The Saint Paul globe. (St. Paul, Minn.) 1896-1905, 1901-05-01
PIERPONT MORGAN's PURCHASE OF
LEYLAND LINE FBIGHTENs
BRITONS
THE "BONAPARTE OF TRADE
is WHAT LONDON DAILY TELE-
GRAPH CALLS THE ORGAN
IZER OF TRUSTS
WHAT MORGAN HAD TO PUT UP
transactions Represent u Cash Out
lay by the Banker of u Sum
Near to Ten Million
Dollars.

LONDON, May 1.-The Leyland line
deal provokes unusual discussion in the
English papers, which reveals the ex-
istence of not a little apprehension as to
the possibility Of the United States dom
mating the Atlantic carrying trade. The
general impression, however is that the
transfer Is connected with the probab. e
passage by the United States senate Of a
subsidy bill.
1t is considered that the terms of the
transfer are 80 profitable to the Leyland
people that there could be no question Of
their acceptance, and that other shipping
companies would gladly sell on the same
terms.
The effects Of the transfer are d 'scussed
in all their bearings Sir Christopher
FuIness, who contributes to the Daily
Mail long article dealing with the steel
and other trusts In the United States, in
sists upon the necessity Of the country
waking up to meet the new competition.
The Daily Telegraph asks editorally
whether the whole British empire IS to
be bought up or bought out by American
millionaires. 1t calls Mr.. ]. PierpOnt
Morgan 1.-The Bonaparte Of trade" and
thinks the British public will be very
foolish if it is Iulled by statements that
there is no intention to withdraw the
vessels of the Leyland line from the
Union Jack.
This is a serious situation" said the
Daily Telegraph, which calls for con-
certed action on this side, especially look
ing to the enormous g.owth Of the Amen-
can export trade and the increase of the
American and German shipping tonnage"
The Daily Chronicle is less alarmed but
says:
at is impossible to look with entire
equaninity upon the rapid development
Of American enterprise or to feel sure
that it will not eventually infict untold
misery upon the whole world"
TERMS OF THE DEAL.
In a circular issued by Chairman FL
herman, of the Leyland line, the
shareholders are informed that he has
entered into provisional contract with
]. PielpCnt Morgan for the sale Of his
entire holdings of ordinary shares in the
steamship line, namely, 1900 shares at
G14 los Per share for each SO share, and
that Mr.. Morgan agrees to purchase on
similar terms all ordinary shares offered
before May 26. Holders of q great ma
jcrity of the ordinary shares have, ac-
cording to the circular. intimated to Mr..
EllerDan that they will avail themselves
of the offer of Mr. Morgan, and The eff
feet will be that purchasers viii bsccme
owners Of practically all the ordinary
shares of the American corporation At a
cost Of upwards of 1,750 GG0 pounds ste1l-
ing. Mr.. Elerman binds himself not to
engage either directly or indirectly in the
North Atlantic trade, either with the
United Kingdom or the continent, except
between Antwerp and Montreal, for a
term Of fourteen years, on condition that
the purchasers sell him the Medlte--
ranean, Portugal and Montreal fleets,
and the business connected herewith at
an agreed on price. Mr.. IIllerman adds
hot hn to ,4,i,, IT,
ing in preference shares, amounting to
over 10000 pounds sterling, and his CO.
directors will retain all their preference
holdings, amounting to 10000 pounds
sterling. Mr. EllermaM also offers t.
buy any preference shares at par and
their accrued interest.
A circular issued by the secretary OF
the Leyland line accompanies Mr.. Eller-
mans circular. 1t explains that the ii
rectors, including Mr.. Elerman, hold
$50 pounds sterling out Of IL y, 20
pounds sterling ordinary share capital.
and 3l4,Se0 pounds sterling out Of ,415 COO
pounds sterling preference capital. Sew
eral Of the directors also control a large
amount Of other shares, and all the 81
rect0rs intend to vote in support Of Mr..
Ellerman's arrangement at all the meet
ings called in connection herewith
The secretary adds: 1T is anticipated
that practically all the ordinary share
holders will accept the offer, and the eff
feet will be that the Morgans VIII hold
100000 pounds sterling ordinaJies a,
cost of over 1.75000O pounds sterling"
A meeting Of the shareholders has been
called for May 7.
The shipping combine absorbs the in
terest Of the commercial world here.
Though no definite information is yet OBJ
tainable it is understood that the Amerl-