The Savannah morning news., 1903-12-20

information as other corporations have
been willing to give. 1T is understood
now that the Standard Oil faction in
United States Steel will insist that
reports of what the trust is doing be
discontinued. The publicity feature of
United States Steel is Mr. Morgan's
own idea of what a corporation owes
to the public. The United States SteePs
quarterly reports have been marvels of
frankness and were held by critical
financial writers as a great step for
ward in corporate management. Inc
publication of full reports of the COM
pany's earnings and business has been
greatly appreciated by the public at
large, especially by the large army of
stockholders and their discontinuance
will be deeply deplored. The Standard
Oil people maintain, and not without
justice, that the publication of such re-
ports exposes the affairs of the cor
poration to rivals, influences buyers
and subjects the stock to manipulation.
1t is a singular fact that the stocks of
industrial corporations which do not
publish reports of their earnings, etc,
have made a much better showing in
the market than the stocks of corpora
tions following the example set by the
steel trust. Notable instances of this
are the Standard Oil and American
Sugar Refining stocks. Standard Oil
stock has been steadily appreclating in
value, and Is now on about the high
est level on which 1t has ever rested,
while Sugar only recently had an up
turn in the market advancing Is points,
while other Industrial stocks all around
Ii were collapsing. The United States
Steel report of earnings for the cur
rent quarter will be very disappoint-
ing to the stockholders. 1t is said
that the preferred stock dividends are
barely being earned. 1t is possible that
no report will be made this quarter,
and probably If such report is made
that it will be the last quarterly state
ment issued by the United States Steel
Corporation. The effect of discon-
tinuance Of reports on the stock is
problematical.
The hearing and arguments in the
Northern Securities case by the SUI
preme Court at Washington this week
did not affect the stock market to
nearly the extent predicted by some
observers. Wall street is not easily
excited over a thing that is several
months in the future, and decision
of the United States Supreme Court
win probably not be forthcoming until
early in February. The essential argu-
ments have all been heard before. Opin-
ion in the finacial community is divided
as to the probabilities of favorable
decision. It is perhaps, the more gem
eral expectation that the decision of
the United States Circuit Court of
Minnesota adverse to the merger in
terests will be affirmed by the higher
court. Wall street is much chastened
in spirit as a result of the bear market,
1t sees things in a new light. A year
ago it was confidently believed that
a decision adverse to the merger in
terests would have a most disastrous
effect, but there are able critics to-
day who hold that such a decision
would be a blessing in disguise. They
believe that a decision favorable to
the Northern Securities Company would
infiame popular hostility against mer-
gers of all kinds and stimulate anti
trust legislation to an alarming ex-
tent. Whereas, on the other hand, an
adverse decision would allay the feel
ing that has been aroused against cor
porations. There Is reason to believe
that the Hll-Morgan interests have
been preparing for more than a year,
for an adverse decision. In the event
of the dissolution OF the Northern
Securities Company it is believed that
| the Erie system win be fitted into an
alternative scheme and It has been
suggested even that the properties held
| by the Northern Securities Company
be disposed OF 10 the Erie. The Erie
Is not a competing road, OF course.
| The dissolution CT the Northern Securi-
ties Company, a. all events, would not
4 detract one dollars worth from act~
unI values. The Great Northern,
Il Northern Pacific and Burlington are
! still where they were before.