New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1910-03-15
BANK STOCK SCARS
BIG MERGER PENDING
Rumors Link the First Ma
tiOnal scith Commerce.

The curiosity which has been aroused in
Wall Street by the steady advance in the
price of National Bank OF Commerce stock
on the Stock Exchange during the last ten
DAYS was intensified yesterday when. on
sales OF 972 shares, which is believed TO
constitute record for a single days trans
actions in a bank stock. the price rose
from go at the opening 10 80. fiuctuating
thereafter. and closing with net gain of
1915 points. at 2s4.
No official or otherwise authoritative eX-
PLANTATION OF the movement was forthcom-
ing. but the best opinion was that it indi-
Gated an impending announcement of mer-
scr OF the Bank Of Commerce with some
other large institution, probably the First
National Bank.
IN April. 1895 a cirCumstanJial story of
coming combination Of the Bank of Com
lnerce with the National City Bank was
published. but il was soon afterward de
MED on authority. The story was revived
IN February of last year, and again it met
with a similarly sweeping denial. Now
leading iinanciers say they do not credit
the reports now current that these two in
situations are to become one.
J. Pierpont Morgan, Thomas Z. Ryan
end II. c. Deming retired on March > from
The directorate of the National Bank OF
Pierpont Morgan. jr., and Henry p. Davi-
son, Of ]. p Morgan & Co., and Allan A.
Ryan, and q new committee was formed,
known the finance committee, having
its members Mr.. Dawson, Mr.. Morgan,
President Snyder. Jacob II. Schif, Charles
A. Peabody, president Of the Mutual Life
Insurance Company; Paul Morton, presi-
dent OF the Equitable Life Assurance So
ciety, and Woodbury. Langdon, a trustee
o. the New York Life Insurance Company.
Significant Stock Activity.
Almost simultaneously with these changes
in the board and the placing Of the two
Morgan partners on the finance committee,
which were regarded as indication that
the Morgan influence had become dominant
81 the banks councils, the activity in the
stock began. Ten shares Were sold IN the
preceding week at 1871, and on February 2S
and March 2 a total Of forty-nine shares
was reached. with the price rising to POS.
On March the sales were eighty-seVen
shares. and the total for the week was 900
only q small price advance. All last
week the buying movement increased in
volume, the transactions aggregating S96
shares for the six days and the price rising
from 3OS TO 21sIa.
Mr.. Dawson, before entering the firm Of
J. z. Morgan & Co. on January l. 1909, was
Tor several years a vice-presiGent Of the
First National Bank, OF which he is still a
director. among his associates being ]. p.
Morgan, long a vice-presdent and until a
few days ago a director Of the Bank of
Commerce. and George T. Baker, chairman
Of the board, who also is a director of the
Bank OF Commerce. Mr.. Davisons most
notable achievement since his admission
into the Morgan firm has been his merger
companies with the Guaranty Trust Com
pany, and it is commonly assumed that the
reported negotiations affecting the National
Bank of Commerce also have been in his
hands. Mr.. Dawson went abroad a few
days ago
The trust company amalgamat ton. which
followed the transfer Of the controlling in
ierest in the Equitable Life from Mr.. Ryan
TO Mr.. Morgan, is supposed TO have been
accompanied by the sale of a considerabe
part Of M. Ryan's holdings in tine Morton
and Fifth Avenue Trust companies al
though he is q director Of the enlarged
Guaranty Trust Company, and il is not
unlikely that he may also have disposed
of large part Of his Bank Of Commerce
stock 10 tie Morgan interests
Insurance Company Holdings.
The heaviest holders of the banks stock
are the Equitable Life. with 5o23l shares,
and the Mutual Life, with $685. shares
Al their holdings must be sold by the end
az 1911, under the insurance law.
The National City Bank the First Ma
iional Bank and J. P. Morgan &. Co have
recently been associated in various offer
ings OF securities. but it is common knowl-
edge IN the Street that Mr.. Morgans affili-
atoms have been with the First National
rather than with the National City. Ma
iional banks are not permitted under the
law 10 hold stocks but no such prohibition
applies TO the First Security Company, the
100000 corporation organized two years
ago, the stock of which is held by SIX trus-
tees, who are the officers Of the First Ma
tional Bank
Tho National Bank of Commerce has So
100000 common stock, on which it pays year
ly dividends of S per cent: 81, So4 200 surplus
and undivided profits and $l2l3ll, 800 de-
posts The First National Bank, with
100000 capital stock. on which last year
40 per cent was paid and which is quoted
At 900 bid and 800 asked, and with Sl967l go
surplus and profits, has deposits of S9f15o.-
800, the combined deposits Of these two in
stitutions being about $215,5O0,0e0, as against
The $lez,S07,e0o deposits Of the National CITY
Rank. with its $25,0e0.000 capital and its
I-9,I51Go9 surplus and undivided profits.