The Connecticut labor news., 1922-10-20
26S PER GENT IS TOP COAL PROFIT
 FORTHCOMING FEDERAL REPORT SHOWS High Prices Result of Speculation By Middleman and Producers From Start to Finish, Accord
 ing to Report of Partial Findings.
By International Labor News Service.

feering by coal companies during a coal crisis is not confined to small operators and wagon mines" but IS practiced by most of the industry.
 Accurate statistics on the profteer- ing by coal operators during 1922 may be available some day if the Federal Trade Commission succeeds in defeating the injunction proceed ings brought by coal operators to pre- vent the commission from gathering information as instructed by Con gress. The coal commission which President Harding has been author ized by Congress to appoint for a similar purpose may also throw some light on the situation.
 However, facts about the prohteer- ing in coal during the 1920 crisis have been compiled by the commission and are contained in report which will shortly be printed and made available to the public. Profits in 1920 Runs to 26s Per Cent
 Bonanza.
 Analysis of 5I companies, q in West Virginia and 30 in Pennsylvania, shows that the rate of return for in dividual companies ranged in 1919 from loss of A per cent on the in vestment for one company to a proht of AS per cent for another company. For the first nine months of 1920 the range of return on investment was from profit of 3 per cent for one company to a profit of 268 per cent for another company. The company making the profit of 268 per cent was the same company which in 1919 had a loss of "A per cent. 1t thus recouped q. z fo1 al rate for the whole of 1920 ranged from 4 per cent to 357 per cent on in vestment.
 The high prices paid by consumers for coal are the result of speculation in the commodity by producers and middlemen all along the line. The cost of mining varies very little for the entire industry, although there are considerable variations among different mines. Cost of mining varied from % cents a ton to $4.4o in 1920, while the average price real ized per net ton during the year ranged from 56 cents to $1I.87. In other words, during the crisis the public was soaked for all the traffic would bear.
 Little information is available on labor costs Reports from the cen tral, competitive and eastern adjacent regions, which produce over three fourths of the total soft coal pro- duction of the United States, do not { list labor costs separately. In this region the investment in 1918 of 335 companies covered stood at, roundly, $2o5, 400 ,ooo; their average annual production at 74,3oo,ooo tons; and their average unit. investment at Says per ton. The average unit labor costs, total f.so. b.smine costs, and net margins of other representative groups of companies in this region Tn the years IoI6 to 1920 are shown be low, together with the approximate rates of net income based on a re1a- ton of the representative net margins to the representative regional unit in .yestment: 's.,
 Here Are Costs and Margins of Net
 Return.
 1916, for I37 companies, labor cost, ;o.87; total cost f: o. b. mines, $I.I5; let margin, $o.2o; rate, 7 pc rcent.
 1917, for same I37 companies, labor cost, $Ioo; total cost, $I.47; net mar gin, $o.7o; rate, 2o per cent.
 1918, for 765 comuanies, labor cost, SI .3o; total cost, $I.oo; net margin, po ST; rate, I8 per cent.
 1919, for I32 companies (National Coal Association), total cost, $2.I5; net margin, $o.I4; rate, per cent. 1920, six months, for I63 companies, labor cost, $I.73; total cost, $2.2I; net margin, $o43; rate, I6 per cent.
 1921, data not available.
 In all these figures inefficient and efficient mines are grouped together and averaged Individual mines make exorbitant profits all the time and all mines make profits during profteering periods. It is the profteering possi- bilities of the coal mining industry, therefore, that are largely the cause of too many mines and an estimated surplus of 25o,ooo workmen. The cost of the waste is borne by the public.
 Here Are Needs Pointed Out By
 Coming Report.
 The Federal Trade Commission makes the following conclusions in its 
 () The need of more accurate and mofe complete information regarding the ownership of bituminous coal de- posits and coal mines, the true invest ment therein, and the true profits aris- ing therefrom.
 (2) The need of ascertaining the profits! of selling companies owned by or affiliated with mining companies (no profits of such companies being included in this report), and also of other wholesale or retail dealers in coal.
 (3) The need of establishing the coal industry in public confidence and protecting it by devising means of proper supervision and publicity so as to avoid periods of excessively high prices and of severe depression.
 These conclusions, interpreted in the language of the street, are, there fore, that the half has not been told and that the people who are paying profteering prices for coal are en- titled to the rest of the facts in order to protect themselves in the future.
 BERRY REELECTED.