The daily morning journal and courier., 1902-05-09

DcShNcA ahb ANhNe
 of Exchange for Shares of the Different
 Companies Was Computed-Builders'
 Agreement Entered Into With HarIan n
 & Wolff.
 London, May S.-The Associated
 Press has secured copies of the ship
 ping combinations agreements They
 are called provisional agreements for
 the purpose of the acquisition, on or
 before December 31, 1902, of the White
 Star, Dominion, American and Atlantic
 Transport lines, to be organized under
 the direction of the vendors, to the sat- isfaction of the bankers, namely, the Morgans. under the laws of the state of New York, or such other state as shall be selected" The vendors, Ismay, Inn rie & Co.,, Mills & Co., Dominion line), and Messrs. Widener Griscom and Ber- nard Baker, receive, as consideration for all their capital stock, $12OOO0,O00, of which $60, 100000 is preferred stock cumulative at per cent, and $60, 000,- coo common stock, limited to 10 per cent, and also S50,O00,O00 in collateral trust AZ per cent debentures.
 All the purchase prices include the ships building, The White Star own CTS, though declaring that the line has been carried on entirely at the risk of the purchasers since January i, 1901, agree, until the completion of the pur- chase, to carry on the business of the line. For their personal services the sellers "are to be paid such amount in remuneration as shall be fixed by J. Pierpont Morgan, of the city of New York
 The following important clause occurs at the end of the White Star agree nent: "Inasmueh as the company is English and domiciled in England all questions concerning the sellers arising under or pursuant to this contract shall be controlled or decided by English law"
 The agreements cover many printed pages and include intricate arrange ments anent the White Stars affiliated interests and minute directions regard ing valuation. All questions, in case of dispute, are eventually to be decided by Price Warehouse & Co., the London accountants.
 Ismay, Imrie & Go bind themselves not to undertake any kind of shipping business for fourteen years.
 In the Dominion line agreement the sellers promise to use the influence of their votes to cause the present direc- tors to resign after the completion of the purchase.
 An additional paper, called a build CTS agreement. is appended, in which the Morgans bind themselves to give Harland & Wolff all orders for new ves- sels and all heavy repairs that require to be done at shipyard of the United Kingdom. Nothing herein contained according to the document However, shall prevent the purchasers from plac- ing orders for new steamers and repairs at shipyards in the United States. Tn return Harland 6, Wolff agree to build no ships for any other firms but those in the combine, except the Hamburg American line, provided the orders of the combine keep the builders works fully and continuously employed
 Harland & Wolff receive from the combine the cost of work plus a com mission on the cost price, in the case of new ships 5 per cent, new machinery in old ships 10 per cent. and repairs 15 per cent. This agreement extends for ten years, and is only terminable thereafter by five-year notice on eith- CT side
 The White Star lines acquisition is anteda ted to January 1, 1901, the trust, or corporation, as it is termed, taking all the lines profits from that date The White Star lines shares are ex- changed on the basis of ten times the t,.. l.. The arrangement made with the Do- minion line is similar to that made with the White Star line, but on the net profits for 1900
 The American and Transport lines are Jumped in one valuation at $3415S 900, 1 subject to $19,6S6, 900 of the American lines per cent. bonds.
 The Leyland line is valued at St1, 736,- 900.
 The method of payment is as follows: White Star line-25 per cent. cash, 75 per cent preferred at par and STE per cent. of the total amount in common at | par.
 The Dominion line payment is exact ly the same, and the American and | Transport lines get between them S18.- 514, ,000 in preferred, $a15700 in common, l s15, ,844 900 in cash and such further cash | as may be required, at rate not ex- ceeding per cent.
 The Leyland line gets $11736, 900 cash | and the remainder in capital stock, and the bonds go to the vendors. who, how ever. contribute to the corporation, as working capital $786,000 in preferred | and $6,643000 in common stock, and "are to transfer it to the syndicate in and | when formed by the bankers, viz, the Morgans, for $5OOO0, 900 cash and in full [ payment for its services the said S50,- poo, 900 in debentures and also $2, 800 010 l in preferred and S25000,000 in common stock.''
 It is provided that the corporation nay take or decline to take any of the ines of which less than three-fourths of their interest shall be delivered by December 31 1902. The exclusion of one inc does not affect the agreement with he others. The vendors agree to use heir best efforts to deliver the neces- sary three-fourths of their companies stocks. The agreements would have ,een broken had not the Morgans form I'd the original syndicate of $50OO0 000 ash prior to April 30, 1902.
 ORDERS FOR FIRST DIVISION |