Evening public ledger. [volume] (Philadelphia [Pa.]) 1914-1942, 1918-03-20
HARD COAL MEN
PUT PATRIOTISM
ABOVE PROFIT
Declare $3.50 Margin Re-
tained by Lewis Is
unjust Graft"
CUT IN BITUMIN Gus
$685. a Ton Benefits Indus
Observation-Disclosures Not
Aided by Reduction

Any hone Of consumers that the g. so
Acton gross margin on coal prices would
he reduced this year was virtually dis.
sipated by a letter Of instruction sem
10 the 23o coal dealers in the city today
by Francis A. Lewis, chairman Of the
philadelphia County coal committee
Not only are the dealers urged 70
hold on 10 their gross margin of profit
on anthracite coal but are requested
to charge thirty cents extra for each
ton Of coal carried into the collars of
the consumers This means $3.50 more
for the dealer than he paid for the ton.
Several coal dealers characterized this
request of the fuel administrator as an
unjust graft" and one which their pa
triotic principles would not allow them
10 accept Every one of the dealers in
tefviewed registered surprise AZ Mr.
f.ewiss action and intimated that he
might find the dealers refusing to accept
the. unjust graft" that he has request cd
Them to demand
This $3.50 gross margin for anthracite
coal went into effect January ]. II
was urged by Mr.. Lewis AZ an emergency
measure and one which would be- lowered
as soon as conditions warranted 1t. Scv-
ersl times Mr.. Lewis has inspired the
:, public with the feeling that the gross
margin would he lowered. and until to-
day II was believed that in the letter
which was sent il would he requested
that instead" of the profit being en-
larged he would recommend the lower
Ing Of the cost Of the coal to the con-
sumner
at is too had that the public shall
have labored under false hopes" was the
way one dealer felt about the receipt OF
the letter from the fuel administrator.
Although the dealers are requested to
retain their gross margin on anthracite
coal, they are urged to keep a 81 gross
margin upon btuminous. This will lower
the price of that coal to virtually $3.50
from IS. which some of the dealers are
now charging.
II was said that the Government is
seeing to 1t that the dealers are paying
S3.15 for the coal at the mine and $3.50
for freight charges. This and with the
So added for the margin brings the cost
OF the coal up to So 65. While the btu
i minous grade Of coal is used extensively
In the Industries. very little OF 1t Is
used by the housewives and private con-
sumers.
In the letter Mr.. Lewis also makes it
plain that he will desire a gross margin
of s1.75 on the steam sizes of the an
thracite coal This grade is also used
the housekeeper and private consumer.
The general public. however, will de-
rive very little good from the fact that
Mr. Lewis has suggested and recon-
mended a lowering in the gross margin
for the bituminous and steam-size grade
of the anthracite coal il was said. Both
these grades affect the industries, which
will profit greatly by Mr.. Lewis's letter
Of instructions of today, Housewives
Ia. Ill lao.
grade of coal for home consumption
find. all their hopes for a reduction in
the cost Of coal wiped out until Mr..
Lewis either recalls his letter or orders
the reduction,
The term gross margin. as used. in
the coal trade, is that added sum on the
cost of the coal to the consumer after
the dealer gets il delivered to his door |
Mr. Lewis calculated that the dealer is |
entitled TO a $3.50 profit over all the |
expenses Of getting the coal to his bin. |
In this margin is included the delivery |
of the coal to the consumer and the |
clerical work"
The present system of priority orders |
giving coal operators power of distribu-
ton on the basis of their capacity Is
keeping industry dissatisfied and discon-
tend. according to state Fuel Admin
istrator Potter today. He made a strong
plea before a conference of central Penn
sylvanH coal operators yesterday for |
abolition of the priority order rule,
"Under the present system of priority |
orders the railroads have the first call |
on coal and the mines not supplying |
the railroads are handicapped by not |
having enough cars furnished them" he |
said today.
There must be an abolition of this
system. There must be made Il plan
that will distribute equitably among all
shippers OF coal required by the Govern
ment and the most important war in
iustries."