Omaha daily bee., 1908-11-20
TWENTY YEARS|IN OIL
Continued from First Page,)

CONTINUED from f1rSt Page.D
plant in Philadelphia, including the plant
OF the Atlantic Refining company the
Model Oil company and refineries in Pitts
! burg, the latter being under the name Of
the Standard Oil company Of Pittsburg. The
aggregate OF the property purchased Mr..
Rockefeller estimated at $S,000,0OO.
The object of these purchases, said Mr..
Rockefeller, was to extend the export bust
ness and secure the valuable specialties in
cans and of the brands of oil. Asked
about the Smiths Ferry Oil Transportation
company, Mr.. Rockefeller said he could
not recall distinctly anything about that
company. There we're pipes and some
thing, but l don't recall" he said. Il am
hazy at the moment. 1 know there was
such a place in the early days"
II come to your dealings in 1875 with
Porter, Moreland & Co. and Bennett,
Warner & Co.. said the examining at
torney.
'They were located in Titusville. John
d. Archbold was identified with Porter,
Moreland & Co.
Mr.. Rockefeller said negotiations for the
purchase of these firms were c~onsummated
In 1876 with the object of extending the
company's business. The Acme OIL COM
pany was organized TO PURCHASE the prop
critics.
Mr.. Rockefeller said his attention was
first directed to lubricating oil about 1873.
About 1878 the Standard Oil company pur.
chased the American Lubricating OIL com
pany OF Cleveland and the Mica Axle
Grease company. The purchases were made
with the idea OF further diversifying the
business and securing a lubricating trade.
"I want to bring to your attention the En-
pire Transportation company and what its
relations were"
Transportation Companies.
1.-THE company was the owner of cars
and the transporters Of oil and other prod
ucts on the Pennsylvania railroad. AS we
understood. the company was controlled by
Pennsylvania interests. The company had
; gathering pipe lines in the oil region
The company. said Mr., Rockefeller, also
engaged in the refining Of oil, controlling
the Sone-F1eming interests here and a re-
finery in Philadelphia
"What conditions came about in 1876 oil
whereabouts with regard to this company
Railroads and refining interests wer;
disturbed. There was a great cutting o.
rates. The refining interests were dis
turbed as were the railroads, which lait
considerable stress on the amount of oil
they should carry"
What relations would be affected on tn,
New York Central, Erie. Atlantic & Grea
Western and Baltimore & Ohio by til,
Pennsylvania having a refining business?'
: 'They were much concerned as to wha
r loss of the oil trade to them would follow
and there was a heavy cutting of rates"
b Mr.. Rockefeller's counsel asked him il
E were true that the rates obtained by hir
. during the period Of the standard Oh com
I pany's war with the Pennsylvania railroa,
d were to crush and cripple the Empir
Transportation company, so that the Stan
. dard Oil company might acquire its prop
erty.
1T Is not" replied Mr.. Rockefeller.
Empire transportation Company.
II Resuming his testimony after the reces
. Mr.. Rockefeller said that when the Empir
Transportation company was organized "oJ
n interests presented the matter to the raj
= roads and protested TO the Pennsylvania
We stopped our shipments over the Penn
sylvania and used other lines" he contli
!, ued. I'VE objected TO the PennsylvanI
railroad engaging in the refining bushes
We did not know where We stood. TIL
We're shipping their own oil over their oW
lines and discriminating against us. 9th
railroads agreed to stand by us, but the
was much bitterness between the railroad
- We MADE our shipments over the Ial
Shore. New York Central and we purchase
= the Empire Transportation company al
= pipe lines to which l have referred. II
Il Pennsylvania railroad acquired the cars
q the Empire company and Issued car tru
certificates, which we purchased"
Mr. Rockefeller said that when this tran
action was completed and the Pennsylvan
> railroad stopped refining the railroad W
g stopped and an agreement was entered in
!. between the roads whereby they obtained
percentage OF the oil carrying trade. T.
, Standard OIL interests were called upon
make those arrangements effective. T.
= witness said that the war between the ra
roads to obtain the OIL trade had been d
morRlizing to the oil business.
Mr.. Rockefeller said that the compaI
guaranteed the Pennsylvania railroad
certain number OF barrels OF OIL a year 81
in consideration the railroad company qua
anteed to pay back 10 per cent OF the re-
paid on the oil shipped.
BuyinE OF Pipe Lines.
Mr.. Rockefeller said that the standa
began acquiring pipe line interests in Il
and increased it's ownership from time
time until 1877. when they were assembl
into the United Pipe line. The Standa
also had the American Transfer Pipe III
The pipe lines were regarded as an imp'
tant adjunct.
Mr.. Rockefeller then described the gat
ering OF pipe lines into n system TO car
the oil from the wells 10 the railroads
fore the trunk line system was establish,
There were many small systems viii
could not reach the oil wells because
Fl Fgpur.fan H,aRHllfur - ..,gFrfu-F rau~ lr