The Scranton tribune. [volume] (Scranton, Pa.) 1891-1910, 1902-04-21
BY Exclusive Wire from The Associated Press.

BY Exclusive Wire from The Associated Press.
Philadelphia, April Excitement A.
Griscom, president of the international
Navigation company, one of the five
transatlantic steamship companies
which have been merged under the di-
rcction of j. Pierpont Morgan. today
talked freely concerning the consolida-
tiOn, its purposes and probable effects.
Mr.. Griscom said that he was unable
to speak definitely regarding the tlnan-
cial plan, as that was matter for
the consideration Of Mr.. Morgan and
his partners, which will. perhaps. be
decided upon within the next two
weeks. In any event, Mr.. GriscOm
said. the consoida ted companies would
probably be in operation under the
new conditions within few months.
So far as the negotiations regarding
the merger are concerned. they have
been completed. Agreements for Il
controlling interest in each of the var
ious lines have been secured and all
that now remains to be accomplished
is the organization of the holding or
parent company. This matter is now
III the hands Of j. p. Morgan e. Co. and
their lawyers.
1t is possible, though by no means
certain, that the International Naviga-
tion company, whose chartered powers
are very broad, will be made the par
ent company. The question now under
consideration is the desirability of this
plan as against the organization Of an
entirely new company to control the
operations of the combined steamship
lines.
The published statements as to the
financial basis of the combine. Mr..
Griscom said, We're entirely speculative.
as that detail had not as yet been COM
pleted.
1.-The capitalization of the CONSOLE
dated companies" said Mr.. Griscom,
will be in the neighborhoOd of s200,OOO.-
600, which sum about represents the
property absorbed. Working capital.
Of course. will be provided, and the
profits and reserve fund should en-
able us to build the necessary addi-
tions to our fleets. While control of
the company will be held in this coun-
try, it will be a strictly international
organization, fostering the various
companies included in the consolida-
tion, preserving their autonomy and
rOundings.
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 the future. We expect, in time, to
lnaugurate a system of daily depar-
from, NaN, VnrlS io,,
that is a real necessity.
No Political Significance.
''There is no political significance in
this deal. The negotiations have cover
ed period of many years and l was
interested in the plan as far back as
1854. The passage of the ship subsidy
bill would have but one effect so far
as the new enterprise is concerned. 1t
would enable us to sail ships now build
ing and hereafter built under the
American flag on an equal footing with
the ships of other countries. The pub
lished statements that the ship subsidy
bill would enable us to sail our foreign
vessels upder the stars and stripes
are not correct as the bill specifical-
ly states that only American built ships
can benefit by it's provisions and. fur
thermore, such IL course, if possible, is
contrary to the whole scheme.
1--WE have existing only four small
vessels that might benefit by the pas
sage of this bill, and they are on the
Pacific. While In the coastwise trade
in which they are now engaged, the
provisions Of the bill would not apply to
them. After our present mail contract
expires the four American trans-Atlan-
tic liners OF the International Nuviga-
tion company are eligible for IL new
contract either under the present pos
tai law or under any new act that
might be passed by congress-
Mr.. Griscom denied the published
statement that Liverpool would be
abandoned as II passenger port lie
said that question had not been dis
cussed.
every port" he said, 'wil! he de-
veloped along the lines to which each
port is best adapted. We will establish
an economic and sensible management.
Mr.. Griscom said it was possible the
company would carry its own lnsur-
Ance.
THE consolidation" declared Mr..
sriscom. will result in better trans
Atlantic service, steadier and more uni |
orm rates, a just distribution of traf-
ic over all American and Canadian sea-
ports, increased lines on the Pacific and
Iervices to South America as traffic
may be found to justify them. Having
lines between Great Britain and Aus
tralia and New Zealand, and intimate
connections with the Far East, Ameri- |
can manufacturers will be able to dis
tribute their products OH through bills |
of lading and avoid the expense of |
trans-shipments which they now incur
THE products Of the farm will be
shipped from the seaport most conven-
lent to the point of production. In
a word, II Is intended 10 reduce trans
portation charges as far as possible to |
every one; TO improve facilities. and |
the company expects to make its in |
creased profits over the conditions of |
the past from economical management. |
TO what extent these new services
VIII be conducted by steamships built
In this country and sailing under the
American nag depends upon congress-"