The Raymer enterprise., 1923-08-16
INDEPENDENT PRODUCERS SAY
REDUCTION IS BELOW COST
or MANUFACTURE
GASOLINE WAR WAGED
FEDERAL GOVERNMENT STARTS
PROBE OF ALLEGED coNsPlR.
Acy AMONG PRODUCERS

Chlcag0.-The Standard O1l Com
pany Of Indiana has announced a re-
duction In the price Of gasoline OF &C
cents galoln throughout its entire ter
ritory. At the same time, L. V. Mich.
0las, head Of the National Petroleum
Marketters' Association, announced he
had notified the independents to re-
duce prices cents a gallon. The ter
ritory affected includes Illinois, Iowa,
Indiana. Michigan, Wisconsin, Mime
sofa, North Dakota, South DakOta,
Kansas, Missouri and part Of Oklaho-
ma. u notified independents to re-
duce the price 5 cents" Mr.. Nicholas
said. "A cut Of more than five cents
is unfair and ruinOus. A cut Of GO
cents Is as much out Of line one way
as the present price is the other"
The new prices were characterized
by the Standard OIL Company Of In
diana In Its announcement us "far be-
low the cost Of production and distri.
button" The Standard Oil Company
said in Its statement that ii had no
wish to injure competitors, but was in
spired in making the reduction to meet
the competition started by Gov. w. Fl.
McMaster Of South Dakota and now
extending to other state executives.
"The Standard Oil Company Of In.
diana announces an immediate reduc-
ton In the price Of gasoline OF sc
cents per gallon applicable throughout
the entire territory in which II does
1T asserts that the retail prices, as
made, are far below the cost Of pro-
ductIon and distribution.
"The governor Of the state Of South
Dakota, buying distress gasoline below
the cost Of production, and charg-
Ing against the state no adequate cost
for distribution, is selling gasoline to
the public In the state Of South Dako-
Ia at 10 cents per gallon.
"The Standard Oil Company Of In
diana, operating on Its established
policy that the customers who pur-
chase Its goods should never be com.
PEELED to pay a higher price than that
maintained and fixed by any competi.
tor. quality and service. be considered,
has met this price.
"In establishing the above price, the
Standard OIL Company Of Indiana Is
not endeavoring to lnjure any Of its
competitors in any way.
ut deprecates the stand taken by
some Of Its competitors that the Stand
ard OIL Company Of Indiana Is en-
deavoring by reason of meeting these
cuts In price and these demands for
lower prices, to put its competitors
out Of business.
1.-THE Standard Oil Company of In
diana does not wish to put any COM
petitor our of business because 1t feels
that competitors are necessary to the
successful conduct OF Its business 1t
will welcome change of attitude on
the part of all parties concerned re-
sulting In a reasonable price for gaso-
line which will enable not only 1t but
all Of its competitors to enjoy rea-
sonable profit.
"Itrecognlzes that the majority Of Its
competitors are fine business men, en-
titled to the incest treatment both by
the public and by this company"
The prices In this territory affected
will not be uniform as u result Of the
cut, just as they are not now uniform,
because Of the varying freight rates.
The Chicago price will be 1874 cents.
While the board of directors Of the
Standard Oil Company Of Indiana was
In session statement came from
Washington that the federal authori-
ties were investigating the gasoline sit
uation.
Gov. William +. Sweet Of Colorado
has asked Colorado oil companies to
meet the South Dakota prices.