The age-herald. [volume] (Birmingham, Ala.) 1897-1902, 1902-05-18


England and New York, mills and fac
tories has been carried westward. indeed
the needle and thread used by the house
wife In the most distant corner OF our
country, her cotton gown and her nus
bands tobacco, both the smallest OF nee
essarles are the direct results OF the
battles in Wall Street.
The warriors on this battlefield once
confined their attention to railroads ana
steamships toda hey pay equal atten-
ton to indus;-ia How rapidly battle
follows battle Sugar, cordage tobacco
Tor a time monopolized attention. one
daV In consequence of stock manlpula-
ton, the prices scared heavenward, then
fell as though they could never rise
again. Then came, last spring the hght'
when Northern Pacific seemed clad with
wings upon which it intended to soar TO
heaven But it was due to stock manlpula-
ton. The 1Ntans of Finance Edward Har-
riman George j. Gould, j. j. Hill, j.
Pierpont Morgan and their followers were
struggling for control. Then a brilliant
campaign and the billion dollar United
States Steel Corporation resulted. A lew
weeks ago more noise and the Louisville
and Nashville railroad war was on. Au-
gust Belmont and Co, with the Roth
childs behind him and Gates and his FOL
lowers, struggling for mastery And now
the latest of all, the International Power
Company.
70 those who do not know how these
battles are fought the spectacular demon
stration of booming prices or tumblng
prices, seems awful True millions OF
dollars are involved and tho fortunes OF
individuals are placed in jeopardy; but
the advance or fall of prices means little
to the general public at the time. 1t de-
notes the struggle of those who seek 10
control the properties, be they fallroads
or industlials. The great public Is aHecteu
by ,be management Of the properties at
some future time. For instance let us
look at the most recent battle the SEN
satior al drop in the market price of the
International Power Companys stock,
the latest of the great industrials.
IT was quoted on the Stock Exchange
one morning at 19S, the evening of that
day il fell to 100; the next morning IL
went to 1856 and then fell to l0l before
night it rallied few points and three
6ays after ii was 95. Surrey one would
iraaelne some discovery had been labor
ing in a sea of trouble or deserted by its
suddenly made. revealing the company
either stockholders. Nothing of the KIND
had occurred. 1t was all due to stock
manipulation. The real business OF the
company went on as properousiy during
those twenty-four hours as it had be-
fore. It was just the same with the
Northern Pacific, when its stoc" Jumped
by manipulation from 90 to l5Oo - was
not done on the discovery of eXtfaordln-
ary earnings 1t was due to stock manipu-
lation.
The Power Company controls the ma
iority stlc! in several corporations, or
IL the largest holder of such stocks
Among its properties are the American
Locomotive Co., the Corpss Steam En-
eine Co., the American DeSel Engine Co.,
the Wheeler Engine Co, the American
Auto-Truck Co.. the American ordnance
Co., the Merritt Air Brake Co, OF Brook
lvn and many valuable patents. It's capl-
tal stock is $4,000 900. Itssearning capacity
assures the payment of interest on the
| nrefer1ed and a continuance of the pres
emf dividends at the rate of ten per cent
| B,1t even though the affairs of compan-
| los 20 on as smoothly during the tihe
/ these Wall street battles are being Waseo
| the hours are prolific with sensations TO
the men who have their fortunes en-
barked in their enterprises. Many NOT
| conyersant with the methods OF THESE
giants of industry will say: why shouio
a man worry IL he holds the stock certi-
| 0o,tes9,, or: fWhat does 1t matter how
| the stock f1uctuates?' The reason rs very
/ e,rnnle. Many of the large tinanciers bor-
1 row heavily on their securities either to
| buv more stock or to invest in other prop
critics. When the price tunbles banks call
their loans and frequently valuable
stoclrs are sold at ridiculously low prices.
Austin Corbin died with many shares OF
| tbe Long Island Railroad pledged with
HANKS Persons seeking control of the
80 nrcl,a the nrice forced it down and
| secured enough of the Corpm STOCK TO
| gain control. -,
IT, ,s in these battles for the control,
| -. retention of control, that men reveal
| their ability They must like the general
no prepared for surprise or attack thelr
| Ii,es must be well drawn ana support
| ad or without a moment "drHihs INT
| enemy breaks through; they must We
| ,atabful AGAINST treachery within; and
they must preserve thelI pase - ,od,,
| niles The battle of Gettysburg pesah
| uith 4 slxirmish. Both armies were scat
| tered They came together and history
| u,as made. It is the same way IN wan
| street. There Is a slight stir conceh-
| tration and a battle. The day rover
| shares fell the story is broker sent
| To his customer for a check. The custom
| err was not ready, and three thousahu
| shares were thrown on the MARKET II
| made a stir, and then the hammerlng
| process began. -. -,
~ this moment the president OF the
| company, Joseph II. Hoadley informed OF
| the downward movement. confident OF
the intrinsic value of the property ne
| manages, steps forward Without mo-
| lnent hesitation he begins the purchase
| of shares to sustain the price II still
| goes down. and he continues to buy FOR
| two days the battle goes on, but MS re-
sources do not fail him. He secures the
| stock and puts an end to the raid. At
| once he issues a statement, invites an
inspection of the affairs of his company
and declares that the assets OF the com :
| psny are worth two and half times
its capitalization. No man who has not
5een in Wall street at such times, can
realize the strain on the nerves. the wor-
ry, the anxiety these battles develop.
Joseph. IA. Hoadlev Is still a,<zniann q man