The daily worker. [volume] (Chicago, Ill.) 1924-1958, 1927-03-29
ANDY MELONS
COAL COMP ANY is
FIGHTING union
u. S. Treasury Head Is
Fighting Miners
Continued from Page One)
ton produced in 1926 and So cents
on aocb tor ,,roducad in 1929


ton produced in 1926 and So cents
on each ton produced in 1926.
Big War Chest.
Such a costly campaign against the
union men can be carried on only be-
cause Pittsburg Coal entered the
fight with a S78,000,000 surplus ac-
cumulated out of the excess profits
of former years. This surplus exceeds
the combined value of preferred and
common stock. The Wall Street
Journal says, "The balance sheet Of
December 81, 1926 showed a suffi-
GENTLY strong cash position to with
stand a long seige Of Improbable
operations and to continue preferred
dividends"
The journal asserts that on the eX-
piration of the Jacksonville agree
ment several other operators in the
Pittsburg district may join Melons
war on the union. Until now they
have hesitated, influenced by the
fact that the operation was costly
on account of the expense of gather
ing men together and the expense of
deputies, while even without any I'M
usual expense the difference in wages
between the November 1917 scale and
the union scale hardly makes up for
the low price at which the coal must
be sold on account of non-union COM
petition" as Black Diamond, a coal
trade organ, puts it.
Non Union Mines Fail.
This statement shows that even
non-union operation does not bring
a profit when cut-throat competition
in an over-expanded industry forces
prices below cost of production. Only
the most favored non-union COM
panies are making enough to pay di-
vidends on common stock.
Consolidation Coal Co., the big
Rockefeller enterprise, produced 49,
05S,804 tons in 1926 but its profits
were so small that after preferred di-
vidends only SO cents share re-
NAMED for the common stockh lers,
Prior to 1925 Consolidation ICED
about 40go of its tonnage in Union
mines but early in that year it closed
down these operations and month
or two later began its attempt to
operate 1000 non-union.
Elk Horn Coal Corp. is another nom
union enterprise which is unable to
make a profit for its common stock
holders in spite of low non-union
wages. It's properties are in eastern
Kentucky and central West Virginia.
Its report for 1926 shows a profit of
S3.6S a share on preferred stock
marking the first year since 1920 in
which it has made enough to cover
preferred divi lends.
The way of the non-union opera
tors apparently isn't all that it is
cracked up to be.
Government Watches.
WASHINGTON, March 28.-The
Federal government is watching
closely the developments in the union
lied soft coal fields which are 70 sus-
pend operations next Friday.
Agents returning from the fields
reported today that there appeared
little likelihood of heading off the
tie-up in Illinois, Indiana, Ohio and
western Pennsylvania. These states
comprise the central competitive
field. operators are remaining stead
fast in refusing to accept the United
Mine Workers proposal for a renew
al of the present wage contract, they
said.
Policy Committee Meets.
Considerable significance is attach
ed here to the Miners Policy Com
mittee meeting today in Indianapolis.
The committee has full powers to
enunciate the unions policy for the
suspension.
Under tentative agreements, the
union will permit operations in cen
trail Pennsylvania, Wyoming, Mon
tana, Washington and Michigan.
A meeting win be held with south
west operators on March 81, at which
a final attempt will be made to ne
gotiate a working contract.
Soft coal production fell off last
week, the Bureau Of Mines announced
today. This was caused by num-
Der Of mines closing down in prep
aration for the suspension.
Human Pin Cushion.
SCRANTON, Pa. (FP).-Union
anthracite miners who do not pay off
debts contracted during the 1886
strike are faced with lay-off, if dis
trict president, Rinaldo Cappellini,
I oats their names. Cappellini an