The Salt Lake tribune. [volume] (Salt Lake City, Utah) 1890-current, 1908-11-21
ROCKEFELLER NOW
UNDER CROSS FIRE
Continued from Pago One,

exclusive OF money earned and turned
back into this property.
Mr.. Rockefeller said he did not quito
comprehend the increase Of sl3;0oO:0Oo
and Mr.. Kellogg discontinued this limo
OF inquiry. He next asked;
"The record shows that up to 1906
The net earnings Of the company were
$561 922,90i. What was tho dividend
in 1o07?'' >,
''I should say about 40 per cent
'tThat would be a million in favor
Of the poor old Standard" said Mr..
Rockefeller He added that the net
earnings for 1907 were arproxlmately
%S0, 900 900
Mr.. kellogg again asked if he CON
sidered the business risky on such
showing, and Mr. Rockefeller again re-
rorted that the profits did not deter
mine the risk. II was evidence that
the business was prosperous. lie as
sented TO Mr.. Kelloeg's figures show
ing that the company earned Si9O,000,-
900 from 1899 to 1906. Adding the
earnings of 1907 would give the total
earnings of $570,000,000.
Explains Hazards.
'Then where does the hazard Of the
business come in7'' asked Mr., Kel.
logg- a.,
refinery was built moro than fifty years
ago, we have been prepared at any mo
ment, day or night, TO hear the lire
alarm We are dealing with very
explosive product. Fires are constant
" occurring,
''But your profits were above your
fire losses, which have been charged
TO profit and loss account.
Yes, sir. y
Mr.. Rockefeller said another risk was
the peculiar construction of refining ma
chiDery, which could be used for no
other purpose. One could never tell
when he would awake and find the
crude oil supply exhausted.
Mr.. Kellogg then asked Mr.. Rookie
Teller about the Standard Oil agree
ment with the Pennsylvania railroad
In 1877, in which the PENNSYLVANIA
agreed to pay back 10 per cent of the
freight rates which the Standard paid.
The witness said this agreement fol
lowed the rate war between the north
ern and southern lines and that there
was an agreement whereby he was TO
equalize the amount of freight dis
tributed between the different rail
roads.
Evidence of Rebates.
Mr. Kellogg then read letters of Mr..
O'Day 10 Mr.. CaSsatt of the PcnnSyl
vania railroad, in which IL was stated
that the American Transfer company
received rebate of 20 cents a barrel
from the Lake Shore road. and it was
requested that the Pennsylvania give
the same rebate. il was shown in the
letters that the PENNSYLVANIA did SO.
. Don t you know that Mr.. O,Day
and Mr., Cassatt both testified that the
American Transfer company-tho
Standard Oil company-was not only
paid rebate of 30 cents barrel on
its own shipments. but a rebate on the
shipment OF oil by independent rein.
cries?' asked Mr.. kellogg.
Ny attention has been called to
such testimony said Mr.. Rockefeller
Mr.; Rockefeller said that he was
president of the Standard and had gen
era direction of it at that time.
"Did YOU know of the contract
whereby the Standard was to obtain 10
cents a barrel in rebate on outside
shipmentso"
- | may have known of it, generally,
st the time. | had nothing to do with
the contract
The witness said that he could not
recall whether AR. Cassatt had testified
that these rebates were paid TO the
American Transfer company. His mind.
he said, was engaged in more impor-
iant problems. Recess was then taken
for luncheon
Jokes Newspaper Men.
During the MONDAY intermission Mr..
Rockefeller took TO task the newspaper
reporters for printing his maxims or
tho care Of the stomach.
Don Z You boys think You violated
my contidencc?' he asked, with n
quizzical smile. 'I meant what | said
Tor your special benefit; but I suppose
the advice is good for everybody, so
/ don't care very much. -
Mr. Rockefeller then asked one OF
the, artists who had been sketching him
to let hin, see the picture.
g wish [ had your talent" said the
richest man In the world. gazing earn
estly at the portrait of himself
81 wish ! had yours" quickly re-
sponded the artist.
Mr. Rockefeller laughed heartily and
extended his hand, which the artist
shook, the Standard Oil man saying.
eve ought TO pool interests. -
After recess MI Kellogg took up
with Mr.. Rockefeller the rates for
transportation OF oil prior to the con-
strnction OF the trunk pipe lines. Prior
TO 1881 Mr.. Rockefeller said all OF
the crude OIL shipped to the scaboard by
by railroads. Henry NJ. Flagler and
John d. Archbold had much 10 do with
making ths transportation arrange
ments. but William Rockefeller did not
take so important part in it, said
tho witness. Mr.. Rockefeller said he
had no doubt chat the state Of Penn
svlsania brought suit in 1879 to oust
;hc United Pipe Line from that state ON
the ground that it was in conspiracy
with the Pennsylvania railroad TO OBJ
tain preferential rates and drawbacks
He did not recall the names of the par,
ties 10 an agreement for the dismissal
Of the suit.
Payment of Rebates.
'fDon I YOU recall that Mr. Cassatt
Il, H.
paid rebates 10 the Standard Oil, the
American Transfer company aud thl