Wheeling Sunday register. [volume] (Wheeling, W. Va.) 1882-1934, 1901-04-21

tnc combine an output Of 1.250,000 tons
OF steel rails this year. With their Ia
cilities for making rails, particularly at
| the Edgar Thomson Steel Works, there
l ought to be q profit at the present price
of SIS OF $40 a ton on every ton Of rails
| they turn out. This would mean a pro-
ut this year On rails of at least S12,-
660. 0CO, and 1t may run more than that.
This comes within 81, SOC, 900 of paying
| the interest on the bonds. Other of the
Carnegie Works will also be huge mo-
ney earners for the United States Steel
Corporation. The armor plate mills OF
the Homestead Steel Works got An or
der some months since for about 5000
tons OF armor plate for the Government
at $425 a ton 1t would hardly be safe
to guess at the amount OF profit per
ton this price will pay, but to put it at
500 a ton will be very conservative,
and it may be double that. Then there
is the balance of the Homestead Steel
Works, which earns vast sumo OF mo-
ney on structural material and plates
which it rolls. The Duquesne Steel
Works has always been a heavy money
Garner, and under the efficient manage
ment which will continue ought to earn
SIS, COX, 900 or $1,000 900 this year. Ii is
within the bounds of reason to state
that the Carnegie Works OF the United
States Steel Corporation will earn this
year not less than So, 900 eco, and it
ma exceed $50, 0e0, 600. The profits
are all running to utmost capacity,
prices are high, afording a very large
margin OF profit, and present condi-
lions are certain to continue for this
year at least.
Other properties taken over by the
steel combine will earn vast sums OF
money this year. The American Tin
Plate Company since it was organized
has earned q great deal Of money, n
1t is said to have a reserve fund piled
up that was large enough to pay Z per
cent. on the preferred and s per cent.
on the COMMON stock for the next five
years. The total number of TIN mills
owned by the American Tin Plate Com
pany is about 800, and the concern has
IN annual capacity Of about 10000 600
boxes OF tin and terne plate. The pre-
sent price OF tin plate is "a, which Is
based on a box Of l. c. plate 14x29. This
same kind of plate sold before the
American Tin Plate Company was Or
ganixed as low Is $3.50 a box, and the
concerns who made and sold 1t at that
price lost no money on 1t. Wnen the
American Tin Plate Company was or
ganized large economies were erected
by the consolidation Of miscarriage
ment and in other ways, and 1t is SAFE
to assume therefore that the American
Tin Plate Company will have an aver
age profit of $3.50 a box on every o
Of tin plate they turn out With an
output this year of 5000, 600 boxes this
will mean a profit of 81, eco, GOO on tin
plate.
'"The National Steel Company at the
time it was organized was regarded by
the iron trade, and by the public as
well, as one of the best steel PROPOSE
tons in the market. The concern ook
over six steel plants, all of which
were modern plants and large money
makers. They also took over line blast
furnaces, which made them nearly IN
dependent of the pig iron market. With
a preferred capital stock of S27, O00, 900
and a common of $32, 100000 it was
recognized that the National Steel Com
pany could readily earn dividends on
both the preferred and common and
pile up a large surplus. Besides this
concern has a productive capacity Tor
turning out about 1900, 900 tons of steel
annually. The present price of billets
is $24 a ton, and for early delivery
higher prices are paid. OF course the
National Steel Company will not aver
age S24 a ton on all the steel they sell
this year, but if they average $40 they
ought to make a profit of at least 81
a ton. AS they sell sheet and tin bars
and get higher prices for them than
for billets they would therefore at 81
a ton earn over $1,000, 900 this year.
'"The National Tube Company, one Of
the interests acquired by the steel COM
bine, earned last year over and above
all expenses nearly $12, 900 900, and 1t Is
safe to assume that the company will
carr as much OF more this year.
The American Steel & Wire Com
pany earned about $4,000, 900, while
other concerns taken over by the
United States Steel Corporation, such
as the American Sheet Steel Company,
American Steel Hoop Company n
other coke interests, have all been
heavy money makers. With present
favorable conditions in the iron trade,
demand being larger than supply and
prices high, there is 10 reason what
ever why the constituent companies
should not earn more money this year
than they did in 1900, when it was fig
ured up that the total earnings of all
the companies absorbed by the steel
trust we're $es, o00, 900. A 8 per cent
dividend on bonds would mean say.
SIS 900, 900; 7 per cent. on the preferred
stock, $37, 500, 900, and 6 per cent. on the
common, $33, ZOO, 900, or a total Of 1885,
500, 900. From the above 1t would seem
that it would not be expecting too much
for the United States Steel Corporation
to earn in the first year of it's exist
ence 5 per cent on its bonds, I PEI cent,
on its preferred stock ard 6 per cent
on its common, and in addition lay up
a surplus. However, it is not proba-
BILE that the common stock will De put
on a dividend basis for a year or two
at least, or until the combine has piled
up a surplus that will warrant a distri-
button of part of it to common stock
holders"
M0nNnCVTTIE MINERS