New-York tribune., 1907-11-30
TRUST TIE NOT HIDDEN.
Not 1duerhsed, H0ucUcr, Says Uit-
ness at Tobacco Hearing.

An examination of the relations between inc
American Tobacco Company and tho Nells W
head Company, cigarette manufacturers, 'ooh up
a large part Of the time yesterday when = > Hii''
,ice-pre sidept Of tho American Tobacco COMPANY
resumed the stand In the hearing before Chlleu
States Conlr. ssone- Shields. Mr.. Hill denied thaI
the relations between the two companies hau eE'.
deliberately been kept secret although he ad1nttea
that no stems had been taken 10 make them public
After il had been brought out that tho wells
V nitehead company had sent out Its goods with a
union label. Mr.. Hill asked If this did not
imply that there was no connection between the
two companies.
It can't say that it did" responded the witness,
"but we always advised the Wells Whitehead Com
pany not TO deny the ownership Mr.. Wells said
that he had taken any active part in the
affairs OF the Whitehead company. although he
felt free to make suggestions at any time.
II was also brought out that the purchase Of this
company had not been an entire profit TO tho
American Tobacco Company Mr.. Hills said that
for two years the Whitehead company had paid.
but in 1895 il had through accident placed
the market over ten miliol damaged cigarettes
which it had to redeem. This had resulted il a
loss from which the company slowly recover
ing. so that now it was again running profitable
basis. The witness said that as secretary of the
American Tobacco Company he received daily re-
ports from the Whitehead company as TO the sale
Of cigarettes. and monthly reports as to the huau-
cial condition.
When Mr.. MacReynolds began 10 ask some oues
tions about tho scraps" market in Cincinnati MIR
Hil testified that the American Tobacco Company
owned the Day and Night Tobacco Corlpanv a
supposedly independent concern. This the witness
said. had been kept secret because tho former
owners OF the Day and Night Company. who still
retained an interest in IL. desired it, Nj Hill also
tesuued that the company occasionally discontinued
a factory which It purchased and manufactured the
brands ar one Of ito factories. This he said
was true in regard TO the =. s. Reynolds COMPANY
When Mr.. MacReyIolds intimated that s. l. D.
iancy. one OF the heaviest stockholders in the
Reynolds company. had been heavy loser when
the concern changed hands Mr.. Hill insisted that
Mr. Delaney was one Of tho best friends Of the
American Tobacco Company. Mr MacRevnolds
tnen read a letter from Mr. Delaney IN which he
complained OF the treatment that his ConIpauy had
received and hkened his concern to a prisoner N
chains, and called upon Mr., Hill 70 break the
shackles' and treat the company fairly or else LOT
II go out Of business With every possible profit to
the stockholders.
MT MacReynolds took up the relations between
the American Tobacco Company and tho United
Cigar Stores Company. Mr. HUI said his coulpan,-
made an allowance 70 this firm for advertising the
goods OF the American Tobacco COMPANY based
on the Increased sale of the brands that were
pushed and that an allowance would also be D1ade
10 any other company