The White Pine news. [volume] (Ely, Nev.) 1906-1910, 1909-03-12
n D HALT FOR
OUR KIND
COPPER PRODUCER
RIGHTLY HOOTS At SHUT
DOWN OF MINES--IS QUESTION
OF SURVIVAL OF FITTEST.

An official of one of the largest
copper producing properties in this
country says regarding the effort
which is making to secure CO.
operative restriction of copper out
put:
Those who favor a restriction in
the output of copper present what is
at first sight a very nice sounding
argument. but it won't stand the test
of analysis. In the first place any
agreement among the copper pro-
ducers to reduce the output would
at once hold these companies liable
to prosecution by the courts on the
ground that an attempt was being
made to restrict trade in contrayen-
ton of the Sherman antitrust law.
Our company is traditionally
opposed to any effort which seeks
to artificially regulate the output of
copper. Such procedure, If within
the letter and spirit of the law,
would also be impractical in its
operation unless 1t included inter-
nationally all. or substantially all,
the big producing interests.
How absurd to ask the old es-
tablished company which has invest
ed millions of dollars underground
and in its surface plants in order that
il may make its copper at min
imum of expense, and if possible far
below the cost of its competitors. to
shorten the output in order to help
out the large number of smaller
high-cost producers. who have but
hA fol ne "A
producers, | am not surprised that
in periods like the present when
there is momentarily a surplus out
put of copper. the high-cost interests
should clamor for a restriction of
output irrespective of the individual
cost of production.
Our company has an investment
of over $25, 1000 900 in copper prop
critics. We can make copper for a
little over cents per pound. As
directors we would be false TO our
responsibilities to our stockholders
If we consented to reduce our output
and our earnings in order TO assist
a competing concern which cannot
make its copper for less than 2 to l 3
cents per pound. As business
IF all the mines in the world We're
making their copper at substantially
the same cost there would be some
force to the argument of those who
are seeking restriction. Again, any
such curtailment movement to be
effective must necessarily have the
signatures of the foreign copper
producers, for it would be suicidal
for the American mines alone to
advance prices through reduced out
put and thus fatten up the market
for our foreign competitors. Copper
has a world market, 1t IS duty free
and the price on one side of the
water is the price. freight added, on
the other side.
THE way to correct situation
like the present, and 1t is natures
way, is for the high-eost properties
to shut down and keep their unprofit-
able output from adding still further
burdens to the rising accumulation.
Il have noticed thar the impress
/ sion has been allowed 10 creep into
print that in some indirect manner
the formation of the Copper Prod
ucers association has back of 1t the
purpose to bring about reduction
in the volume of copper now COM
ing on the market. cannot make
the statement too strongly that there
has not been the slightest suggestion
of this kind among any of the large
producing interests, either before or
since the formation of this associa-
| tion, and if there was. the resigna-
tion of our company would be hand
/ ed In at once.
II believe the association and the
/ valuable statistics which it will print
each month. will accomplish great
good for the copper industry, and it
may be able to expand its usefulness
still further by including in its
membership large percentage of
the worlds output and by securing
and promulgating additional infor-
nation regarding copper sales. This
is for the future to work out
ANY scheme. however, which
seeks arbitrarily to cut down the out
put of copper in this country by a
10 per cent or ) per cent restric-
ton. the burden of such proceed
ure falling alike on the high and low
cost producers, alike on the mines
which have millions of dollars in
vested and those which have barely
any. is an impossible business prop
osition ~ Boston News Bureau.