The Topeka state journal. [volume] (Topeka, Kansas) 1892-1980, 1918-06-29
PROFITS POURING
into POCKETS0F
LARGE CONCERNS
Manufacturers of Flour and
Meat Reap Harvest.
Steel and Coal Getting Their
Share of the Dough.
federal TRADE BOARD REPORT
Four Packers Make $14O,0OO,-
900 in Three Years.
Average Profit ON Flour Is
Said To Be IS Per Cent.
"A PACKER MADE 263 Per CENT
One Steel MflPs Profits Were
$40 Per Cent Last Year.
% Coal Mines in Pennsylvania
Cleared soc q Ton.
Four Packers Make $14O,0OO,-
900 in Three Years.
Average Profit on Flour Is
Said To Be IS Per Cent
4 PACKER MADE 263 PER CENT
One Steel Mill's Profits Were
$40 Per Cent Last Year.
% Coal Mines In Pennsylvania
Cleared SOC a Ton.

Washington, June 29.-Investiga-
tions carefully conducted have led to
the conclusion that profiteering ex-
lists among American industries at the
present time. due in part to advantage
being taken of war pressure for
heavy production" and in part to "in-
ordinate greed and barefaced fraud"
the federal trade commission an
nounced today in-a-report sent to the
senate. q
The report was submitted in re-
sponse to a resolution asking the COM
mission to furnish the senate with all
figures and Information relative to
profiteering in order that steps might
be taken to remedy present conditions.
Outstanding features of the report.
each supported by extensive data. are:
Mills and Packing Houses.
The heavy profit made by the low
cost concern under government
fixed price for the whole country.
The heavy profit made by the meat
packers and allied industries. and by
the flour millers.
The trade tendency to increase and
maintain prices against the forces of
competition.
The report is based on findings by
the. commission for the war industries
board, the food administration. the
fuel administration and other execu-
tive departments on industrial surveys
and thru enforcement of laws against
unfair methods of competition.
Many Products Covered.
The products investigated and
which the report covers are steel. cop
per- zinc. nickel. sulphur. lumber.
flour. canned milk and canned sal
mon. Salaries and bonus paid high
officials also were the subject OF in
quiry.
Price fixing by the government. the
report says. has tended to prevent the
market from running away but at the
same time it strengthens the stronger
factors in industry in their position
and enriches them by profits which
are, without precedent"
Flour Profits Enormous.
While the price Of flour has been
stabilized by fixiLg a price for wheat
and a maximum margin of profit for
flour, the reports shows that profits
increased from al average OF IL per
cent on the investment for the four
years ending June 80. 1916. to nearly
38 per cent in the year ending June
80. 1917.
indefensible considering that an aver
age profit OF one mill for six months
of the year shows as high as 81 .
barrel"
, Many millers exceeded the govern
ment maximum for profits and to that
extent the profi's were larger and In
general in fact were very great
The report declares that unprece-
dented profits are shown in a survey
of the packing industry. In this con-
| nection 1t is said:
Five Control Meat Business.
Five meat packers. Armour. Swift,
Morris, Wilson and Cudahy and their
subsidiary and affiliated companies,
have monopolistic control of the meat
| industry and are reaching out for like
domination in other products.
+ Have No Regard for Law.
Their manipulations of the market
| embrace every device that is useful to
them without regard to law. Their res
ward expressed In terms of profit re-
veals that four Of these concerns have
pocketed in 1915-191S-1917 S140,.
100000. However delicate defini-
ton is framed for "profiteering, these
packers have preyed upon the people
| unconscionably."
| Coal Barons Get Rich.
Investigation in the coal mining In.
dustry reveals. in the opinion OF the
commission, that despite government
| price fixin large margins of profit
have been made. Ranges in the cost
of production in field having the
same maximum prices has caused
| some operators to make small margins
Of profit and others large margins; the
bulk of the production ENJOYING the
large margin.
Money in OH. Too.
In the III industry large profits an
now being made in fuel oil and 9aso-
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