_A._ There were not at the time we started this matter; I do not know of any just at that moment; there have been over and over again. I want to state that a large portion of our oil product goes to Europe—of this very crude oil which Mr. Sheldon talks about; I have here a circular to which I call the attention of the committee, which bears out our position in this matter; I desire to put it in evidence because it gives the general opinion of merchants connected with the exportation of crude oil. It has been the impression of everybody in the trade that the oil exported should pay us an additional amount in this country, to be divided between those interested in the handling of it and the producing of it, to the extent of eight or ten millions a year; I have had that figured out three, or four, or five successive years. We have shown over and over again that that amount ought to be retained in this country. I have been engaged for several years in the oil business, and I have yet to sell one barrel to bear the market. I have always been upon the bull side of the market; I believe there ought to be in this country a better price for oil to every one engaged in it. In 1868, 1869, and 1870, there were movements in oil which brought to this country millions of dollars; and if the producers had refrained from sending forward their oil beyond the requirements of the market, the price would have been sustained. That has been the trouble always in making movements for a higher price. There is no man in this country who would not quietly and calmly say that we ought to have a better price for these goods. By the Chairman. _Q._ Do you mean a better price here, or a better price for that exported? _A._ You could not get a better price for that exported without having a better price here. _Q._ That is what the committee wants to know, whether it is necessary, in order to keep up the price abroad, to keep up the price at home? NUMBER 12 (See page 1082) EXTRACTS FROM THE TESTIMONY OF PETER H. WATSON [From “A History of the Rise and Fall of the South Improvement Company,” pages 76–96.] WASHINGTON, D. C., April 5, 1872. By Mr. Townsend. _Q._ From such testimony as you have given this morning, am I correct in understanding that this whole arrangement was suspended before its completion and before anything was done under it? _A._ Yes, sir. _Q._ That no completion of contracts was consummated? _A._ No, sir; the conditions of the original understanding about the contracts, on which alone they were to go into effect, had not been complied with. _Q._ And a further arrangement was necessary to make it a complete contract?