New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1897-02-11
DIG ORDERS FOR RAILS.
o,-r RESULT OF THE COLLAPSE OF THE
POOL.
,x COMPANIES GET ORDERS FOR 2coooO
TONS OF STEEL RAILS SINCE f1'iDAi
,AsT-wEsTERN MILLS GET
NEW BUSINESS ALSO.
fay TELEGRAPH TO THE TRIBUNE']

ri IN
"a the consequent break IN prices anu !, 49,
,,acult 10 secure Information as 10 'ie
u.."o -, the trade. Among iron and steel mer-
.,orts and manufacturers engaged III the man
'.,,re Of products other than rails. there was
uneasy feeling. and the opinion was
III no. 90 the cut in prices is not speedily
-, e will result in the decentralization vi
o~d steel market generally. There is
u" .hori,v however for the statement that
- FRIDAY when the Lackawanna iron ana
go, c,,rnanv cut the price from 80 10 o."
- have been placed with the Eastern COM
&c tho Cambria Pennsylvania. Bethiehem
ooravanna companies-for nearly ZoU'ooo
o. ., rails at the rate of $50. 1t is known
.ho, other railroads are figuring on contracts
NTH the idea Of placing their orders III auN any
=, any nossble rise in the price.
7, g not thought that these orders inolca'e any
..roval Of railroad construction, but are io'
..us needed for renewals and sidings ana eN'en-
.,ors demanded by the business or the coin-
.rios 4 reduction of 81 a ton on rails rui'llIiis
so,.ontv.fye pounds to the yard. a saving Oh Fooo
,o,,e of single track Is too trifing 10 cohs'ue'
ton conopared with the cost of new cohstruc-
ton. ,,oo,,+,,.a Conn
,,hor : Bent chairman Of the Executive Co'i-
..,,,oe NJ the Board of Directors OF 'he le'"-
.,,rania Steel Company. said THIS al'elhoo"
A., tho first effect Of the break IN prices hdu
..,r ahnormally to increase business ana 'nd'
,uaers for nearly 100000 tons OF steel raiis "'
.,o 500 rate had been received by Eds'oi"
1omnanies since Friday last. the contracts
,o,rg divided between the pennsylvania "'.''
ComnoDv. the Lackawanna, Cambria anu pe'"-
,ehem companies. The contracts MI pe.'
,'a,od would not have been executed peiore
-a1 mot
asted whether he thought the cut "ou'u G"
,.rd hAvond the $40 basis Mr. Bent SAID
oTbat is a question that will largely oepeilu
.h, o,,i,,de assumed to-day by the Illinois
s,oel Conpanv. If it fails 10 adjust matters II
ia not SUNRISE me IL rates further de-
cined" >.r
sLAsHING TO THE BONE.
ca ,oras can be ascertained the price IN the
yos, ,o.dav was $50 a ton, there being taclt
o-reerent among the Cambria. Pennsylvania
end bethlehem companies to maintah 'ha'
e,ro mill there are further developments.
ruas said on good authority that the price III
pi,,shure and Chicago to-day was ST. 'oh'
crt ~ 50 in Chicago and So in Pittsours' anu
that the Carnegie company had taken oIuei'
to-day for 100000 tons at that price 1t 10
understood that the Illinois company met '"o
cut 10 SIT This cut, It is said. Is due 10 d us
agreement between the Carnegie ana ILLINOIS
o,,nanies The Illinois company was not
1.nown as a member of the pool but was repre-
"ented by the Carnegie company SO far as 'he
rail business has been concerned THESE TWO
companies formed pool of their own, dividing
theirs airport comment and the prohts as we'll
After the meeting in Pittsburg on Monday night
when Il was decided TO dissolve the pool the
Carnegie company made effort to renew the
old ARRANGEMENT with the Illinois company, out
President Gates of the Illinois company de-
sired 10 postpone the matter and finally said ne
wanted TO wait until the annual meeting Oh 'he
stockholders OF his company to-day. This dld
not meet with the views Of the Carnegie com
pany. and yesterday 1t cut the price to Sl''
One Of the best-informed men in the business
said to-day that he did not think there wouid
be a renewal Of the pool. He said that ,he
probability Of a further cut in price would de-
pend on the action of the Carnegie ana limos
coronanies II the antagonism continues the
Carnegie company may cut lower than ST. anu
then the Eastern mills would have to reduce
their price below 500 to meet the cut; but II the
cordial relations Of the two Western companies
arc renewed prices would probably not go any
lover.
WILL STIMULATE THE EXPORT TRADE
One NJ the encouraging features OF the situa-
ton is the numerous inquiries regarding prices
for export. and there are indications that the
export trade in rails will be greatly stimulated
nv the break in the price. While it is under
stood that the Pool did not regulate the export
price II is probable that the cut will enable
exporters to secure better prices and has drawn
attention TO the American market 1t was
stated that II the Sparrow Point mill OF the
MARYLAND Steel Company were running. orders
FOR export could be taken in sufficient quantity
20 keen the mill in operation for year The
Sparrow Point mill was shut down by the Pool
and has been closed for some time.
a reason for the dissolution Of the Pool was
given to-day to the effect that 1t was to foresta
the construction Of the proposed new plants In
the South and on the Pacific Coast The idea
was that a break in prices would cause the capt.
talists intending 20 invest in the new plants TO
withhold their money and lead to the scheme
being abandoned.
ILLINOIS STEEL COMPANYS CONTRACTS.
Chicago. Feb 1O-The developments to-day in
tteerail circles indicate that the first big cut IN
the price OF rails was made secretly some time
ago by the Illinois Steel Company, that con
tracts were made for several million dollars
worth Of rails by the Illinois concern with varl-
Gus railroads. and it was the knowledge OF these
contracts around S2i a ton in Chicago. when the
fNusDurg price was 50, WHICH IeSu!teu III '"N
hasty dissolution Of the Railmakers' Association.
OF which the Illinois Company has never been
member. The price Of steel rails in Chicago
yesterday made by the Illinois corporation was
S2l ton. To-day the price was cut to SIS TO
meet the competition OF the Carnegie Rockefeller
combination especially. and the new price made
by other railmakers who were members Of the
disrupted association.
The report that 81 100000 Of contracts around
s2l ton have been made recently with much
secrecy by the Illinois steel Company with haif
a dozen railroads is substantially coTroDorateo
~ the fact that the big orders have been placed
by the Illinois Central. Lake Shore and santa
re roads. among others The Illinois CentraI