The Richmond Virginian. (Richmond, Va.) 1910-1920, 1911-10-20
STEEL GAINS IN
CL0s|NG MARKET
OFF GREAT NORTH.
ERN ORE LEASE ADVANCES
TRUST SHARES,
BEET SUGAR DIVIDEND
DIRECTORS EXPECTED TO MEET
AND DECLARE oxE-sCASDAl
~ CANADA OVER GRAND
Trunk ROAD,
BY THOMAS c. sHoTwEaI.

ed In Inc midst OF sharp rally to-
uas. Many net gains were recorded
III standard issues. The only l1ota bic
weakness Was in Great Northern or.
oertihcates, which broke 81 a share
early i'll the day
SOME OF the speciaities were weak
but the standard issues mere under
influences OF strong banking support.
Nothing has happened to Justify an
advance In prices except the fact
that the level is lower than II mas
been and the shorts refuse 10 stand
Uhder their commitments long
enough TO have any influence In de-
pressing prices.
oWciat announcement that the steel
corporation intends to terminate Its
lease With the Great Northern ore
properties on January L. 1915, was
accepted az an argument In favor Of
higher prices for steel trust shares.
When this lease was signed W. f.
Corey, then president of the corpora
ton. refused to put his signature to
the document on the ground that he
thought II bad bargain and did not
want to be on record favorink IT,
One of the chief biologists of the
trust also advised against the lease,
which was made more as stock
market deal than ~ q business prop
osition.
The trust has taken out but little
more than 100000 tons of ore and
has more than 100000 tons TO its
credit and fully paid for. BY the end
OF this year 1t Will have paid ty.-
100000 10 the Great Northern ore
trustees under the terms of the lease
and 1T is generally supposed that
heavy shipments of ore will be made
between now and January /. 1915.
say Orc In Ea1,AustHA.
Some experts claim that such ship
that can be mined At low cost, Others
say the property has billion tons
that can be easily mined. The I'm
portant feature of the announcement
concerning cancellation of the loans
is that existence of this lease was
always figured ~ one of the points
on which the government would All
tack the trust under the Sherman
law. II the trust gives formal notice
OF an intention to terminate this lease
the government cannot decentiy make
that lease a point OF attack. Even II
the politicians In their zeal should
do Sc the trust could disarrn them
with a simple statement Of what had
been done.
In spite OF the strength of stocks
to-day rumor persisted OF suits to be
begun soon by the government against
the American Bridge Company and
the American Steel and Wire Com
pany. subsidiary companies OF the
trust. II Is understood that trust will
reduce the rate on iron ore to twenty
cents a ton on its properties over the
Northwest. thus forestalling action by
the government In that direction. Tho
Interstate Commerce Commission. by
the way. has full legal authority to
reduce the rate on anthracite with
out waiting for the supreme court to
decide the coal trust case and II 10
the belief in some such action that
leads many brokers to expect an an
nouncement OF . segregation plan by
the Reading and other coal roads.
Lehigh Valleys great strength recent
ly is based largely on that theory.
Beet sugar Dividend.
Directors Of the American Beet
Sugar Company arc expected to meet
Tomorrow to declare = dividend on
the common stock. There 10 no off,
cial notice to that effect. but the be-
lief prevails In speculative circles
closely allied with the MANAGEMENT.
AGtIQH vi NAsttSu 0tAAE8 AsAboCs 0A$St
declaration Of IT. dividend makes
speculative holders Of Beet Sugar feel
rather uncertain - to the day after.
The Beet Sugar people are MAX
ing good their word absolutely
and they deserve much credit for 1t,
but persons carrying the stock should
not forget that fsmarkable earnings
are due very largely to the accident
OF a sugar beet crop failure ms Ger
many this eysar. Crop failures are
very uncertain cornerstones for in.
vostment structureA
Canadian Pacific In III advance
across $50 was under tho influence OF
decision by the now Canadian gov
eminent to abandon the project for
building 1900 ,nilss Of improbable
track east Of the Great Lakes for the
Grand Trunk Pacific. This stretch
never would have paid the intarsst
ON Its cost. hut Il would have com
peted sufficiently with the Canadian
Pacific TO reduce the sross sarnings
OF thAt road materially.
scandal On CanadA-
The scandal that will soon -bs ex-
posed In connection with the Grand
Trunk Pacific contracts viii attract
worldwidA attsntion 10 tho Dominion,
and will prove that the LAuriAr gov
!. efnment would n1N0 h1eA Aofoataa II
Yecipfoelty NJ naNtR bsen hoard ~.
TIA 6nvlHG Il a4n ~ y 800 -