Evening star., 1926-01-23

sylvania, introduced testimony to
show that there is a plentiful supply
of both high and low volatile blum
inous coal in Pennsylvania. Senator
Reed read letters from several Penn
Sylvania operators offering TO supply
low volatile, or so-called "smokeless"
coal for less than So a ton at the
mines.
These prices Were in direct conflict
with a list read by Senator NJ NJ
Neely OF West Virginia, supplied by
opera tors from his State, which
showed the price of prepared high
volatile coal, from the Fairmont dis
trict, to run from S2.40 to SO a ton at
the mines. High volatile is supposed
to be the smokleSt of bituminous Goals
and is cheaper than the low volatile.
Freight additional from the Fairmont
fields, Senator Neely said, would run
5000, making the average price Of the
| lower grade OF bituminous coal about
Sc a ton wholesale, in the cars.
T.. ]. McVann, secretary Of the
Smokeless Coal Operators Of West
Virginia, representing about 100 com
panies that mine the preferred Poca-
hontas and New River quality of
coal, which is used almost exclusively
In Washington, testified that low vola-
tile bituminous coal costs about 1915
to Sc ton at the mine. This price,
he said. was for a short ton Of 1000
pounds, whereas Washington dealers
prices are based on the long ton of
2.240 pounds. which would add II per
cent to the mine price.
Loss to Retailers In Dust.
The freight rate from West Vir-
ginia smokeless fields, Mr.. McVann
testified, was S2.S4. Under questioning
hn fbnrn i- 70 a
merchants from coal that has been re-
duced to dust in transit. He cited an
example of a ton Of coal he recently
purchased from a Washington dealer.
This coal, he judged, had cost the
dealer about S4.75 a short ton at the
mine. After adding the freight. the
difference between a long and short
ton, haulage and rehandling. 1t de-
veloped that the ton of coal had cost
the retailer $10.64, not counting over
head. Mr.. McEann said he had paid
$1425 for the coal.
When Senator King Of Utah asked
Mr.. McNann about the operators
prices and demanded to know what
increases had been imposed recently,
the witness admitted that the price
had ben raised, but added
THE good Lord knows, bituminous
coal prices have been dragging the
ground long enough, haven't they?"
You mean prices at the Nine, Of
course" smilingly observed Senator
Capper, chairman Of the hearing.
Well" answered Mr.. McVann, the
retail merchants make a good round
profit from their prepared sizes, but
when everything is taken into con-
sideration even those simmer down
quite little"
Criticizes Local Dealers.
Mr.. McVann particularly criticized
Washington dealers on the basis Of
Boston coal prices. He said that Bos-
ton retail merchants were selling the
same coal as Washington dealers, de-
spite a considerably higher freight
tariff, for the same price the consumer
is paying here. After Mr.. McVann
had left the stand, however, additional
witnesses declared he had underesti-
mated the true freight rate to Wash
ington by 29 cents ton. In the case
of one Washington dealer the differ
ence was still greater.
Jesse G. Suter, managing director of
the Coal Merchants Board Of Trade,
fatty declared that the charge made
by the distinguished Senator from
Pennsylvania on the floor of the
Senate last Wednesday. that the local
coal merchants are profiteering in the
sale Of coal, is not supported by
facts" The average cost price of low
volatile specially sized coal is $3.50
per short ton at the mine. which is
equivalent to $6.16 per long ton, Mr..
Suter testified.
THE coal coming into this terri
tory" he continued, carries a freight
rate running from s2.84 to S315, or an
average of 50 per ton, which makes
the average cost Of this specially sized
coal here on the tracks, $9.16 a long
ton. This coal in transit and In un-
loading and reloading for delivery sus-
tains heavy damage. reaching any
where from 25 to 40 per cent. The con-
sumner purchasing this specially sized
coal has a right to receive q shipmont