The Savannah morning news. (Savannah, Ga.) 1900-current, 1902-04-20
MORGAN'S LATEST
.rIANTIC STEAMSHIP COMBINE
PERFECTED.
PLAN SAME AS STEEL TRUST.
.uERICA'S CONTROL OF THE
OCEAN BEGUN.

The Big Finnncier's Prolonged Stay
an Europe Was Not a VacatiOn-As
rsuaI His Arrangements We're
perfected Before Anything Was
Made Enthusiastically All the
English and American Liners En-
ter Deal and German Lines WIFI
Work in HarmOny-An American
Company viii Control.
New York, April 19.-J. P. Morgan,
r,bo is now abroad, has practically
contaminated a plan to combine all
the leading trans Atlantic steamship
lines. London dispatches to the AS
ISOLATED Press announcing the COM
binatton were to-day confirmed at the
Morgan banking house. The compan-
les to be consolidated will, it is under
etood include the American and Red
Star Lines, White Star Line, Dominion
line Atlantic Line and the Leyland
line The two last named lines have
been under Morgan control for some
time Probable additions to this list
are the Cunard Wilson and the Hol-
land-American Companies, and it is un-
derstood that a working agreement
will be reached with the other leading
transatlantic companies, including the
North German Lloyd, Hamburg
American, Generate Trans Atlantique
French) and Allan and Anchor lines.
MI Morgan has given the matter
much of his time since his arrival on
the other side. In this country the
more important details have been in
the hands of Clement A. Griscom of
the American Line, while Charles
Steele Mr.. Morgan's partner in this
city, has had charge of the legal pre-
liminaries.
1t is yet too early to give the exact
scope of the scheme, but as now out
lined there will be an American hold
ing company into which all the steam
ship companies which propose to enter
the combine will put their stock hold
ings-Dool their issues--in exactly the
same way that the. various concerns
embraced in the United States Steel
Corporation threw in their holdings, re-
ceiving in return stock of the main
company.
Just what the, capitalization of the
company will be is not yet known. but
the amount is likely to be well in ex-
cess of 10000, 900. This phase of the
project will depend entirely upon the
number of steamship companies taken
into the combine.
One of the most interesting features
of the plan deals with the subsidy
question. White Star and Cunard lines
receive liberal subsidies from the Brit
ish government. These subsidies would
be withheld or abrogated if the ships
of these lines changed their flag from
British tc American. Because of this
the ships of the White Star, Cunard
and the English subsidized companies
will doubtless continue noninally un-
der British control.
America viii Dominate.
George w. Perkins of j. P. Morgan
Co., is authority for the statement
that American interests will dominate
the proposed amalgamation, and de-
clares that the result will prove not
only a great triumph for Mr.. Nor
gan but will make the United States
the real rulers of the merchant marine
/ OF the world. Mr.. Perkins also says
the plan will be of the greatest benefit
10 importers and exporters as we'll as
10 the great railroad interests of this
country Its effect will be felt by
Shippers from Maine to California, Mr..
Perkins says, and will also result in
better understanding between the
commercial interests of this country
and Germany.
1t is true" he added, chat Mr..
morgan will act as syndicate manager
Vi thls combination, just as he brought
together and welded the various in
terests of the United States Steel Cor
porauon. The financial details have
Deeh completed to the extent that all
sAe cash necessary for the deal has
useh subscribed. 1t is too soon to
speak about the directorate, but let 1t
W Dorne in mind that control of the
"Lnpany will be held here
II IS taken as a matter of course that
we interests now prominent in the
sarous steamship lines will be taken
"So Inc consolidated directory.
banking interests identified with the
s.sOposed underwriting syndicate said
Sudy that the new company would
ave ave New Jersey charter. They
cs ousht that no very great amount of
# 49,. sA would be required from the I'M
csss writing syndicate, but were reti-
Any uI as to how far the owners of un-
living companies had the option to
o SSe new stock or cash. The Roths-
t thus, they added, were to be among
Tue Underwriters.