The sun., 1919-01-24
U. S. PACKERS NOW
FACE BRITISH PROBE


piled Mr.. Swift. 1.-THE need Is now as
great as II was during the actual war
fare. l should say that the regulation
has been advantageous both TO the con-
sumner, the producer and the Govern
nent 1t has been the only possible
way to make shipments abroad"
Mr.. Swift explained there we're
49, 900 stockholders in Swift & Co. and
that the majority OF the stock Of a
capitalization of s15o,00O,O 900 was not
owned by his family. In 1918 the firm
earned s21.0oo.oo0. or 11.2 per cent. on
the capital and surplus. Earnings in
1917 amounted to 90 per cent. in 1918
the earnings for each 500 invested
amounted to s1.7s, whereas in previous
years II was s3.eS.
What per cent Of your business is
not concerned with meat packing?
asked Representative Sweet.
90 Per Cent. Packing Business.
81 cannot make an exact answer to
that, but I would say that more than
80 per cent. relates entirely TO the pack
ing industry proper" replied Mr.. Swift.
Swift & Co. branched out into buying
and distributing butter. eggs and poultry
because refrigeration was necessary and
1t was found to be a related part of our
business. Mcneil, Libbey & Mcneil.
Which was once owned by Swift & Co,
became packers of fruits and We have
distributed for them. That is our only
connection with the distribution OF any
thing outside of the packing line"
viii Government ownership of stock
yards benefit the producer" asked Mr.
Sweet.
ut will make no difference to the
producer who owns the stockyards II
they are properly and efficiently con-
Quoted" replied Mr.. Swift.
Mr.. Swift disclaimed that the five big
packers could control the price OF meat
on the hoof. He said IS per cent
of the beef killed went TO the Ave bis
packers. that the Independents use 81
per cent. Of It and the remaining 81
per cent. was killed by the farmer.
and small men in different communities
Calls Bills CIas, LcsisIation.
Swift said in his statement. could no
but result. In loss to the packing in
dustry because of the perishable natur.
OF the products. He characterized tn,
bill as class lesisla ton OF the mos
pronounced type" such as has not beer
applied to any other industry. lie sale
less dangerous legislation would provide
| for a form OF Government supervision
| to insure against violations OF the Ia "
After denying that Swift & Co. II
party to any combina ton or agreemen
with other packers he continued:
The packers are in open and keei
| competition with each other in the pur
/ chase OF live stock and the sale o
| meats Perhaps the most conclusive
! proof OF what I say Is that after in
vestigations of over 4 year the Trad
| Commission is unable to deny that tn
profits Of the packers are so small
that they could be wiped out withou
affecting the price of live stock or tn
| price OF meat by more than 4 Fraction
| OF a cent n pound
Commenting on the Trade Commits
sion's proposal to divorce packers fror
their stockyard holding Mr.. Swift said
Since the primary desire of the pack
| ers in connection with the stockyard
is efficient service Swift 3 Co woul
! be perfectly willing to sell such in
terests outright at fair market pric
| provided the present high standard o
efficiency In operations be continued"