The Minneapolis journal. [volume] (Minneapolis, Minn.) 1888-1939, 1906-03-06
OCTOPUS RIVALS
TO BE ABSORBED
Hills Ore Land Transfer Only
Part of stupendous
Deal.
More Minnesota Properties, Alss
Big Plants, to Be Taken
Over.

Journal Special Service.
Pittsburg, March 6.-The sale of the
Great Northern ore lands in Minnesota
to the steel trust IS only part of stu
pendous deal by which the billion-dollar
trust will accomplish another billion
dollar transaction.
The United States steel corporation
is arranging to take over the largest
steel and iron interests in the country,
a deal which will involve 81 ,242, 313, 100,
and prove to be as gigantic a merger as
was that which gave the corporation its
inception.
The plan as outlined readily explains
why the Republic Iron-La Belle-Tennes-
see Coal & Iron deal has not been per-
mitted to reach full elimination, and
why the Great Northern ore deal has
not yet been officially announced as
completed.
Gates as Trusts Agent
John w. Gates, in his plans for the
absorption of the Republic Tennessee
La Belle and Sloss- Sheffield compa-
MES, is acting for no other interest than
the United States Steel corporation.
The fact that John A. Topping saw
fit to resign the presidency OF the
American Sheet & Tin Plate company,
one of the most important of. the
United States Steel corporation proper
ties, to assume the presidency of the
! Republic Iron & Steel company, after
John w. Gates secured control of it,
lends further color Of accuracy to the
prevailing report.
| Appraisers are now at work on the
small and large independent steel and
tin plate companies turnout the coun-
| try, many of which are to be taken into
| this gigantic merger.
Hill and Snyder Ore Lands.
| The Great Northern ore lands on the
Mesaba range, better known as the J.
j. Hill properties, represent ore depos-
it's of 36O, 0Do,0 900 tons The terpss Of
the pending deal provide that the
United States Steel corporation will pay
: 70 cents ten for the ore mined, and
! 80 cents q ton for carrying the ore to
Duluth. Five cents ton is to be
reaches ST. a ton. Another stipulation
is that 100000 tons be mined annual
! ~.
In this same range, and adjoining the
Great Northern properties, lies a body
| of the richest ore in the district, esti
mated at 100000 tons, recently &C
CURED by w. P. Snyder from the Oliver
interests, together with other holdings
These included four blast furnaces a
Sharpsville, Pa; the Shenango Steam
ship properties on the lakes, ney
10,000-ton freighter, and some impor
tant Connellsville coal lands.
Snyder's Furnace Company.
Shortly after acquiring these proper
ties Snyder merged them into hold
ing company, known as the Shenang
Furnace company, with capital O
$4,000, 900. Within the last few day
a bond issue of $4,000,000 has been OF
fered by this new company thru tn
Union Trust company of Pittsburg, an
is being acquired by parties whose ider
tity is not revealed at this time.
While the Snyder interests are anon
the largest in the iron market, they are
nevertheless, dependent in grea
: measure upon the ore absorption
of the United States Steel cor
poration. The merging of thes
| newly acquired properties in
; holding company and the new bon
) BILE means by which the Steel corpora
tion can take over the properties.
Three Iron Companies.
. The Colorado Fuel & Iron compan,
Tennessee Coal & Iron company an
| Republic Iron & Steel company, no
in control of John w. Gates, are to pas
over to principal interests at the prope
time. The La Belle stock is beir
for 81, notwithstanding the e1piratiC
= of the recent option, and it is said thu
4 majority of the Sloss-Sheffeld cor
pany stock also has been acquired.
A party Of important steel officia
will leave for the west within the ne1
, fortyeight hours to inspect a numbt
= of the more important steel, iron an
q tin plate properties, upon which the a.
Z praisers have been at work. The who
J, - merger and absorption will not tai
- : place until July l, as some delays al
=, being experienced in gathering in a
y the desired properties.
is Takes Paying Properties Only.
q It is emphatically announced TIL.
+ the United States Steel corporate
,s will only absorb such properties as a.
o. on well-paying basis, and will n
E assume any plants which might in ar
wise impair it's own strong position
individual weakness.
With indications of profits of $13!
100000 during the current year al
with immense SURPRISES in the ham
n of the underlying and the parent col
u pany, the United States Steel corpor
4 ton officials think the time is oppc
tune for firmly intrenching the corpor
ton as the principal and stronge
n factor in the iron and steel world.
adj Enormous as is the total of the ca
d. italization of the various interests
,d5 be acquired, comparatively sms
IN. amount of cash will have to be expen
al ed by the Steel corporation to car
be thru the deal. It is proposed to Ia
81 over most of the controlling interes
y. of the companies under new blank
ed bond issue, the individual bonds
G. which will be offered in exchange 4
bis the present stock of these independe
on companies.
to ---
lit