Tulsa daily world. [volume] (Tulsa, Indian Territory [Okla.]) 1905-1919, 1916-04-07
Packers and Producers
Complain to House Ju-
dietary Subcommittee.
ARMOUR OFFICIAL
TELLS OF LOSSES
Investigation of Packing
Industry May Follow
Preliminary Probe.
WAsHINGroN, April 5.-DespIte


w the soaring prices Of meat,
neither the producer nor the packer is
profiting greatly, according to testi-
mony given today by representatives
of the respective interests at the house
judiciary subcommittee hearing on
the Borland resolution for federal
investigation of the packing industry
Answering declarations of producers
that packers are reaping enormous
profits, Arthur Meeker vice-president
of Armour 4 Co., declared the last
week his firm lost approximately
$4,000 on their total sales in the
rupted that Of John Londergin, a big
cattle raiser Of Amarillo, Texas. who
insisted that in spite of large sales he
had only "broken even" in his bust.
ness the last three years.
Edward l.. Burke of Omaha, rep
resenting the American National Live
stock association, told the commission
that higher prices were inevitable In
the face OF decreased cattle produce
ton.
Profits Are Large.
Mr.. Landergin, who said he once
made an unsuccessful attempt as
member of an Independent Texas
packing company to compete in this
country. was positive in his declara-
tions that the packers were making
much money
They tellus they are making only
from GO cents to $1.15 on each steer"
he said. We'll. maybe so, but we
think they have left out something in
their calculations and something be-
sides the liver, too. Possibly they have
left out front quarter or a hide, and
because we are not satisfied with their
statements and the state of affairs in
~ which find hltsinocS NJ
an Investigation
DO you find your business profit
able?" Mr.. Meeker inquired.
I'VE find II uncertain Mr.. Land
ergin continued. We haven't made
any money in the last three years. 1t
was close shave last year. The year
before we lost money"
Blames Railroads.
Rehearsal by Mr.. Landergn of how
he was forced to hold shipment Of
cattle in the Kansas City yards for
three days on a declining market and
finally to sell at loss of more than
fourteen dollars a head, drew out Mr..
Meekers statement.
Failure by producers to regulate
shipments is one of the great causes
of complaint against packers" he
) said. "Oftentimes more cattle come
to us than can be sold. The shipper
them shomehow.
"On all the beef that Armour
& Co. sold last week in the United
States-I think 1t was about $4,000
cattle-we lost from rs to 40 cents a
hundred pounds. If we handled $4,000
our loss was about $4,000"
"1f you lost money on beef how is
1t that you have piled up a surplus of
s9S.000, ,000"? asked Judge w. II. Wal
lace of Kansas City.
Mr.. Meekor replied that he did not
maintain that his company was oper-
ating at general loss. but that only
with the aid OF receipts from by
products it was able to show gain
'In my judgment" Mr.. Meeker
continued, beef has gotten so high
-Athat it has curtailed the consumption
to sell at loss. We have not sold
out within twenty per cent Of the beef
we shipped last week.
Price Fluctuates.
"The selling price of beef last week
went down six cents lower than 1t
was the week before, and yet we had
to pay more for it. We sold 1t as
high as we could sell it. We cannot
force any one to pay a certain price.
OF course, we try to sell it at GER
tain figure, but buyers bid on our
product the same as we did on cattle
and we can't always get what we
want for It,"
Mr.. Meeker said 1t was not fair that
producers should lose money on their
cattle, and declared he would well
Z come an investigation that would lead
to remedy If 1t was proved that they
were operating at loss.
r. c. McManus, counsel for Swift
& Co., declared the producers
and the packers could iron ont their
differences in ten minutes If given an
opportunity.
W. l.. Fisher, attorney for the pro-
ducers insisted that a broader inquiry
than the packers would agree to was
demanded