The Salt Lake tribune. [volume] (Salt Lake City, Utah) 1890-current, 1910-02-21
COPPER MERGER IS
STILL CONSIDERED
Action Deferred Pending Su-
preme Court Decisions in
Trust Cases.
BETTER PRICE FOR
COPPER NOW DUE
Stocks Now Approaching What
May Be Termed Safety
Level"

report that was circulated In Bos-
ton TO the effect that the big copper
merger had been abandoned met with
prompt and emphatic denial in well in
formed quarters. and IL was asserted
with positveness that there has been no
change in the plans Of the promoters of
the consolidation. says the New York
Commercial.
AS has already been stated. there are
several reasons FOR temporarily deferring
the negotiations for the big merger.
1t is deemed best to await the decl-
sions Of the supreme court In the Stand
ard OH and Tobacco trust cases. and a
further clarifying OF the legislative situ-
alton at Washington. so that the consoli-
dalton, when finally completed, may be
made to conform to the governments
ideals OF a good trust Then, too. It is
understood that the organizers desire to
see the price OF copper metal reach what
they consider a normal level-l5 cents a
pound. or little above that figure. In
addition to these considerations is the
delay In rounding out the minor mergers
which are 10 become constituents of the
general consolidation.
These problems, however, are gradually
peinS worked ont and it is probable that
-apr1l VIII fipd the preliminaries we'll out
OF the way and the road clear for the
puttlnS together OF the big merger.
About Local Merger.
II is now regarded as practically set
tied that Nevada Consolidated Will not
go into the Utah Copper company com
bination but will be taken into the big
consolidation cons Independently. The time
Utah shares will expire March s, but un-
I'll that time no definite steps can be
taken for the absorption OF these prop
critics.
BENJAMIN B. Thayer president. of the
Anaconda Copper. company. and C. F.
Kelley. counsel for the Amalgamated
arrange the preIliminaries for the Butte
consolidation which is 10 be provided
for at a special meeting OF Anaconda
stockholders. TO be held March 23. At
this meeting the stockholders will be
asked 10 vote upon proposition TO in
crease the capital from 100000 shares TO
5000; ,,,IG 600 ;b shares, for The purpose of ae-
psnies and also. for the holding OF special
meetings Of subsidiary companies OF the
Amalgamated Copper companies the lat
ter part OF March and in April.
II is not expected that there will be
any hitch In bringing about the Butte
merger, as the dominant interests In the
companies Involved are said to have the
situation well in hand. With the Utah
Copper and Butte consultations dis
posed OF. John ID. Ryan and his asso-
In completing the merger Of southwest
ern properties, and that done the prelim-
inaries will be well out of the way,
In the meantime the curta linen. of the
mines is rapidly reducing the surplus OF
copper metal, which has weighed down
the market and prevented the price from
reaching what producers regard as a |
nominal level. and although the market
is showing some tard!ness in responding |
TO the improved conditions IT is expect |
ed that by the time the promoters or the |
big merger are ready. To make the con-
solidation the price Of copper will have |
moved NJ to l5 cents or better
In this connection a representative OF |
ono of the large selling agencies was
quoted as saying;
At Safety Level
Copper stocks are now approaching |
what might be called the level Of safety. |
In the conduct OF the copper business |
nariy considered the minimum of stock |
which should be on hand to keep the
metal from violent fluctuations. During
the height OF the l90e-07 copper boom |
believe an inventory would have shown |
at least 50,0000o0 pounds In producers
hands. and although the next two months
United States stocks. the latter will not
OF course, be allowed TO entirely disap-
pear.
IN months supply should always be
on hand. That is the lowest that the
level OF safety can he placed with any |
sort Of conservatism. On the basis Of the
5s,754.2ol pounds, the stocks. as of Feb
ruary | last are considerable less than
two months supply. and on the basis of
consumption as indicated in the Janu-
sry domestic deliveries there is only |
shout n month and quarters supply |
available. Anything below a months
supply means a shortage Of the metal
and points TO squeeze in prices. But
that is not likely TO happen at the pres
ent time. since the heavy stocks abroad
will act as a drag on any upward price
movement
Production he's not reached it's low
level since the full effects of the Ama!ga-
mated shut down are not calculated TO be |
felt before this month and next March.
''In view of the strong statistical posi-
ton here copper certainly looks cheap,
and il Will be extraordinary il there Is |