The Bridgeport times and evening farmer., 1919-10-18
SAYS BIG FIVE MAKE VAST PROFIT
 IN EXTRA LINES

Washington, Oct. 1S.-Reiteratfon of the claim that the five big packing companies of Chicago bid fair to dominate the wholesale grocery trade and that they already handle more than 200 foods unrelated to the meat packing industry, many of them di- rectly competitive as meat substi- tutes, is made in Part ". of the Federal Trade Commissions report on the industry, published today.
 'The extent to which the packer should be permitted to enter unre- lated food lines (even assuming legi- innate competitive methods),' the re- port said, lis a matter which the public interest alone should deter 1nine''
 Two questions. primarily eco homie, are involved:
 Does the widening of activity re- suit in additional economies of pro- duction and distribution?
 Does it result and will it continue to result to the public in lower prices and better quality ana service?
 "A third question, not here dis cussed, relates to the ultimate effect of such vast and powerful organiza- tions on the political and social fabric of American institutions.
 Included in the list of modities said to be falling under control of the Big Five are poultry and game, dairy products, lard and butter substitutes. canned and dried vegetables and fruit, canned, cured, and frozen fish, cocoa, coffee, molasses, and cane, corn, and maple syrups. In addition Armour & Go. is said to be handling extensively soda fountain preparations and utensils.
 The extent of packer control varies with the locality and commodity land the dealer whose business is being absorbed" the report asserts.
 Owing to the maze and secrecy of the packers methods of conduct ing much of the business" it adds, 'exact statistics on many of these commodities are not available for the country as a whole which will show just how far the packers control has reached.
 Many companies manufacturing or handling these commodities are con- trolled by packer interests no hint of which he disclosed by the names under which they operate anc even a thorough going examinations may fail to uncover the packer connection in every case.'
 Four of the packers, Swift, Wilson, Armour, and Cudahy, the report states, through their subsidiaries and not including family controlled com panies, handled in 1918 495 per cent of the estimated total of shipped dressed poultry and 3S per cent. of shipped eggs.
 The same four handled 49 per cent. of all factory-made cheese in 1918, the report says, and adds:
 That the big five are in a posi- ton to control 75 to so per cent. of the cheese of the state (Wiseonsin) is generally conceded"
 Libby, McNeiu & Libby, a Swift concern, alone handled 10.4 per cent. of all evaporated and condensed milk in 1918, according to the report.
 The Armour Grain Company, a fac tor in the cereal and breakfast food business, reported surplus undivided profits of s5,426, 83O for 1917 after deducttng a 78 per cent. dividend on capital stock, the report says, add ing:
 ''The years net earnings amounted to s2,-908,912, or 290 per cent. on the capital stock and 67 per cent. on the net worth of the company, including capital, surplus, and undivided pro- fits, as reported at the close of the fiscal year, 1916."
 Production of lard compounds and substitutes by the five packers dur ing the first six months of 1917 was placed at 49.4 per cent. of the total, and oleomargarine at 51 per cent. Complete figures to show the packer interest in canned foods, such as fruits and fish, were not available, the report says, but the business of the ''big five" was shown to be large
 ;JoLo- canned food sales alone showed 225 per ce nt- increase in 1918 over 1915 Libby sales of canned salmon increased from 4.6 per cent of the world pack in 1915 to 9.7 per cent in 1918, the report says.
 50 complete has become the con- trol, especially by Libby, McNeill 6, Libby, over the pineapple supply" the report reads, that one of the largest wholesale grocers in the coun- try was unable in the summer of 1918 to secure any supply whatever"
 There is sufficient evidence, the re- port continues, that the "big five'' are dividing the field among them selves.
 ''If Armour's grocery specialties are largely concentrated along such lines as rice, cereals, certain kinds of canned foods, and cheese, and each of the other of the five great pack CTS concentrate his specialties along a few well chosen lines, the profit able fields become pretty well cov- cred and pretty well ruled by the five.''
 The report declares that the meat packers, "are large speculators'' and that their control of capital and cred it enables them to buy in such a way