Full text: The American Tabacco Company and the Imperial Tobacco Company

16 AMERICAN TOBACCO CO. AND IMPERIAL TOBACCO CO. 
With respect to the first charge, data was secured from the records 
of the two companies involved. This information considered in con- 
nection with the decree of 1911, which resulted from a proceeding 
under the Sherman antitrust law, and in which both companies were: 
involved, would appear to completely answer this part of the Inquiry. 
In considering the data presented, it should be borne in mind that 
both companies have for many years maintained extensive buying 
organizations and have their own buyers on all of the important 
ATs at which the types of tobacco in which they are interested 
are sold. 
The complaints with respect to the acts of the manufacturing 
companies against the growers’ associations have come almost 
entirely from the Tobacco Growers’ Cooperative Association, or its 
members, which has headquarters at Richmond. Va., and a branch 
office at Raleigh, N. C. This association is commonly known as the 
Tri-State Tobacco Association. Its members consist of growers. 
located in North Carolina, South Carolina, and Virginia. In fact 
the records show that both companies have urchased some tobacco 
from the other two large associations, the Dark Tobacco Growers’ 
Cooperative Association, which has its headquarters at Hopkinsville, 
Ky., and the Burley Tobacco Growers’ Cooperative Association, with 
headquarters at Lexington, Ky. The commission, therefore, has 
given particular attention to the charges and evidence furnished by 
the Wh and members of the Tri-State Association. It also 
appears that this association was most active in having the reso- 
lution adopted by the Senate. 
Information with respect to this phase of the inquiry was secured 
in the following manner: 
1. Interviews with officials of the three associations mentioned 
above and an examination of their records. 
2. Interviews with grower members of the Tri-State Association 
at Whiteville, Mullins, Kingstree, and Florence, S. C.; Raleigh, 
Goldsboro. Washington, Rocky Mount, Norlina, Greensboro, and 
Winston-Salem, N. C.; Chatham, Halifax, Boydton, Appomattox, 
and Nottaway, Va. About 500 members were interviewed at these 
points relative to disparaging statements made to them, and other 
unfair acts, by those opposed to the association. In addition a 
questionnaire was directed to about 300 others in which specific 
information concerning the issues involved was requested. 
3. Interviews with the officials of various warehouse concerns 
operating warehouses in the territory in which the alleged unfair acts 
occurred. The records and correspondence files of some of these 
companies were also examined, including the Virginia-Caroling Ware- 
house Association, and the Eastern North Carolina, Warehouse 
Association. This also included the examination of the records of 
the boards of trade at some of the Important tobacco markets and 
of two tobacco journals, the Tobacco Farmer and the Southern 
Tobacco Journal, which have actively opposed the cooperative 
marketing movement. 
4. Examination of the correspondence files of the American 
Tobacco Co. and of the Richmond office of the Imperial Tobacco Co. 
(Litd.). The purchase of leaf is an important factor in the operation 
of these concerns and is under the immediate supervision of an 
important official.
	        
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