Pine Bluff daily graphic., 1920-01-11
ROCKEFELLER | ]. TELLS HOW STANDARD OH
 REACHED PINNACLE
Difficulties Facing Industry In Late Sixties Re
 counted
SAYS STANDARD WAS
 GREAT AID TO WEAK
Finding of Capital for Enterprise Later to Become Gigantic, at First Was Difficult, He
 Says

New York, Jan. 10.-The story of f how the Standard Oil company grew from humble beginnings until 1t be- came the greatest business organjza- ] tion in the world, was related by tEc < founder himself, John D. Rockefeller s in a letter which was read here to- night at dinner held in celebra- Z tion of the golden jubilee of the z worldwide corporation. Absence in A Florida prevented Mr Rockefeller 6from joining the Httle group of { multi millionaires who assembled fo, the celebration.
 4 In his letter, which was addressed to A. c. Bedford, chairman of the K Standard Oil company of New Jersey, MT. Rockefeller said he be z lieved that there were only two sur vivors of the original organization his brother William and himself. He said that he had commenced his career as an oil refincr, preceding his brother in the business by foul years.
 "The business of oil refining,n MT Rockefeller wrote, "was very pro fitable in the early sixties. but in the late sixties it was overdone and the competition was ruinous, so that probably 80 and possibly 90 per cent of all engaged in it were either bare ly holding their own or suffering act ual loss.'
 The finding of the capital for the Scheme was difficult, Mr. Rockefeller said, in view of the poor credit Conditions in the business and Mr Rockefeller could recall only two concerns-the Warden, Frew and company interests of Philadelphia and the Charles Pratt company of New 9ork-who were willing to fur nish cash in return for stock As ar Illustration of the stringency in the money market, he said that the Standard Oil company barrowed From it's shareholders all the money they could lend and paid 10 per cent Interest.
 Helped Weaker
 sS& The money thus raised was still Insufficient, but financial backinq was obtained through the sale ot Z ztocl to leading capitalists and the business of other refiners was taken over by payments either in stock ol tash The ablest representatives ot 1uch concerns were enlisted in the Administration of the joint under 3aking.
 And here, may be pardcned fol 2 eayng," MT Rockefeller wrote, "thai the Standard Oil company made 2 x 8ecord without precedent in the his A1ory of commercial enterprises ir
 nrning to it's weaker and bankrupt Competitors and offering them q ghance to recoup their waning for < pnes without any risk on their part
 Hcept the putting in of their plants nany of which were superannuated < md all i'll equipped to cope with the pore up-to-date refineries even o1 ES That time.
 |Sss8 q am happy that all who took xtock prospered and did much bette, |t han they could have done under &4nv other circumstances"
 &2 The history of the company also Fas reviewed by MT. Bedford, who S eclared that in many respects it was ne history of petroleum throughout
 he world. He asserted that in every | ountry where oil production has
 een properly organized, it has beer
 nade so by emulating Standard Oil
 nethods. MT. Bedford eulogized MT
 rockefeller, Henry M. Flagler
 harles pratt and Henry R. Rogers
 ssociates in the formation and de kelopment of the Standard Oil cor
 oration, as men who had not mere { V built up tremendous enterprise
 ut who had made great contirbu-
 ions to this country in philanthro- < phy medicine, education and art.