Deseret evening news. [volume] (Great Salt Lake City [Utah]) 1867-1920, 1905-03-03
President Transmits to Congress
That Of Commissioner Of
Corporation.
PROFITS ARE NOT UNIFORM.
They Vary from Year to Year High
Prices Of Beef Attributable Wholly
To Abnormal Prices for Cattle

Washington, March 3--President
Roosevelt today transmitted to Con-
gress the report of the commissioner
of corporations on the beef industry,
submitted In compliance with the res
olution Of the house Of representatives
adopted March Z, 1904 The presidents
letter Of transmittal Is as follows;
To the Senate and House Of Repre-
sentatives:
| transmit herewith a report from
the secretary Of commence and labor
upon that portion Of the resolution OF
house Of representatives adopted
March Z, 1904, having to do with the
prices OF cattle and dressed beef the
margins between such prices, and the
organization, conduct and profits OF
the corporations engaged In the beef
packing industry
In view OF the fact that the depart
ment OF Justice Is now engaged upon
other matters involved in the resolu-
ton the secretary OF commerce and la
Dor cannot at this time report thereon.
THEODORE ROOSEVELT"
The report Of the commissioner Of
corporations is to the effect that six
packing companies Armour & Co.,
Swift & CO., Morris & Co., the National
Packing company, the Scnwarzschild &
sulzberger company and the Cudohy
Packing company, slaughtered In the
year 1908 about As per cent Of the total
indicated slaughter In the United
States; that the average net profit In
1903 for three OF the companies was 20
cents per head, that the year 1909, In
stead Of being one of eNhorbtant pro-
flts. was less profitable than usual; that
during the month when prices Of beef
were the highest some at least OF the
leading packers were actually losing
money on every head slaughtered. The
changes IN the margin between prices
Of cattle and beef are In themselves no
indications whatever OF the change In
profits, says the report. Price condi-
lions for the years 1902 1908 and 1904 ere
reviewed and the conclusions are stat
ed that the six companies especially
discussed are apparently not over copi-
talized; that the percentage OF profit
on the gross volume Of business Is COM
paratyoly small md that during the
years 1902. 1903 and 1904 Swift & Co.'S
profits have not exceeded per cent
OF the total sales; Cudahy & Co.'s IL
stated at is per cent for 1904 and 2,s per
cent for 1908.
with reference 20 private car lines IN
the packing industry It Is stated that
the profit Is very liberal one, a net
return OF from "A to II per cent being
indicated, but Il IL added that, reCkOnei
on the basis on dressed beef transported
and profit would add but little TO the
cost OF beef 10 the consumer The profit
OF one concern Cudahy Packing CONS
pany on It's investment In cars, was
az high as % per cent I'm the year.
Further Il Is stated that the principal
packing concerns, while they slaugh-
tered but As per cent OF the cattle killed
I'm 1903, they slaughtered nearly 9S per
cent Of the cattle killed I'm eight leading
western packing oenters; that they con-
troll n very large percentage OF the trade
IN beef particularly In the east, and
that they furnish New York about rs
per cent. Boston more than IS per cent.
PHILADELPHIA about 60 per cent, Pitts
burg more than 60 and Baltimore about
90 per cent.
The report IN conclusion says that
the National Packing company mem
toned as one OF the big six" is a mcrg-
err Of various packing plants but except
for that concern there appears TO be
no general inter-ownershlp Of stock
among the six principal companies
SUMMARY OF REPORT
A summary OF the report follows;
That six packing companies--Ar-
mour e Company, Swift & Co., Nor
rls & CO., the National Packing COM
pany, the Schwarzschild e. Sulzberg-
err company and tho Cudahy Packing
company. frequently designated In the
trade as "the big six'-slaughtered IN
the year 1908, b,62l.697 head OF cattle