wood operations in Canada, almost every dollar it receives is expended in the 

 United States." 



"It is estimated that it furnishes annually 2,500,000 tons of freight to 

 the common carriers of the country." 



"The company owns or controls about 900,000 acres of timber lands in 

 the United States, and 3,100,000 acres in Canada. It is operating upon these 

 lands in the United States in the most conservative manner possible, in all 

 cases leaving the small growth for the future and avoiding all the waste pos- 

 sible, felling trees with the saw instead of the axe, as formerly, and using 

 the tops of the trees to the fullest extent possible. At some points in New 

 England it has bought abandoned farms having a young growth of spruce 

 on them, and is holding them for its future needs. It is also making some 

 experiments in replanting. It is holding its lands in the United States, in 

 so far as it is practical and economical for future use. It may be added that 

 its operations in Canada are also as conservative as conditions will allow." 



"In 1899, its first full year, the company made 380,000 tons of paper. 

 In 1907, it made 495,000 tons, an increase of 30 per cent. It makes all the 

 pulp required for this quantity of paper, and is thus not dependent upon any 

 other company or any other country for any if its requirements of pulp. It 

 does, however, get from Canada about 35 per cent, of the pulp wood 

 required, mostly from its own lands; this coming in free of duty. For the 

 handling and transportation of this wood a large amount of money has been 

 permanently invested, so that it may be laid down at the mills at the lowest 

 possible cost." 



"It, (the present duty) is not adequate to prevent extensive importations 

 of news paper from Canada, as already shown, and any reduction would mean 

 an increase in importations and loss of business for us. It would check the 

 growth of our production and the removal of the duty would close a number 

 of our mills. We believe that under any conditions the free admission of 

 paper would compel us to abandon many of our plants, and either drive us 

 out of business or compel us to build mills in Canada." 



'We know of no way by which this result can be avoided if we are 

 brought into competition with free paper, which is what Canada seeks. "We 

 believe that the movement in Canada in favour of putting an export duty 

 on pulpwood, or prohibiting its exportation is not likely to be successful, 

 because it is not founded on any sound or just principles, and we further 

 believe that if it should be successful, it would result in such great injury to 

 Canada that such a policy would be short lived. 



"One of Canada's greatest assets is her forests, but they are only profit- 

 able to her in so far as they are productive. We sympathize with any bona- 

 fide desire on her part to perpetuate her forests and are willing to submit 

 to any reasonable restrictions in our operations in the Canadian woods, 

 which have that end in view,, but Canada has a very great area of timber 



iii' ai i d ^^ an produce a lar ^ e ai ^ual yield without impairing them- 

 all that her mills and ours will want for generations to come. 



"Canada is exporting $33,500,000 worth of forest products a year and 



s doubtless eager to increase her markets for lumber, etc., and her exports 



thereof. Her exports of pulp wood in 1907 amounted to about $5,000,000. 



; looks inconsistent to say the least, for her to seek to increase her exports 



lumber generally, and to check the exports of one particular variety; 



specially as pulp wood is very generally distributed throughout the Domin- 



The consumption by the United States is comparatively insignificant 



compared with Canada's extensive supply. 



"We are therefore forced to the conclusion that the opposition to export- 

 g pulpwood is not based on any genuine apprehension on behalf of forest pre- 



