The Providence news. (Providence [R.I.]) 1891-1906, 1902-04-21
President Of International Co,
Talks Of Its Purposes.
CAPITAL MAY Be s2Oo,OoOlooO
Working Capital 10 Be PrsVidsd-profIts
and Reserve Funds Should Enable Com
pany 10 Build Additions 10 Flats.

Philadelphia, April I.-Clement A. Girls
com, president OF the international Nav-
CATION company, one OF the five trans
Atlantic steamship companies which have
been merged under the direction OF j. l..
Morgan. talked freely concerning the con-
soIidation, its purposes and probable ef-
fects.
Mr.. Griscom said he was unable 10
speak definitely regarding the financial
plan, as that was a matter for the con-
sidoration OF Mr.. Morgan and his part
ners which will. perhaps. be DECIDED
upon within the next two weeks. In any
event President Griscom said, the con-
solidated companies would probably be i'm
operation under the new conditions with
In few months
So far as the negotiations regardlng
the merger arc concerned, they have been
completed. Agreements for a controlling
interest i'm each of the various lines have
been secured and ali that now remains 70
be accomplished is the organization of the
holding or parent company Ihis matter
is now in the hands OF j. +. Morgan & co.
and their lawyers.
THE PARENT COMPANY.
Ii is possible. though by no means GER
tain. that the International Navigation
company. whose chartered powers are
very broad, Will be made the parent COM
pany.
The question now under consideration Is
the desirability of this plan as against
the organization Of am entirely new com
pany To control the operations OF the
combined steamship lines. The published
statements as TO the financial basis OF the
combine. Mr.. Griscom said were entirely
speculative, as that detail had not as
yet been completed
'The capitalization OF the consolidated
companies" said Mr.. Griscom. will be
I'm the neighborhood OF s20OOoo,0oo. which
sum about represents the property alb
sorbed Working capital, of course, Will
be provided. and the profits and reserve
sary additions TO our fleets.
while control of the company will be
held I'm this country il will be strictly
international organization, fostering the
various companies included I'm the consoli-
dation. preserving their autonomy and
respecting their national and local sur
roundings.
PURPOSE OF COMBINE.
THE object OF the combination" con-
tinued Mr.. Griscom, lis to try TO give
better transatlantic service at de-
creased cost. Heretofore the trade has
been extravagantly conducted. and we
propose to operate more intelligently In
rate a system OF daily departures from
New York. an innovation that is a real
innovation.
There is no political significance In
this Zeal The negotiations have covered
n period Of many years, and was inter
ested in the subject as far back as 1881;
would have but one effect. so far as the
new enterprise Is concerned: IL would
enable us to sail ships now building ana
hereafter built under the American flag
on an equal footing with the ships of
other countries.
"The published statements that the ship
subsidy bill would enable us 10 sail our
foreign vessels under the Stars and
Stripes are incorrect as the bill specih-
cally states that only American built
ships can benefit by it's provisions. and
Furthermore. such course II possible,
is contrary to the whole scheme.
1--WE have existing only four small ves-
sells that might benefit by the passage OF
this dill. and they are on the Pacific.
While i'm the coastwise trade in which
they are now engaged. the provisions OF
the bill would not apply 10 them.
After our present mall contract ex-
pires the four American transatlantic
lines OF the international Navigate
company are eligible for a new contract
either under the present postal law or
under any new act that might be passed
by congress
MAKES A DENIAL
Mr.. Griscom denied the published state
ment that Liverpool would he abandoned
as a passenger port. He said that ques-
ton had not been discussed
Every port" he said. will be devel-
oped along the lines to which each port
is best adapted. We viii establish an
economic and sensible management"
Mr.. Griscom said IL was possible the
company would carry its own insurance.
"'The consolidation" declared Mr.. Girls
com. will result I'm better transatlantic
service steadier and more uniform rates,
lust distribution of traffic over all
American and Canadian seaports In
creased lines on the Pacific and services
To South America as traffic may be found
10 Justify them. Having done this be-
tween Great Britain and Australia and
New Zealand and intimate connections
with tha Far East. American manufac-
turers will be able 20 distribute their
nroducts on through bills OF lading. and
avoid the expense OF trans-shipments
which they now incur.