The Montgomery advertiser., 1907-11-05
" Fa4 as 5$ ett ZIG ALABAMA CONCERN SOLD T.C.L Company Changes
 Hands. MORGAN MAKES THE DEAL
  United States Steel Corporation Gets Controlling Interest.
  This Big Sale Cannot Fail to Do Much Towards Relieving the
 Present Financial
 strlngency.

New York, Nov. 4.--The United States Steel Corporation has secured Q
 controlling interest in the Tennessee Coal. Iron and Railroad Company,
 The deal was concluded today and Ia traceable to the conference held at the home of J. P. Morgan Saturday and Sunday. It Is understood that the price paid Is little above ss5 a share.
 The holding of pool controlling some
 70 per cent. of the stock of the Ten-
 nessee Coal and Iron Company were transferred in the sale.
 This sale cannot fail to do much to relieve the present financial strfn- gency. as large amounts of the stock of the Tennessee Coal and Iron and Railroad Company are now held as collateral for loans by the local banks. The taking up of these loans by the new owners of the stock will add ma terially to the cash resources of the financial institutions.
 In the absence of an official state- ment 1t is estimated that the steel cor poration acting through J. Piermont Morgan and Company has secured about S20, 100000 of the Tennessee Coal and Iron stocks at an outlay of somesy thing like $t7.000,o00. This important deal has had the effect Of strengthen ing the Trust Company of America which had considerable of the stock as collateral and will alleviate the financial situation of conditions that have tended to retard the return of confidence generally. The Tennessee Coal and Iron Company is manufac- kurer of open hearth steel and about two months ago received all the orders placed by the Hartman roads for raafs needed by them in 1907 and 1908.
 The Tennessee Coal and Iron pool was formed fin Wall street about two and a half years ago. The total out- Standing common stock of the Tennes- see Coal Iron and Railway Company is $zs, ,50o.000. There ts also Sz4s,soe If preferred stock outstanding. The bonded debt consists of 4l4.003, 900 first mortgage bonds five per cent. due July 1s51.
 Judge Gary and Mr. Prick FetuEned late tonight from Wasnlm@s ss..ss.. they had a conference today with Pres- ldefat Roosevelt. Judge Gary would not discuss the mission of it's results further than to say.
 @T'he President is disposed to do ev- anything in his power that Is right and proper to benefit the interests or
 IT has been reported that one of tha objects former Judge Gary and Mir Prick had in Journeying to Wasn- inkton was to ascertain whether the taking over Of the Tennessee Coal Iron and RailrOad Company would be view ed by the administration as an unde- sirabie transaction which might pos- aibfy in time to come cause the steel corporaflon to be looked upon as ap- proanhtng monopoly.
 When the pool was formed John w. Gates. Oakleigh Thorne, President of the Trust Company of America; Oliver n. Payne. Grant B. Schley, Anthony M. Brady, George M. Kessler. B. J. Ber- Uf norIa G RIaNk and l.. c, Hanna acquired, 1t Is said, about s21,s2O.00o worth of the total outstanding stock of the Tennessee Coal and Iron Company.
 The stock was pooled and the price rose from es to 166.
 Last January 1t became generally known in bank circles that several i'm stitutions were carrying considerable Tennessee Coal and Iron stock. It was subsequent to this time that the loans were sealed down to $S0 Q share. Early in the following April. John w. Gates announced his retirement from Wall street and a portion of his holdings were taken over. 1t is said. by the oth- CT members of the pool A short while after Colonel Payne, Harry 8. Black and George Kessler retired. The trust company then, 1t Is said, lent it's re- sources to prevent the stock from com ing under the market at a time when 1t would have caused general demorali- zation. The loan by this company is said to have comprised @ considerable portion of the pools holdings at a price around $s0 a share.
 At yesterdays conference at Mir. Morgan's house, steps were taken to assist the trust company which result ed in agreement for today's sale. Those at the conference with MT. Morgan in- cluded Henry C. Prick former Judpa E H. Gary and Secretary Richard Trimble of the United States Steel Corporation and Oakleigh Thorne, who Is a direc- tor of the Tennessee company as we'll as President of the Trust Company of America.