Daily inter mountain., 1899-05-05
All Steel interests Are Now In
One Company.
CARNEGIE HAS SOLD OUT
The New Trust Will be Capitalized
AT Nearly a Billion D0llnrS.-
The Future Plans.

Ihe entire interest or Andrew carnegie
in the Carnegie Steel company has been
purchased by the co-partners in the busi-
ness, with H. c. Frick at their head. The
exact figure which represents the pur-
chase price could not be learned. 1t Is
known, however, that the price was over
$3.50, ,000, 900, and was entirely satisfactory
to Mr.. Carnegie. 1t is understood that
one of the stipulations of the sale is
that the new company shall retain the
name of the present corporation. The
new company includes not only all the
Carnegie steel plants, but also the II. c.
Frick Coke company, with it's 10000 acres
Of coke land in the Connellsville district;
the Oliver Iron works. with it's mines in
the Lake Superior district the Pittsburg
Bessemer & Lake Erie railway, the
Union railroad, which connects at Home
stead with all the trunk lines east and
west, and all the interests in several hun
dred miles Of gas land.
1t is intended to increase the output OF
all the various departments of the joint
company, so that the present famine
in the steel market may be relieved and
the continued export demand supplied
The former co-partners of Mr.. Carnegie,
81 in ALL purpose to retain the interests
which they had individually, as men,
bers of the original Carnegie Steel COM
pary and to offer for sale to the public the
shares which they have acquired from
Mr. Carnegie. This intention, in the
event of the purchase from Mr.. Carnegie,
had been intimated for some time, and
| long before the sale was effected an enor-
NOUS demand for these shares had come
from almost every part of the country.
1t is said the members of the new com
pany expect a material increase in the
value of their prOperty-SOme saying
that the property will double in value
within the next five years. They say
that evidences have recently multiplied
that there will be an enormous demand
for steel in the construction of all kinds
of building, and that of necessity the
value Of their holdings will increase
greatly. The Rockefeller interests are
closely concerned in the transfer. 1t is
said that the original movement toward
the consolidation was initiated by John
D. Rockefeller and II. II. Rogers of the
Standard Oil company stated that one of
the reasons for the failure Of the organ
ization was Carnegie's unwillingnesa
to part with his property unless the COM
pany name was nominated.
The gossip about the offer of 500, 900, 600
for the Carnegie plant was way below
the market. 1t was pointed out that no
longer ago than last winter Mr.. Car
negie was offered $15O0O0OOO for all his
iron and steel interests, including his
iron and steel shops and railways. This
offer he refused. so it is safe to assume
that any offer he made, whether to an
outside corporation, or even to his CO.
partners, was higher than $3.50, ,O00, ,000
In the opinion of those who are we'll
informed on the subject the announce
ment of the consolidation OF all or nearly
all the big steel mills in the country will
be made in a few days. No general con-
solidation has yet been entered into. but
the final terms may be agreed upon at
any time. Private advices from Pitts
burg and Chicago yesterday helped to
convey the impression, while the SEN
timent in Wall street is that the talked
of consolidation is extremely probab BILE.
If the new general combine is effected,
it is the opinion that the Carnegie Steel
company will be the backbone of it, and
will represent at least $1,000 ,OGO of it's
capital. What other concerns will be in
Guided in the concern is as yet unde-
cided, but it is said that it is likely to
include the National Steel company with
capital Of $5O,000000, and said to be
earning S1O,OO0,OOO year; the American
Tinplate company capital $50 G00, 900,
with yearly earnings put al from So, ,0OO,-
oGO to $1,000, 900; the American Hoop com
pany, capital s30,O00,O0O, with annual
earnings in the neighborhood of from H,-
O0000 to $5,000,G00; the American Steel
and Wire company, capital $50, 900 900,
with earnings of from SIC, ,00O, 900 to Sl2,-
000,0eO year, and the National Tinplate
and Enamel company, capital 500 600,
and with yearly earnings approximating
S., ,000, 600.
Rumor also says that the Federal Steel
company may be induced to enter the
combine, but nothing tangible can be
gotten out of this rumOr. Friends of the
Federal Steel company say it can afford
to stand out against all propositions
made to it. and it can accomplish moth
ing by taking up with the combine. 1t
is pointed out that it controls it's bust
ness from the ore from the ground to
all its finished products. 1t owns iron
mines, large coal tracts, coke ovens,
blast furnaces, railroads, terminal and
manufacturing plants. 1t owns the Du-
luth iron range from Ely to Two Har-
bors, near Duluth and branches In con-
nection with it it operates % steel ships
to Lorraine, Milwaukee and Chicago. At
Milwaukee, Joliet, South Chicago, North
Chicago and West Chicago it has it's
plants for finishing rails, billets, rods,
ship plants, structural iron, merchant
steel, cotton ties. etc. At Lorraine 1t has
factories for manufacturing pig iron,
rails, including girder rails for street
railway work, Of which they do Is per
cent. billets. etc. At Johnstown there