Twice-a-week plain dealer. (Cresco, Howard County, Iowa) 1895-1913, 1911-02-21
LUMBER COMBINE
NATIONAL MENACE
PRES EMIT TAFT SUBMITS
ALARMING REPORT ON LUM.
Der INDUSTRY.
l54 MEN OWN HALF OF SUPPLY
Northern Pacific Railway Named 40
One Of the Huge Con.
troilers Of Tree
Destiny.

Washington. Feb. 15.-"Concentra.
ton of the control of the standing
timber in q very few hands, vast
speculative holdings fer in advance OF
any use thereof, an enormous increase
in the value of this diminishing natur-
al resource, with great profits to its
owners, and. incidentally, an equally
sinister land monopoly and closely
connected railroad domination"-these
are the findings reported to the presi-
dent by Herbert Knox Smith, commits
sioner of corporations, in the first in
stallment of his long-awaited report
on the lumber industry in the United
States. The report, dated yesterday,
was made public today by the presi-
dent, who sent it to congress.
The report, which occupies a pam
phlet of 80 pages of print, is effectively
summarized in the commissioners let
ter of submittal His conclusion, in a
forecast of the future, partakes of tho
sensational.
There are many great combina-
lions in other industries" says the
commissioner, whose formation is
complete. In the lumber industry, on
the other hand, the bureau now finds
in the making combination, caused.
fundamentally, by outstanding pub
lie policy. The concentration already
existing is sufficiently impressive
Still more impressive are the posi-
bilities for the future.
Peril to Future Generations.
''ln the last 40 years concentration
has so far proceeded that 1875 holders,
many inter-related, now have practi-
cally one-half Of the privately-owned
timber in the investigation (Which
contains so per cent of the whole).
This formidable process of concen.
tration, in timber and in land, certain
ly involves grave future possibilities
of impregnable monopolistic conse.
quences to society it is now difficult
to anticipate fully or to over. estimate"
The commissioner reserves for later
report the subject Of combinations in
the manufacture or sale of lumber las
distinguished from ownership of stand
ing TIMBER. Following is substan-
TALLY the full text of the letter sum.
marizing the report:
'The forecast facts shown are:
"U-The concentration of a dom.
mating control of our standing timber
in comparatively few enormous hold
ings, steadily tending toward central
control Of the lumber industry.
"(2)-Vast speculative purchase
and holding of timber land far in ad-
vance of any use thereof.
"(3-An enormous increase in the
value of this diminishing natural re
source, with great profits to it's own
ers. This value, by the very nature of
standing timber, the holder neither
created nor substantially enhances.
"These are the underlying facts of
tremendous significance to the public
welfare. They are, primarily. the re-
suit of our public land policy. long
continued. The laws that represent
that policy are still largely operative.
Proceeding to consider the concen.
tration of timber ownership, Mr..
Smith says:
Three Vast Land Holdings.
"Three vast holdings alone, the
greatest in the country, those of to,
Southern Pacific Company, the Weycr.
haeuser Timber Company ana the
Northern Pacific Railway Company
(including their subsidiary com.
panies). together have 23S,OOl ,O0C. Geo
feet, or nearly II per cent of all our
privately owned timber. They have
IA per cent of that in teh inves-
tigation area With the five next
largest they have over Is per cent o.
the total privately owned timber and
over 10 per cent of that within the in
vestigation area. Finally, nearly one
nall AS per cent? CT the private tim
Der in that area is held by only 1875
great holders.
"five-elevenths of the ccuntrys
privately owned standing timber is in
the Pacific Northwest California, Ore
gon. Washington. Idaho ard Moatsna),
LEI" co N12.o00 feet. Cnc-lalf Of this
is row Owned hv ~ holders; many Of
these are closely connected. t.
til: 6 largest holders (named above)