davidaulloa/AmericanStories huggingface dataset:
Watson's weekly Jeffersonian., 1907-05-23

investment in this additional third in
terest could not have been colossal.
The Rockefellers also owned some
good Lake Superior iron mines Their
view Of the value of ore properties
is revealed by what followed In
1896 they leased their mines to Oliver
and Frick, on behalf of the Carnegie
concern. Under the lease they receiv-
ed royalty of twenty-five cents a ton
but it was provided that there must
be an output of 100000 tons a year to
be shipped over the Rockefeller trans
portatiOn lines, rail and boat, and that
these lines should get another 100000
tons year from the Oliver mine. The
Rockefellers evidently thought that
iron ore was good mostly to make
freight.
Now, this combination assured the
Carnegie mills about all the ore that
they needd. The combination, more
over, was in command Of the best
rail and lake transportation and dock
facilities. The independent mine own
ers Immediately saw where they got
off. This was year, it will be remem-
bered, of severe Industrial and finan-
cial depression. Acute demoraliza-
tion, to quote a trade report, followed
among the independents. Acute de-
mOralizations are commonly very prof
liable to those fortunate persons who
are in position to remain unaf-
fected. Oliver set to work to gather
in the demoralized properties. By ar
ranging for options of stock here and
leases there, he was presently ready
to take over the best independent
mines. In his statement of the ar
rangement he says:
"The only cash obligation that we
will have, if my plan is carried out,
is in the purchase of the Norrie stock.
The Mesaba leases we can throw up
on six months notice, and the Tilden
and Pioneer leases on three months
notice. The amount that we would in
vest in the Norrie is a very small item,
considering the immense stake we
have in this business" And further
along, Il propose, at risk of using
of possibly $1,00O,O0O to effect a saw
ing, in which our competitors will not
share, of $4,OOO,OOO to $6,OOO,OOO per
annum."
And again Mr. Carnegie vetoed the
plan. So poorly did he think of the
ownership of iron ore; so improbable
did he deem monopoly in it. But
as Frick and Oliver persisted, he
withdrew his veto, and the deal was
closed In this manner, with the in
vestment of hardly a dollar-for even
million or two may be so spoken of
when cOntrasted with Mr.. Schwab's
valuation of the Company at half a
billiOn-did the Carnegie Company
come into possession of it's iron ore
properties.
Iron Ore MonopoIized.
The chief Lake Superior iron mines
then outside the Carnegie-Rockefel-
Ter combination were owned by the
Minnesota Iron Company. This COM
pany was capitalized at $16,500,000;
but it's stock was not worth par in the
market. Presently it was absorbed by
the Federal Steel Company, which in
turn was taken into the United States
n Yy
Watson's weekly Jeffersonian., 1907-05-23

been monopolized and capitalized on
it's earning power.
Having made the lease, the Great
Northern Railway distributed pro rata
among it's stockholders certificates rep
resenting the beneficial interest to
arise from it. There were 100000 of
these shares, or certificates, which
were traded in on the curb at about
$50 a share, giving a valuation of
$12O,OO0,O00 for the whole. This $780,
600, 900 has no relationship in any way,
shape, or manner to any actual in
vestment. 1t represents the benef-
cial interest that may arise through
participating in monopoly.
Frick's Grip on Coke.
A hundred million dollars of the
Steel Trusts capitalization is based
on it's ownership of the H. G. Frick
Coke Company, by far the largest con-
Germ in the Connellsville region. In
defending the Trusts capitalization,
Mr.. Schwab pointed out that it owned
over sixty thousand acres Of Connells-
vile coal land-the best there is for
making coke. And he added: There
is no more Connellsville coal. You
couldn't get it for 100000 an acre. 1t
simply isn't there" Obviously, there
fore, this staple commodity, being mo-
nopolized, is worth, practically speak
ing, whatever the owner says it is
worth. Investment of capital has moth
ing to do with it. When Mr.. Frick
began developing the coke industry,
he invested no capital to speak Of for
the excellent reason that he didn't
have any.
From 80 to 500 Millions.
The Carnegie Company owned one
fourth of the Frick Company. To buy
the Carnegie Company and the re-
naming three-fourths of the Frick
Company the Steel Trust issued capital
to the amount of $492, 100, of which
$3O4,O00,000 is in bonds bearing five
per cent and $9S,277 100 is preferred
stock bearing seven per cent, the re-
mainder being in common stock which
at present pays only two per cent. A
year before, the net book value of all
the assets of the Carnegie Company
Including it's fourth of the Frick Com
pany) was little over $4,000, 900.
Actual values may have been great
er, but this was the investment" So
long as Mr.. Carnegie and his associ-
ates meant to keep all the stock them
selves they obviously had no motive
for initiating the capital Which brings
us up against the disagreeable fact
that good business men never water
stocks for home consumption. Much
as they admire the beauties of the
process they do not apply it to them
selves. Stocks are watered only to be
sold. 1t was for the purpose of per-
mitting the public to come in that this
eighty-odd millions of Carnegie capi-
talization was increased by about $400,-
100000
In passing, / wish to mention that
this eighty-odd millions was not, strict
ly speaking, an investment of capital.
1t was nearly all accumulated profits
that arose in good part from monopoly
and high tariff. AS early as 1878, with
a duty of $2S ton on rails, we find
the rail pool allotting the Carnegie
Watson's weekly Jeffersonian., 1907-05-23

shackling Our ChiIdren's Children.
The ROckefellers had caDitalized
their iron mines at $29,S87,449. They
kindly turned them over to the Trust
in exchange for slightly more than
$80,O00,O0O Of it's stock. Forty-four
millions Of the Trusts stock stand
for it's ownership of the Minnesota Iron
Company's properties. Mr.. Schwab
and others have declared that the
Trusts ore deposits are worth more
than this vast capitalization that was
issued for them. Very likely so. And
this is the core Of the whole matter.
II you can monopolize staple COM
modify it instantly becomes worth al
most any price you have a mind to
put upon it. There are limitations, of
course. No monopoly could keep iron
ore at the price of diamonds. But for
all practical purposes the rule holds
good.
And when you capitalize your COM
modify on the basis of it's earning
power as a monopoly-which is the
modern and prevalent idea-then you
necessarily bond and mortgage your
self to perpetuate the monopoly. OBJ
serve how the capitalization of mo-
nopolistic earning power works:
James J. Hills Grea North
ern Railway had come into
possession of great bodies of northern
ore lands with but small investment
of capital. Until recently nobody ever
thought Of those far-off ore lands as
constituting an asset of great and i'm
mediate value. But the capitalization
of the Steel Trusts ore lands fixed
the value of the Hill ore lands.
Suppose you are engaged in running
a corner in corn at Chicago. You buy
up the visible supply, Or eighty per
cent of it. That supply then becomes
worth, for all practical purposes, what
ever price you fix nuon 1.-THE OBJ
viOus limitations spoken of before, of
course, applying. But only so long
as you maintain your corner. If you
fix the price at eighty cents, all other
supplies of corn within reach of Chi
cago become worth eighty cents, less
the freight. You must take them at
that or down goes your monopoly.
Now these far-off Hill ore lands may
be likened to so many million bushels
of No. 2 September corn. So the
Steel Trust leased the Hill ore lands.
The lease runs until all the ore shall
be exhausted, which according to con-
servative estimates will not be for at
least hundred years. There is, how
ever, cancellation clause operative
after about ten years, but the lease
works so to the advantage of both
parties that this clause may be safely
ignored. Tt fixes the price of every
ton Of ore during the life of the lease,
and the freight rate to be paid the Hill
road for moving it. A hundred years
is a long time. Many changes may
come in the manufacture of steel and
the mining of ore. But there stands
the lease, fixing the price of the ore
during our lives and our children's
children, except of course, in the un-
lives and the lives of our children's
likely event Of cancellation. The roy
atty to be paid under this lease is
$1.65 ton the first year, with an in
crease OF 3.4 cents ton in each sue
The Morris County chronicle. [volume] (Morristown, N.J.) 1877-1915, 1907-10-22
Letter to H. T. Hull
Morristown, N. j.

MOllloOOWtl, II. y.
DearSir: If a customer wants S35. so
do you give him $75?
Suppose you should hear of one of
your customers dong thing like that
and not knowing it. what would you
say uext time he wants discount?
Well venture half your men are do
ing that very thing without suSpic-
ion.
Men who paint any other paint than
DevOe q Reynolds are paying S75 for
$3.50 or some other such figure.
10 gallons Deyoe 81 Reynolds is
enough for a good sized house two
coats; Is or 20 isn't too much of an
other paint. There's 1915 or ST.. so for
or 10 extra gallons besides So Uo.S4 a
a gallon for putting it on; that's so
to $40. That's how half the houses
stores factories warehouses shops barns
fences are painted: $50 for paint and
labor S25 TO $50 more for not know
lug what paint TO put-on.
The one TO put-on is the paint that
takes least gallons and makes least
bills for paint and labor.
Yours truly
4. w. DEVOE g
40 9. T. RAYNOLDS co.
PSF. Pant4nius and George e.
VOORHEES, sell our paint.
The Morris County chronicle. [volume] (Morristown, N.J.) 1877-1915, 1907-10-22
.srhe Treasure Of the Canyons,


1.-THE Treasure of the Canyon is
the title of a new boys book written
by Joseph B. Ames, Of Speedwell ave
nue. and published by Henry Holt s.
Co., of New York. The story appar-
emily fills all the requirements of a
" boys book" 1t is a clean, whole
some and exciting narrative and is
well worth the average boys reading
The hero, Dick Carew, a hkeable
young fellow of sixteen joins an ex-
pidition which has been fitted out to
search for relics of the Cliff dwellers in
Arizona. The strange appearance of
an ancient document giving the key
to the hiding place of portion OF
MonteZuma's treasures leads TO the
search for the treasurer through the
Grand Canyon of the Colorado. They
find the treasurer, but in SO doing
have enough adventures to satisfy the
average boy readers. They shoot the
rapids, have exciting encounters with
outlaws, take part in saving a train
from train robbers and in every way
keep up the readers interest. The
story is well written and promises to
become one of the most popular boys
books of the year.
The Morris County chronicle. [volume] (Morristown, N.J.) 1877-1915, 1907-10-22


Miss Hermina Farian of New York
visited her mother over Sunday at the
Melr0se.
Raymond Wetz, of Savannah, Ca,
has been engaged as watch maker for
Parker & Van Cleye.
d. p Skellinger, formerly of town,
now located in Plainfield was in town
Sunday looking up his old friends.
e. Strasser, who has been in Eu-
rope the past three months has re-
turned to town and is at the Mansion
House.
George @. South, member OF the
New York Athletic Club Swimming
Team, who has been visiting Benja-
min D. Brink, physical director Of the
local Y. M. @. A., has returned to his
home in New York City.
Thomas Flynn, formerly of Morris
town, who has been station agent at
Mt. Arlington for about three years,
has been transferred I'd Washing ton.
Mr.. and Mrs. Flynn Twill board in
Washington during the winter.
Assistant United States District
Attorney Harrison P. Lihdap an.
nounced Saturday that he had mar
ried Miss Sadie Hanger, of Jersey
City, on December 2Sth last. He is
taking honeymoon trip now in the
South and will visit the jamestown
ExnOSition
The Morris County chronicle. [volume] (Morristown, N.J.) 1877-1915, 1907-10-22

The annual parade and inspection of
the fire department was held on We'd
nesday afternoon. The members Of the
department presented their usual hand
some appearance, the apparatus was in
spick and span order and the day was
almost perfect for such an occasion. 1t
seemed as if the crowd about the Park
to see the exhibitions was even larger
than in former years.
The music for the parade was fur
nished by drum corps Morristown and
Madison, and the parade this year was
lead by d. S. Mckee on fine horse.
Mayor Bennett was able to be out for
the occasion and all of the aldermen
but Alderman Thompson participated
in the parade and reviewed it from
stand erected on the Park at the end.
The usual contests were had and de-
noted great efficiency.
Indeper delt Hose Co. made it's first
appearance with the members dressed
in the new uniforms. They are very
pretty and attracted much favorable
comment.
In the evening there were informal
visits of one company to another. The
First Ward Hose with the Madison
Drum Corps paraded through the
streets.
Independent Hose Company held a
social at their house. With games and
| light refreshments.
! Altogether the showing was very
good and the thousands of persons
who saw the inspection aud tests were
proud of the tiremen.
The Morris County chronicle. [volume] (Morristown, N.J.) 1877-1915, 1907-10-22

A delegation from Hope Lodge, Of
East Orange visited Cincinnati Lodge,
#. & A. NJ, OF this city last evening
and participated In the comforting of
the master mason degree on Willis II.
Dutton, Jr., George H. Weir and Rob-
ert Romaine. There were visitors
present from the Madison Lodge, Ar
cana Lodge Of 3oonton, Prospect
Lodge, OF Chester, Musconetcong
Lodge, u Netc0ng, Harmony Lodge,
OF Newton. ana otter lodges from this
and AM finln2 States. Al collation.
iOhOWea the ceremonies,
The Morris County chronicle. [volume] (Morristown, N.J.) 1877-1915, 1907-10-22
mrs. Higgins Run Down BY Auto.

While crossing Pine street Wedncse
day afternoon, Mrs. W. b. Higgihs,5jf
New York city, was run down byaAn
automobile and seriously injured. Fhe
auto was travelling very fast-andafter.
striking the woman, rap for. a block
before its driver could stop it. He
drove back to where Mrs. Higgins ias
in the road, picked her up andsputher
in his machine. Mrs. Higgins was
conscious and told the man that she
was visiting Mr.. and Mrs. Strong, of
100 South street, and the auCoist took
her to that address. He helped Mrs.
Higgins into the nall OF the residence,
then ran Out, jumped into his ma.
chine and made oil before his identity
was discovered. No one thought 10
gel ms macliine number and all that
is known OF INN is thai he drove a
large red t0ariNg car She i suffering
from severe % uSiuns Il tn limbs
and lnterEal iulllflts are feared
The Morris County chronicle. [volume] (Morristown, N.J.) 1877-1915, 1907-10-22
supp4r for BOYS, brigade.

A Halloween supper will be given
Qctober 10Th in the Boys Brigade
room Of the Baptist Church for the
benefit Of the Boys Brigade. Supper
will be served from to 5 for 25c. For
the benefit Of those who cannot come
TO the church, orders will be taken by
members of the Brigade for box sup
,pers and will be delivered between 5
and o'clock. Home made cake,
candy and jelly will be on sale.
The Morris County chronicle. [volume] (Morristown, N.J.) 1877-1915, 1907-10-22
GOLF NOTES.

Miss Hall won the eleventh round
in the match for the cup presented by
President Ransom II. Thomas at the
Morris County Golf Club Wednesday,
She was down to boyle and earned
three points toward the cup. Mrs.
Vanderpool and Miss Little, tied for
second place, being 2 down, and re-
ceived one and one-half points each.
Other players were Mrs. Olcott, 3
down; Mrs. Kellogg, 3 down, and Miss
Boyce, 6 down.
Owing to conflicting dates the one
day golf tournament to be held at the
Morris County Golf Club on October
Both for the Women's Metropolitan
Golf Association has been postponed
until next Spring.
Alfred Macy, secretary of the Morris
County Golf Club, has requested each
member OF the club to propose seven
persons as candidates for directors.
The seven members receiving the
greatest number Of votes will be the
club nominees for directors at the
next annual meeting Of the stock
boldeIs which is to be held on Mon
day, October %.
In order to tittingly mark the de-
parture Of Justice Mahlon Pitney from
The Passaic circuit, and as well to wei
come the coming Of Justice James j..
Bergen to preside in the Supreme
court Of the county the Pascal Ear
Associatinis banning to hold ban
qnet shortly, which the Two Su.
preme court justices VIII be the guests
ii honor
The Morris County chronicle. [volume] (Morristown, N.J.) 1877-1915, 1907-10-22
woman,s Missionary Day

The twenty-seyenth annual meeting
of the Woman's Missionary Society
in the Presbyrery of Morris and
Orange will be held Wednesday, Octo-
Der %, in Memorial Presbyterian
Church, Dover. The meeting will
open at 10. Is a. M, the first half hour
being devotional service led by Mrs.
G. w. B. Cushing. Miss Jean Mac
kenzie, of AfricaAand Mrs. James d.
Cochran, of China, will deliver adj
dresses. Afternoon session, p. m.
Addresses by Miss S. f. Lincoln,
treasurer of Woman's Board of Home
Missions, and Mrs. n. T. McGraw,
missionary teacher to the Mono
Indians. Each member is asked to
give to usher her card, with name and
address. Lunch boxes should be
similarly marked
The Morris County chronicle. [volume] (Morristown, N.J.) 1877-1915, 1907-10-22

+ Another successful hunt was held
last Saturday, the meet being at the
Whippany River Club. A large party,
including several ladies, followed the
hounds to the Mendham flag pole, the
checking point, then all returned to
the club where Benjamin Nicoll en-
tertained at a hunt breakfast. SEN
ator Colby was one of the early arri-
walls and spent the day at the hunt and
in attendance at the games in the aft
ernoon. Others who participated were:
Theodore Douglas Robinson and Chas.
Mum, of Orange, and Captain Hol-
land, Albert Fillmore Hyde, Philip
Livingston, Mr.. and Mrs. d. Raft
Richardson, Mrs. William Bayard
Blackwell, Charles Ptlzer, Benjamin
Nicoll Courtlandt Nicoil, Francis X.
Stevens, Mrs. Frederick r. Kellogg,
Mrs. Camman and John @. Wilmer
ding.
The Morris County chronicle. [volume] (Morristown, N.J.) 1877-1915, 1907-10-22
MORRIS COUNTY COURTS.

a
The case of Sharp vs.. Mt. Olive
Township, a suit for compensation for
services as custodian of school moneys
was taken up next, resulting in YER
dict for the plaintiff.
The Grand Jury returned with fifty
four indictments on Tuesday.
The following prisoners were ar
raigned in Court:
George Scales plead not guilty to
stealing vegetables from a blind man
in SuccasuDna.
Nine indictments were found against
George NJ tanning, of Madison.
Gus Link plead not guilty to enter
ing barn and stealing two horses
from Wilton G.. Mead.
Patsy Andre, not guilty TO atrocious
assault and battery on Mary Carey, at
Madison.
John Mprtha, temporary taking a
wagon and team at Dover, plead guilty.
M. Collinwood to assault and bat
terry on Conductor Kase, at Dover, on
D., L. & w. train, plead not guilty.
Frederick Hendrika, breaking into
D., L. s. W., car at Boonton, plead
not guilty.
Herman Bakerman,. baker of Do
yer, not guilty Of bigamy.
The cases are set down for October
18th.
The long drawn out cases of Mary
D. Mead and Wilton G. Mead, her
husband, against Henry Baum went to
the Jury which came in on Thursday
rendering verdicts Of $500 in favor
of Mrs. Mead. and $500 in favor of Mr..
Mead.
The case taken UP after the above
was Joseph Peer VS.. Joshua r. Salmon,
executor, etc. An action on contract.
Most of the cases were set down for
trial on October IS, but the man
slaughter case was fixed for Nov. IL.
George Moluska,. assault and bat
terry on Peter Donahue at Hibernia,
not guilty
On Friday afternoon Stephen Ger
munska and John KonduaK were fined
1925 each and costs Of the court, for as
sault and battery, which was prompt
ly paid by a friend.
Barbara Rauach was fined $40 for
larceny and receiving, which she is to
pay in installments of 50 a month.
In the case of Joseph Peer VS.. JOSH
ia r. Salmon, executor of Catherine
j. Davenport, deceased, the jury
brought in verdict for 1920.
In the case of Conklin Lumber Co.,
VS.. Mary Philbrook, owner, John w.
English, builder, and Cornelia r. B.
Nishwitz, mortgage, the jury brought
in a verdict for S294.07.
Frank Cutter, foreman in Richard
son Boynton Stove Works of Dover,
was sued By John w. Fancher of
Succasunna, for damages sustained in
the purchase Of a horse from said
Cutter for $3.50.
Witnesses for the plaintiff testified
that the horse was worth but $50,
owing to a great many defects, viz :
string halt, weak back, habit of kick
ing and stumbling. Witnesses for the
defense claimed that these defects did
not depreciate the value of the horse
any. Some of them declared on the
witnesses stand that they were ready
and willing TO give Sla9for the horse
any time.
just before going to press the Jury
returned into Court with verdict in
favor of the plaintiff for $50.
The case of Tompkins & Welsh
against Lusardi Bros. for putting in
a heating plant, was called at 1890
a. M. The evidence is now being sub
mitted to petit jury.
George Benjamin, of Dover, who
was indicted last May for assault and
battery was apprehended in Dover
and brought to the County Jail by
Constable Newkirk to day. He plead
ed non vult.
The Morris County chronicle. [volume] (Morristown, N.J.) 1877-1915, 1907-10-22
GIFT OF STATUE OF ST. PETER

BY the sculptor to Ornament Tower
or st. Peters Church, Morristown.
The current issue Of est. Peters
Record contains a Photographic re-
production Of the model of the statue
of st. Peter, which is to placed in the
niche over the central window Of the
new tower Through the generosity
Of Mrs. Lawrence Mills and Mrs. God
dard, who have offered to defray the
cost Of putting the statue into stone
and of transporting the finished work
from Italy to Morristown.
The model was made in Italy this
past summer by Mrs. Mills, after a
careful study of st. Peter in eccIesiast-
ical art. M. Beer, the sculptor in
whose studio the work was done, writes
from Florence:
" In regard to the st. Peter, M. de
Fabrizy, whom you know as the great
authority on the thirteenth and six
teenth century, held that this st. Pc
ter (of which he did not see the sigma
ture) was a model of a terra Gotta fig
ure made before Velrocnio ca. ID. 1886
1889, but TO which it was not possible
for him to assign the name of the art
ist. In order not to wound his self
esteem, was obliged to leave him in
his error
Firemen Busy on Monday Morning.
A fire started in one of the upstairs
rooms of Mrs. Charles HI. Mellon, on
Madison avenue Monday morning. The
Chemical Engine responded to the call
and a general alarm followed, which
brought out the whole department..
The fire started between the walls of
the chimney from gas log that was
burning in the fireplace, which over
heated the walls and caused combus-
tion. The Chemical boys had to tear
out a considerable portion of the walls
in two rooms to get at the fire. The
damage was less than $500.
Alto. 30Monday morning an alarm was
sept in to Resolute FL. & L. Co., from
the West End Hotel. The Red Wagon
responded to the call and the firemen
were soon at work on the fire. A de-
fective chimney in the parlor of the
Hotel was the cause of the blaze. The
fire had gained quite a Roadway and
in few minutes would have reached
the roof, but after an hours hard
work the boys succeeded in putting it
out. The fire started in the same
place it did a year ago. The damage
was very slight.
The Morris County chronicle. [volume] (Morristown, N.J.) 1877-1915, 1907-10-22
The scores are as follows:
BAsKING RIDGE

John Dolan was tined Sl.00 this
by Justice Condor for refus
ing to move on with his hack at She
depot when Otlicer VanArsdaie asked
him TO drive out OF tile station yard.
The Morris County chronicle. [volume] (Morristown, N.J.) 1877-1915, 1907-10-22
Bowling Notes.

The Young Mems Catholic Associa-
tion Bowling Team went to Bernards-
vile Friday evening. and bowled the
Basking Ridge Club on the Bernards
Inn alleys. The Morristown boys lost
two out of three.