Herald and news. [volume] (West Randolph, Vt.) 1878-1943, 1908-11-26
WHAT is DOING
THE WORLD OVER
\ WORD ABOUT THE LEADING
EVENTS OF THE WEEK.
RoeksfeIlsr Tells Standard oWs Story.

Rockefeller Tells Standard on's Story
The testimony Of John d. Rockefeller,
head Of the Standard Oil company, given
for the defence, in the suit brought by
the government to dissolve the Standard
Oil company OF New Jersey, under the
allegation that II is a trust. in restraint
Of trade. has occupied much public atten-
tion the past week. Mr.. Rockefeller,
who formerly fought shy Of such affairs,
appeared this time voluntarily. He was
on the witness stand most OF i've days,
and told q most interesting story Of the
origin, growth, methods, resources, pro-
fits, etc. of the Standard Oil.
Among other things he testified that
with few associates he began the oil
refining business at Cleveland, o., in
1862 on a capital OF only $4,000. He bor-
rowed $1,000 from friend on the strength
OF his representations as to the business
prospect. Good fortune favored the en-
terprise from the start It was the con-
slant study Of the concern to INTRODUCES all
the economies in management possible,
and ere long il was able to command
sufficient capital to make its own barrels,
instead Of paying a much higher price for
poorer ones. 1t had New York. repre-
sentative who got right after the trade.
Z
Il enlisted practical refiners and its re-
hneries were built along model lines
Finally, the original Standard on COM
pany was organized with a capital Of
81. 200, 900, which was a very large capital
for those days. The company could bor-
row money cheaply because fnanciera
had confidence in 1t, aud was therefore
able to outstrip its competitors in en-
larging and improving its business and
serving the public. II was not long be-
fore be Standard began TO acquire other
oil concerns that found it more advantage
Gus to sell than to continue, under
the existing conditions. Sometimes the
purchases were made for cash, sometimes
for stock in the Standard, which was in.
creased for this purpose Step by steE
the Standard broadened its field until in
1873, when the so-called trust was formed
1t was capitalized at so, 000, 900.
As to the Standards present earnings
Mr.. Rockefeller admitted them to b
$50, 900. 900 in 1907, Of which one-half wa
divided In dividends and one-half Carried
70 tn surplus, which amounts at present
to 500, 600, 900. since the company
start Il has paid e59i, ,00O. 600 in dividends
besides It's great surplus. Yet Mr.. Rookie
Teller maintained that the business wM
extrs nelly hazardous because of tn,
ehance that petrolaum might give ou
any time. His evidence ended with fnI
story only NJ 70 1873, when the tresi VA
form "A, 90 that cross-exnmiuation on tn
later record was headed Oh.
Mr.. Rockefeller described the frs
railroad rebate taken BY the Standard II
such a way as to show that il was rathe
as a favor 10 the railroad companies
than the Standard. Mr.. Rockefelle
made a splendid witness, kept an un
rnfIled demeanor and produced favorable
impression in the case. He was cross
examined by Frank B. Kellogg, ant
stood the ordeal well, though hi
memory was defective on critical points
john ID. Archbold, vice-president Of th
Standard. followed him on the wltnes
stand