The Washington times., 1903-01-01

NEW YORK. Jan. THE United
States Steel Cooperation through J. P.
Morgan & Co. its fiscal agents. yester-
day afternoon Issued two circulars en-
bodyfng q plan for the distribution Of
profits among its employees and for en-
abling them to become stockholders in
the corporation Itself. which are in many
respects the most remarkable documents
Of the kind ever sent out in the financial
district.
Wall Street men who studied the cir
cuIars last night were puzzled as to
whether they indicated q broad spirit Of
philanthropy upon the part of the cor
poratton or concealed shrewd scheme
for working OF an enormous surplus Of
steel stock. at which the public has
baked, on the employees of the great cor
poration.
The circulars are signed by George W.
Perkins, who besides being partner in
the firm OF J. P. Morgan has the repu-
tation Of being one of the shrewdest life
policy writer's in the United States Mr..
Perkins is vice president Of the New
York Lie Insurance Company.
One of the most interesting discIos-
ures in the circular is the announce
ment that the salary of President
schwab. Of the United States Steel Cor
poratioH, is only 500. 600 z year This
proves that the stories OF the fabulous
sums which Mr. Schwab has been re-
ceiving as president OF the biIIion-doIIar
corporation have been gross exaggera-
~
been made that his salary was no less
than 100000 a year.
Offer 10 Employees.
One OF the circulars issued Yesterday
is addressed 10 the officers and en-
ployes OF the United States Steel Cor
poration and of its subsidiary compa-
MES. This circular states that for sew
eral months the finance committee has
been engaged in perfecting a plan de-
signed TO make It TO the interest OF the
employees TO become preferred stock
holders af-the corporation
The plan Of distribution Is divided into
two parts. From the earnings of the
corporation during the year 1902 there
has been set aside at least g, 600 600 for
the purchase Of at least % 900 shares of
the corporations preferred stock for the
purpose Of selling the stock to The 6g.-
coo employees. These employees ara df-
vided into six classes, as follows: Glass
A. men who receive 500, 900 a year or
over; Glass B, those who receive 1000
to $1,000 a year; Glass c, those who
receive 5000 to $4,000 a year; Glass
D. those who receive &. 500 to $1,000 a
K
70 $500 year. and Glass F, those VINO
receive $500 year or less
During the month Of January. 1863.
the employees viii be allowed 10 sub
scribe 10 the preferred stock at $50. 80 q
share. The stock yesterday solo as high
as $50 q share. but last month it sold
down as low as SIS a share. 1t is in
teresting TO Wall Street to 1now that
Mr. Perkins fixes the equitable price OF
Steel preferred at Ss2.5O per share.
Given Three Years to Pay.
During the month Of January class A
men may subscribe 70 an amount OF
stock equal 10 per cent Of their annual
salary, class B TO s per cent, class c 10
10 per cent, class D 10 y per cent, class
E 10 IS per cent. and class F TO 20 per
cent. Payments OF The subscriptions
must be made in monthly installments,
10 be deducted from the wages or salary
OF the subscriber in such amounts as he
may desire. not TO exceed %. pei. cent o.
any one months salary or wages A
man may take as long as he chooses. not
exceeding three years, TO pay for his
stock
Dividends on the stock viii 20 TO The
subscriber from the date when he com
mences 20 make payments. As soon as
the stock has been paid for il viii be
issued ia the name OF the original sub
scribeT. and he can sell II al any time
he chooses. but as an indueement for
him TO keep IL and remain an empIoye
OF the corporation the following offer is
made:
If he VIII no. sell Or part with the
stock. but VIII keep il. and in January
OF each year. Cor I've years. commencing
with January. 1904. VIII exhibit the GER
tiaeate 10 the treasurer of his company.
together with letter from a proper Of
fetal. TO the erect that he has been con
tiuucusiy in The employ OF the corpora
tion and has shown proper interest in
its welfare and progress, he viii. during
each Of such FIVE years. receive checks
al the rate OF 50 share per year"
This is equivalent 60 an extra dlvi-