Tazewell Republican. [volume] (Tazewell, Va.) 1892-1919, 1912-05-16
INTERNATIONAL
harvester CASE.
President Mccormick Makes a
Reply 10 Charges.
He DEFENDS TIE ORGANIZATION
Statement Issued in Connection with
the Governments Suit to Dis
solve International Har-
Vester Company.
He DEFENDS TIE ORGANIZATION


uonal Harvester company. alleging
violation OF the Sherman law and max
ing the general charges that are GUS
tomary in bill of this kind, and ask
ing for whatever reliefs are consid-
cred necessary by the court. The bill
Is very long one and therefore can
not be reproduced, but it sets forth,
In effect, that the Harvester company
Is a monopoly in restraint Of trade,
has used oppressive methods In fore
ing its agents to handle its goods ex-
clusively, etc. To these charges Pres
ident Mccormick has made the fol-
lowing reply:
The international Harvester case
differs radically in its facts from all
the so-called trust cases heretofore
decided under the Sherman law. The
International Harvester company was
organized in 1902 for the purpose of
securing economy in the manufacture
and sale of harvesting machinery. and
Of increasing the foreien trade. 1t
had no water in its capitalization. and
Ii las earned only q &c, ecratle return
on its c.! i'.l- less tGan = per cor
Ter amman on the Gvora ~e. Tie Price,
ct its machines ere now Substantially
the Same as Il -.e2. tvitrstcnCirr
IN increase ii - per c1-t in raw ..2.
teriai -ttces I'd 90 Ter cent IN wees.
The c~r"any has cavsCG a large sav
i-g to american farmcis Il :ho cost
o. agricultural implen ). Itlas 81.
creased tie f-r len aCe in aer,,i,l.
tural implements foCr-fold in nine
years; its foreign sales in 1911 were
over S42 100000 1t LIS net sold cham
CT abroad tfcn It homa. Its treatment
OF its customers, its employees. its
agents and its competitors has beon
in accord with the highest standard
of ethics and honorable business meth
DDS. To the farmers it has given bet
ter service and better machines: to
agents and dealers, a less hazardous
and fiuetuating business and to its en-
ployes it has given higher wages. i'm
proved and sanitary working condi-
tons, insurance against sickness. ac-
cident and old age, and a share in the
profits.
The charges Of misconduct found
in the bill have been met and dis
proved by the company in other cases:
and they will again fail, because they
are untrue. The supreme court of
Missouri, in a suit in which those
charges were fully gone into. said:
ION the whole, the evidence shows
that the International Harvester COM
pany has not used its power to oppress
or injure the farmers who are its Gus
TONER'S"
And again:
The price of harvesting machines
has not increased in proportion to the
increased cost of construction or the
increased merit of the machines. and
respondent has brought other farm i'm
plements into trade"
1.-The evidence also shows that the
machines manufactured by the Inter-
national Harvester company have been
greatly improved in quality and the
item of repair material has been re-
ClOHGr
reach of the farmer
The organizers of this company
acted under the advice of able counsel
and in the sincere belief that they
were violating no law. II under later
decisions it should be held that the
law was violated, il could ONLY be
through the creation of power to CD
press which has never been exercised.
More than six years ago the COM
pany asked for its investigation by the
United States government, and opened
all its books and records for inspec-
ton, and furnished all information re-
Quested. No suggestion of any change
In its business methods has been made
to IT by the government at any time.
Recently, a full and frank discussion
OF the whole situation has been had
between the representatives of the gov
eminent and the company, in an hon
est desire upon both sides to avoid
litigation. Some plan may yet be
found which will obviate the necessity
of any protracted litigation by salts
Tying the claims made under the Sher-
man act without seriously impairing
9AO OSOHOA4AS ouFdAtdSeS anu DEMENT'S
secured by the organization of this
company. No form of reorganization.
however, was suggested by the govern
ment which seemed practically pos
sible.
"The government has been careful
to avoid embarrassment to the ffReign
business from the litigation; the bill
makes no attack upon. and seeks no
change in, the export business of the
company. The filing of the bill will
in no way interfere with the company's
carrying on it's business the same as
heretofore"