The Birmingham age-herald., 1906-01-06
MERGER PLANS NOT
 YET CRYSTALTZED
coNTRoLL- ED BY SAME INTERESTS BUT CONSOLIDATION SEEMS TO BE FAR OFF AS EVER.
The Wall street summary says:

The Wall street summary says:
 The long -talked-of merger of the South ern iron companies seems to be as far in the future as ever, notwithstanding re- cent developments marketwise in those properties. Interests identified with both the Republic Iron and Steel company and the Tennessee Coal and Iron company say that the matter of a combination or mer- ger of those two properties has never been considered or discussed, unless in the most informal and general way.
 So far as the Tennessee Coal and Iron company Is concerned, the control was bought up In the open market, not for merger purposes, but solely as a manufac- turing proposition The steel and iron men who are now in the directory have long had their eyes on this particular property and the more they studied it the more they were convinced that 1t was one with infinite possibilities. They real ized that much more could be gotten out of the property by a more liberal man agement, and one with more faith in the future of the country and of the Iron in- dustry in particular. They estimated that if the iron ore properties of the United States Steel corporation in the Messaba range and Lake Superior regions were as valuable as that corporation contend ed, then the enormous tonnage owned outright by the Tennessee Coal and Iron company was of even far greater value, and the opportunity for improving the property and enlarging it's earning power was something that had never been prop erly and fully realized by the old own CTS of the company
 It occurred to two or three men who were well posted on the iron and steel in- dustry that the Tennessee Coal and Iron proposition was one well worth handling. Without consulting with others they be- gan a well-planned campaign for the pur- chase of the control in the open market, but picking up here and there consider able quantities at private sale When they were ready they informed several other financially strong individuals that they could come in on the same basis with themselves if they chose. These invited interests were quick to take the propor- tion allotted to them, namely one-tenth each. Among the latter was John W. Gates. He had little or nothing to do with the scheme originally it Is authorl- tatively stated, but was invited to come in and did so
 The new owners of the property have not fully determined what their next step will be, or what further changes may be made in the personnel of the com pany. That they will soon begin a more aggressive management stands to req son, while the subject of a merger is not likely to be seriously considered for some time to come if ever.
 That the Republic Iron and Steel com pany also recently changed hands. falling into the control of John W. Gates and his friends, 1t is declared was but a coincidence. happening as it did at nearly the same time as the change of control of the Tennessee Coal Iron and Railroad company. As the interest in both com panies were very friendly it was but nat ural that each should invite the other to participate In their special scheme with the result that practically the same Ir terests now control both companies. The new management of the Republic has effected it's plans so far as to be able to state that the company will very short ly erect large wire mill at it's northern plant and will in the near future con struct steel making plant in the south The details of the plans are not yet fully worked out, but are under careful con
 
 lie before a great while.
 One of the troubles with both these companies has been the lack of capital with which to carry out any large and comprehensive scheme of enlargement and improvement But this defect will be entirely eliminated with the present man agement for not only are the new owners all or nearly all experts in the iron and steel industry, but are each of them very wealthy and able to respond financially to any requirements of the company. Among the new directors are Leonard Hanna of Cleveland, who is regarded as one Of the strongest and best-informed men in the iron and steel business in the United States.
 So Tar as the Sloss-Sheffield company is concerned. 1t Is stated with sreat enn- phasis that the controlling interests have had nothing to do with that property or us stock, and that all reports that they have been buying are untrue.