The morning news. [volume] (Savannah, Ga.) 1887-1900, 1889-10-21
PIG IRON CERTIFICATES.
A New Security in the List of Stock
Quotations.


NEW YORK, Oct 20.-A new security
has recently been listed on the New York
stock exchange, which bids fair to be popu-
lar with all classes Of traders, from the
reckless Spectator to the most conser gative
investor. The stock ticket now records,
along with the multitu iiuous railroad
shares and trust stocks, the word
warrants" This new character on the
price current means a certificate for
so many tons of pig iron, stacked in a
storage yard somewhere in the United
States, and deliverable on demand to the
owner of said warrant. Several of these
storage yards are already established, nota-
BILE among which is a lar re one at Bi rming-
ham, another at BssSemer, and still
another at Perth Amboy. These war
rants or certificates are guarantee
by responsible trust company of
New York. In other words. staid old pig
iron, which heretofore has been unavailable
as speculative commodity, has at last
wheeled into line, aud hereafter will be as
easily handled by the traders on change as
| barrel of oil, a bushel of grain, bale of
| cotton, block of bonds, or snare of stock.
A company has been formed by strong
| capitalists to further this end.
PURPOSE OF THE CORPORATION.
The purpose of this corporation is to take
care of all the iron that may be made in
the United States, subject to the running
| requirements of the iron trade. That is,
the warrant company will do general
storage business on a gigantic scale, and
serve as a safeguard against any violent
harm to either producer or consumer, in
| cident TO periodical disproportion between
supply and demand
| Heretofore when the iron trada haS haar
very dull, innumerable furnaces have had
| TO sell their output at less than the cost of
production, and many have been even
| forced to discontinue making iron entirely.
| On the other hand, whenever the iron trade
has been very active, the ready stock has
been quickly exhausted, and the price has
gone booming far above intrinsic
Warrant Company system, the iron
maker can afford to run his furnace at full
| blast, even in the dullest times He has
simply to turn his pig iron over to the war
rant company, and receive guara nteed GER
titicates for it, and these uchers will be
always convertible into cash ON the stock
| exchange; or they cRl be used as collateral.
on which advantageous loans will always
be procurable
COST OF STORAGE
The warrant company agrees to store
iron at an annual cost of "a ceats per ton,
or 2 cents per mSnth. Unlike cotton or
grain, the iron can suffer no co ceiyable
damage in store. No chancs for loss of
weight, or destruction by fire or food. No
posi- ility OF deterioration either in
quantity or quality regardless u the terms
Of storage. II is safe u say that iron will
do % keep
This warrant system il well understood.
aud universally practieed IN Engla ID, aad
the American cgmpany has besa fashioned
after the plan " tbs vast y giish warrant
as elhiiohs, ~ all essential paftieg lara, g.
u all sEcnlle q move tor tue bet iEteresf OF
TIE iron dnstIies ~ our eouBiFy, aud Will
- esi'eeialig adsautageOus y iroa makers