New-York tribune., 1901-02-19
sCHWAB SEES MORGAN.
.,oTHrNG GIVEN OUT ABOUT THE CON.
FERENCE-RUMORs ABOUT THE
STEEL DEAL

The work of getting the projected huge steel oop
.oudatian into shape proceeded yesterday. but m.
usual reicencc observed by the prtncsnals a-s
.ber attorneys and al the close OF the day n has
not been ascertained when the expected announce
ynent by J. r. Morgan & Co. would be naae
charles N. schwab president OF the Carnegie com
rany. had a conference in the morning with M
Morgan az the latters Office. but declined "a saw
anything afterward. except that progress was he.
,ng made in the negotiations
A rumor was current that the final papers in IN.
consolidation would be signed at a meeting az
which Mr.. Morgan was 10 be present at the Met
ropoitan Club In the evening but this report was
not generally credited. One OF the LAWYERS now
engaged IN drawing up the papers ot the proposes
combination said that he had not heard OF such a
meeting. and he doubted that il would he bels
without the presence OF the legal Representatives
There was published yesterday in a Philadelphia
newspaper statement as 10 the probable capital-
Eaton o. the new company which coincided IN its
essential features with the forecast contained In
The Tribunes Pittsburg advioes published a week
ago this morning. According TO this story the new,
corporation Will issue SSO0O0OOOO bonds OF which
yOO0oo 900 viii be exchanged for the Carnegie com
panys bonds. and Mr.. Carnegie is 10 get 81 500 for
each SWo share OF stock held by him. and viii be
paid almost entirely in bonds. the payment TO him
absorbing from Sl20 600 900 20 sS0O0OOO OF the re-
manning S40.00OOOO OF the bonds The capital stock
OF the projected corporation according 10 the
Philadelphia information, is TO be sSOOOOOO00 OF
which one-half is 10 be per cent preferred stock
ana the other one-half common stock, ana those O.
Mr.. Carnegie's fellow shareholders in the present
Carnegie company who have not already disposed
OF their holdings for cash 10 exchange their
stock at the rate of SI.eoo share valued az
$500. for fifteen 500 shares OF the preferred
and the new common stock. Another report yes
terday that the preferred stock would carry 6
per cent dividend instead OF 2 and there would he
left for the new common stock about IS per cent
possible dividend the reported capitalization Of
s4OGOOOOOO instead Of IS per figured IN
the Philadelphia story the basis Of calculation IN
each case being the net earnings for 1900 OF the
companies to be included in the consolidation, these
earnings being placed at S9SOOOeoO.
II is said that The terms on which the Federal
steel, AlnerlcaB ~ sIeel ana aho WIRE, Nsuonal Ilbe
have been settled, but that negouauons are still in
pToETeSS n IssdIG bouyer S Jhe moore
msnt soon being reached. The preferred shares OF
day. while the common stocks were weak. on re
ports that the former would be exc eSchsngeo on much
Federal Steel preferred sold as high as s. and
closed az s's2 net gam t2r the oay OF 81 points
Steel and Wire preferred closed at ssla. net gain
~ per o ie per- tS cent Gep s9rdy s last Isl sG
American Steel Hoop preferred gained AZ per cent
ferred touched par. new high record. and closed
at q, net gain Of per cent the common selling
al the close 65is a net loss of Is per cent. Ma
iionSi steel preferred closed UNCHANGED 100, the
The directors OF the American Steel and Wire
Company met yesterday, but what, II any, action
taken by them could not be learned The
nual meeting OF the company will be held to-day;
AS tC the report day two ago that The
United States Steel Company" ha5 been decided
upon the title OF the new corporation, a may
he noted that there IS already a company OF that
IL Incorporated in West Virginia in
September lsss. with capital OF sSooooOo and has
q plant at Everett. Mass.
< story printed yesterday which found no con-
hrmaton, was that the Morgan interests have
been buying shore lands on Staten Island and have
taken options on large tract at Montauk Point,
with the purpose OF esta hshing this city the
shiphuiding yard in the United States and
also constructing here the largest iron and steel
plant IN the world. the being brought 10 tide
water through the Erie Canal when deepened
: TO accommodate lake vessels.
The executive head of an Independent steel CON-
pany, discussing yesterday the probable effect of
the steel combination trade conditions. is quoted
saying that the consolidated company will have
70 guarantee dividends ir order 10 find a market
for its securities and that 10 pay such dividends
prices for manufactured articles will have 10 be
maintained This. II was explained viii mean that
The trust will have no opportunity. even should q
desire 20 prices for the purpose OF forcing
the independent companies. The result, seen by
The independent president, would mean the inevi-
table maintenance az prices, with resultant good
oar