New-York tribune., 1907-12-06
DEFENDS STANDARD OIL
J. d. ARCHBOLD SPEAKS.
Silence Of Years Broken to Anszoer
AualQnche of Charges.

/
face of the avalanche of charges brought against
it. not only by ITS competitors. but also by state
and government officials. has been broken by Joha
D. Archbo!G. vice-president OF the company. In a
signed article in the current issue Of The Satur-
day Evening Post Mr. Archboid says:
Volumes have been issued in disparagement of
oIg, I qt,ods and its administrators 1t has
also been the object OF honest criticism by many
who have apparently lacked the opportunity ot
frankness that now believe the policy % silence
which the company maintain % for so many nan yeS1s; @
| a mistaken policy, which, ii earlier abandoheu,
effects Of mnch Of that nisrepresentation 1t is
the object this article to submit some facts n9
figures bearing upon the history and ACTIVITIES oI
the company for the consideration OF the taiE-
1t has been repeatedly asserted that the com
mercal success OF the company has not oGen uue
enterprise and economic achieVen1ent btas pSo ~l
most entirely 10 the acceptance Of railway Fe9Sfe5
methods This charge has found us way lC@ fe fme
press of the United States and OF. all lCreisi
lure the prestige and good name of the company
in many quarters of the world where the rtlla5te T
9ized and wnere e good 6Se6 ffh aebeei ~ us
MANY SOURCES OF INCOME.
It is not the purpose of the presel. aTJicle 10
discuss any Of the issues now penalng n ,riG tig
sources OF the c0mpany's profits derived from a
work allied to lar reaching investments ana a a
the income from the very large business OF manu- u
distributing The pIlnclpal p
netroleuIn-redned oi-wirh which the pes pu1ac oS 5S
familiar, the company has many qtHeT M 11ch
earnings, an enuneration OF which VIII 90 nlucl
10 correct prevailing nllsconcepuGn. -o5,,o+,o-
and OF pne Inc gathering and storage
trunk pipe line ttanSp9 iauoL ~ I,,hricatinr oils
paTaffine wax and candles, gasolene. naphthas ano
other motor fuel, oils and naphtha LOT nl'AlAe
Manufact7ms Of suIphuric acid and the other
for making barrels both wood and iron; factories
1oy wd4s EhT b1iIdns pups oil and gas engines and
SeIl;ng Of lamps of oil and gas stoves Of @ vcks;
in Europe and the orient as well as tqe @ and
States; storage plants and warehouses al iIoie A''
Wholesale and retail distributing plants in all
parts of the world. -. ora-sfzth
of The Tnjed states production and thus derIVee
all producing profit from that quann5y' ,inas the
entire mileage approximating 1000 miles Nedtg itG
every great OIL pr1duGls; ;d davearment and the
producers have owed their assured and profitao5ee
the company in providing pipe lines and Storage
AS illustrative of the complete revolution Of the
companys method Of Transporting us con1
merce partly traGea6ls teTe59 @ @ m 1s aons of Hum
are submitted IN r;,ad iSS by chartered vessels to
b1 5H'IR' ieakase Of from to per cenD-as against
In 1906 the barrel shipments by TessS 6 a6 oo a
Ions were shipped ny the comDany's heet OF tang s
@ taod sgelgeI % % One o per cent
There is and always has been conpsttion ana
brencbes Of business and they have at all times
been open to the capital of the world; The com
B4hs Prise fhs sh9u5a ca-rIed od it it everywhere
CAPITALIZATION AND EARNINGS
Had the standard Oil organization twenty-five five
/ lis fu:Gre after the manner of many industrial
and railroad enterprises OF the current era, ,. Il
would escaped much hostile cavH H. ana cFrsii ia
cism Had the capital been n1ed al hYe "a nuuI ar sq
/ cent dividends per annum been earned and de-
a1d hem IN eraday increased as assets and COM
/ Inerce expanded TO. say, per cent In ls0I (in5 @
tS a2e 81 - m s Se16 2 S Woai have been
! aroused. is the percentage OF dividend on the
not the percentage Of dividend on the actual as
/ sets and multiplied volume OF business resulting
! from quarter Of century OF industry ana en-
The Profits from the sources enumerated have
exceeded the dividends paid for many years paSt,
and the surplus thus resulting has been iarge!y g1
utilized in extending and improving the industr-i.
equipment OF tht company a. 4 GtT i aI it I bi
ness administration; in purchasing producing Ter
rltory. increasing pip line and ganutae'uIliSi ia
cIlties, materially enlargng ITS meet ana n1Itlply
ing its inland distributing stations iNS woTd "a ;,I
m RE 5fhaG fion nf S Renuble To-day not only does
crossing state frontier create lnteLSttte com,
each state may have a corporation law differing
widely from that OF it's sister states The embar-
,assn;ants thus created are well known 20 all en-
dea voring transact business concurrthtLy an
over the country. The COMPANY Is peTsi@s{enty @ as E
actually STUDYING how TO conform 10 tneIh- dHllu
a medley OF conflicting interpre tations , -, =
Personally speaking merely for nyselt alone,
sive national act defining and regulating Ine cor cor
poratons OF the country upon any m
commerce. i advocated such a law, as carry as
1899 in my testimony before the Industrial COM
mission
DENIES CHARGES OF OPPRESSION.
The charge of an uncharitable attitude toward
business rivals IS no noHelty ~ d oi atainst
competitive retailer as asalISt % e SI1d "a
"r "h@e1tgI e9tS on i 1s competors but liz
tie about the standard S treatment py US -
ture N rs usually alleged Lhat whenever tho
Lsonr io, ~ tre consumer and when IL
Other nind II lowers prices. II is tnen oppress-
ing its competitors. ,.-.. ,,,, .or,r+s,
anonss the competitors of the Standard They are
apparently maintaining prosperous an ihuepenueilete
ana employing not less lhtl 9too,-y1J,yvD - ,t %
Either. therefore. the Standards poLcy toward itS
competitors have hoUrIshed III spite OF the Stahu-
the company has been persistenty criticised for
it's so-calied esplonaSe upon tnG 0pe mons VI ] ne
OF the affairs of its competitors than its COM
petitors know OF its affairs, but 1t certainly has
company to learn All it lesitimately can OF its
il has been. ana viii contmue TO ne, the COM
pany's abroad to learn all that IL legitimately
ncIau, putcn Indies and other toreIen coIApeu-
tors IaeSe t % prosr and nocy of
The company contends that it's lighting has been
fair - fghtihg and that it has invariably kept its
agreements ana manifested Suou LdiLH u lTl-lu
and foe; that, while admitting that 1t is busi-
ness organization and not benevolent institution,
lis policy toward its rivals would compare mos
favoraby-aIike from the standpoint OF equity and
Uberalty-With the usageS OF the business world
or the records of human history.
II has certainly never been the policy
rice Of the Standard market its products abroad
at loss and attempt to recoup this loss by rails
ing lis price 10 the home buyer. To establish and
maintain exact parity OF prices between the end
less consuming markets of the world. or even in
widely serarated points in the country, would
be O ma nifest inpossibilty but the Standard is
able to assert that. Notwithstanding its continuous
competition with foreign industries enjoying the