Wheeling register. [volume] (Wheeling, W. Va.) 1878-1935, 1901-01-16

Tube Company, owner of the Riverside
plant at Benwood, stopped work upon
it's projected open hearth steel plant,
after having made immense prepara-
tions in the way of purchasing ground,
clearing it, etc., and starting the foun-
dations, there was much popular won
der and speculation as to the inducing
causes. Some assigned one reason and
some another, but none of them, it
appears, were right. Within short
time, however. what is apparently the
truth has leaked out and it is inter
esting. 1t runs in this wise, as the
Register learns it.
1t is alleged that about the time the
Benwood preparations for the con-
struction of the immense additions to
the works had been perfected, the
ground secured, etc, and work actually
commenced for the erection of the pro-
jected tube works, steel plant and blast
furnace representatives of the Car
negie interests approached the Ma
tional Tube Company officials and
made a proposition that if the Ma
tional people would purchase the nee
essary steel for the manufacture Of
tubes and pipes from them, the Car
negies would not go into the manu-
facture of tubing and pipe. After the
usual amount OF discussion and con-
sideration the National Tube Com
pany, it is said, entered into con-
tract with the Carnegie for one year,
and as a result halt was called upon
the construction of the open hearth
plant. Then on top of that, and re-
Gently, came the announcement from
PittsDurg that the Carnegies were ar
ranging to construct a mammoth tube
works at COnneaut, o., at cost of
1000 600 and would enter actively
and extensively into the production of
tubing and pipes in all their forms
and sizes.
This announcement, under the cir
cumstances, naturally had very ma
terial effect upon the stock of the
National Tube Company on the New
York Stock Exchange. Preferred was
strongly supported by the Morgan in
fiuences, but common fell off a good
many points, to the corresponding loss
of holders, and there was marked
feeling that the action of the Car
negieS constituted a breach of business
faith and that they had resorted to a
trick very much Of the same nature
so successfully worked by John w.
Gates in American Steel and Wire.
While many Wheeling people lost
some money as a result Of the fall in
common stock, they have nevertheless
viewed the Carnegie announcement
with considerable delight, since it
would very probably compel the Ma
tional Tube Company to carry out its
original plans at Benwood and COM
plete there a plant that would give
employment to a very largely increas-
ed number of men.
While there is no doubt but that
Mr.. Carnegie is a great iron and steel
magnate and is, in the language of the
street "a big boss, still the gentlemen
interested in and behind the Nation
al Tube Company are much stronger
than Mr.. Carnegie and his friends, and
these two great rivals the Scotch mag
nate would certainly, in the opinion
Of many well-posted people, be given
a run for his money, while the public
would be beneficiaries in the long run
through competition.
1t was perfectly natural that the
New York stock exchange people
should become frightened at the Car
negie threat of competing with Ma
tional Tube, but when the Carnegies
attempt to cope with the financial men
back of National Tube they are GER
tainly undertaking a very large con-
tract, since one of the principal own
ers of the threatened corporation has
probably the best financial standing
and the largest following Of any man
in this country or Europe.
A great deal Of National stock, both
common and preferred is held in
Wheeling. and its owners are not
greatly disturbed at the general situa-
ton, believing that in the end both
they and the community will be great
ly benefited.
The Register obtains the informal
ton herein contained from sources be-
lieved to be in close contact with the
facts, and it is presented with consid-
cradle confidence in its general, if not