The Indianapolis journal. [volume] (Indianapolis [Ind.]) 1867-1904, 1889-03-17
THE STEEL-MILL COMBINE.
Owners Of the Large Iron Mines Controlling
Spirits in the Proposed New Trust.

CHICAGO, March leone of the largest
holders and dealers in mining and railway
stocks in the Northwest, and a man who
says he has been acquainted with the pre-
liminary details of the steel-mill combina-
tion for two weeks, was at the Grand Pa
cific to-day. With the stipulation that his
name should not be used, he made some
statements last evening that 60 to show
that, whether the association may or may
not be properly called trust, it is CON-
bination that may mean much to small
mine-owners in the Northwest.
1T will be remembered" he said, "that
quite recently the Minnesota Iron Com
pany and the Duluth Range Company,
which is run w the company, were sold to
a large pool headed by H. II. Porter, of this
city. This entire property is now controlled
and managed by this syndicate, of which
Porter is the moving spirit, and its head
quarters and Office are here in Chicago. 1t
is really Chicago institution, with j. C..
Morse at the head of the iron company and
large number of Chicago men, including
Marshall Field, Armour and others, inter
year the largest shipper and producer of
iron ore in the Lake Superior region, hav-
ing mined and shipped nearly SOC, 900 tons.
1t is estimated that the output of the
VermilliOn district, where the company's
mines are situated, will be for the season of
1889 about SOC, 600 TONS"
The gentlemen then said: ''The point to
it all lies in this. The principal consum-
ers of iron ore in the West have combined
under one management in the steel COM
bination: The men financially interested
in the Minnesota Iron Company are also in
terested in the several mills in the new as
sOciatiOn. What have been conflicting in
terests heretofore are now harmonized, and
the Minnesota company has certain and
sure market for it's product The supply
the new association. The outlook for the
small mine-owners is not at all bright. and
the new combination. with the present
tendency of combinations, may drive many
of them to the WALL"
The same gentleman, who is in part in
terested in the steel combination, gives it
out semi-officially that there is no question
about the formation of the association. 1T
will ie formally announced in few days"
he says; but l want TO say the papers are
The combination will include the North
Chicago, the Union steel-mill and the Joliet
Steel Company, with possibly one other,
the Calumet. 1t is not trust in any sense,
or combination of that character. 1t is
simply consolidation into large corpora
tion for the purpose of better carrying on
the work of production and sales. A vast
expenditure in the way of superintendence
and sales will be avoided, and they will be
able to produce rails at price which, in
these days of sharp competition, will ena-
BILE them to compete successfully with any
other works. In fact, this corporation will
be much the largest one in the United
States, and will make an annual output of
steel rails largely in excess of any other
establishment under one management in
the county. Their annual consumption of
iron ore will be in excess of 1,OO0,OO0 tons.'