Audubon Republican. [volume] (Audubon, Iowa) 1894-1925, 1902-10-02
PACKING MERGER
IS CLOSE At HAND.
Tight Money Market Delays
the Consolidation for a
Short Time.
SECURE SMALLER CONCERNS
Armour and Swift Control the Anglo
American and Hammond Plants,
Thus Putting the Entire Industry In
the Hands Of the Combine

New York, Sept. 29.-Consolidation
of the Chicago packing-house has not
been abandoned; It Is simply deferred
until the money market becomes cas-
Ter. Representatives of the three big
interests have been in this city ar
ranging for the fotation of gigantic
merger. 1t was admitted by interests
connected with the deal that the mer.
ger is liable TO take place any time
between Nov. and Jan. 1, and will
be of date of Oct 1. That Is, the
various businesses will be operated in
harmony from that date, awaiting
the practical consolidation.
City Bank to underwrite.
This was the result Of series OF
conferences held with James Still
man, president Of the City bank Of
New York, which is the head of a
syndicate that has accepted the un.
derwriting of the merger. The pack.
ers we're represented at the confer
ences by J. Ogden Armour, p. A. Val
entine and Arthur Meeker of Armour
& Co.; Z. +. Swift of Chicago and 4.
G. Swift Of Boston, representing Swift
& Co., and Edwin Morris, represent
ing Nelson Morris.
These men came to New York ex.
pecting to complete the deal. The
financial affairs had all been arranged
a month or two ago, but the tight.
ness of the money market rendered II
impossible to furnish the $4,000, 900
which II is said is required to swing
the merger.
Morgan 10 Mentioned.
There was disposition on the part
of the banking interests to make good
the promise, but when the packers
were asked to defer the matter they
willingly agreed to do SO. It was felt
that to take the money out of the
market at this time would result in
a depression of the speculative stocks
and jar number of interests that are
well disposed to the packers.
The connection of the City bank
with the project indicates Morgan in
terest in the combine, for the bank
is the leading Morgan institution. Its
Chicago connections are the First Ma
tional bank and the Illinois Trust and
Savings bank. President John J..
Mitchell of the latter institution came
TO New York with some of the pack
ers TO assist in closing up the COM
bination. He returned when 1t be-
came evident that postpouement was
inevitable.
1t is denied emphatically that Pres
ident Roosevelt's antitrust declara-
tions have influenced the action Of the
packers.
Capital is Immense.
The total capitalization of the mer.
ger Is reported at from $100.000,000 to
s125, 900. but none of the parties in
terested will give any definite advance
information.
The process of securing the smaller
concerns that have been in active
competition Is completed. The two
principal interests thus secured are
the Anglo-American and Hammond 4
Co.. Swift taking over the first and
Armour the second. The transfer here
week or two ago Of si,000,000 Of
Armour money was to pay for Ham
mond stock held by some Of the banks,
and indirectly 1t was contribution
to the money market, as 1t released
that amount of funds tied up by the
stock Of Hammond & Co. The pur-
chase of the Anglo-American company
Is TO be completed Oct l by Swift &
Compapy