The Daily Ardmoreite. [volume] (Ardmore, Okla.) 1893-current, 1921-05-08

sible, it is my judgment the jobber
should be able TO figure a 3-cent mar
gin after paying freight. This will
provide him with q good, legitimate
profit But where the refiner cannot
make such rate without himself ac-
tually losing money, / do not believe
the jobber should expect or receive so
wide margin. One branch Of the in
dustry cannot assume all the burdens
all the time. The jobber has had his
harvest time.
Let the price 10 the public be SUBJ
Ject to the law Of supply and demand
Under such conditions everybody could
make money, and the publics inter.
ests would be safeguarded The public
is not entitled to any price except that
based on cost, plus O fair profit But
every man is entitled to a profit for
doing business.
Only Fraction Of the Cut TO the
Reiinpr
Now the average tank wagon price
in the Indiana territory is approxima.
tely 22 cents. The average freight
rate is close to ~, This brings it
down TO 1919 cents. II the average
tank car price in the Kansas district
Is l6la cents, and / am morally certain
1t Is not more, then the average work.
ing margin OF the jobber in the Indiana
territory at the present time Is three
cents, and under the circumstances it
would seem that this ought to be fair.
There may be Instances where these
figures might not apply. According TO
the figures just given, it is not neces.
sary for the Tefiner 10 absorb more
than a fraction Of the cut, and We
believe very few. If any. OF the jobbers
expect IT, Conditions generally will be
q great deal better il he does not, es-
pecially if the Standard, the jobber
the small marketer and the refiner
absolutely eliminate every form Of ir-
regularity and deception, including ad-
verusing contracts, pump rentals. Sec
ret rebates. etc. If this is not done, my
Judgment is the end is not yet, and the
vlolator himself will be eliminated.
More Drastic Declines Are in Sight
ut is my judgment. ii under the
present peculiar conditions reflners
continue 10 pay premiums. and retail
ers insist upon marketing schemes 10
beat the tank wagon. there are going to
be further and possibly more drastic
declines. Crude is very likely TO go TO
q dollar a barrel and the tank wagon
slashed another three or four cents.
1T ought TO be significant that in
the east crude oil prices have been ad-
t,op knl IL
stand why refiners and marketers have
the courage at time like this, when
they have no voice in making either
their buying or selling price. to persist
in inviting disaster. 1t looks as IL we
were going headlong into another per-
iod like that OF 1915. when the selling
price 10 the jobber was lower than the
price at the refinery.
The Remedy
First. protective duty on Mexican
crude. II It were not fer the flood Of
Mexican crude into this country the
present demoralized condition OF the
American oil industry would not exist.
The American oil Industry Is paying for
the prosperity Of the Mexican opera
tor.
Second complete suspension OF
drilling operations for q period Of
sixty to ninety days. Producers in
western fields could well afford 10 stop
all drilling and curtail pipe line runs.
In the east producers took their credit
balances and refused tv sell. And al
ready they have received u j0.cent al.
vance. With big wells in every field.
with Eldorado constantly extending its
limits, and Amarillo threatening 10 de-
velop one of the greatest American
fields, the producing branch OF the in.
dusty can we'll afford TO stop. look
and listen" We are actually threat
ened with dollar Oil. Possibly lower.
Third. discontinue premiums In
ject business sense and practice into
petroleum marketing and disabuse our
minds Of the idea that irregular busi-
ness practices ever build up healthy
conditions. When any industry dis
regards all the laws OF business and
moral ethics. and when Individual
members thereof think TO gain and sue.
coed by putting something over it Is
dollars 10 buttons conditions will 30