The Washington times., 1912-01-23
STANLEY TO INSIST
THAT STEEL TRUST
SUPPLY COST FACTS
Committee Chief Says Re-
port of Commissioner
Will Not Suffice.

Despite the duplication OF the re-
port OF the Bureau of Corporations on
the cost reproduction Of steel by the
United States Steel Corporation. the
stanley Steel Committee will insist on
- 49, ,,e-S 1.A~N = '-r>--->~-'o-
on this point from the cost sheets Of
the corporations.
Chairman Stanley declared today
that Commissioner Smiths report
would in no way obviate the neces-
sity for searching examination of
the records Of the Steel corporation.
1.-THE Smith report" said Stanley, "is
undoubtedly an able document. and Is
...u - ...~L du.iioii.y. 40. a, uues
It show tho source OF the informa-
tion II sets forth. The committee, can
steel corporations costs. but will in
sist that the figures on this very I'M
portant point be obtained from the
books OF the company by the commit
tees experts"
Farrell On Stand.
James A. Farrell, president of the
Steel Corporation, resumed the stand
before the Stanley committee today.
Farrell, who was at one time at the
head of the foreign sales department OF
the tSeel trust. was asked as to the
sale Of steel rails cheaper abroad than
at home. He admitted that cheaper
prices were made to foreign consumers
in markets where foreign competition
was met.
Farrell discussed the reward" sys-
tenn Of the corporation, and said that
81, 1900 was set aside last year to, be
divided among employees Of the COM
pany who did efficient work.
- 4 L. a,-t,Nv os H. Ia vt "a
employees get the benefit of this fund.-"
"Oh, it is about equally divided re-
sponded Farrell.
scheme Of the corporation was discussed
at length. In addition to the regular
dividends, Farrell said, employees re-
ceiyed bonus of IS a share a year. In
$500 a year subscribed to share OF
stock each; 1884 receiving from $500 to
$500 year. subscribed to 14.122 shares,
and 1,O96 employees receiving more than
$500 subscribed to 4.535 shares.
A discussion as to the possibility OF
obtaining the books of the subsidiary
companies of the Steel Corporation took
up an hour Of the committee's time. At
torney D. A. Reed declared that the
corporation could not assume the power
Of surrendering the books OF the SUBJ
salaries. a4rF
Subpoenas For All.
THE Steel Corporation has no con.
troll over those books" said Reed. "AnG
1t will be necessary for the committed
to serve subpoenas on the officers Of
the subsidiaries who hold the books"
After a lengthy argument this course
of action was agreed to.
Chairman Stanley announced that w
B. Schiller. president Of the Lake Ter
minaI railway, had agreed to furnish tn,
committee experts with certain informa
ton requested: A subpoena issued FOL
Schiller was then withdrawn.
a British writer criticising the Amer.
lean steel business. called forth 9
lengthy statement by Farrell. He de
clared that the Steel Corporation ha.
never aimed at monopoly Of the stee
business.
'In fact. monopoly of the stee
business In this country Is neither pos
Sihle nor. desirable he embarked. H,
also disclaimed any effort on the par
Of the steel trust TO ''Gobblc I'D tn,
export trade Of the world;
1.-THE British steel induhtry must expor
10 per cent of Its production In orde
to live. Germany and Belgium have al
export trade as large. II not larger, thar
their domestic business The produc
OF the United States is greater than al
these countries combined, and our do
mestic consumption Is so much create
that the export trade is not a vita
matter.
I'VE arc conducting our foreign bust
ness on a safe and sane baeis, withou
any jealousy toward other nations t,
whom the export trade Is so vitality i'm