The Hood River glacier. (Hood River, Or.) 1889-1933, 1910-12-29
THE MEAT TRUST.

The statement of Armour and Com
pany for the fiscal year ended October
% shows gross business Of two hundred
and fifty million dollars, over twenty
millions a month and nearly three
quarters .of a million day. This is
but one Of the big companies credited
as belonging to the meat trust. Yet
the net profit of this business was less
than four tenths Of one per cent and
the dividends paid to stockholders less
than two and a half tenths of one per
cent. There are four Of those big
companies doing about an equal
amount of business, while there are
few smaller concerns which the big
companies allow to live and make a
small profit. In the very nature Of
things a combination doing a business
amounting in volume to more than the
large railroad systems, and whose bus
mess extends to the smallest commun-
tiles in the country, have the meat
situation under their control. That
Armour & Company can pay diVl-
dend of ten million dollars to the
stockholders on the narrow margin OF
25 cents head on cattle, s cents on
hogs and cents on sheep. gives an
idea of the magnitude of their business
and the means they employ to force
out competition. The small retail
butcher cannot do business on this
margin. Neither can the small whole
saIer who buys his stock in the stock
wards markets compete, and he must
submit to the dictates of the combine
or 90 out of business. At the large
st0ckyards centers a few wholesalers
who have their capital tied up in small
plants are allowed to exist in order to
give semblance of competition in the
open markets, yet their earnings are
cut down to barely living basis and
their business is not allowed to IN
crease.
The meat trust in its operations is
against public policy and as much
detriment to the common mass Of peo-
pie as the Standard Oil or other big
trusts. Its operations, however, are
different and greatly misunderstood by
the public. The American principle
that all the people should have equal
rights is grossly violated. The prin-
cipal study of the meat trust is to
force into bankruptcy every whole
sale or retail dealer who will not
submit to their dication, and espec-
tally the small packers or wholesalers
in the various important cities through
out the United States who are building
a good business, investing their capt.
tai locally, and spending their profits
in the upbuilding of the communities
in which they live. Where the meat
trust has absolute control prices are
raised beyond legitimate profit, and
the profits secured in these places are
largely used in cutting the ground
from under the feet of those dealers
bold enough to defy the mandates OF
the trust. At the large distributing
packing centers Of the trust number
of price lists are issued each week, a
different set of prices for the same
quality of meat shipped to different
places, charging "all the traffic will
bear" where the communities are
forced to pay it. and down to less
than wholesale cost in others until the
small competitor gives up. At the
latter place the consumer assists in
the slaughter of his home merchant by
swallowing the bait offered in tenn
porary low prices. only to wake up to
the fact in a little while after the
sheriiF's notice of sale is placed over
the local concern that tho price of meat
has gone up, and gone to stay.
Yet what are you going to do about
il? The federal government perlodi-
cally indicts some Of the members OF
the so-called trust, an investigation is
made and the matter finally dropped.
The operations of the trust are mostly
within the law, and cannot be reached
through ordinary means. That sys.
TEN of extensive rebates exists from
the railroads is we'll known by EN-
ployes of the packing houses who are
In touch with the railroad department
of the trust. That the "tratlic man
ager" of each large packing house il
one of the higest salarled men in The
house is an indication of the import
ance of that branch of the office sys
TEN. The shrewd "tratiic manager
can force unwilling rebates from tn,
railroad companies by system o
claims for damages which the raiIroa,
companies finally find it better polio!
to allow than to antagOni2e the i'm
mense business of the packers, whicl
can be diverted to rival line as
punishment. The refrigerator lin,
business of the packers is also larg,
source of revenue, eXacting tribute
from the railroads largely in excess o
the service rendered.
Yet, what are you going to d
about it?
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