The Salt Lake herald. [volume] (Salt Lake City [Utah]) 1870-1909, 1906-03-14
NEGOTIATIONS
ARE BROKEN OFF
Daniel Guggenheim and Samuel
Newhouse Fail to Agree on Val
ue Of Bingham Mines.
THEY PART GOOD FRIENDS
AND MAY TRY CONCLUSIONS
AGAIN.

Negotiations looking to the merger
of the Utah Copper and Boston Con-
solidated were abruptly terminated late
Monday evening, when Daniel Guggen-
helm and Samuel Newhouse mutually
agreed to disagree on some Of the most
vital points for which each side was
contending. Whether negotiations will
again be opened is doubtful, as both
sides acknowledge that the differences
are too great for either to hope for a
satisfactory adjustment.
"I want to say" explained Mr. New
house, who had been asked by Mr..
Guggenheim to indicate what news
should be given to the press, that
there is nothing at all personal connect
ed with this matter in relation to the
termination of merger negotiations.
There has been not the slightest fric-
ton between Mr.. Guggenheim and my
self during the progress Of negotiations.
We had not reached a point in h ne
gOtiatiOns where the price was being
debated, nOr had the Cactus been con
sidered in any way. h difference be
tween US has had to do only with the
relative value Of the two properties, the
Boston Consolidated and Utah Copper,
as it relates to tonnage and similar
matters. I do not blame Mr.. Guggen-
UclIIl LOI Wanting u IAidhG q OCaA vi
terms Of his liking, and l am sure that
he does not harbor any i'll feeling owe
the attitude which I have taken It
has simply BEEN a matter of business
with each Of US"
AS o o as he found that it would be
impossible to reach an understanding,
Mr.. NewhOuse wired some of the larg-
est interests in his company the result
Of negotiations. Yesterday he received
replies, all indicating that the utmost
confidence was repOsed in him and his
management of the Boston COnsOli-
dated properties.
Asked whether the break in negotia-
tons would have any effect on the pur-
poses of the company with respect to
the building of the great milling plant
near the site of the American Smelling
works at Garfield, MI. Newhouse said
il would not.
This deal has merely been an incl
dem in the affairs of the Boston Con-
sOIdated company, at best he said.
TT has never for a moment interfered
with the plans previously laid out, and
it will not. The Boston Consolidated,
the Utah Gopher and the American
company are all interested together in
the town of Garfield, the waterwOrks
etc, and the miIlsites have
been selected. The Boston Consolidated
has at its disposal the 1 ,250,0 600 secured
through a DOn0 issue, ana the COIL
pany will go about its business just as
though a merger had never been sug-
geSted by the Guggenheim people The
Utah Copper property is a magn1t1-
cent one: I have nothing to say against
It. SO is the Boston Consolidated Both
are big enough to go it alone So far
as we are concerned. we are perfectly
cOntented to do so. The world does not
vet appreciate the value Of h Boston
Consolidated, and 1t will hardly be
able TO comprehend what we have got
until we get down to handling the ore
on an extensive scale"
The result of negotiations became
nOised about in mining circles during
the afternoon and. while the impress
sion was general that it would be just
as we'll for the Boston Consolidated
and the state that no merger should be
made, there were not many men famil-
lar with conditions willing to admit a
belief that the incident" had been
finally closed. The argument was ad-
vanced in one office that the American
Smelling interests had no idea of let
ting the Boston Consolidated get away
These disagreements invariably
cause delays in rounding out all deals
Of magnitude" said he. There has to
be Just about so many of them before
either side is in a position to get right
down to business. Both DAME Gug-
genheim and Samuel Newhouse have
the reputation Of being Shrewd traders.
Neither is willing to tax the worst of
#. but Once they thoroughly under
stand each other. business will be
done"