The times dispatch. [volume] (Richmond, Va.) 1903-1914, 1905-02-19
SUCCESS PLAN
IS. NOW ASSURED 5 81. R. ID
Reports Of Gigantic Southern
Combination Have @Substar- I'll
\ M tialNBasis sil@tI1act.s ..,-
Special to The Times ispntch)

5N54 tSpeC1a
NEW YORK, Feb. 1S.--Definttc con-
nrmaton was obtained yesterday that
the recent reports Of a glgantio consolt7e
dalton Of the leading coal, iron and steel
properties in the Birmingham district
have substantial basis In fact. It was
learned that negotiations have been
quietly carried on for several months, and
that the success OF the, plan seems now
reasonably ellFnssured. The plan is an;
ambitious one, and aims at q possible
consolidation of practically all &the Lead.
Ing coal, iron and steel producers in the
southern terrltory.
| There Is good deal ofSnlystery re-
garding Observation-Disclosures back of the
plan. The Southern Railway interests
are supposed to Defending the weight OF
their support to tho proposed consollda-s
ton. The Southern Railway would be
yitally interested sinaany change Of own
crship Of these properties. owing to the
large amount or traffic which 1t receives
from the Birmingham district. Interests
Identified with this company are supposed
10 have recently acquired a large interest
in the Tennessee Coal and Iron Company
!, III Several conferences have been held this
week between the leading officials or L e
southern iron and steel companies.
| Il
! tinue to be held every day in an effort
| to arrive at q mutually satisfactory basis
FOR tho proposed consolidation. While
Interests in position to speak with aus
! thorty are extremely reticent, IL is So sald
that satisfactory progress Is being made
IT. G.. Bush, president OF tho Alabama
consolidated Coal and Iron Company,
has been In this city since last ThursdaS
| It is said that he will hold q conference
! -, l,o1 ru S.lf
| tho other Southern coal, iron and steel
| companies. Among those who are en-
1 nccted to attend this conference arc j, g.
| Mabin, president Of the Sloss- Shefiled
| Company; Don NJ. Bacon, president OF
| the Tennessee Coal and Iron. Company;
III. n Beechcr, secretary and treasurer
Of the same company. and ALEXIS W,
thompson, president Of tho Republic IRON
/ land Steel Company,
IT Is believed that through q CONSOLE
| dntion Of the leading coal. Iron and steel
! companies in the Birmingham district It
would be possible to effect extensive econ-
/ on,ies and that II would have q isteadylng
effect upon the industry.
The United States steel Corporation IS
! pointed to as evidence OF the great adj
/ yantages Of consolidation. ] t IS sad thnt
/ through the organization OF this company
4 something like sl4,oo0000 Is saved each
4 year OH VIZ Nv u''f'e's - SNPi'' y, =.
! II IS believed that similar economies
i would he possible through q consolidation
! OF tho leading Southern coal. iron and
/ steel companies.
| HIt5is understood that the proposed con-
i solIdation contemplates the raising OF g
4 large amount of new capital a lack OF
1 sufficient capital to develop their 5prop-
orties has been tho principal obstacle
which has stood In the way OF the pro-
! gress of the Southern companies IN the
!. past Considering the enormous yalue
4 Of the resources these companies control
A they have never been able to make as
good a showing Of earning power as
might have reasonably been expected
1t is believed that With an aggressive
centralized management, and with large
amount OF working capital. the earnings
OF these companies can be enormously
Increased. @