The Washington herald., 1907-11-07
SKIES FAST CLEARING
Feeling of Optimism Pre-
walls in Wall Street.
MONEY SITUATION IS MET
Relief for Both borrowers and Lend
ers Found I'm United States Steel
ComPnny's Tennessee Coal Trans
action - Temporary Troubles of
Two Trust Concerns Ended.

New York, Nov s.-If weather condi-
tions in Wall street to-day were dismal
and uncomfortable, the financial sky vis-
ibly frightened. 1t has for a long time
been perfectly understood in the banking
community, although little II any prom
inence has been given TO the subject in
the public press. that matters affecting
the Trust Company OF America and the
Lincoln Trust Company were stil In an
uncertain state. Although the violence of
the run upon these institutions had sub
sided lines OF depositors were still gath
cred before their doors, and it was mani
fest that the depositors were encounter
Ing hndrances Of an unusual nature In
obtaining money. Some excuse for such
delays WAS TO be found IN the fact that
many among the individuals in these
lines were agents Of banks, each one pre-
sentng quantities of checks for conec-
ton, so that the work Of examination
into the validity of the checks was more
in each instance than would have been
the case II the claims had been presented
separately.
Conferences Prove Fruitful.
There was. however. no concealment OF
the fact that two companies, though they
were entirely solvent and had received
financial help TO a large extent. were still
not in possession Of enough funds 10
liquidate their obligations in the peremp-
tory manner in which they were asked 10
do, and while 1t was regarded as probable
that a way out OF the difficulties could be
found II the directors and stockholders
of the company would be willing to take
upon themselves certain personal respon-
sibilities. these directors and stockholders
on their part held that the terms sought
to be imposed upon them were too rig
orous
Finally, over the election holiday, after
long conferences between the different
interests concerned, a definite way out of
the troubles was found and was duly
announced in this mornings newspa-
pers. The universal feeling of relief in
the financial district over this transac-
tiOn. which ends once and for all the
trust company'S troubles in question as
a source OF disturbance. was. OF course,
decidedly increased by the further action
taken regarding the transfer OF a con-
trolling interest in the Tennessee Coal and
Iron Company TO the hands Of the United
States Steel Corporation.
Happy Solution Is Found.
An amount of stock representing these
interests, or a larse portion thereof, had
been carried in loans negotiated with the
Trust Company OF America and other
financial Institutions, and the call Of these
loans necessitated by recent events in
volved a good many unpleasant con-
tingencies. The offer of the officer of the
steel corporation. which it is presumed
would be ratified by the board of dl-
rectors Of the corporation after the close
of business hours to-day, to take over the
Tennessee Coal and Iron stock pledged as
collateral security FOR these loans and
to make substitution therefor of its sec
ond mortgage 3 per cent bonds. was help
fuI in a variety of directions. 1t relieved
at once those who had borrowed money
on the stock and those who had lent IL.
and it gave into the possession OF the
steel corporation without any cash pay
ment a property In coal and iron lands
Of immense and indubitable value.