South Bend news-times. (South Bend, Ind.) 1913-1938, 1920-10-14
Claims High Wages Paid BY
Local Concern Forces
Prices Up.
GIVES MANY FIGURES
Mishawaka Dealer Also Regis.
tiers Complaint TO Indi-
ana Board.

INDIANAPOLIS Ind. Oc- ls.-
Coal retailers in northern Indiana
are unable go do business under The
order of the special coal and food
comm ission, fixing $2.25 a ton as tie
gross profit margin. without serious
loss. according 90 testimony given
az a hearing here Wednesday. The
hearing granted ~ the request OK
the Indiana Coal Retailers asS0cia-
tion was conducted by Chairmau
Eschbach OF the commission
Dealers from South Bend Misha-
waka Lafayette. Nuncie. Kokomo
and Richmond were among those
heard All presented figures pUr-
porting o show their cost OF doing
business was far in excess OF th8
margin allowed in the price-hN.ng
order
one man. William a. Dalton of
Gary admitted that on October ll.
FIVE days after the commissions or
der was promulgated. he added
$2.16 "a ton 90 the cost of coal haul
ed by his firm "as a trading margin
and $216 q ton for coal hauled bv
tho purchaser. Few Of the firms
represented handle Indiana coal.
Blame Studcbakers.
High labor costs charged by the
coal men 10 nE AAG kU NAAE 2kAAf.~
baker Automobile company bidding
for labor was blamed by virtually
every South Bend and Mishawaka
dealer for high costs there. Clifford
VI. Lontz. Of South Bend, who test
fed at the afternoon session, said
that owing TO the wages paid by tho
automobile company his firm had
been forced 20 pay $50 a week Tor
drivers and labor 20 handle their
coal. He placed the cost OF doing
business to his firm for the last Elk
months a S2.S2 a ton without anF
charge for DOSAGE or Interest ON
the Investment Mr. Bontz present
ed "A letter 20 the commission from
L p. Hardy. former federal fuel
administrator for ST. Joseph county
EXPRESSING the opinion mat the deal
ers' margin was not sufficient and
pointing out that wages and over
head expense high in the South
Bend district.
Mr.. Lontz testified that the feder-
al fuel administration allowed the
retailers s270 a ton margin during
the war. He said that an average
II the cost Of doing business for
ten South Bend and Mishawaka
dealers was t2.77 FOR the past year.
He said that in September De
handled 1b- IONS -hI CDtl al az ~DA@A
cost OF $2.297 while In August he
handled 1856 tons az virtually the
same cost. His cost per ton in sep
tember was S4o7 ton he said.
and i'm August &l.17. Iie normally
handles about - 500 tons Of coal a
year.
Schroeder Tcstihcs.
j. p. Schroeder Of the schroeder
Coal and Ice company. M!shawaka'
told the commissioner hls books
showed cost OF Sass q ton but
when corrections We're made by tho
auditor he had found the cost 20 De
s2S2 a ton This was for a period
or one year His firm also does an
ice business ard he was questioned
ir detail As 20 the division 0f cost.
He blamed high wages in South
Bend for a portion Of the high cost
If handling coal pointing out that
ATisnawaka IS only four miles from
South Bend and many people work
in the latter city.
Charles Patton of the Lyman Coal
company of Lafayette told the COM
mission that labor was scarce and
wages high ln Lafayette. He sid
that for the 3 months between Oc-
tober i, 1918 and December 81,
1919. j. cost his firm S2.O4 a ton 10
do business and from December 81,
1919. 90 October T. 1920. the cost
was $2.2s a ton.
Attorney Young for the commits
sion. referring % 4 typewritten
tCO%TINT-ED or PAGE FOCR)