Evening star. [volume] (Washington, D.C.) 1854-1972, 1927-01-07

small, after allowing for every ex.
pense on very liberal basis.
Results Of Entire Year.
'1n studying the table and the one
from which II was compiled. ii should
he borne in mind that it represents
| the results OF the entire year and
not simply the strike period. The
| charts or graphs 10 which reference
will he made in detail later show
| much higher gross profits during
| the strike period. hut the inclusion
| Of full 12-month period reduced
| the net profit figures per ton.
| From this point on, the report
! sought to show that for the period
of the anthracite strike the gross
profits Of the dealers examined in
creased considerab
| For example. the report sets forth
| the following increases In gros prof
| It's curing the period OF the strike
| for one company. referred TO ss A ::
THE chart shows that during the
| strike period. this companys gross
profits on briquettek increased from
| s372 in the middle Of September TO
1910 in November. through Deem
| Der and to the middle OF January.
| This was an advance in gross pronts
Of $2.9S per ton. On high volatile
coal Falrmont. etc. it's gross prof
its during the strike period In
creased from 1910 to $3.50.
| "On Pocahontas egg and other low
volatile coal. it's gross profits in the
| strike period increa sed from s3.15 to
$500 02.7s increasel. and from $3.50
to $3.50 k220 increase'. Its gross
profits on coke during the strike
| period increased from $500 per ton
] TO $500. or an increase of S3.l0 per
ton. On run Of mine its gross profits
declined from $3.50 to s2.5S, or Is
cents per ton"
Other Increases Shown.
The report also told of increases in
gross profits per ton during the strike
period by several other comps MES
that had furnished data to the &C
countants. In some OF these other
illustra tions the gross profits set forth
for the strike period did not show as
| great an increase as in the first H.
| lustration.
! Chairman Capper concluded the re
port with the following observation:
"A study of the charts and the
statements reveals clearly that dur
ing the strike period the coal dealers
adva need their sale prices more tina n
their costs increas ed. with the result
that during such period their gross
profits greatly increa sed. 1t IL also
apparent that their profits on sub
stitutes for hard coal were greater
than on anthracite. so that the retail
dealers undoubt eddy benefited by
strike conditions while the consumer
suffered.
'It IL equally clear that the gross
margins obtained by Washington deal
ers were much in excess Of those oh
| tanned by dealers generally in other
parts Of the country. 1t was testified
| Hearings, y. 1907 that the United
States Coal Commission. after inves-
tiga ton. found that the average gross
me rgin per ton for 273 compa MES, In
large and small cities. was $2.39 per
net ton, or $2.67 per gross ton. such
a. is sold in Washington. The Phta-
delphia gross margin, average. was
S2.57. hut this probably applied large
| " TO anthracite, though some soft
coal was also handled by the dealers
In that city.
Finds No Explanation.
at appears from the testimony on
D. 81 of the hearings that one of the
| big coal operators of the country
stated. with reference to retail sales.
that II were to add $3.50 A ton to
the cost of freight. plus mine price.
for the delivery of this coal within a
rea aonab bile radius, / would he selling
it at a very good profit to myself
mo expla nation appears in the rec
ord az to why costs Of handling coal
| in Washington should be higher tina
elsewhere Practically the only de-
Tense of the dealers to their higher
gross profits In the strike period was
! that the strike might end suddenly
| and leave them with a large quantity
| of unstable soft coal on hand"
| The report also stated that mot
only do the dealers pay what they
consider high freight rates on coal
| from the bituminous fields but that
| they pay large rentals TO the rail-
! roads entering Washington or its
vicinity for the use OF coal dumps or
| tipples. If sufficient use OF the
| facilities is not made, from the rail-
| roads point Of view, the leases can be
cancelled on comparatively short no.
| tice."
It IL stated. further, that while
some coal dealers couple other lines
| Of business with fuel. for the most
part the sale Of coal is their principal
business. which mea ms that their plant
| and equipment stand practically idle
large part OF the year. The report
SukKeSLS IndJ ONNTTcdu WOuiu Ne re-
duced il the dea lers were more extern
sively engaged in the ice business, for
example
Congress- Action Unlikely.
In the discussion which followed
the presentation of the Capper re-
port. Senator Copeland. Democrat,
| New York. declared the document
seems ito confirm the suspicion of
| the American people" a. to the effect
| a strike has on coal prices. He added.
| however, that IL do not think we
should particularly blame dealers In
| the District Of Columbia. | think II
applies generally to the country"
Another member Of the committee
called attention To the statement in
| the report that gross margins in
Washington were higher than those
, obtained generally throughout the
| country. To this. however, another
committee member pointed out that
| the accountants who made the in
vestigation did not have the same ac-
cess to figures for the rest Of the
| country that they had for the Dis
| trict
Practically every member present
agreed that there was probably no
action Congress could take to regu-
late the price Of coal here, and II was
decided to file, in the committees
archives, the data collected by the
accountants for future reference and
authorize Senator Capper to submit
his report based on this data to the
i