Ladysmith news-budget. [volume] (Ladysmith, Rusk County, Wis.) 1907-1927, 1912-05-10
He DEFENDS THE ORGANIZATION
Statement issued In Conn ectlcr with
the Governments Suit to Dis.
solve International liar.
vester Company.

The government filed a dissolution
suit in the federal court at st. Paul
Mimi, April 80, against the Interna-
tional 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 reiiefs 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 it's 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 foreign trade. It
had no water in it's capitalize ton, and
it has earned only reasonable return
on it's capital,-less than per cent
per annum on the average. The prices
OF its machines are now substantially
the same as in 1902, Notwithstanding
an increase of Is per cent in raw ma
terial prices and 80 per cent in wages.
The company has caused a large saw
ing to American farmers in the cost
of agricultural Implements It has in
creased the foreign trade in agricul-
tural implements four-fold in nine
years; it's foreign sales in 1911 were
over s42,0O0,000. 1t has not sold cheap
er abroad than at home. It's treatment
OF it's customers, it's employees, it's
agents and it's competitors has been
in accord with the highest standard
of ethics and honorable business meth
Jus. ~ IuC 0lClS IL lids Slfcu DCL-
ter service and better machines; to-
agents and dealers, a less hazardous
and fluctuating business and to it's en-
ployes it has given higher wages, I'M
proved and sanitary working condi.
tons, insurance against sickness, ac-
cident and old age, and 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 suit in which those
charges were fully gone into, said:
e'On the whole, the evidence shows
that the International Harvester COM
pany has not used it's power to Cypress
or injure the farmers who are it's GUS
TONER'S"
"And again:
1.-the price of harvesting machines
has not increased in proportion to the
increased cost of construction or the
IHCIc mcI1t VI INC HIdCAlHcS, dAu
respondent has brought other farm i'm
plements into trade"
1.-The evidence also shows that tho
machines manufactured by the Inter-
national Harvester company have been
greatly improved in quality and tho
item of repair material has been re-
duced in price and placed within closer
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 tho
law was violated. it could only be
through the creation of . power to o.