The progressive farmer. [volume] (Winston, N.C.) 1886-1904, 1889-10-29

to all ntents and purposes corpora
tioLs. I shall use the latter term as
including both.
The forty six individuals mentioned
by name were doubtless the same per-
sons intended in the general descrip.
tions of the other classes, as they
alone signed the agreement.
II PLAN OF ORGANIZATION.
The plan of organization provided
for the formation in each State or
Territory of a corporation to be known
as "The Standard Oil Company" of
such State or Territory, which should
be vested with all powers necessary
for carrying on the business of dealing
in petroleum products in all their
forms and accessories, and such larger
powers as might be secured. This
might be done by obtaining new char
tiers or using existing ones beginning
at once with. Ohio, New York, New
Jersey and Pennsylvania.
To the Standard Oil Company of
each State were to be transferred all
the properties, moneys and business
of all the corporations in that State,
whose entire stock was owned by the
parties to the agreement, at their true
value, and it's shares of stock were to
be issued for the same at such value.
These shares of stock were then to be
transferred and delivered to nine trus-
tees, named in the agreement, who in
return were to issue and deliver Ger
tifcates of stock in "The Standard
Oil Trust" each of the par value of
500, to the former owners of stock
in the several Standard oil Companies,
according to their respective quotas
of such stock.
AS corporations in some States are
not allowed to own stock in other cor
porations, the parties in class three,
namely, the owners of part of the
stock of certain corporations, we're not
to transfer that stock to the Standard
Oil Companies of the respective States,
but directly to the trustees, who in
return might either issue trust GER
t~ificates to them for the same at its
true value, or proceed to acquire the
balance of the stock in any of the
companies, and assign all to the Stand
ard Oil Company of the proper State,
to be dealt with as above described.
Thus the nine trustees were to be
owners, either through the medium of
a Standard Oil Company, or directly,
of all the stocks in all the corporations
held by the individuls thus combining,
and in consideration for the same
were to issue to the persons entitled
thereto trust certificates equal at par
value to the par value of the stock of
the several Standard Oil Companies
and equal to the appraised value of
the other stocks.
THE NINE MAGNATEs.
The trustees we're divided into
three classes, each class to hold Office
for three years, and were to be chosen
as vacancies occurred by the holders
of certificates at their annual meet
ings.
They were to have general supervis-
ion over the affairs of the several
Standard Oil Companies, and as far
as possible over the other companies
any portion of whose stock was held
by them. They should elect as direct.
ors and officers faithful and competent
men, and have the affairs Of all the
companies managed in the interest of
the holders of the trust certificates.
The trustees, rs owners of all the
stock of ONE of the companies and
of part of the stock in others, receive
all dividends on such stocks, and out
of such receipts pay dividends to the
holders of the trust certificates.
They are also authorized to declare
stock dividends when the value of
their property justifies, and to acquire
stock and bonds of other corporations,
or admit other parties to the agree
ment Of the same classes as the original
parties.
By the terms of the agreement it is
to last for the life of the surviving
trustee and twenty-one years there
after, subject to termination after the
lapse of one year Or ten years by the
action of nine-tenths or of two-thirds,
respectively, in value of the certificate
owners.
The trustees may elect themselves
officers of the various companies and
they receive salaries, their president
$4,000 per year, all others $25, 900.
Several things may be noted about
this agreement, reserving to another
paper a discussion of most of it's fea.
lures.
CENTRALIZED POWER.
1t centralized in the hands Of nine
trustees the entire ownership and con-
troll of all the properties and all the
business of the combination. Out Of
and above the several Standard Oil
Companies or corporations was evolved
"the Standard Oil Trust" not a com