The Bennington evening banner. (Bennington, Vt.) 19??-1961, 1911-10-31
Trust Prosecutions and business

Trust Prosecutions and Business
''The worst" has happened in the
way OF trust busting" in America,
yet the country wakes up every morn
ing to find that it is still very much
alive. 1t is now even conceivable
that the republic would survive the
Observation-Disclosures that might
ultimately mean-of the largest and
most heavily capitalized corporation
IN the universe. We must continue
TO eat, wear clothes, and, among a
great many other things, make iron
and steel by the million tons for
troubled world regardless of even
Mr.. Wickersham. Something Of that
feeling must have possessed the 1O0,-
600 or more stockholders of the Uni.
ted States steel corporation late last
week, when they had weathered the
first shock of the news of the dissolu-
tlon suit. The weak brothers and
sisters appeared to have been shaken
out during the heavy decline of steel
shares in September. The govern.
ment's attack had been pretty thor
Oughly discounted at the time of the
"voluntary dissolution panic and the
result was that the week ended with
steel common still selling above 50
The decline Friday of Sh points car
rieo the common shares down IN 20
precisely, the lowest price of 1911
and the lowest indeed since AnriI
1909; but 1t was only a little below
the lowest OF September last and
saturdays recovery to SO, with a clos
ing OF 52&, must have been reassur-
Ing 10 those who had half expected
the immediate end of the world.
The effect OF the steel suit upon
business In general may also prove
to be less disturbing than could have
been anticipated several months ago.
In the first place now that the blow
has fallen, there will be more of a
disposition to emphasize the strong
points in the steel corporations de-
Tense With the common shares now
selling in the neighborhood of their
intrinsic value, as measured by the
total assets of the corporation, Il
wonld seem that the securities mar
kets had already gone for to discount
q supreme court decision adverse to
the trust; and, in the meantime, the
chances of final victory for the cor
poration cannot be ignored. There
are several very strong factors of the
legal situation favorable to the cor
poration. Committed as II now is 10
interpreting the antitrust law in the
light of reason" the supreme court
must give due weight to these points
That the corporation has controlled
since its organization steadily dina
finishing share of iron and steel pro
duction, which now is not more than
so per cent, that II has not exacted a.
high prices as the law OF supply and
demand would have justified in boom
times. that II has never used unfail
methods, like the oil and tobacco
trnsts, against competitors, that thos'
same competitors have never com
plained of the tactics OF the trust ant
themselves admit that their own col
dition would not be improved II tn
trust were dissolved, and also thai
I'm Voluntarily canceling its Grea
Nortne-p ore leases, the corporatio
has shown disposition to keep fire
OF the monopolistic faint. The pre-
emf open market" conditions in tn
steel industry are proving that tn
independents are being pressed
the wan rs they were not In MOI
prosperous times; and the fate OF II
enailer concerns under a much moi
fnienEe regime OF competition is nj
regarded by them with satisfaction
n narrow construction Of the la
would probably bring the trust und'
condemnation. but the chances 4
n 5 TO 4 decision In it's favor, wi
Chic Justice White leading the cou
seem fairly good, II we are at all
quainted with the character oil q
evidence that has been gathered
the government in support OF It's I
utiun.-Swingneld Republican.