The Kalispell bee. [volume] (Kalispell, Mont.) 1901-1901, 1901-06-25
OFFICIAL CITY PAPER
TUESDAY JUNE 25. 1901.
A MILLION DOLLAR SALARY.

- Wl@etSsN 00..'N's
There has been more or less talk of
the million dollar salary said to be
paid to Schwab, president of the
steel trust. The story is generally
believed to be incorrect, but there is
another going the rounds just at pres
ent, which is interesting if it is not
true, and offers a rather remarkable
solution of the million dollar salary
story.
Extraordinary circumstances were
encountered by J. Pierpont Morgan
when he set about the organization of
the billion dollar steel trust, and one
incident which has just come to light
displays Charles NJ. Schwab, presi
dent of the combine, in an attitude
which is unique in the worlds history
of finance. Recently, during a casual
discussion of business affairs with a
friend, Mr.. Morgan was called upon
to express an opinion as to the SINGER
ity of Mr.. Carnegie's declaration that
he believed it wrong for rich man
to die rich. Said Mr.. Morgan:
81 believe that Mr.. Carnegie is alb
solutely sincere in what he says on
that point, and | think his actions
prove it. Let me tell you about one
thing he has done. When the organ
ization of the United States Steel
corporation was about to be effected
I met Schwab at my office to discuss
the status of the Carnegie holdings
1t was then expected that Mr.. Schwab
might be elected president of the cor
poration, but there was no definite
conclusion on that point Mr.. Schwab
astounded me by telling me that he
was receiving salary of $1,OOO,OOO
year as president of the Carnegie
company l told Mr.. Schwab that
never heard of any such salary as that
and that to assume the contract along
with the other obligations of the Car
negie company might in all probable
ity be impossible to the new corpo-
ration
He drew paper from his pocket
and said: "Mr. Morgan, here is my
contract 1t calls, as you will see, for
$l,0O0,OOO year for five years. 1t
has been in force for two years, and
in that time I have drawn $2OO,OOO
against my salary account | am full
ly aware of the fact that sentiment
and not business led Mr.. Carnegie to
draw that contract. l appreciate now
that it offers an obstacle to this pro-
ject. which is vastly favorable to the
Carnegie interests and directly in line
with the personal desire of Mr.. Car
negie to be relieved of business re
sponsibility. You need not hesitate
on account of this contract. There i.
an easy way to settle that natter
Thereupon Mr.. Schwab tore the con
tract to pieces before my eyes. l fel
it my duty to detail to Mr.. Carnegi
the scene in my office when the cor
tract was destroyed. He smiled an
said that there were few men in tn
world like Schwab. 81 don't propos
that he shall lose anything by wha
he has DONE" said he. 81 shall sen
him my check for the amount he los
when he destroyed the contract"
Mr.. Carnegie drew his check fc
$4,8OO,000 and sent it to Mr.. Schwa
with note explaining his understan,
ing of the transaction in my offic
That, l believe, is the basis for tn
stories we hear of the enormous sa
airy paid to Mr.. Schwab by the ne
corporation. AS a matter of fact, h
salary as president of the corporate
is not larger than that of good mar
railroad presidents.
FIRE INSURANCE TRUST.