The news-democrat. (Providence, R.I.) 1906-1909, 1907-11-08
PAPER bAR0hs
To Be PRObED
BY PRESIDENT

Washington, Nov S.-President Roose-
velt's promise yesterday that he will at
once recommend TO the department OF JUS
tice that IL take immediate steps to ascer-
tain whether or not the antitrust laws
are being disobeyed by the manufacture
ers OF paper and that he will also recon-
mend to congress the abolition OF the
tariff on press paper. wood pulp and the
Wood that goes into the manufacture OF
paper. have given great satisfaction TO the
members OF the committee on paper or
the American Newspaper Publishers
association and to the national organiZa-
tons of printers, stereotypers, pressmen
and etchers.
In their petition 10 him these organiza-
tons set forth the evidence OF a combi-
nation on the part of the manufacturers
of paper for the purpose OF controlling
the output, regulating and greatly increas-
ing the price and otherwise making him
dersome regulations governing the source
of supply and delivery of paper.
The call upon the president was made
in pursuance OF resolutions adopted by
the American Newspaper Publishers as
ISOLATION at a special meeting held in
New York Sept. 10 last.
| The president was told OF the crea-
| ton OF combination 10 exhaust the
surplus stock of paper. to cause a paper
| famine and TO raise prices.
|
that after the disbandment, by order of
the court. OF the General Paper com
pany, various meetings OF Eastern and
Western manufacturers have been held
| TO stimulate prices and to limit the con-
| tract period.
| A conference of Eastern manufacturers
| was held in New York during the first
week Of September last. when the last
| advance in price was decided upon Since
| that time manufacturers who had pre-
! viously solicited the business or various
| newspapers have withdrawn all quota
| tons.
| 1t was represented that Canadian mills
can and do pay the s6 per ton duty and
still find 1t profitable to sell in the United
| States. At the same time the American
mills are selling abroad in competition
| with Canada, Great Britain, Germany and
| Norway.
II was stated TO the president that paper
makers operating have made large profits
| during the past 10 years at prices averag-
| ing less than $40 per ton, and that sell
ing price of between $50 and $50 per ton.
now proposed, would mean daily tribute
OF SIS, 900 paid by the paper consumers to
| the alleged combination. Proof is obtain
able in government records. IL was claim
ed that paper mills in the United States
and Canada are making paper at a cost
less than e2S per ton.
to show that the cost OF labor had greatly
increased but this was refuted by the
statement that the entire cost of labor for
the manufacture OF a ton OF paper
amounted to less than $40 Not one
| twelfth of the advance in news print pa
per- II was stated would go to labor.
Many newspaper proprietors. II Is claim
ed. are unable to obtain any quotations
for paper for next year. and do not know
where to obtain supply.
The president was told that in all his
tory of crimes charged against combina
tions and trusts such situation Is un
precedented.
III Both the policy OF the paper manufac
turers to acquire large tracts OF timbe
land, for which speculation, ii is charged
the consumer of paper is obliged to pay
and the overcapitalization OF the com
panies were subjects of criticism in tn
{ presentation to the president.
, The committee on leaving the Whit
' House seemed highly gratfed by the as
= surances that the president gave. Evi
dence.' II was said. for the action OF TN
l department of justice is being supplied
and IL is believed that the methods o
r the so-caled paper combine may 500
! be tested In the courts