Evening journal., 1907-02-26
POWDER TRUST"
ONLY A MYTH
dupont Company Has Not a
MOnapIV on The Powder
Making Business
ONLY II PER CENT. PROFIT

given in 1897, when 10000 pounds were or |
dered of the dupont concern Prior TO
that time the Government had been using
Brown Prismatic Powder, which is "a
powder of entirely different character.
The smokeless powder now used by the
Government is manufactured and furnish
ed under specifications prepared by tho
Army and Navy Departments and must
conform to them.
In the year 1895 Admiral Converse and
Lieutenant Bernadou took out a patent
covering a certain kind Of smokeless pow
der. This patent was offered TO the du-
Pont Company at that time and the du-
Pont Company refused 70 purchase II,
thinking that It was not Of value. 1t was
subsequently acquired by the International
Smokeless Powder Company. in which at
that time the dupont Company had no in
terest. During the existence of the Con-
verse -Bernadou patents the Latin and
Rand Powder Company, The California
Powder Works ana the DUPONT Company
have manufactured smokeless powder and
furnished It to the Government entirely
irrespective Of the provisions Of these
patents, on the ground that there was
nothing in the patents which would pre-
vent such manufacture. This course was
at no time objected TO by the owners OF
the Converse -Bernadou patents
Converse -Bunadon Patents Not Used.
Stock Of the International smokeiess|
Powder Company was purchased by the
dupont Company in 1904, and the owner
ship Of the -Bernadou patents
was thus acquired by the DUPONT Com
pany Since that time the DUPONT Com
pany has continued TO furnish smokeless
powder to the Army and Navy Depart
ments, but the specifications under which
this powder has been furnished have been
such that the product has been very dif-
ferent from that described in the Con-
verse -Bernadou patents For this reason
all the criticism Of the dupont Company
alleging that it has a monopoly of the
smokeless powder business Of the United
States Government because Of its owner
ship Of the Converse -Bernadou patents
has and can have absolutely no founda-
ton.
In regard to furnishing information 10
foreign governments about the formula
and secret processes employed in the
manufacture Of smokeless powder for the
United States Government, It is sufficient
to say that so far as the Converse-Be
nadou patents are concerned they are on
public record and that product manu-
factured under them cannot be protected
by secrecy. It has been stated that Mr..
Watts at one time President Of the In
ternational Smokeless Powder Company,
wrote letter to some of the foreign gov
ernments Offering to give them the form
ula used in the manufacture of powder for
the United States Government Mr.. Watts
is now dead. and 1t is impossible to give
! the circumstances attending the sender Of
that letter Undoubtedly II he were alive
he could satisfactorily explain them. 1t
is enough to say that the letter was writ
ten at time when the DUPONT Company
had absolutely no connection, as a stock
holder, or otherwise, with the lnterna-
tional smokeless Powder Company, nor
did anyone interested in the DUPONT Com
pany. or in any company with which Il
was associated. have any relations with
that corporation.
There are patents owned by the du-
Pont Company which have been the re-
suit of experiments made at their own
works. and to which the Government can
have no possible claim, which in a mea-
sure facilitate the manufacture Of smoke
less powder. and result y economies.
These patents might be a handicap to
certain extent upon a new company which
desired to go into this business, but there
is no patent, so far as the DUPONT Com
pany is informed, which covers the pro-
duct as such and which would prevent its
. 81
and capital.
dupont Company Assisted Government.
A smokeless powder plant was erected
at Indian Head in 1899 by the U. s. Gov
ornment. and instead Of opposing the cree
ton of that plant the DUPONT Company
assisted the officers of the United States
in every possible way, furnishing them
much valuable information in the way
OF blue prints and gave them the results
Of their experience in the business, and
did everything possible to make the ven
ture a success from the standpoint Of the
Government. The same attitude was as
sumed by the DUPONT Company in regard
/ 10 tho appropriation made by the last
/ Congress for the erection Of a smokeless
powder plant, and the company not only
/ offered to furnish, but has furnished the
proper departments Of the United states
/ Government with plans and blue prints TO
I facilitate that work
I There has been some comment in the
papers. and also in Congress, in regard
/ to the relations OF the DUPONT Company
/ to "a snokeless powder plant in process OF
/ erection by the Government Of Brazil. This
/ in no way involves any secret processes or
methods which are employed by the
/ United States, or I'm the manufacture OF
its p<vder, the dupont Company brought
its plans to the attention OF the proper
department of the United States Govern
ment, and with the qualifications above
mentioned no objection upon the part OF
the Executive Department Of our Govern
ment was made to the dupont Company
undertaking the business.
Not Enormous Profits in Business.
In regard to the price which is and has
been charged the Government for smoke
less powder which has been furnished by
the DUPONT Companies IL has been stated
that this business shows a profit OF 100
per cent to the DUPONT Company and
that on account Of these profits that COM
pany has been enabled to sell commercial
explosives at or below cost to such an
extent as TO render It impossible for in
/ dependent companies to compete In certain
commercial fields.
In this recard il was shown in "a rncont