The San Francisco call., 1908-03-30

With every inch OF bunkers crowded
10 capacity on both sides of the bay,
with ships in the stream crammed
with 10000 tons Of coal, with sup
ply on hand sufficient to ill all needs
for the greater part Of the year, and
with a feet of laden carriers on the
way to port. the local coal monopoly
continues TO charge the public at the
rate Of SIS and SIS a ton. James B.
Smith. general manager Of the West
ern fuel company Is held responsible
by the consumers for this state of af-
fairs. Although his company has its
storage capacity taxed TO the utmost
Nznd is paying demurrage on cargoes
stB on shipboard. its control OF the
situation is so complete that 1t can
continue to charge famine prices.
MARKET GLUTTED WITH COAL
Lying in storage about the bay is
coal of the value of $1,500,000. The
market is glutted. with the fuel: but
the price holds UP. because Smith and
the Western fuel company so will it.
In one section of the city the coal has
been stacked up on the ground for a
distance of a quarter of mile; but
when any one desires TO purchase the
quotation remains unchanged, just as
high as 1t was in the winter of 1907.
when the entire country was in the
throes OF a fuel shortage.
One OF the most startling features
Of the situation was the Willingness of
the coalmen to pay demurrage at the
rste Of cents per registered ton a
day IN order TO hold the price up. A
simple process would have been to cut
the price and move the surplus; but
that IS not the way of the modern
trust. 1t proposes to eat its cake and
have IT, too.
SMITH THE REAL BARON
The Pacific coast company and the
Western fuel company control the San
Francisco coal market The latter
fixes the price and the former stands
in
The Pacific coast company is pre-
sided over by Mr.. Posten. He is not
the real coal baron, for his company
does not make the price lower than
that Of the Western fuel company at
any time The real coal baron of
barons. so far as San Francisco is con-
cerned. is James B. Smith. the vice
president and general manager. Of the
Western fuel company When 1t was
tntimated to Smith that he was re-
garded as the real coal baron, he. side
stepped the honor and denied that
there was any coal baron in this good
~ port of San Francisco. The baron
IS either John L. Howard. president
OF the Western fuel company, or
Smith, and the evidence points to
Smith. On the action of one or the
other will depend holding to the pres
ent price or the dropping Of the rate
There is no person or agency on the
coast whose motions will be watched
more closely for some time TO come.
Smith sees no signs OF a drop.
Neither does Posten. Nevertheless, the
retail trade and the consumers are
looking for it and believe that 1T must
materialize.
SHIPS AND BINS FILLED
With an unprecedented accumula-
ton Of coal in and about the bay. of
2 san Francisco the local barons are in
possession of problem. indeed of a
very hard nut to crack. There is
enough coal TO last for months 1t
has been brought here at large cost
from Australia, paying the highest
sort of charter rates for transporta-
tion A large share of it is without
storage room ashore in bins, bunkers
or yards, and is floating on the wa
ters of the bay in hired ships, for
which the coal barons must pay de-
murrage.
The market has fallen fat. The
summer is coming on with its compare
lively SMALL seasonal demand for coal
fuel Ordinarily a glut in any mar
ket OF any commodity implies the
necessity for unloading al the best
price -obtainable, that the capital that
IS tied up shall be released for new
uses II there were too much fruit or
beans or shoes or dry goods in San
Francisco today, and there were in
sight a certainty that such articles
could be procured In the open market
Of the world in the near future at low
er prices than those that made the
basis of the glut. then the prices for
the stocks on hand would be shaded
r4H he VIII thu
coal barons cut the prices Of fuel7
That is question that the observing
public is asking, and the retail deal
ers are eying the situation with keen
interest and with some expectation.
STORAGE CAPACITY TAXED
At least $1,000 is tied up in coal
that is consigned to the two coal i'm
porting concerns in San Francisco that
-have their clutch fastened tightly and
exclusively on the business in this city.
A large part of this coal has arrived.
Some thousands of tons are still to
earrive. Two steamships and several
:. sailing vessels are on the way to this
port. bringing something like 10000
tons to swell the deposits that already
are. astonishing to the trade. The
bunlSers at Mission, Howard. Folsom
and Beale street wharves are filled up
TO the brim. The situation on the cast
II
similar 10 the one alluded TO as found
in this city in one respect at least
The storage capacity is taken up fully
2. IN the yards Of the Southern Pacific
company the "dusky diamonds are
sleaped UP so that there is something
like quarter of a mile OF coal sis
feet high. roughly described. Taylor
OF Alameda county, who controls the
east shore situation as the sole Goa,
importer for Alameda county, with the
exception of the Southern Pacific com
pany, literally has coal to burn
thousands Of tons of it. which is not
demanded in suficient quantities to
diminish the dusky hoard with any
great. speed.
Coal from Australia is said to have
come IN at the rate of fully SO to $9-5s
a ton to the importers. Considerinf
the accumulations on both sides of the
bay It is not Improbable that 81 500 .00i
is tied up for the present in capital
which is so much more than the amount
that may be kept from circulation or
cinarily on this account that the pres
sure TO sell may be stronger than thu
public Is aware.
The conditions that are precedent