The Courier News from Blytheville, Arkansas on October 6, 1932 · Page 5
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The Courier News from Blytheville, Arkansas · Page 5

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Blytheville, Arkansas
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Thursday, October 6, 1932
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Page 5
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BLYTHEVILLE, (ARK.) COURIEK NEWS THURSDAY, OCTOBER^ How Insuil Rose to Peak of Power s Came to America as Inventor's Secretary, Stu- i'died Finance. NOTE TW» fe the -ta ,j*»rfe* •» ike dr»- M/feB « S-an-W In pdiiie , oUUty •Mtferiie tpoUot V7i'/ : BY BCNHUIT TALLEY tO6o^jfe?-193S,' NBA Service, Inc.; 1 ' --'"'i-While Thomas'- A ed with : UwenUon ; s ii'-lat .up" nights' trying . •. '.*ttt ot tbe.:pro<lucts of the etectrl f»l Mrijird't brain. ' : 's>liiiun *»& Edison's butiness man ' . how h . Siii 'tiie dteiuny Bdlson lacked &•' '••y <rf business acumen, ?'• MBWsl've'-' Insull supplied. It *erf«rt''Se«m-.- : 'Fifty years p -ltii : Insull. to Ws position ye»-oW -Napoleon of th« liidustrlal e'mp'.ro tl?»- world -^'iius'twn 'seen; "which lias Just .been ; vfcJtai»Q» by 'his .failure,, the g«at- '^tifi^jiiaieas collapse ui history., 'J '• : -iit- : 'S'''iBle«r 'UikV Insull believed •' hWitU'» man of destiny. .At early : •Biifti«> «pe«kJng .befpre a society ^S'^cmjo-Jenglnetri ,be. pictured •' <jni Vast wper-pd'W'n; electric .sys- tita Jfor the.Un«*d 8t«t«3. It. was 5;t».Uim the. jf tola -M all. Industry, - ItohtiV-rery hoin*, operate all rall- ''wid»,-.mcUe 'the .human race from .ill' j^ilii ** * ' .»._^. tf*m nfl^Vimir W30iNSUU.ATPEAK.Of Hi? OCweR.CONTROtu UTILITIES IN 32 STATES W19-29 FOONDED'lNSU unUTV INVESTMENTS 1 ' AND'COOPORATION HOLOINff COMPARES WI9 ACQUiQED BWKRUPT PEOPIE?, GW CO, CHICAGO AND MADE IT PAY J9U FOUNDED 'MIDDLE UTIUTIE.S"LN STATE NOOTHEBN luuNOie PLANTS. CWCAGO EL6CT01C IQ9X BECAME pPfifflDENTOF CHICAGO » EDISON COMPWiV AUK. 3, 1929, Commonwealth Edison soared from $250 to |449 a alia re. This represented a gain In stock market value of »250,032,000 on this one issue in Just 19 days. ' Ills Warning Fait This sort of skyrocketing was too much even for Insull.' Tim? aft3r time lie Issued public warnings against "unwarranted and unjustified" prices of Insuil securities. .But Insuil might as well have been talking to the wind. The "wise ones" laughed at his warnings, say- Ing Insull wanted to beat down prices so he could make millions by buying In the slock himself. The giddy game went on. Public Service of Northern Illinois hit $435, People's Gas touched $404, Middle West milllles soared to »570, after which there was a 10-for-l split. Thus, when 1930 dawned, Sam- iiel Insiil) could, look back on ihls record of the expansion of Ills empire since his arrival in Chilean: 1892 1930 Capital .... 51,130,30* 52,110,441,000 Gross earn 813,400 439,851,000 Customers 4,44fl 4,557,800 Stockholders 50 498.300 iluyes 400 12,800 . And his empire was still growing. . . « But (he Day Came One ot Samuel Insull's favorite stories about himself, which he liked to tell at banquets, had to do with the installation of a hug3 steam turbine at his old Fisk slrjal power house In 1903. It was then the largest steam turbine in the world and. naturally, ther; was quite a bit of worry about what was going to happen. When the time came to turn on flic steam, Frederick Sargent, the installation engineer, turned to Insull and suggested that he had better get out. "Is it going to blow up?" Insull asked: "I don't think so," answered Sargent, rather uncertainly. "Well," Insull replied. "If this thing blows up the whole company, will blow up and I'll bbw up. too, so I might as well stay here." There came a day, in 1932, when not only one Insull company but a whole chain of thorn b!e\v up— ai'.d Samuel Insull blew up with them. How and why thai'happened Mil) be (eld tomorrow. Unique Contest Net« $11 , PUEBLU, Colo. (UP)—It was a I unique contest, if nothing else,! Miss Eleanor Smith, of Public, was $10 richer because her trasses came the nearest of a score of contestants to matching the auburn feathers of prlre winning Rhode Island Red hen. at the State Fair. Read Courier r<ews Want Ads. COLOS Pipe Used for GO Years MON3ON. Me. (W>— Charles W. Morrlll, 90, 1ms used the same briar pipe for 80 years. I \- End Colds Quick H E was an easy victim to colds— and they huiiK on so lonx-ur.ul she GUKgt^tcd l hc U5e ol NR ijl»li:ts- lie ?ik1om catcircs ccilds now. Win-ill*- dci,)f i ' U.iy Nature's Kenu'dy ^wc] actton us t.n iiway ]ioisoiious\*'.'^ tiljk lo coMs, ti-.i ousnc&s. WoiVis ptetsantty, tuo. [jot. 2-x—at yo-or I e (I'jkkly broken up. This 11-^tijclijUc correclive — >trt'nglhc-ns ar.<l regxiEntcs txl.tr Ijxnuve c:tn—carries -s *}iich make you Eusrm- r spell?, Jieadacbts, biU kmO-WGHT ITV *0«C-BOw A.fl-O' A««r Death WENHAM, Mass. (Ul>)_ A after his death, Herbert w p ^ was elected moderator 0 ( Wenham in a special election. D« P H C i ll3 demise, his vote was is,, the Hold. There had not flclent time to remove from the ballo;. Bennett's Pasteurized Milk 10c Qt. Delivered Phone 74 TUMS // Quick ic-lid for aciil inJifi h£3l ihurn. Only 10 Bulgarian Kuttcrmilk 15c Qt. Go to Church Sunday <tudfeiy.-in',;every form. Without ir staying so, he made it-clear ' tjiif Industrial giant was' to be an •'•"'•• High points In Samuel Insull's 50-year climb to his rule of the world's greatest public utility empire are pictured above. This chart, of course, does not show the hundreds of other companies that came under Injull's control as he expanded.his,holdings. At left /s the late Thomas A. Edison,-as he appeared when Insull was his business manager; at the right, Insull as he appeared in-:l»l5 when his companies were Just beginning to spread over the land and, below, Insull officiating at the opening « a gigantic new gas plant in Chicago In 1928. .••..•;.•,.-•.• : J4He'h*d gone far. toward this giwl. r %beo': his : -collapse came, it -was . pc«lble to -buy. .Instil electricity - : ifc S3'lUtes,-ln 5000 cltlw, towht and , : , tillages •• from: Maine ,to .Texas. In : liotat ot capital Investment abd dls- '. 7 - -'ttibotioa, he'-'iris .the ' largest pro'. :-'iacH at electricity in 'the, 'world. 'Oradtially, he iris linking his plants - '•'- tbiethef..-Alway», he -was. eipand- '^..Hhafly, he was stopped. But :'• • it' ;»*:. tW : wottt -builness -depres- •. itax'ln hiatory to. do: it. that would span the nation, (How well he progressed may be judged by the fact that when Middle'.West yent into the hands of receivers recently it was a $2,000,000,000 concern with plants in 32 stales.) .' In 1916, Iniull added; gas to his holdings. He took aver Chicago's old People's Oas Co., then approaching bankruptcy, : Things'. ' had reached the point where .dealers would not 'deliver a ton.. of' coal to the company without,, getting- a guarantee. of payment from a bank. :.:JrjiuU'a" rise 'i.story <rf ' Insul in. He ordered all com- . . ipurnoeefulieharactir. ' .Born . in ' laptop -ot .-' a . middle-class, .family,.' be )>ecam«. an.i'offlbe -boy i 'ap '*acU?DMrV office , at U'. >t pl&lnts routed over'bis desk. He lu- yestlgated'etth personaUy. He hired UK! Ared. Eventually, he got what he wanted; |By 1922 the re- prgvilied • 'People's -^'O**' Light It Coke Company was paying-substah- Utl dividends. if--hM'slnoe 1 been ooe-.ol J;l5; toundeit comptiilei.:. - . of^l^S >' week .and iih prtn^d , hi«*elf-;by-''studylng; shorthand' and ••bookkeeping at home . »»intually.'b*..g()t 'a -Job with Edt- :»8Bi : Jjoadoti repretentative.. Im- j)rt*ed-by v U>e boy's ability, and his .detirminatiOBi to ; «u«eed; ,t)iis; agent a pfleltlon as id^bn'is'iect-tify'.'.Sol-ln- 1881, Ini' America :to : tak». up ' ' " trttlng companies required, .imire cipital.-Inftill' btfin stacking fiild- les on'top bf rk)ld)ng companies.and wiling their stocks for capital. Always Insull kept enough of the common stock—voting stock—to 1 return control. .Gradually more man 100 hoM- ng companies, in various geographical groups, came under UK span of InsuU's vast Middle West Utilities. . Company Upon Company The 1 ultimate holding company was far removed from the. operat- ing-.,companles. For example, the Scranton (Pa.) Street Railway was owned by the Municipal Ssrvlce Company, which was owned by the National Public Service Corporation, which was owned by the tiohal Electric Power Company which was owned by Middle Wcs Utilities. Then, on top of this lofty pyra raid, Inauli erected two, super-su per-hbldihg companies, -which wer to, own.fiddle West Utilities,an his other, major holding porhpanies' They were Insull Utility Invest icnts and Corporation Securities, nc. In all of these Insull sold se- urltles. So long as prices, of pubic utilities securities were rliing and more and more people were ising current, and more and more icople had money to invest, there was no limit to this method of expansion. It was a dizzy game, but the bul market boom was on and the skj was tire limit. In September, 1929 Insull stocks had Increased in value over a half billion dollars' in Just 50 days. Issues doubled, trebled and quadrupled in value almost overnight. For example, between June 15 ; «hd .. ... . v»li«oo appa discovered, that in Mead^.of ;a • mere aecreta'ry .he had »;ttri^ioIaiBs' businws' raanager, -This agiresaiTe,:young .'Englishman ,be- f^^organiiing' companies ,to man- itf^tiiw >": vat*} ' v market • Edison's strange' gadget*! Among, the ente'r- pr>M-. i ;wa»'Uje,'.oJd : Edlsoc. Electric Op;;4»re«it "o< today's 'Gfsniral Elcc- ric"-' CXimpinj.'.i ',-.•>.-', ;V .-.'• -•',•'. Everything for Your.Enter- tainment and Comfort 1 RITZ THEATER Thuriday and Friday. Adm.-rMatinee^lO and 2ac -Njcrht—10 : and•'.JJOc. e 1 electric , to • oompete with Chicago's gas • lights ' arid . . h orsz- . drawn 'street cars. Xoung Insull 'was a»ked to. recommend a' man. He cbo>e ; himie.U. '. -.; •^iBy 1907-lniull had consolidated Chicago's, five independent electric Companies into bis own monopolistic Commonwealth Edison Company.. : , Insull's next big step came in 1911 when be. bught and linked together the scattered electric plants in a..number of small towns surrounding Chicago, under tho name ot |( tne 'Public Service Company ol - BBrthern' Illinois! This was "the ^tlA'p first interconnected, super- pover system. 'A» faoplre Tak« Form • The following year Insull's dream Of emptre began to take form. He launched the Vut Middle West tnUiU«, a two-biUlpn-dbllar liold- tof company around which he plan- Md to build his super-power chain Genuine Balanced Superheterodyne ffllETBEATRE Last Time Today — "Holly •wood Speaks" with Geneviev :Tobin. , FmUy aid SthrrdaT Adm.—M«tinee and Night— ,10md25c . How a Waif of the Wast lands Became ' a Mtn of De tiny. • : Bob Steele n of Oklahora '.••:." •' ' - - ' — "Strange As Genuine Superheterodyne in exceedingly beautiful PJIILCO Baby Grand Cabinet; four (4) -NevyVPHILCO High-EfTicieiicy: : Tube3; the new PHILCO Electro-Dynamic Speaker; Illuminated . Station Dial, Calibrated in channel numbers. Clarity of tone, selectivity. and surprising distance range. . . SAFE! Built lo conform to the requirements of the National Board of Fire Underwriters— no fire hazard, no electric shocks. PERFORMANCE That Wilt Surprise You Yes, this PHILCO JR. gives a quality of all- round performance that will certainly exceed your expectations. The moment you test it you will know that every ounce o'f the famous PHILCO efficiency and PHILCO precision of balanced-unit manufacture is embodied in this wonderful little instrument. Cash and Carry No Trade-Ins HUBBARD Furniture Co. Blytheville, Ark. nivoi\ci "MM ELY <JfljcKLt Lewis Stone, .Conrac Nagel and Lois Wilson Cartoon Comedy—"For the Love of Luchvig" with Andy Clyde. New Serial at Ritz Saturday— 'Hero of the West" with \oali Berry, Jr. COMING ATTRACTIONS IN OCTOBER AT THE RITZ THEATRE 'Bird of Paradise" with Dol ores Del Rio and Joel McCrea 'The Crash" with Ruth Chat terton and George Brent. "Blonde Venus" with Marlen Dietrich. "The Big Broadcast" All Stn Cast. "Successful Calamity" with George Arlis. Get next to these! Union Suits heavy weight Ribbed Cotter E X T R A I £8 HEAVY U- SUITS And only! 69 Right!—Lowest Price in many a year! What a break! Here's a suit knit with plenty, of elasticity — no Rayon Trimmed! .binding — no fliscomfon — and SEE our price!' Comfortable Fit! CHECK THESE : POINTS! C Correctly sized !• • Extra Quality Buttons that stay on! • Reinforced at points of strain! WARM! Knit to keep HEAT IN- COLD OUT.' them Warm and SAVE! Ribbed Cotton U-SUITS Only 49C Waist typct For Girls and Boys Uest "buy" in townl All buttons n-.cessary ior outer garments; drop scat, unusual quality you d pay more for elsewhere! Sizes. 2 to 12. Here's Warmth! FLEECED Cotton Union Suits HEAVY WEIGHT Put this suit between yourself and the hitter hlnsts of winter! Flat knit . . . it's built for comfort, quality and VALUE! Boys' Heavy Weight Fine Cotton Ribbed. Buy Now and Be Ready for Winter. Sizes 4 lo 16. You'd Pay More ELSEWHERE! Boys' Ribbed Cotton Union Suits Waist type! UNIQUE C jEXTRAI fvpine Gauge COMBED COTTON Bloomers 25 C Just th« weight you want foe right nou-1 Regular length with ebstic. knee ami top. Women's siiesl ,FUik — Peuch Beit* M&:&<2--^&(••;-'• 'V- -''•'• -V-.- • : - . «&««!&&•*«•••.,;• •;•'. •• ..- - ' .- ' ..*» J. C* PENNEY CO I n c 220-222 W. Main Blytheville, Ark

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