duties.
%. That the sugar trust can bear the
n sugar market ana thereby obtain an
vantage over other refiners of raw
Far.
!. That the sugar trust Is openly and
pwedly III favor of acquiring Cuba.
that until such acquisition shall
re been accomplished they are in
or OF free raw sugar.
hartman. Do you remember when
National Sugar Refining Company
ut into business?
Mr.. Hathaway. When they were or
hized?
Chairman Yes.
Mr.. Hathaway cannot answer that.
Jhairmain. Which went in first. the
buckle or the National:
Mr. Hathaway. | think the National
S the first one; that is, as / remember
As far as the way they operate at
present time is concerned, they are
harmony.
chairman. And in the first instance
re was competition:
Mr.. Hathaway. Yes, until-as | un-
stand it-they increased the capital
ck from $4,000 600 10 $4,000. 900.
at increase was 20 be used. according
ythe Industrial Commission, in buying
n their competitors There had been
i've competition in 1880, and this
We competition must be gotten rid
Aairman. But after that the
buckles and another company went
n. Hathaway. l could not answer
tairman 1t was somewhere about
I lr. Hathaway. / think so.
! hartman. / notice in S97 the differ
be between raw and refined sugar was
cents per hundred in 1888 Ii was
yn 60 10 cents per hundred; in 1899
vas 80 cents; and in 1900 it rose 20
cents?
,Ir. Hathaway. Yes sir.
hartman. That was the time they
got together, except the Arbuckles,
5 il not:
Ir. Hathaway. Yes; and they have
n together since.
khairman. And now the Arbuckles
il at the same price that the Ameri-
Sugar Refining Company sell:
MIR. Hathaway. Yes; but there is an
SEASONAL cut.
| Chairman. Is there any other Gus
ner that buys the Cuban product, the
at bulk of 1t, except the American
gar Refining Company:
uIr. Hathaway. No, sir; they buy it..
chairman. Suppose reduction was
de on the raw sugar coming from
ba TO the United States of ne-half Il
II pound what other customer
uld there be for Cuban raw sugar
AN these refining companie
MIR. Hathaway. None WI =.
Chairman. Under such Gil vumstances
o would be able TO make the price on
kit-the sugar refining company or the
ban planters?
ir. Hathaway. / think the Ameri-
Sugar Refining Company.
| Chairman. Why?
Mr.. Hathaway. Because the Cubans
ge no other market to ship their sugar
and the trust has an immense other
>Irket from which they can buy il.
sfr. Newlands. You said that some
kthe beet-sugar companies in Michigan
Hd dividend of 10 per cent for the
1t three years. How many companies
NE done that?
MIR. Hathaway. One.
fr. Newlands. And how many other
npanies are there?
dr. Hathaway. Twelve others.
Ydr. Newlands. How many of them
We paid any dividends?
Mr.. Hathaway. / think there are
IT, and possibly there is fifth.
{Mr. Newlands. Can you state what
hdends they have declared?
hr. Hathaway. All the way from
cent. TO per cent. That is the way
Understand IL.
! Ir. Metcalf. That is on the amount
capital actually invested, as / under.
nd 1t?
Ir. Hathaway. Yes. AS far as the
n ital invested is concerned, their reg
4 r price for buildings and factory i,
! boo for each ton Of daily capacity. Il