The Republican. [volume] (Oakland, Md.) 1877-current, 1903-01-08
BIG CONSOLIDATION OF COAL INTERESTS.
The Baltimore and Ohio Railroad Effects
Massive Financial Coup by Combin-
ing the Properties of the Fairmont,
Somerset ana Consolidation Coal


ing tho OF IIst
Somerset ana Consolidation Coal
Companies.
BALTIMORE, Jan. Cone of the
most gigantic soft coal deals ever con
summated was that effected to-day in
the offices of the Consolidation Coal
Company in the Continental Trust
Building in Baltimore, whereby the
Consolidation Coal Company acquir-
ed controlling interest in the Fair
mont Coal Company and the Somer-
set Coal Company, two of the largest
producers of soft coal in West Virgin
ia and Pennsylvania, respectively.
1t is deal which involves many
millions of dollars and insures to the
Baltimore & Ohio railroad, the inter
ests of which are identical with those
of the Consolidation Coal Company,
virtual control of the eastern soft coal
trade. AS part of the agreement to
this immense community of inter
ests" the two companies absorbed by
the Consolidation Company were al
lowed representation in the active
management of the ombination. Mr..
Clarence W. Watson, president of the
Fairmont Coal Company, was chosen
president of the new combination at
to-day's meeting, while G. K. Lord,
the president of the Consolidation
was elected to the responsible Office
of chairman of the board of directors.
In this capacity Mr.. Lord will be Civ
en- ample opportunity to further dis
play his executive genius, which has
already won for him an exalted sta
ton among the American Captains OF
Industry. His management of the
Consolidation Coal Company has
been remarkably successful, clearly
denoting his ability in the control of
a vast enterprise.
10 convey an idea of the greatness
OF this commercial undertaking, as
formulated today, few details may
not be amiss. The Fairmont Coal
Company was formed June IS, 1901,
with G. w. Watson, whose father was
the pioneer coal operator in the Fair
mont region, as it's president. The
company is capitalized at $4,000, 900,
the major portion of which was sup
piled by Eastern capitalists, among
whom may be mentioned, Charles 7.
Barney, president of the Knicker-
booker Trust Company, of New York
James L. Gardiner, vice president of
the Erie railroad; George W. Young,
vice president of the United States
Mortgage and Trust Company; Aug
ust Belmont, the great New York
banker; W. NJ. Baldwin, jr., president
of the Long Island railroad, and w.
L.. Oakman, president of the Guaran-
ty Trust Company, of New York.
The company has capacity of g.
100000 tons annually. 1t has 60, 900
acres Of coal land in the Fairmont re-
gion alone and it controls the Clarks-
burg Fuel Company and the Somer-
set Coal Company, with an additional
coal acreage of so, 900 acres. The Fair
mont Coal Company employees 5000
miners, and has 100 employees in its
general offices at Fairmont. Further
more, it owns 5000 coal cars and ships
coal not only to the eastern seaboard
but to the Great Lakes region as well.
The Fairmont Company produces i'm
mense quantities of coke, owning sew
eral hundred ovens in addition to so
collieries and mines.
The Consolidation Coal Company is
the largest coal corpora ton in Mary
land. 1t owns $4,000 acres of coal
land in the Georges Creek region
and has 10000 acres of undeveloped
coal land in the Somerset district.
The annual coal output of the COM
pany is 2,250,0 tons.
The Somerset Coal Company owns
very extensive and valuable interests
in Somerset county, Pa, and its out
put almost equals that of the Consol-
idation Company.
PiSfiOoo III may D6
cleaned that the annual capacity of
the new community of interests
will be about 100000 tons, or three
fourths of the output of the entire
State of West Virginia. The value of
the property interests of the combi-
nation is assuredly not less than fifty
millions. Withal it is venture, quite
beyond the comprehension of the Law
mind, because of it's broad financial
scope, yet inviting speculation and
comparison for the reason cited. One
inference to be drawn from the COM
bination is that the Baltimore and
Ohio in its conflict with the Wabash
has gained a powerful point of want
age.
FAIRMoNT, w. VA, Jan. 6 One of
the largest transactions in the history
OF the coal business in West Virginia
was announced today at Fairmont.
that the Fairmont Coal Company, of
Fairmont, w. Va; the Consolidation
Coal Company, of Cumberland, Md.
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