New-York tribune., 1906-07-13
THE ARM0R PLATE BIDS
Hhy the Carnegie and Bethlehem
Companies Want Part of Contract

washington July 12-President Dinsev OF the
carnegie Steel Company was in conference with
secretary Bonaparte at the Navy Department
To-day concerning the bids on the arn1or nIate
Tor the hattleships South Carolina and Michigan
anu rs SAID TO have reiterated the plea of officers
"a Oie hetnlehem Steel Company for part of the
contract which would be awarded 20 the Mid
Va4e company Of Philadelphia. If the making of
alI the steel were intrusted to the lowest bidder
There were only three bidders for the armor
contract. the Midvale, Carnegie and Bethlehem
companies The Midvale's proposal was to make
ehe steel Tor s345 a ton, while the Bethlehem
company asked 1881 and the Carnegie company
so'o. The last two companies have formerly
onered identical bids. The Midvale company is
independent. The two companies which were
outpid IN the competition are now said to be
"lilihg TO make reductions in prices. and claim
part OF the contract on the ground that they
developed their plants TO make armor on promise
that the navy would support them.
Secretary Bonaparte said to-day that the
award of the armor contract would be made to-
morrow probably, but refused to make any
statement as TO whether he purposed dividing
the contract among the plants equipped for the
work.
For some reason not at present known, the
representatives OF these armor making concerns
Gid not care TO have public attention focused
upon their movements and even went to the
length in case OF denying identity to news
paper men. Secretary Bonaparte, however, saw
no occasion to make mystery of this public COM
petition. and talked frankly about the represen-
tations made to bin. the nature of which has
already been indicated.
II now appears that in addition to the Beth
lehem people, who were at the department yes
terday before the Secretary could see them and
the Carnegie representatives, who were heard to-
ho
lowest bid for the arlnor, was also represented
before Secretary Bonaparte by Mr.. Harrah, its
president who had a long talk with the Secre-
tary He was prepared 10 combat strenuously
the suggestion thrown out by the representa-
tives OF the other companies that his concern
lacked sufficient plant to undertake successfully
the entire contract for armor for the South Car
oltna and the Michigan. and It is understood
that he Is prepared to give any required bond
20 satisfy the government that point.
Charles NJ. Schwab returned to this city yes
terday from Washington, where he had repre-
sented the Bethlehem Steel Company in advo-
eating plan for division OF the contract
10 supply armor plate for the new battleships
South Carolina and Michigan. He said he had
Joined in the request that the Bethlehem and
the Carnegie Steel companies be allowed to fur
nish some of the required armor plate at the
price made by the bid Of the MidvaIe Steel Com
pany. Of Philadelphia
w A4Oe Ni'PU0o TIE AUNT! oL lhe AdluNaie
company to furnish the armor plate" Mr..
Schwab said to Tribune reporter land we
do not find fault with the fact that the Midvale
company underbid We think however that
we should have part of the contract at the Mid
Wales figures. in order that we shall not be
Obliged TO shut down our works. We make the
request for part of the contract at lower terms
than we bid rather than have our works shut
down and be compelled to throw many men out
OF employment That is all there is to say
about it,
Replying to anInQuiry. Mr.. Schwab said that
the Bethlehem @and Carnegie companies had
spent millions in extending their plants for maxi
ing armor to meet the requirements of the
government. This was done he said at the
request of the government. The result has been
that the companies produce armor plate
faster than the government needs 1t, and there
is less profit in its manufacture than in the
other branches of the steel industry.