The Montgomery advertiser., 1908-11-26
6otv to quiet your apprehension said


 Mr. Cochran.
 .Tt Ia generally believed that An drew Carnegie knows something apoIe fine stael industry" said Mir. Clark. t5e says that we can make steel Tn this country at less cost than 1T IS nlau" a', elsewhere Do you agree with ninlf
 MT. Carnegie has been out or the steel business for eight or nine years and has no interest in It except lor the money he draws from bonds.
 Chairman Payne read an extract from Mir. Carnegie's article on the tar fir and had 1t inserted in the record of the hearing.
 "Mr. Carnegie says the cost of mak- ing steel in this country IS less tnan elsewhere" said the chairman. hou denied it. Have you any information or statistics which would aid the conn mittee in reaching a just conclusion on this question:"
 give all the information he could.
 On behalf of New York importers J: B. williamson asked that grades or Iron and steel to be manufaetured III this country into products ready Tor consumption, valued at less than | cents, be assessed on a plane with grades valued at more than cents. He protested against an additional duty proposed on cold rolled material.
 F. S. Witherbee of New fork' rep- resenting a producer of iron ore on Lake Champlain, N. r., said that traoe could stand a reduction on iron ore of from Is per cent. to 20 per cent
 William G. Mather. of Cleveland. producer of Lake Superior ore agreed that a cut of IS per cent. to 20 per cent. could be made.
 Representative Cochran in trying 10 get the witness to say that the entire .f~.. EHaTa AsA an admission that without duty the Lake Superior can compete with Cuban ore in the East. make a close contest at Pittsburg and have an advantage on Lake Erie points. He would not admit that a duty of 25 cents ton would be sufficient.
 Everett Brown. of New York. ap- peared for electrical metallurgists, manufacturing alloys. He asked for q reclassification and a reasonable duty on all ferro alloys, except ferro-man-
 E. c. FeIton. President of the Penr sylvania Steel Company, and spokes- man for producers of steel rails. plead ed that the present duty of VI ton on steel rails is reasonable. He said that any considerable reduction would ne- cessitate a reduction in the cost of la- bor. He presented some interesting testimony about the exportation Of steel rails. He said that in 1901 his company sold steel rails abroad at ss. 40 f. O.. b. at the mills less than they secured for rails in America; 1902. s5.55 less; 1903, no exportaton; lS04' Ss less, but at q great loss; In -lSOS' ss. 30 less; 1906, $4.50; 1907. 56 cents less.
 The average sales sbroad. he ex- plained showed a slight book loss, but in reality a small profit. This was brought about by the use Of imported raw materials. rebates were secured amounting to $I to $i.25 ton and by the continual operation of the mills as was possible by the taking of foreign orders, 1t was not necessary to re- melt the pig iron, thereby saving 50 to 90 cents a ton.
 Mir. Felton said in reply to questions that he believed Andrew Carnegle, who said the steel industry will stand a reduction. had in mlno con94tiohS which prevailed in the early sos
 "I think If he had known the in creased cost he would not have said it." said MT. Felton. ,,
 MT. Felton denied that the United States mills are in any combination with European mills for controlling prices. but said he believed that the English, French, German ana beiBan mills had a trade agreement for nxlng nrices He did not think that the price ns steel rails was controlled by inter national agreement, although he be- iieved if would be to the advantage of inc American mills if the law would hermit them to become parties to such an agreement. Mir. Felton said the total cost of producing steel rails In thts country last year was S26.70 ton.
 ,.The cost of the foreign steel rails including freight from Antwerp f. o. b :. at New York is $25 50," said MT: Underwood of Alabama. The duty Of s7 S4 added to this gives you .64 duty as protection, from which to get your profits Don't you think, in view or s6 GA advantage over the cost of the foreign product. 1t would be fair for vo,,r trade to concede something to- ward making up the deficit or tho United States Treasury?
 MT. Felton declared there must be wrong with MT. Underwood's
 Mr. Griggs of Georgia asked Mir. Felton if he knew of any poor man in the steel business.
 q do," he replied.
 Who Is it?"
 Myself"
 "That's why they sent you here l suess." remark ed MT. Griggs
 Mir. Griggs endeavored to learn what nrofits had been made by the Pennsyl- vania Steel Company and what amount if had invested in property and im- Mir Felton admitted that SIC. 900 .00O worth of common stock was issued as water and remained water. MT. Cochran later remarked that the witness must agree, that it Is at least equal to cream, according to its present value.
 MT. Felton said his company started in 1885 with a capital of one and one half million dollars and that its prop erty working capital now amounts to $50, 900 900.
 w. E. Follensbee of Pittsburg rep resenting the Independent tin plate said that "tin plate has been the foot ball of the tariffs"
 He declared that the cost of foreign tin plates at New York without duty is $500 a ton and that two thirds of the tin plates find their market on the seaboard-New York. Philadelphia New Orleans and San Francisco.
 The foregin tin plates can be used as ballast for sailing vessels" he said, and can be delivered in San Francisco as cheaply at at New York.
 He said that if there were no duty on tin plate the American manufac- turers could get only $2.30 per box of 100 pounds for it at the mills.
 The extension movement of the Cath otfc Society {n Canada {a