The Mitchell capital. (Mitchell, Dakota [S.D.]) 1879-1918, 1903-10-02
The Steel TRUST
MAY REORGANIzE
Persistent Report In New York
Is That the Squeezing
Must Begin.
WAR AND RUMORs OF WAR
Great Financial Interests Alleged to Be
R%ealigning Themselves, and the
Street Is Ready for Almost
Anything. IS

New York, Sept. 2s.-Wars of great
financial interests are rumored, a num-
Der of big steel plants have closed and
more are likely to close if rumor Is
true. United States Steel securities
continue their downward course, and
financial New York wonder what will
happen.
Persistent rumor is that United
States Steel is tt be completely reor-
ganized. lis present organization ha
tailed to make good, for the public has
utterly refused to assist in converting
the stocks into bonds.
The immense ~shrinkage in market
values Of these securities since their
high quotations in 1901 is appalling.
Common was quoted it's highest in 1901,
at SIS, preferred at 101B. Yesterday
common went down to 16 and preferred
10 60H. The S per cent. bonds have been
well above par; Friday they touched II.
The shrinkage in values is estimated
at something like this:
common S2Uo, 000,WO
Preferred 200, 0oO, 900
Total .$5UO,0W wv
The securities at their highest quota
tons represented about 81, 100, 900, 900, SO
that a s%hrinkage of $500, 900, 900 or As per
cent. appears on the face of things.
Morgan way SuFTenCeFs
1t is reported a conference of stee
magnateS, at which Morgan was pres
ent, was held up town last night, and
that an important statement may be
given out today. The closing of the big
steel plants is considered ominous.
A belief prevails in financial circles
that Morgan will have to confess his
Inability to manage the steel trust on
Its present basis and hat complete re-
organization will be necessary. Nor
cams attempt to convert steel stock
Into ponds and cash has proved a COM
plete failure.
Stories of d~issens!on between the rep
r~esentatives of leading financial inter-
eStS are again current. 1t is said that
b.. H. Hartman and Kuhn, Loeb & Co.
were selling the stocks in which they
and Hartman had a mutual interest,
and MIR. Hartman is said to have
threatened to resign as president Of the
Union Pacific system and throw in his
interests with Morgan and his party.
The lights burned in the Office of ].
P. Morgan & Co., at Broad and Well
streets, until after Z o'clock IN Wednes-
day evening. A cab stood in front OF
the door, a solitary policeman paced
up and down in front and the few lat
home-goers who passed through Broad
street, saw behind the draW curtains
~silhouettes which strikingly resemble6
the outlines of the great banker anc
his partners.
Street Was Worried.
A conference Of great Importance wal
evidently going on, and brokers who ar.
always ready to frame ingenious con
lectures, saw something ominous in it
1t is seldom h a Morgan stays at hi
office later than 5 o'clock. He some
times remains until 6, when he has i'm
portant business but only a few time
In recent years has he stayed as lat
as on Wednesday.
Wall street noted the fact that tn
late conference at the great packing
house on Wednesday was followed by
drop of several points in the Morgan
securities. 1t has since TRANSFERRED tina
E. H. Hartman a at the conferenc
but Wall street is puzzled to know VIII,
,tthis should have had any effect on tn
Morgan securities.
The intimation has been given GU
that Mr.. Hartman is to become tn
director Of the Erie, and that a har
mony agreement between the Unio
Pacific and the Northern Securitie
company is to be patched up. But thi
does not explain the selling Of the Nor
gan stocks.
1t is sal that Mr.. Morgan himself
as much surprised as the public at tn
weakness of steel. Many of his clerk
are said to lave bought steel commo
at rs, believing it a splendid invest