The Morris County chronicle. [volume] (Morristown, N.J.) 1877-1915, 1907-08-06
crease in total pron,s or aoou, sz1,-


crease in total pronts or aoou, sZI,-
100000.
While the dividends from 1882 to
1905 were 1852, 100000. the net earn
ings, the commissioner says, were
much more, at least $790,000,000. These
enormous profits were based on an in
vestment worth at the time of its
original acquisition not over $75,0O0,-
900 and not over $147, 100000 in 1896.
From 1903 to 1906 the average net
yearly earnings were about 6S per
cent
"These figures" says Commissioner
Smith, demonstrate the falsity of the
historic claim of the Standard Oil COM
pany that by reason of its extraordi-
nary efficiency it has brought prices
to point lower than would have been
reached had business remained under
normal competitive conditions and in
the hands of number of comparative
ly smaller concerns.
Record In Nutshell.
Summing up the results of the gov
ernment's inquiry the commissioner
says:
'The following facts are proved: The
Standard has not reduced margins dur
ing the period in which it has been re-
sponsible for the prices of oil. During
the last eight years covered by this re-
port (1S98 to 1909 it has raised both
prices and margins. It's domination
has not been acquired or maintained
by its superior efficiency, but rather
by unfair competition and by methods
economically and morally unjustifia-
BILE. The Standard has superior eff
cheney in running its own business; it
has an equal efficiency in destroying
the business of competitors. 1t keeps
for itself the profits of the hrst and
adds to these the monopoly profits Sc
cured by the second. It's profits are
far above the highest possible stand
ard of reasonable commercial re-
turn and have been steadily increasing.
Finally, the history of this great indus
try is a history of the persistent use
of the worst Industrial methods, the
exaction Of exorbitant prices from the
consumer and the securing of excessive
profits for the small group Of men who
over long series of years have thus
dominated the business"
Archbold's Comment.
In a statement unmistakable in its
intent, John ID. Archbold, vice presi-
dent Of the Standard Oil company,
handed out a few typewriter remarks
aimed directly at President Roosevelt
and his policy over the shoulder Of
Commissioner Smith, The statement
was inspired by the fact Judge Lands
had fined the Standard Oil Company
of Indiana $40, 240, 900 for accepting re-
bates from railroads, especially the
Chicago and Alton. In his statement
Archbold said:
"On Saturday, Aug. 8, Judge Lands
announced his decision. On Monday,
Aug. 5, Commissioner Smiths report
is given to the public. This remark
able report of Mr.. Smith marks an
other coincidence in the utterances of
the different departments of the gov
eminent in their attacks upon US that
have occurred so frequently as to rob
them of even the appearance of being
accidental
I'm connection with its publication 1t
may not be amiss to remind the pub
lie that the act creating the bureau Of
corporations provides that such re-
ports shall be made to the president
for the purpose of guiding him in
forming suggestions as to legislation
and that they may be made public in
whole or in part only in the discretion
of the president 1t is sufficient now
for as to say~that in the preparation
Of his report Mr.. Smith did not see fit
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