Rock Island Argus. (Rock Island, Ill.) 1893-1920, 1909-02-20
Market Unsettled as Re-
suit of Contest With
Independents.
MANY ARE UNLOADING
Officers of Company Plan to
Blame Proposed Wage Cut
Upon Lower Tariff.

new 1OTh, II Gu. GU.-AilHOuuCcIueuI
of the decision to cut steel prices made
late yesterday by the United States
Steel corporations board of directors
was reflected in the stock market to-
day The offering Of $4,000 shares of
steel common at from 475s to 47B,
the opening. U. s. Steel preferred de-
clined a full point. The general mar
ket was lower in sympathy
Another Drive Made.
During the second hour another drive
was made against common, forcing the
price down to i6H The stock was
heavily dealt in. Much of it was ap-
parently offered at forced sale.
The market closed weak and unset
tied. The continued unloading of steel
had a depressing effect. Common sold
as low as 46
Wage Change as Tariff Club.
New York, Feb. 20.-Assurances that
the price of steel rails will not be cut
as a result of the price cutting in fin
shed steel products were given today
by men high in authority in the steel
manufacturing business 1t was stated
by steel Official that the present
schedule of wages in the steel mills
will not be changed until the new tar
if on steel is known.
! Independents Force War.
New York, Feb. 20-A war of prices
in steel is said to be imminent It's
effect is expected to be far-reaching.
The cause of the belief that such con-
ditions will prevail is the statement
of the United States Steel corporation
that its, component companies have
been forced to a reduction of prices.
. The statement was issued by E. H.
Gary, chairman G. the corporation.
The leading manufacturers of iron
and STEEL said MIR. Gary, have deter
mined for the present at least to sell
at such modified prices as may be nec-
share of business"
Trust OutgrOwth of War.
! The steel corporation was organized
! in 1901 largely as result of the price
war of 1900, in which the price of steel
billets went down from S33 a ton to
$17 within six months, and rails from
$35 to $26. Ever since it's organization
the corporation has been a steadying
influence on prices. This announce
ment that it will hereafter depart from
lobserving any schedule is taken to i'm
! ply that another price war is threat
lened
: Independents Force Trust to Cut.
The issuance of the statement fol-
| lowed an informal conference Thurs
&. day with a number of leading inde-
lpendents. The situation was thor
Ioughly' canvassed, but no agreement
Twas reached on either side. The in
dependents, it was understood, refused
to be bound by the present scale, and
J the corporation, in view of the fact
/ that there is an enormous tonnage
l shortly to come into the market from
1 the Pressed Steel Car company, as
we'll as from other manufacturing
: sources, found itself compelled to take
q the stand it did.
Il After Big Customers.
The. attitude of the United States
Steel corporation. it is said, has beer
r conciliatory from the start, but the ag
: -Igressiveness of some of the independ
!. ents, who have been undertaking ans
4 reaching out for the customers of thei
); big rival has forced the corporation
d into abandoning the one-price polio!
e which. its officers say, it always main
r ltained steadily.
= However, the independents profes
! to have no fear that the rate cuttin
e will go to extremes. An officer of on
!. of the biggest Independents said tina
s liz the cut went deeper than $3.50
,r ton it would surprise him.