The Birmingham age-herald. [volume] (Birmingham, Ala.) 1902-1950, 1907-01-13
], P MORGAN WILL
SOON Be SEVENTY
Great Financier DevOteS Much
Time to Art
MORE DISCLOSURES MADE
They Are So Common That Wall
Wall Street Is Little Affected.
Politicians viii Feel Effects
of the Revelations.
BY w. G. NICHOLAS.

spring john Pferpont Morgan reaches the
age of three score and ten, and he also
rounds out a half century in the bank
ing business. curing the past three years
Mr. Morgan has been devoting more at
tention 10 art and less to banking He
las been turning over the cares OF bust
tsss to his son and his partners. This
week there was "A rumor on the Stock
exchange that he was seriously i'll; this
vas promptly denied at the Morgan bank
ing house Mr.. Morgan is hale and hearty
a 70, and hopes to live many years more.
But he rec ognizes that he has reached
the time n lie when he must round out
his business affairs and put them in such
condition that his large interests would
not suffer were he to suddenly die Mr..
Morgan, although he has been connected
with many large undertakings in the
financial world, any one of which would
have given him big place in American
fna ncial history, will be chiefly remem-
be' &C for the part he took in floating the
Urited States Steel corporation. The vio-
lent decline In the securities of the steel
trust during the depression OF 10000, and
the storm of criticism that broke forth
from the thousands of investors in this
country and in Europe who put their
money into these securities, has been a
thorn in Mr.. Morgan's side. His chief am
bition new is to see the steel securities
In such position in tho market that his
most bitter critics will concede that he
built the great trust on a substantial
foundation.
tbo CD eI, calling a
prices 'hgher than were paid for them
by investors six years ago does not sat-
isfy Mr. Morgan. Nor is he satisfied by
the fact that the net earnings of the cor
poration for the past year reached the
stupendous total of $154,0OO,O0O He wants
to see the common stock of the corpora
ton yielding a fair return to its hold
ers When the dividends on the common
stock were cut and finally passed. in
1903, and the stock sold below 50 a share as
result of heavy liquidation, Mr., Nor
gan told his friends that it would not be
long before the stock would sell at high
err prices, mad would pay larger dividends
than ever before. During the present
boom in the steel industry, a boom of
surprising proportions, Mr.. Morgan has
been constantly urging upon his ascot
ates in the board of wisdom of increased
distributions on the common stock.
The directors will meet fortnight
hence and take action on the quarterly
dividend II Mr.. Morgan has his way
the dividend on the common stock VIII
be Hyper cent, or at the rate OF per
cent year. The stock has been bought
during the past few days and made to sell
at $50, on the speculation that Mr.. Nor
gan may win out. But the board is d.
vided on the common stock dividend.
Some very influential directors, while they
recognize that the present earnings of
the company justify an increased distri-
button to the common stockholders, think
1t wise to postpone increasing the divi-
dend until later in the year. The present
price of the stock, considering the in
creased return on railway stocks, can
only be justified by the expectation Of
larger dividends. 1t is not unlikely,
whether or not the dividend is increased
on January %, a bullish demonstration
will be made in the common stock that
will carry it nearer to 60. Unless some
thing unforeseen happens to shake bust
| ness confidence, ii may be taken as a
certainty that the dividend on the COM
mon stock will be increased to 4 or per
cent this year. The preferred stock of the
| Steel corporation, which nets investors
very nearly per cent at its current
quotation, has ceased to be of specula-
| tive interest in Wall street Mr.. Morgan
seems to have accomplished his purpose
In making steel preferred an investment
| industrial. Only a commercial panic could
now force the steel directors to reduce
the rate on the preferred stock.