The News-Herald. [volume] (Hillsboro, Highland Co., Ohio) 1886-1973, 1907-10-10
Rates TO africa
CUT FOR STANDARD
COMPETITOR HAD TO PAY MORE
THAN DOUBLE ON OILS FOR
lUBRIcATING.
Contract 10 Produced--Ida Tsrbeii's
Brother Tells Of His Troubles with
the Trust-hearins Of Missouri
Custer Suit Set.

New York, Oct. 5.-An omnibus con.
tract. whereby the Standard Oil COM
pany obtains from every steamship
company operating between New
York and all ports In Africa rate for
the shipment of lubricating oil that is
about one-half what It's competitor,
the New York Lubricating OIL vom-
pany, pays was produced Friday in the
hearing Of the federal suit against the
alleged oil combine.
This contract was placed In evi.
donce and Philip Harrison, a manager
OF the New York Lubricating OIL CON-
pany, declared that his company was
sorced to pay double the Standard
rate. Notwithstanding his protest to
the steamship companies.
Mr.. Harrison said that by reason
OF the freight discrimination the
Standard could place its products in
Africa at less than the cost price Of
the oils Of his own company, and that
to maintain African trade the New
York Lubricating OIL company was
formed to purchase from the Standard
the cheaper grade of oils which It
sold to its customers.
Tarbell Tells His Troubles.
w. w. Tarbell OF Philadelphia,
treasurer Of the Pure OIL company and
OF the United States Pipe Line com.
pany, related the dificulues his COM
panies had encountered In competition
with the Standard. Mr.. Tarbell stated
that the business Of the Pure OIL COM
psny was placed In districts selected
with a view to avoiding business rela.
uons with certain railroads whose
rate determinations. he said. were
more feared by the company than the
opposition Of the Standard In open
competition.
Mr.. Tarbell Is a brother OF Miss Ida
Tarbell. who has written much about
the Standard Oil company and John
D. Rockefeller.
Missouri Custer Suit Set.
Jefferson City, Mo-, Oct. Sit was
announced late Friday that the Stand
ard OIL company custer suit has been
set for hearing before the supreme
court en- blanc October 90. The case
is to be argued on the report Of the
special commission which is alleged to
have found an illegal combination Of
the Standard Oil company, the Wa.
ters-Pierce Oil company and the Re-
public Oil company. and the exception
MED by the companies to the report.
lubricatins OIL Prices Jugsled.
New York, Oct. 4.-That the Galena
Signal Oil company, a subsidiary of
the Standard Oil company, controls 81
per cent of the lubricating oil busi-
ness with the railroads of the United
States and that the prices for its
products are not uniform with all rail
roads was written in the record of
Thursdays hearing Of the federal suit
against the so-called oil trust.
G. G. Steinbrenner, an accountant
Tor the Galena company. told In detail
hoy contracts were made with rail.
roads whereby they were guaranteed a
maximum cost for the fabrication Of
the road, based on mileage for en-
gines and cars, and when the maxi |
mum cost was found at the end Of GER
tain periods TO fall short of the stand |
ard invoice which all railroads paid |
when they received the oil. the Galena |
company made a refund Of the differ
ence.
Not the Same to All Roads.
From statements compiled from the
Galena company books. Mr.. Kellogg |
was able to show that In some cases
the amount Of the refund was nearly |
80 per cent. of the invoice price. Mr.. |
Steinbrenner testified that the lubri- |
eating oil furnished to the Pennsyl- |
vania railway was sold at a loss. The
Galena company fixed the standard In.
voice price of valve oil for engines |
last year at 48 cents a gallon and Mr.. |
Kellogg drew from the witness that
the Pennsylvania railway, after the
refund was deducted, obtained It's oil
for "a cents. Mr.. Steinbrenner testi-
fed that the New York Central, Union |
Pacific. Delaware & Hudson and
Southern railroads paid AZ cents a
gallon. or the full invoice price. with
out refund. The Baltimore & Ohio
railroad paid 3s cents a gallon. while
the Toledo. Peoria & Western OBJ
tained its oil for 26 cents. Mr.. Stein
brenner said thst the fixing OF the
minimum cost of fabrication to a rail.
road was a matter of hard bargain
ing.