The Birmingham age-herald., 1920-10-03

aSSolu uihS lo the signed statement of | the officials of the Pratt Consolidated l Coal Company, largest producer of coal l III the state of Alabama it's average | margin between cost of production and | .3elllng price in the eighth months of | the wear has been 3S.S cents per ton.
 fhis margin does not include
 some items ordinarily put in costs.
 In August the cost of production
 was S2.93J and the selling price
 was $3.275 per ton. The margin was 34 cents.
 J. Frank Rushton of the Bir- minSham Ice and Cold Storage Company, showed by his books that the average cost of doing . re- tail business during the eight months of the year has been S244 per ton and that the average prof. It of doing business for the eight months has been .O71 per ton
 In August the expense of doing business was $2.96 per ton. He sold l.136 tons and lost S2s3.59 which is at the rate of 23 cents on each ton orator and this retail dealer, accord ing to these figures, has this year averaged less than 50 cents per. ton. The cost of doing business at the mines the mine prices to the next man. the costs of doing a retail busi- | sented in the signed statement of the Pratt Consolidated and the data taken from the books of the Birmingham Ice and Cold Storage Company. The state ment of the Pratt Consolidated Con- pany follows:
 PRATT CONSOLIDATED The Pratt Consolidated Coal Com pany is the largest producer of coal IT, the state of Alabama for the gen a m 1rx O olra h tr Of it's costs of coal mined and loaded on railroad cars and of it's selling prices that the public may judge whether | or not it has been profiteering in the | prices received for coal.
 For the eight months of 1920, from January to August, inclusive, It's costs of coal have varied with the wnges paid, and It's selling prices have varied in exact ac- cordancc with It's costs. Its aver age margin tnot profiO between costs and selling prices for the eight months Is 3S.S cent. per ton of coal. As its costs made out on federal trade commission forms and promptly furnished the com mission each month, the cost as shown do not include some items ordinarily put into cost. The fed ernl trade commission says: Margin is not the same as profit | The cost figures shown do not in- clude selling expense, interest on bor- rowed capital nor allowance for in- l come and excess profits taxes. The ! difference between the sales realiza- tion and the fob. mine cost per ton | is the margin, but not all of the mar gin is profit"
 COST AND SALES PRICE For the month of August. 1920 the l cost of coal was $2.935 per ton and the ] ltn<r r.t. rx1t-- margin was 34 cents per ton. From l this margin must be deducted all the 1 items named above. The cost of the | coal is made up as follows:
 Per Ton. Paid for mining ........$ 1.1a For all other labor ........ 1.235 Total cost of labor ...... s242
 For supplies and general
 charges including legal ex-
 Penses. insurance and taxes
 tstate. county and city only .5I
 $2.sss The Pratt Consolidated Coal Com pany has always sold its coal at the crease in cost occasioned by putting | in force at its mines the recommen- cations of the bituminous coal com 1 mission. which increase amounted to AS l cents per ton and was checked by the railroad companies and others buying coal on sliding scale and found 10 | be correct. Its present prices at all O. its mines, which have been1in ef- feet since the wages were increased under the bituminous coal commission are as follows:
 Rig Seam run of mine. &2.05 per ton.
 Pratt run of mine. $S.z5 per ton.
 
 the government aIlOWances for screening and sizing and for wash ing. varying from 70 cents to as much as 5O cents. depending upon the cost nnd loss in preparation. This makes our price for coal sold for domestic purposes from &3.25 to $3.S5 per ton f. Q. D. mines, the highest price being for screened and washed nut or egg coal suita- ble for Erates and general domes- tie use. We make . few cars per month of specially screened. pised and washed nut coal. for which we have been getting @4 per ton |. .. D. mines, but do not recommend that grade as being either better for us for the buyer than the usual washed nut at ss.75 per ton.
 WHOLESALERS ONLY
 We have no connection whatever with the retail coal trade or the dis tribution of coal to householders. We have no exclusive agencies and sell coal only in carload lots at our mines to any responsible person.
 On account of the strike of coal our output of coal is reduced about twenty per cent. and the amount of coal we have above our contracts for general sale and distribution is} less tiun normal but what we do have will be furnished to the state of Ala bama for distribution through the fuel 
 PRATT CONSOLIDATED COAL CON- PANY.
 By G. B. Mccormack, president
 Erskine Ramsay, first vice president. H. E. Mccormack second vice presi- dent and general manager.
 RETAIL COST PRICES
 An Age-Herald representative went to the Birmingham Ice and Cold Stor- age plant and went over the sheets on ;v, hA <,ff ,f