Evening star., 1934-02-20
BY CARTER FIELD.

Is there a wicket whisky trust, and
is it responsible for prices so high
that liquor sales have proved disap-
pointing and liquor revenues have
failed to meet budget estimates, while
the bootlegger has thrived?
There may or may not be trust.
It would require a congressional in
quiry to prove the extent of the tieup
among the interests which have &C.
quired what amounts to a corner"
on all the properly aged whisky in
this country.
OF the fact that there is cor
ner," in the old wheat corner" sense,
there is little doubt. Most Of the
bonded whisky is owned by a very
small number of corporations.
Also these is little doubt that prices
are too high. Not as much too high
as the average chap arguing about
them says, but still somewhat too
far up. The trouble is in most argu-
ments no discrimination Is made as
between bonded straight whisky and
blended whisky. AS to bonded
straight whisky, officials here say that
considering the extreme scarcity and
the tremendous demand, the price is
not too high.
Stiff Prices Continue.
On blended whisky, which the
average drinker will get, the price is
still rather stif1, though there has
been a tendency, as now price lists
are submitted to the Federal Alcohol
Control Administration, to mark these
prices down.
Leaving aside the speculative profit
of those who bought some Of the
precious bonded whisky and now have
their share of corner on the limited
supply, profits for distillers contem-
plated in price lists filed so far are
not large enough to boost the retail
price materially.
Naturally the profit element shows
up more decidedly on the cheaper
goods Take several brands quoted
by a Philadelphia distilling corpora
ton. These are priced at $1l a case
of IL quarts, +. o. b., Philadelphia, in
carload lots.
In smaller lots the price list filed
with F. A. G. A. shows SO cents a
case more for lots of $50 cases, 81
more for lots of 100 cases, $1.50 more
for 50-case lots, and $3.50 more, or
$l4.50 case for one or more cases.
But obviously the price m carload
lots should be considered in consld-
ering the distillers' profit. Advertis-
ing of brands would still be included,
but not much merchandising.
From this $11 case must be de-
Quoted $633 a case taxes to Federal
Government, $6 being 81 gallon on
the gallons Of liquor in 12-quart
case, and 80 cents rectifying tax.
This leaves the distiller $4.67 gross
for the case
In short, the distiller gets less than
80 cents a bottle, out OF which he
pays for the bottle and cork, the label,
the small amount of real whisky used
for fiavoring, the alcohol, packing
and delivering the product aboard a
freight car in q railroad yard IN
Philadelphia.
Take the case Of a straight whisky,
sold by q Louisville firm. This Is
absolutely young" liquor, but it Is
straight" and not a blend. It Is
priced at $2I.40 q case of IL quarts,
t. o. b. Louisville, including the tax
Of Sc q case. The suggested price at
retail Is $2.35 a quart, or SIPS a
pint. Discounts OF IS per cent are
allowed on 1000 lots, which makes
the real wholesale price to the dis
tiller $16.05 case, or $40 If the
Federal tax is deducted.
This is the really interesting price,
because it does not involve any Of the
artificial elements In the present sit
uation. No bottled in bond whisky
affected by the corner" is used. It
Is not aged, so there is no question
Of interest on investment, warehouse
space during aging. Federal inspection