The San Francisco call., 1909-03-18
BRICK MAKERS
IN COMBINE TO
BOOST PRICES
Recent Amendment to Cart
wright Antitrust Law May
Make Agreement Legal
GRAY Brothers Credited With
Having Secured Control of
Seven Large Plants

Great significance attaches to an
amendment to the Cartwright anti
trust law adopted by the present legis-
lature. because Of the positive state
ment that an agreement has been made
by the principal brick manufacturers
OF California. whereby Gray Brothers
Of san Francisco wiH have absolute
control Of the entire output and be
the dictators Of the price which the
public shall pay. Skilled attorneys, it
is said, have so drawn the agreement
that the law as amended is not vio-
lated in any way, and san Francisco
may again be hindered in its upbuild-
ing by a repetition of the high prices
for building material which were de-
manded after the conhagration Of 1906.
Richard r. Turton. secretary OF the
Holmes lime and construction company
says that Gray Brothers have brought
about a condition among brick manu-
facturers which viii give the Grays the
entire output for 1903 Of the plants of
the seven largest manufacturers in the
state
PLANTS II PPLA CITY
The output Of these plants-many
millions of bricks each months used
almost entirely in san Francisco and
forms the chief source Of supply.
Within the last four months many
small manufacturers have been for
out Of business. and the price of brick
has been advanced more than 20 per
cent How much higher it viii go
depends upon Gray Brothers II they
can maintain their combination.
Rumors have been current for months
TO the effect that Gray Brothers had
been trying TO form a combination
among the big brick manufacturers
for the purpose Of driving out small
competitors and controlling the local
market. where the demand has been
enormous.
LAW STOPPED COMBINATION
I'VE could not form a combination if
we wanted TO-" said George Cray TO a
Call reporter in December Of 1908. THE
Cartwright antitrust law would pre-
vent any such agreement But then
we do not need any combination. We
can make profit on brick at the
present price of $3.50 because of our
Iaclllties. There are a great many
small manufacturers. however, who
can not. because of the enormous
lrelght they have to pay.''
At that time Cray was asked about
the Ceramic club. an organization com
posed entirely Of brick manufacturers
and having its room adjoining the pri-
Nate Office of Gray.
DO you brick manufacturers meet
in this next room and agree on prices?'
No. we do not" was the reply
We simply maintain that club for the
purpose Of preparing literature in re-
gard TO the business to disseminate
among the public"
Gray refused to give the reporte,
any OF the literature when the reoues,
was made
PRICE HAS BEEN RAISED
In spite Of Gray's declaration thai
has nrm was making a good profit al
the price OF $3.50 a thousand for brick
Gray Brothers and all other manufac.
turers In San Francisco are QUOTING
50 a thousand at the present time. His
expression in regard TO the anti-trust
law is regarded as significant in view
OF Iurton's declaration that a combine
has been cOnsummated.
Gray Brothers have secured contro
OF the output for 1909 OF seven bis
plants which manufacture a great dea
more than all OF the other plants com.
bined." said Turton .'Rv virtue ~
of the Remillard, Patton San Jose
Richmond. Sacramento. Port Costa ane
Los Angeles companies plants which
will give them a monopoly not only
Of the local market but Of almost tn,
entire state"
If Gray Brothers are able to main,
tain this combination. will they con.
troll the price Of brick?"
There are only three indenendent
companies, and the combination would
have absolute control Of the price If Il
desired"
AMENDMENTS IN LAW
Early in the present session Of tn,
Legislature an organized attack on til,
Cartwright law was made, different in.
terests being represented. Finally. I,
relieve small manufacturers and frui
growers from what they said was Al
injustice, the law was amended to al
low certain kinds Of combinations fol
the marketing Of products 1t is nov
believed that under one of these pro
visions the brick manufacturers viii
maintain their trust at the expense O.
the entire state and San Francisco par
ticularly, because Of the vast operation,
In this city.
GRAY WILL NOT TALK
George Gray refused TO discuss tn.
reported combination yesterday. O.
any other feature Of the brick bust
ness. The Legislature is scheduled I,
adjourn within a few days, and an
chance OF redress for the people il
rapidly disappearing
The exact purpose Of the Ceramic
club is a mystery even in the Wells
Fargo building, where it occupies room
SIS But it is known that importan
conferences Of brick manufacturer,
take place there every Wednesda,
afternoon. In so far as the dissemina'
ton of knowledge in regard to tn,
manufacture Of brick is concerned
Secretary Craig takes pains to max,
ii known that the club is composed en-
tirely Of 'Iumbermen."