The San Francisco call. [volume] (San Francisco [Calif.]) 1895-1913, 1899-11-11

a week ago, when the bids for six cruisers
were opened, and The Call pointed out the
suspicious fact that three of the bids
were so close to one another as to indicate
an understanding between the several
firms. These coincidental bids were as
follows: Bath Iron Works, 81 ,041, $50;
Union Iron Works, 81, ,041 800. or only $3.50
higher than the Bath offer, and the bid Of
Lewis Nixon, Elizabethport was 81. .039 966
or 1884 less than the highest tender. The
Columbia Iron Works, Baltimore, bid of
Sl1l6,OOO was fair price, but it was $74, 100
above the Union Iron Works and exon
crates that firm from the suspicion of be-
ing member of the ring. The other bid
ders are hardly to be considered as they
either lack the experience or the faciIi-
tes, ana VIII therefore not have any
standing with the Navy Department.
The news of the actual formation Of a
shipbuilders' trust does therefore not
come as a surprise. In April last seven
shipbdilding firms around the lakes in
corporated under the name of the ''Ameri-
can Shipbuilding Company" with a capi-
talization of $50 900 600. and on October 21
the company announced it had
contracted to build twenty-three
steel steamers and barges, of
1S9 100 gross tons, to cost about $69O2.-
600. Three firms not in the trust will build
two steamers to order and one to sell and
it is clear that the combination will have
a great advantage over individual build
ers. That a similar trust should be
formed among builders on the seaboard
is therefore quite natural. The Cramp
yard is only such in name, as Charles
Cramp and his brother and other rela-
lives are entrusted with the affairs of a
huge combined capital in which the Penn
sylvania Railroad, bankers and rolling
mills are largely represented The Bath
Iron Works is likewise an aggregation of
New England capital; the Newport News
is one of Coils 2. Huntingtons enter
prses, aided by foreign capital, and the
Union Iron Works firm of this city is like
wise composed of shipowners and others
with capital or influence, represented by
the SCOTS. These four firms, which en-
brace the largest in the country, would,
if combined, make it Improbable for
smaller builders to compete, yet it is pos
sble that Lewis Nixon and the Columbia
Iron Works may be taken into the fold, as
the representatives of these firms have
great influence in Washington.
There is still another yard to be, which,
if it is not already enrolled in the combina-
ton. would furnish a lively opposition
when ready for work. 1t is located at
Camden, and a vast amount of money is
being expended upon buildings, tools,
dock and piers. 1t is named the New
York Shipbuilding Company. has capital
to back it, experienced men to run it and
will begin early enough to bid on the bat
tie ships and armored cruisers to be con-
tracted for next year.
This new trust is a serious matter for
independent builders, for they cannot
hope to compete for such work as the
combine wants. The workmen will be
less independent than heretofore, and
must be content with such compensation
as the trust may offer. The individual
power of each of these great firms has
legislation, disapproved or sanctioned ap-
pointments of bureau chiefs and sent OBJ
noxious Government inspectors to sea or
other duty and now that they have COM
bined. one agent at Washington will have
but little difficulty to bring about the con-
summation of any wish or demand from
! the trust.