New-York tribune., 1907-10-07
TO MAKE STEEL RAILS.
Jones s Laughlin Company Prom
ised Railroad lid IN Project.
TBy Telegraph to The Tribune. ]

Fittshurg. Oct 6-Urged by railroads which are
engry at the United States Steel Corporation. the
Jones & Laughlln Steel Company. Limited Of
Pittsburg has decided TO enter the rail making
business It will establish its plant in
Arquppa, Penn one of the largest steel rail- mills
in the world.
The Jones & Laughln company has been the
active rival of the Steel Corporation in everything
except rail making and its invasion Of this field
S75OO000o capital. is likely TO precpltate
determined war the part of the big corporation
3. 2. Jones' jr, president of the company sa'a
tonight:
Yes Jones g. Laughlin have arranged for a steel
rail plant at the Aliquippa location The ground
has been measured off and it is one Of the best
locations we have. We have decided that as an
independent plant. must make at least little
Of everything that heavier opponents make
and we will take up steel rails.
There is plenty Of ground for improvement in
the making of rails, and there is room for more
mills We think so. at least and have arranged
for the rail mill in making UP our new plant
When we will begin work the mills IS not vt
known-certainly not until our now blast furnaces
are blown in. which will be soon"
From an authoritative source 1t is learned that
,the Jones & 1aughlin company has been offered
great Inducements 10 enter the steel rail business
in opposition the Corporation. One trunk line
has offered II rail contracts five years in sue
cesson if it will embark I'm the business at once
Another railroad is understood 10 have asked now
early 1908 the rail mill can he started, evil
IDENTIFY intending to hold off its contracts unt the
new mill comes IN.
The troubles between the Steel Corporation and
the railroads, which have induced the latter to
take up the project of rail mills with the
Jones & Laughlin company. far from be-
ing settled according 20 information obtained here
to-day regarding the recent meeting in New York,
The makers steel rails have dehed the railroads
and told them to place orders or not. they
choose declaring there will be change speci-
hcations on steel rails now.
tF,ga+
railroads demanded that phosphorus in rail max
ing steel be reduced from one-tenth Of l per cent
to only So per of that amount. This. the max
ers of steel declared, could be done without
changing the entire formula for making steel, and
they did not care 10 try this, for the rail-
roads.
The Steel Corporation practically controls the
steel rail output and will until the Jones &
Laughn mill is in operation. Aside from rails
made by the Lackawanna Steel Company, Il Buf-
falo the Cambria Iron and Steel Company at
Johnstown, and a plant at Sparrow's Point Nd, in
the North, and the Tennessee Coal and Iron Com
pany, in the South, there concerns making
steel rails outside the Corporation mills today.
The order OF L. II. Hartman for 10000 tons OF
open hearth rails for his Southern Pacific and Illi-
nos Central interests has pretty well tied up the
capacity Of the Southern mills
1t is asserted here that railroads have given as
surance that orders for 10000 tons of steel rails
Will be given the Jones & LaughIin company the
moment II sets time for opening it's rail mill
This is much work the Carnegie Steel Com
panys rail mills turn out for the Corporation in a
year, and almost one-third Of the annual rail out
put Of the country.