The National tribune., 1906-07-19
A FURRY IN ARMoR PLATE.

AnuOt f-IsAIH.
Last week there was a furry among
the iron and steel men which for while
obscured the Rate bill and the Meat
Packers inspection. The Government
has for number OF years been getting
its armor plate for the war vessels from
two firms in Pennsylvania. the Carnegie
and the Bethlehem Companies. and has
been paying the highest possible price
for it. much to the discomfort of num-
ber of members of Congress who have
at times Numbered quite loudly a. to-
the extortion of those companies. The
only remedy seemed to be the estab
lishment of an armor-plate factory by
the Government, which would cost some
millions of dollars, and there were grave
doubts as to whether 1t could be oper-
ated as cheaply as the Pennsylvania
plants. Both companies made bids Of
practically the same rate and approxi-
mating s400 a ton, in addition to which
the Government had to pay s32 ton
for the privilege of using the Krupp
process of hardening steel. 1t was posi-
lively claimed that this was the only
process that would do the work and fit
the plates for a protection to our costly
war vessels A few years ago the Mid
vale Steel Co, of Philadelphia, entered
the contest and tried to secure slice
of the business, but though its bids were
lower, Secretary Morton declined to give
it any contracts on the ground that it
was not prepared TO furnish the quality
and amount of plate required. This was
done again last year, but the Midvale
Co. made such vigorous protest that
it was at last awarded contract for
1000 of the 5000 tons required. This
permitted the company to demonstrate,
which 1t has done, that it can furnish
plate of quite as good quality as that
from the rival establishments. 1t uses
process of it's own which under test
has given as satisfactory results. If not
more so, than the Krupp process. This
year there were to be contracts given
out for the armor for the battleships
Michigan and the South Carolina, ag-
gregating 1928 tons. The Carnegie Co.
made a bid of s2.733,56O, which was on
hem Co. bid 1891 a ton. The Midvale
Co. put in a bid of s345 ton. This,
counting the royalty on the Krupp proc
ess, was nearly 800 a ton saving to the
Government. When the bids were open
ed there was intense excitement in the
management of the rival companies, and
their Presidents and other officers hur-
ried to Washington for consultation with
the Secretary of the Navy. The most
earnest arguments were used to support
the claim that there was virtual con-
tract with these concerns by Secretary
Whitney to the effect that if they would
enlarge their plants and equip them for
manufacturing armor plate they would
be given contracts from year to year
which would justify them in going to
this expense. If the contracts were
taken away from them it would throw
many thousands of skilled workers out
of employment and produce other un-
welcome results. The negotiations and
arguments occupied the whole week,
and finally resulted in Secretary Bona
parte awarding one-half of the con-
tracts to the Carnegie and Bethlehem
Cos. and the other to the Midvale Steel
Co. There were several reasons for di-
viding the work, the first being doubt
whether the Midvale Co. is as yet prop
erly equipped for SO large contract,
and the other that it was good business
policy to have three separate establish
mentS furnishing armor plate, so that
the Government would not be put into
hole by one of them burning down or
becoming otherwise disabled. Not the
least reason for congratulation upon
the good result is that the Government
Is no longer dependent upon the Krupp
process for its armor plate, and that
quite as good results are obtainable by
a process completely under the control
of Americans.