The Washington times., 1901-12-02
THE COLOSSAL
COPPER GAME.
Trade Conditions and ReCk-
less Manipulation.
BlIH PLAYIaG IMPORTANT PARTS.
Company May Have Been Beaten
Ii Fight to Control Price OF
Metal-The General Stock Mar
ket Not Greatly Affected.

keG NOb GIStLly A1SCJSO.
NEW YORK, Dec. 1.-Wall Street com
mentators are asking themselves to what
extent Amalgamgted Curper has been the
tool Of a disgraceiul manipulation, and 10
what extent its sensational decline from
$l3O a share to $3.50 a share has been due
TO intrinsic conditions in the copper trade
and in the company itself. The career of
the stock has passed the point where any
one attempts to explain the break on
either of these grounds singly. The ma
nipulation, as fragrant IS ever was seen
in Wall Street, is so evident as to be be-
yond question. And the Amalgamated
Company is in trouble with the copper
market beyond a doubt. But it may be
very easily that either manipulation or
trade conditions is largely the response
bic difficulty with the stock. The answer
TO the question would be most impor-
tant and valuable one, but, unfortunately,
it Is difficult to learn facts regarding the
Amalgamated, which IS the worst blind
pool';9of all the new industrial concerns.
Concern Heavily Capitalized
Some facts canno- be hidden, however.
Ore Of these is the immense capitalization
Of the trust compared with that Of the
other copper concerns, and the consequent
element o; weakness in it's makeup,
other things being equal
The ANA gamated has a capital stock
OF s155, ,0O0 COO Dividends at the rate Of
per cent require Sl2,4lo090 annually
per cent rate requires 6,2oG. Otu- Com
uared with this enormous capitalization,
The Calumet and Heela has capital
stock Of only S2,5J6,OOe. in shares Of -
each. Of which only Sl2 per share has
been paid in. Since its organization this
company has paid in dividends $'+..,9.uvo.
While copper was selling al L cents a
pound In 1895 the company paid dividend
Of SIS per share. On April so, 1870. II
paid S25 per snare. In 1891 and ISIS. $40
per share was paid When COPPER h-d its
great rise in 1883 the company paid so
per share. In 1900 $50 per share was
paid. and last year Shs dividend was $50
reT share. To compete with this com
rany successfully ana pas dividends on
& capital stock OF Sl55,0e0.c cl0 is "A task
which the Standard OIL interests in Cop
per nave before them. Tic OstensiJle
pr-ce of copper is now Il cents, aud get
ths AmalgamGted already is having
trtubls IL paying dividends.
Has the Price Been Rcduced:
Despite the repeated denials OF officials |
OF the company, there does not seem to /
be much doubt in the trade that the +
AmaIgamated Copper Company, while ap- (
parently maintaining prices through the
schedules Of the United Metals Selling /
Company, has been secretly making con- .
coszsiCns to consumers. and has in this !
manner largely reduced the enormous
surplus which it had on hand three months |
ago. II this be true it viii be seen that (
the affairs of the concern must be nea
ing that bad condition where despe.
remedies are the only ones. 4 lower
of prices would mean that gigantic a.
costly fight has been abandoned f.
that must have been considered impcl
tive for the interests and success Of
concern
Demand for the Metal Very Heavy
On the other hand. general copper trade /
conditions are said to be improving. 1t |
is stated by the best authorities that the /
home demand for the metal is enormous
and that other concerns than the Anal /
eamated have very low supplies. This
may be the turning point in the situation.
If the AmalganIated has sold 2 big block
of the metal at Is cents, and thus re-
Heyed its chief difficulty, it may be able
10 maintain the price in the future, for
time at least
The short interest in Analgamated is
now immense, and a campaign against *
might cause as sensational an advance IS
the decline has been. Conservative people
are advising strenuously against selling
the stock without having it.
The Market Little Affected.
II it is true that Amalgamated Copper 4
conditions have been bad, it is quite as
certain that general business conditions .
throughout the country continue wonder
fully sound and hopeful For this rea
son the general stock market has been
little affected and is likely 10 be less by .
the copper episode. Il is the opinion Of 4
many careful market people that after .
the uncertainties Of the coming week or
two. with the opening OF Congress. there
IS a very good chance for a renewal Of the .
upward movement Of prices in harmony
with the increasing prosperity OF the
country.
New York Stock Exchange. Nov. 80,