The Saint Paul globe. (St. Paul, Minn.) 1896-1905, 1901-02-27
TERMS Of STEEL MERGER
AUTHORITATIVE ANNOUNCEMENT
FROM THE OFFICES OF j. p.
MORGAN & co.
CAPITAL OF $1,1oo,ooo,ooo
Details of Prices Allowed for Shares
of Old Companies in the Most
Colossal Industrial Com
bine in History.

NEW YORK, Feb. 26-At the office OF
J. Pierpont Morgan & Co., it was stated
today that they were not yet prepared
to make any official statement or issue
any circular giving the full details of
the proposed United States steel corpo-
ration. They recognize, however, that
it is due to the public and the various
stockholders that they should know as
early as possible the basis upon which
securities of the various companies will
ultimately be received for conversion
into the securities of the new corpora
ton, which is as follows:
The following offers to he made for
stocks of the several companies named:
Federal Steel preferred ITO per cent of
new preferred.
Federal Steel common per cent of new
preferred and 1912 pc" cent of new COM
mon.
American Steel & Wire preferred, 1171&
per cent in new preferred
American Steel & Wire common, 1929
per cent of new common.
National Tube preferred, 125 per cent Of
new preferred.
National Tube common, S8 per cent Of
new preferred and 125 per cent of rev
common
National Steel preferred, 125 Fer cent
of new preferred.
National Steel common, 125 per cent OF
new common.
American Tin Plate preferred, 125 per
cent of new preferred.
American Tin Plate common, 70 per cent
of new preferred and 125 per cent of new
common.
American Steel Hoop preferred, 100 per
cent of new preferred.
American steel Hoop common, 100 per
cent of new common.
American Sheet Steel preferred, 1OO per
cent of new preferred.
American Sheet Steel common, 100 per
cent of new common.
MILLIONS IN IT.
According to the allotments stated, the
old stocks of the existing companies will
exchange for the stocks Of the new cor
porations as follows, par values being
given in every case:
American Steel & Wire, $4,000, 900 pre-
ferred for $47, COO, 900 of new preferred; $780,
e00,000 common for $51, 250, 600 of new COM
mon.
Federal Steel, $50, 2Go 900 preferred for
$5S, 5S6, $50 of new preferred; SAG az, 300 COM
mon for 81, S59, 372 of new preferred and
$49. $40, go of new common.
National Tube. $40 100000 preferred FOR
$50, 0t0 Of new preferred; $40, 100000 COM
mon for s., $4,000 of new preferred and
$50,000, 900 of new common.
National Steel, $27, 000, 600 preferred for
$SS, 100000 of new preferred; 3200O,9p0 CON-
mon for $4,000 600 of new common.
American Tin Plate, SIS, 325, 900 preferred
for $22, 906 $50 of new preferred; SIS, GOO 900
common for $5.690000 new preferred and
$35, 800. 000 of new common.
American Hoop, $14 600, COG preferred for
$14,000,0OO new preferred, $19,09O,e00 COM
mon for $19,000000 of new common.
American Steel Sheet, $24,5G0,000 pre-
ferred for $24 10000 of new preferred; $24,-
100000 common for $24,500,000 of new COM
mon.
These allotments absorb a total of
$261 722,612 of new preferred stock and a
total of $269, 720,G22 of new common stock,
j. F. Morgan this evening authorized
the Associated Press to state that the
fol Of k0I Fats
corporation would be $500, 100000 bonds,
$400,000,G0e of preferred stock, and $780,
900 of common stock.
Asked as to the terms for exchange of
the stock and bonds of the Carnegie
company for the new securities Mr..
Morgan intimated that This was a mat
ter which concerned the stockholders
and bondholders of the Carnegie com
pany.
AS to the probability of the early issue
of the syndicate circular inviting sub
scriptions to the securities Mr..
Morgan said that it would depend upon
tying up ends which required time
and that no further statement was likely
to be forthcoming regarding the terms
of the consolidation until the circular is
issued.
PIE FOR PROMOTERS.
PITTSBURG, Feb. 26-The Pittspurg
An underwriting syndicate of insiders,
with 800, &C., 900 capital, will secure the
cream" of the big deal for the organi-
cation of the United States Steel corpo-
ration. This information comes from
PittsbpTgers interested in the negotia-
lions. J. Fierpont Morgan will receive
81. 100000 for perfecting the arrangement
and it is said positively that the Carne-
gle company will not receive the
amounts the stockholders are credited
with obtaining for their great property.
It is stated that it Is the proposition
of Mr.. Morgan to permit the insiders"
the directors Of the various companies
TO be included, except the Carnegie COM
pany-to subscribe to the capital OF the
underwriting syndicate which has been
placed at 600. This capitalization
WAS based on the earnings of all of the
plants to be taken into the combination,
~and it is the intention of the underwrit..
ing sy indicate of which Mr.. Morgan will
be the head, to guarantee the operation
of the plants for one year from the or
ganization.
AT the end of that time there will be
division made to the underwriting sub
scribers, who, it is estimated, will re-
ceive as their share about three to one
in stock at par and whatever is left OF
tkG underwriting capital.