New-York tribune., 1901-03-31
finanrial.
The Financial World.

which rushed the former stock I'D five points
and the latter four. il was expected that an
nouncement OF the new deal would be made the
next day. 1t has not been made yet but in the
meantime the two stocks have gore up farther
Burlington at 176 represents a rise OF thirteen
points since Tuesday; and Northern Pacific at
90 rise Of ten The theory Of the Street Is that
the Hill people did not formally present their
proposition the Burlington directors until they
had full hand; hence the announcement that
the trade has been effected is looked for at any
moment
Assuming that the thing is done, and only
awaits closing formalities. the Burlington be-
comes the connecting link between the Erie.
the Atlantic end Of the transcontinental line. and
the Great Northern Northern Pacific systems
as the Pacific end. This leaves the ST. Paul out;
but the St. Paul is great property, and there
may be other plans for T. at Recent buying OF
the stock indicates coming advance in it. The
net earnings of the road are running at the rate
of 95s on both classes Of stock.
There was sudden rise in Rock Island yes
terday from 129 to 1856. effected with such ease
and rapidity as to show that the bulk OF the
stock has been concentrated. leaving CON-
paTatively small amount afioat. RumoTs flew
! that deal with the Atchison had been arranged
as the Atchison stocks advanced smartly at the
same time. This, however. does not seem rea-
sonable. The Atchisons going up because
the preferred stock. paying per cent. is still
selling below par. while the earnings of the road
are so large that a dividend on the bulky COM
mon stock is about to be declared: and the COM
mon is going up because the declaration is close
at hand If there is any new deal the board
in respect to the Rock Island it probably lies in
the direction Of the projected Missouri Pacific
combination.
a very lively movement in the traction stocks
was accompanied by intirnations to look out for
something special in Manhattan.
The coal stocks will probably engage the at
tention Of the Street more than they have.
| When one sees the sort Of buying which puts
Lackawanna from 200 to 220 in couple Of
days; reflects on the long and persistent effort
made to get control OF Delaware and Hudson.
which has put that stock UP to It's; considers
how the Pennsylvania Coal Company has been
taken in, and safely disposed OF in possession of
the Erie; recalls that the Lehish Valley coal road
was acquired by the same interests, and that
the Jersey Central was turned over TO these
same interests through purchase by the Read
ing-refecting on these various facts, covering
a period OF years OF steady effort, the conclusion
is inevitably forced on one that the production
and sale of anthracite coal is destined at no dis
tant date 10 be done by one corporation. In
other words. there will be one great anthracite
coal company. with a single central selling
agency.
The same theory points 10 the Reading Com
pany as the nucleus around which the others
will be gathered: possibly until new company
takes the place Of all. Or it may be that things
will stand as they are until the formation of the
general corporation into which all Will be merged
In such a merger. it is obvious thar the Reading
will get no small share: since. as the L-rgest OF
all producers OF anthracite and owners OF
anthracite coal lands. it will occupy command
ing position when the production and sale Of the
coal has been so concentrated as 70 eliminate
the destructive competition and costly selling
agencies which have heretofore burdened the
anthracite trade. For these reasons there is
ground for anticipating rise in Reading Sc
curities as sensational as those we have seen
in Lackawanna and Delaware and Hudson
From the production OF coal it is natural 60
pass TO the production Of iron and its manu-
facture into all those forms Of steel which are
so muItifarious as to cause this era TO be called
the Age of Steel
brief summary given last week Of the
ma Snitude Of the operations and assets OF the
gigantic corporation which has absorbed the
Carnegie plant and all the smaller but important
concerns in the same line of business. 1t
shown TO be great transportation company.
owning 1000 miles OF railroad with full equip
I a
of 525 tons per trip. 1t was shown TO be the
largest coal miner in the world Coituminous
coaD; and its ownership of every appliance for
the manufacture Of metals. from the ore in the
mines 10 the mills which turned out the finished
/ product. was SET forth; also its army Of en-
rloyes and pay roll Of half million per day.
The formation Of the company was more than
a national event. 1t became OF international
importance; and the conmotion it excited in
Europe was reflected in the excited discussions
in the continental papers, which still continue
The securities which represent this vast aggre-
CATION Of property and concentration of indus
trial energy. must be correspondingly large in
amount and therefore. they will hold dom
inant place in the security market. both here and
abroad The dealings in them will always bulk
large as 4 consequence
AS the securities representing the Carnegie
plant were not listed the Exchange. the pub
lie knew comparatively Little about it. II may
therefore be news TO the average reader TO hear
that the net earnings of the Carnegie plant
alone have in the past been sufficient TO pay
the interest on the bonds Of the United States
Steel Company and the per cent dividend on
it's preferred stock. The net earnings Of the
other properties will be available for the COM
mon. This stock viii have great earnings in
good times. and poor ones in poor times; but
that the preferred stock will be sure OF its 4
per cent dividend in good times and bad. is the
Judgment OF the best hnanciers OF the country.
1t will sell between 40 and 115
1t is no light thing 10 place before the public
the securities Of so immense a corporation as
this. NIr. Morgan insisted on the formation OF
a 200 million syndicate as necessary pre-