The Indianapolis journal. [volume] (Indianapolis [Ind.]) 1867-1904, 1902-04-21
He Also Says That the ship Subsidy
Bill. il Passed, VIII Have Com
paratively Little Bearing.
THE METHODS OF OPERATION
WILL BE DESIGNED TO FOSTER ALL
THE LINES AMALGAMATED.
Liverpool Not to BE Abandoned as
Passenger POrt-Cheaper and Bet
ter Travel to BE Assured.

PHILADELPHIA, April 9.-Clement A
Griscom, president OF the International
Navigation Company. one of the five trans
atlantic steamship companies which have
been merged under the direction of ]. p.
Morgan to-day talked freely concerning
the consolidation, its purposes and probable
effects. Mr.. Griscom said he was unable TO
speak definitely regarding the financial
plan. as that was a matter for the consid-
Grafton of Mr.. Morgan and his partners.
which will be decided upon probably within
the next two weeks. In any event. Presi-
dent Griscom said, the consolidated COM
panies probably would be i'm operation un-
der the new conditions within a few
months.
So far as the negotiations regarding the
merger are concerned they have been COM
pleted. Agreements for a controlling inter-
est in each of the various lines have bcsq
secured and all that remains TO be
accomplished is the organization OF the
holding or parent company. This matter IS
now in the hands of J. p. Morgan * Co.
and their lawyers. II is possible. though hy
no means certain, that the International
Navigation Company, whose chartered
powers are very broad, will be made the
parent company. The question now under
consideration is the desirability of this plan
as against the organization Of entirely
new company to control the operations OF
the combined steamship lines. The puo-
lished statements 20 the financial basis
Of the combine. Mr.. Grscom said, were
entirely speculative, that detail had not
as yet been completed.
"The capitalization Of the consolidated
companies" said Mr.. Griscom, will be In
the neighborhOod OF 500, 0.0O0 which sum
about represents the property absorbed.
Working capital, of course. will be pro-
vided and the profits and reserve fund
should enable US to build the necessary ad-
ditions to our fleets While control OF the
company will be held i'm this country. il will
be strictly international organization, tos-
tering the various companies included in
the consolidation, preserving their au-
tonomy and respecting their national and
local surroundings.
THE object of the combination" contin-
ued Mr.. Griscom. lis to try TO give better
transatlantic service at a decreased cost.
Heretofore the trade has been extrava-
gantIy conducted and we propose 10 oper-
ate more intelligently in the future. We
expect in time TO inaugurate a system OF
daily departures from New York, an innO-
walton that is a real necessity.
There is no political significance In this
deal The negotiations have covered a
period Of many years. and was interested
in the subject far back as 1884. The
passage of the ship subsidy bill would have
but one effect so far as the new enterprise
is concerned. II would enable TO sail
ships now building and hereafter built un-
der the American flag on an equal footing
with the ships of other countries The
published statements that the ship subsidy
bill would enable to sail our foreign
vessels under the stars and stripes are In
correct the bill specifically states that
only American-built ships can benefit by
/ it's provisions, and Furthermore, such A
course. If POSSIBLE, is contrary TO the whole
scheme. We have existing only four small
vessels that might benefit by the passage
Of this bill, and they are on the Pacific.
/ While i'm the coastwise trade, I'm which they
are now engaged the provisions OF the bill
I would not apply 10 them. After our present
/ mail contract expires the four American
\ transatlantic linC of the international
/ Navigation Company are eligible for new
/ contract either under the present postal
/ law or under any new act that might be
| passed by Congress.
Mr. Griscom denied the published state
ment that Liverpool would be abandoned
/ as a passenger port. He said that ques-
tion had not been discussed. Every port ("
/ he said will be developed along the lines
/ 10 which each port is best adapted. We
! management" Mr.. Griscom said IL was
possible the company would carry its own
] insurance.
]
\ com will result in better transatlantic
/ service. steadier and more uniform rates,
/ a lust distribution of traffic over all Ameri-
l can and Canadian seaports, increased lines
/ on the Pacific and services 10 South Amer
\ lea as traffic may be found 20 Justify them.
/ Having lines between Great Britain and
/ Australia and New Zealand and intimate
/ connections with the far East. American
| manufacturers will be able 10 distribute
/ their products on through bills OF lading
/ and avoid the expense OF transshipments
/ which they now incur.
''The products OF the farm will be shipped
/ from the seaport most convenient 20 the
( point of production. In a word. n Is In
| tended to reduce transportation charges as
I far as possible TO every one and 10 i'm
I prove facilities. The company expects 20
/ make its increased profits over the ccndi-
tions Of the past from economical manage
/ ment.
/ ITO what extent these new services VIII
/ be conducted by steamships built I'm this
| country and sailed under the American flag
/ depends upon Congress.