Fifty Shingle Men March Up the Hill—and Back Down Again

Fifty men marched up the hill, and then marched down again. That exactly expresses the action of the Shingle Manufacturers' and Dealers' Association at its monthly meeting yesterday in the old opera house. After spending the whole day in arranging a new scale of prices and rates of commission to sales agents, and adopting them by a good majority, the association in the last five minutes of the session rescinded the entire action and left matters in exactly the same condition as before the meeting convened. The principal question which had for some time agitated the members was the discontent among the wholesale dealers of the East at the action of the association in abolishing the trade discount for large orders. A majority of the millmen were in favor of making some concession to the wholesalers, but the minority, backed up by the dealers, were vigorous in opposing such a step. Some of the county associations held caucuses on the subject Tuesday evening, and the matter was fully discussed in the hotel lobbies by all interested. About fifty members were present at the meeting yesterday morning, representing either in person or by proxy 115 mills out of 177 in the association. The morning session was devoted to the reading by Secretary A. B. Dunniway of reports from millmen, agents and dealers all over the country in regard to cutting prices, methods of selling, commissions to agents and the general condition of the market. From these it was apparent that considerable cutting of prices had been done by millmen who were forced to sell their surplus product. Eastern dealers are quoting prices below the association retail prices and are filling orders at the reduced rates. The product of several mills was in the hands of the banks as collateral, and agents of Eastern houses had come out here and quietly bought up these lots. Others had forwarded cars to Eastern brokers to sell on commission and when the cold weather came on were forced to accept such prices as were offered by wholesale houses which had taken and stored the product in their yards. In this way a great many shingles are now held by Eastern dealers. However, the extent to which the cutting of prices has been carried has been exaggerated. Many dealers have come out here to pick up shingles at reduced prices, but they have not purchased near as many as they would have people believe. Most of the members of the association have lived up to the agreement, and some have helped the weaker members by taking their product. The recent cold snap and snowstorm has helped to stiffen prices, because nearly all the mills were forced to shut down. Some mills are now resuming and within two weeks many others will do so. The outlook for this season's business is good, if enough cars can be obtained to haul the product to market. Last year the output was about 1,200,000,000, but on account of the starting of new mills and increase of capacity by old mills it will be nearly doubled, and may reach 2,400,000,000. After the reading of the reports there was a general discussion of the topics touched upon by them. At the afternoon session the association tackled the question of making concessions in prices to wholesale houses on a proposition to allow them a differential of 10 cents per thousand on fifteen-car orders for immediate shipment. After considerable rambling argument this was voted down, as was also another making the differential apply to ten-car orders, but the proposition to make it apply to five-car orders finally carried by a good majority. Another discussion then arose on fixing the prices. Various propositions were made, but finally the price was fixed at $1.70 on five-car lots and $1.80 on smaller orders. After considerable debate the rate to retailers was made to take effect on March 1 and the rate to wholesalers immediately. The question of commissions to sales agents was decided by fixing them at $7.50 per car on orders of less than five cars and $3.75 per car on five-car orders. A resolution was also passed that no member of the association should offer another member a price lower than 10 per cent below the association price. Several applications for membership from dealers were received and reported on. Some were accepted, others rejected and some laid on the table. A proposition came up to ask the railroads for a further reduction in freight rates in order to enable manufacturers to reach additional territory. It was argued that this should be done on account of the prospective vast increase in the output this year and the necessity of extending the market for the product in consequence. The proposition was laid on the table, however, in order that a better understanding of the workings of the new tariffs recently adopted may be arrived at before taking any action. Foster & Hastings, who are Tacoma shingle dealers, then gave notice that they had only recently expended $500 in making out new lists, and rather than do the work all over again they would withdraw from the association. While this was the reason assigned, it was believed that their action was induced by others more forcible. After considerable discussion, however, they agreed to withdraw their resignation if the old lists should stand until the April meeting. A panic then seemed to strike the association, and it was moved and carried by a good majority that all the former action in regard to new prices be entirely rescinded and the old prices continued in force. T. H. Fleming, of this city, then offered the following resolution, which was adopted: 'Whereas, The development of an Eastern market for the consumption of our lumber and shingles is conceded to be paramount in importance to the prosperity of this Puget Sound country; and Whereas, The extension of this Eastern market depends not so much on the demand for the product as upon the ability of the railroads to furnish cars for loading, and it is doubtful if the present lumber and shingle tariffs will warrant the railroad companies in hauling empty cars from the East for lumber and shingle shipments; be it Resolved, That it is the conviction of this association that its members should not miss the opportunity of shipping and forwarding their business in all its details, that cars may not be delayed, and further, that this association earnestly recommends the favor of shippers, agents and tributary dealers who wish to ship their goods from the East by rail instead of by water, believing it will be to the mutual advantage of all concerned.' The action of the meeting will have an unfavorable effect on the market, because Eastern dealers will delay placing their orders in hope of securing the concessions they asked for at the next meeting. On the other hand, the more intelligent millmen say the mills will start as early as they intended, in order to anticipate this delay in spring orders.