Pine Bluff daily graphic., 1913-05-13
James A. Farrell Tells How He Climbed From Labor
 CT to President.
WOULD DISSOLVE IT
Government is Making Efforts to Dis- solve Big Corporation and
 Case is Now On.

New lOrk, May 12.-JameS A. Far rell, president of the United States Steel Corporation, told on the witness stand today at the beginning of the the government s suit to dissolve the corposation the story of his experi- ences from laborer to chief executive in the concern of which he is now the head Mr. Farrell was the first witness for the defense.
 Mr. Farrell said the Pittsburgh company, while under his manage ment, was sold to the American Steel and Wire Company, a New Jersey corporation, for $1,10000O although the original capital of the company was $36O,O0O.
 Mir. Farrell. after the American Steel and Wire Company took over the old company. became foreign repre- sentative of the company and remain ed in that position until the formation
 
 He said he handled the entire busi- ness of the steel corporation, both in buying and selling the raw material other than it's legal and financial management" The witness said the International Harvester Company was not large buyer from the steel cor
  l entire needs. Their annual require ment is about 150,Q00 tons and some of this they produced themselves. The Illinois Steel Company, subsidiary of the Steel Corporation, partly sup piled their needs. For some years the company did not>sell pound of steel MT Farrell said one of the great ! advances in the cost Of production was charged up to the increase of twelve per cent in the cost of coke since 1901.
 ''How much did you use?' asked Mr. Severance
 About 10000 tons daily"
 MT. Severance brought out that the value of the corporations export bus mess had increased from $31 GOO OO0 in 1904 to $92,O0O,0O0 in 1912. MT. Farrell also said that the corpora tion had sold less raw material and finished product during that period, account for the increased business.
 In answer to questions by counsel regarding the steel corporations for eign business, MT. Farrell said they had 25S agencies in 60 foreign coun- tries. He explained that their ware house at Antwerp is merely distrib- uting depot, supplying countries by sailing vessels that are now reached by steamers.
 Belgium produces about 90 per cent of it's own iron and steel, but the United States Steel Corporation did supply some of the steel rails for the Antwerp street railway.
 The products of the corporation are sent to their various destinations by a chartered fleet of steamers They vary in number from 35 to 4O Mir. Farrell said the corporation did business in Iceland, in the South Sea Islands. Their representatives in these foreign offices are usually na- tives, but in some instances they have been brought to New York to be bet te reducated along special lines.
 MT. Farrell said it would be impos- sible for small company to maintain agencies in all parts of the world as does the United States Steel Corpora tion.
 The defense to the governments suit is expected to consume several months before all the testimony is in. The prosecution of the suit, which was brought under the Sherman anti trust law, lasted for nearly a year and the last session was in February.