New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1913-03-03
Publication of Finding While
Federal Suit Is Pending Un'
fair, Says Mccormick.
mo COURAGE OR CAND0R"
Criticisms Hardly More than a
Summary Of Hostile Hear
say, Declares the Inter
nationals President.

Chicago. March Cyrus II. McCor-
mick. president of tie international Har-
ves'er Company. when advised OF the
nature OF the report Of the Commissioner
Of Corporations on the operating methods
o. the International Harvester Company.
issued statement tonight saying:
For the Bureau Of Corporations to
make IT, report on the International llaI-
vester Company at this time is manifcstly
unfair. II appears in the midst OF the
governments law suit. and within two
days Of tho beginning Of the evidence Of
the company. The bureau has considered
the governments evidence. II refuses 70
wait for the comrany's evidence, which
Will disprovc every charge OF misconduct
which the bureau makes.
The report rchesrses old charges
which il nnds are mainly untrue, but
which il lacks the courage and candor
unequivocallv TO deny.
But, even so, i, justified the company
with respect to the fundamental matters
Of honest capitalization. moderate profits
and fair prices Compelled hy the proof
of Independent appraisemcnts. the report
=
unlike many other large corporations, is
not overcapitalized. II admits that its
profits have not been cxcessve--averag-
ing. even by the bureaus own Unfair
figures. less than Ss per cent year.
Farmer Aided. 10 Says.
While drawing unfavorable differences
from trivial and exceptional instances o.
misconduct by employees, the bureau fails
TO draw from the important facts of fair
capitalization. reasonable prices ana mod
crate profits the conclusion that the
American farmer has been bcDeiited
The bureau nails the old fa!sehood that
We sell abroad cheaper than VIC sell at
homo.
The bureai comedies what this com
pany has always claimed-that IT, forma-
ton was 10 secure the most economical
production We have secured IL. Har-
vest!ng machines are the cheapest thing
the farmer buys Their prices have re-
manned level during an era OF generally
increasing costs. The farmer pays more
for nearly everything else ne purchases
including other lines Of agricultural I'M
plements, than he pays for harvcsters.
The new lines which the bureau criti-
cises the company for developing. such
as farm tractors, engines and manure
spreaders. are largely new implements
in the line Of more scientific farming.
The company has led in developing this
trade. and its campaign of development.
has been d distinct advantage 10 Other
manufacturers. as well a. TO the farmers
1mpeaohes Sworn Testimony"
on the question OF temporarily con-
cealine the purchss" Of certain harvester
plants. the report ignores and impea hes
the sworn testimony OF the govern
.nentc own witnesses in the equity suit
The owners of the selling companies
were called by The government TO prove
such concsalment, but they testified that
that course was not taken AZ the in
stance of the international Harvester
Company or for its beneht-thst IL was
done 70 enable one selling company 10
collect it's 100000 OF outstanding &C
counts. 20 enable another selling COM
pany 70 lquidate its affairs and a third
70 protect its guaranty of receivabies
The report exagSerates and criticises
the company's financial resources. but
admits that these are necessary 20 eco
nomically manufacture on a large scale.
without SUCH resources it would have
been impossible for this company 10
have increased its foreign trade from
less than slo,000.000 in 1902 10 more
than $4,000. 900 in 1912, with the result
Ing advantages to American labor and
industry.
The reports criticisms OF the bust
ness practices Of the company arc hard
ly more than a summary of the hostile
hearsay Of disgruntled individuals. Tho
government called all the conpanys
competitors in the harvester trade and
only one offered single criticism upon
IT'S business methods. These charges
will be conclusively disproved by the
testimony 10 be presently taken. as they
were in the Kansas and Missouri lltiga-
ton"