The Salt Lake herald. [volume] (Salt Lake City [Utah]) 1870-1909, 1896-11-16
STEEL POOL.
Some Very Queer transactions ON
Which Light Has Deen Shed.

some very Queer transactions ON
Which Light Has Been Shed.
CLEVELAND, o., Nov. 15.-Cleveland
customers of the companies that last
spring formed the big steel pool are con-
templating the production of their own
steel, because of the discrimination by
The POOL in its prices against the Cleve-
land factories. The Lake Erie Iron com
paly IS the mpdny that started the
movement and all but one manufacturing
concern here have agreed 10 enter into the
nSlft against the pool.
The Lake Erie Iron company will erect
an open-hearth plant.
The Union Rolling mills will also stop
buying billetS of the furnaces IN the COM
bination. The combination here is secret
and all its members are agreed on the
one point of war against the pool.
The vice-presIdent of one of the big iron
companies who are fignting the pool, gives
the following history of Its organization
and workings.
The meeting at which the pool came into
existence was held at the Hotel Waldorf
in New York city last April. A written
agreement was signed by the representa-
tiVeS Of the companies which formed the
organization, and officers were chosen, a
president, secretary and SO on, and a
commission. The companies which en-
tered into the signed agreement were
these: The Carnegie interests; Jones &
LauShlin, PittSburg; HaineSwCr5h Steel
company, Pittsburg; Bethlehem Iron
company, Bethlehem, Pa; Cambria Iron
works, JohnStOwn, Pa; LackaWana Iron
and Steel company, Pennsylvania Steel
company, Stelton, near PittSburg; ShangO
Valley Steel company, Maryland Steel and
iron company. Sparrow Point; Wheeling
Steel and Iron company, Ashland See!
and Iron company, Ashland, Ky; Bellaire
Steel company Junction Iron and Steel
company, Mingo; Cleveland Rolling Mill
The Johnson Steel company, Lorraine;
the King, Gilbert & Warner company,
Columbus; Oliver Steel company. YOungs-
town; Union Steel company. Alexander,
Ind, and the Illinois Steel company, of
Chicago.
These are virtually if not entirely, all
os the BesSemer Steel establishments N
the country.
One of the features of that instrument
IS the production by the several COM
panEeS, which is fixed at a given per cent
Of the total production of all the men,
berS of the combination. For distance.
company each was to make about %
Dar cent of all the steel turned out in
the country. The Cleveland Rolling mills
Ne- cent was fixed at about 10 per cent
than its allotted share, the pool was 10
pay to it 81 ton for every ton by
which it was deficient; but if it produced
more than the prescribed per cent it
was TO pay into the pool 81 a ton for the
excess. In a certain bank a penalty fund
was deposited, to which every signing
company cO1itrlDute0 SJ-UJj, ID De EO--
feited upon breach of the contract.
All the transactions CT the pool -vere
to pass through the hands of a commits
sion
Another feature of the contract was
tssat the country should be divided into
districts or jurisdictions for the establish
ment of price scales. Pittsburg was made
the basis of the schedule. Throughout
the Ohio, Mahoning and Shenango val
legs. the Youngstown and New Castle.
o. Sharon districts. the normal rate OF
$50 % a ton for billets was to be charged.
Wheeling and Bellaire in this
Jurisdiction, are representative points. In
Cleveland where, according to demon
straticn. steel may be produced with
more economy than elsewhere, the tool
6ac-eed that billets should be sold for
$40 u.s. and in the Illinois jurisdiction the
price was placed at S21.25. Thus. the
Cleveland Rolling Mill company and the
Otis Steel company were TO charge 5000
ct their very doors, though they rlight
send the same material 10 the Ohio val
ley. pay the transportation and charge
only so D.