The sun., 1909-01-02
WAsHINGTON LIES FITTING.
Attorney says Quick Action Was AdNis-
able TO start the Year ri ght.

I Miles VI. Dawson, who was actuary fol
/ the Armstrong committee and who foI
several years has been counsel for the
Pittsburg Life and Trust Company, had
a few words 10 say yesterday about the
amalga Of the Washington Life
Insurance Company and the Pit;sbure
Life and Trust Company. Mr.. Dawson
regretted the alarming stories that had
been told in some quarters regarding the
move of the Washington Life ard pointed
out the needleSsnesS Of them all.
Mr.. Dawson said that the negotiations
Of the Pittsburg people for the purchase
Of the Washington Life had been going
on for a year and quarter. having becn
begun before the panic Of last year He
said he had advised President Bal Twin
Of the Pittsburg company that the Pitts
burg company should not take over or
reinsure another company as the Pitts
burg did the Washington Life, without
providing an increase Of it's own capital
The capital Of the PittsburE company
was increased gradually from half mil
lion to about thrce-qual tea OF million.
1t was determined at last TO make the
capital double the original figure, or
81 100000, and the surp lus more than
double, or more than $500, 600, All nego-
tiations TO this end were concluded ex-
cept the final transfers and payments
only last Wednesday, and the engage
ments made for their completion on
Thursday
For business reasons il was regarded
as best 10 effect the contamination on
December 81 because the appearance
before the public of the Pittsburg COM
pany, as well as it's standing before the
New York State Insurance Department,
to which il is to apply for authorization
TO do business in this state forthwith,
will be based by custom for all the year
to come on it's statement OF condition
as Of December 81, 1908.
Since the completion Of the merger
only became effective on December ~
it became necessary to make somewhat
sudden transmission of the Washington
LIES asserts to Pittsburg, where the
payments were made and the trans
action concluded.
Mr.. Dawson said there was no legal
evasion about the matter whatever,
that In fact the laws were specific and
settled that company had the right to
do exactly what had been done. Mr..
Dawson said that the policyholders were
better protected than ever with the
Pittsburg company's assets as well as the
Washington LIES assets standing for
the obligations, and no objections were
looked for.
One reason for a bright outlook for the
Pittsburg company as a result of the
transfer was pointed out by Mr.. Dawson.
The Washington Life, although a big
company in itself and larger concern
than the Pittsburg company, was a small
concern al insurance companies rank in
this city. on the contrary, the merger
makes the Pittsburg Life and Trust the
largest life insurance company In the
United States having Is home seat west
Of Philadelphia, with tso exceptions
one in Wisconsin and one in Ohio. Here
tofore Pittsburg has had no home life
insurance company,
Nothing was learned either in New York
or Albany yesterday o indicate that the
Attorney Generals Office had seen reason
at the present juncture TO take any action
regarding the business transaction Of
the two companies. Mr.. Dawson did not
seem to think that there was any likeli-
hood OF any such action for the reason
that no occasion for 1t existed.