Evening star. [volume] (Washington, D.C.) 1854-1972, 1909-10-24
Merger Hangs Fire.

decided note of disbursement per-
meates the confidential talk of those who
have been working for months on the
scheme to merge the independent iron
and steel companies. The trouble Is In
connection with the underwriting. The
big banking houses do not seem to be
quite 50 willing to lend their names to
the enterprise as they were awhile back
One house In particular, the most inn
portant of the lot, shows unmistakable
symptoms of cold feet. This development
has thrown a larger burden of RESPONSE
bility upon the capitalists directly in
terested than they had been figuring On
and they do not like it. The gross amount
OF the underwriting required is about
100000. 900, of which the promoters are
willing to subscribe one-tenth provided
the other 80 per cent can be arranged for.
1t was admitted a day or two ago that
nowhere near this amount had been pro-
vided and that unless ]. P. Morgan &
Co. could be induced to come out openly
in favor of the project and lend its ac-
tive support the plan was In imminent
danger Of falling through. Representa-
tives Of practically every important iron
and steel company scheduled to go into
all fall and there have been almost daily
and nightly meetings and conferences
going on among them at the Waldorf,
Holland House and Offices I'M the down
town district.
officials and the big capitalists identi-
fed with the steel trust have let it be
known that they view with friendly eyes
the efforts to bring about a combine of
the Independents, but something very
much stronger and more substantial than
mere moral support is now demanded.
1t does not seem to be forthcoming on
generous scale, which cordial conversa-
ton had led the promoters and would-be
participants to look for. And now they
are at sea. Many Of the big Independents
who have been putting in their time in
New York are getting sore. They open
ly say that they have fooled away about
all the time they intend On the scheme
and that II X does not speedily material
lie they will go back home and get on
can put in their time to better advantage
increasing capacity and otherwise saw
ing wood on their own respective wood
piles than to hang around here waiting
1t may foreshadow an abandonment OF
the project for the time being. An i'm
preston seems to prevail among the
Independents that while j. p. Morgan &
Co. might take on the merger If a prac-
tically completed deal were handed over
to them and a chance given for big
rake-off, the house Is in no mood to as
sumo a position In which 1t might pos
sibly suffer loss or prestige-and other
holders for two or three days. They
were called here by special invitation and
the situation explained to them fully.
1t was put up to them bluntly to raise
the unsubscribed balance of the under
writings, or remain forever uncomplain-
ing II the plan should fail. 1t looks as
Trough the deal is off.
Humors Of the Day.
It was rather amusing to watch the at
tempts to get up a mild excitement over
the taking over Of Colorado Fuel and
Iron by John D. Rockefeller and his as
sociates. The fact is that Colorado
Fuel and Iron has been a Rockefeller
corporation for several years. It is quite
likely that the Rockefeller interest was
increased during the panic days, when
George Gould is supposed to have turned
over the bulk Of his interest in the com
pany to the Standard Oil magnate, Al
though at that time this interest was by
no means important as factor OF con-
troll L. NJ. Bowers. chairman Of the
Colorado Fuel and Iron directors, has been
q John D. Rockefeller man for years. The
same fs true OF F. T. Gates, reelected to
the Pooh Bah ofiices Of vice president, sec