The watchman and southron. [volume] (Sumter, S.C.) 1881-1930, 1911-09-27
J STEEL Trust DISSOLUTION.
GOVERNMENT SAID TO BE ON
TRAIL OF CORPORATION.
These Reports, With Poor Industrial
Conditions, Cause Severe Loss In
Price OF Stocks.

fseW fork, sept. Zl.--t was re-
ported today on excellent authority
that the matter of dissolving and re-
organizing the United States Steel
corporation is receiving the earnest
attention Of the department Of jus.
tice and legal representatives Of tho
so-called rbillion dollar trust" There
In ground also for the assertion that
the steel corporation Is making a
Il strenuous effort to meet the demands
Of the government. but by reason OF
the complexity OF the situation little
headway has yet been made.
Informal conferences were held
during the day. but nothing Of q
positive character was done. E. II.
Gary, chairman Of the board. declin-
ed 70 discuss the status Of affairs.
and Francis Lynde Stetson. the COR
poration's general counsel. would
neither affirm nor deny the report
that negotiations looking to a voiun-
tary dissolution are In contempla-
ton.
Z To those who have followed the
operations OF the corporation since
its inception the work Of disinte.
grating and reorganizing the iarges,
Industrial combination ever organiz-
ed represents a task Of gigantic pro-
portions. Many OF the subsidiaries
y which helped to make up the cor
poration have lost practically all
semblance OF their original selves
and In the opinion OF dispassionate
observers II would be well nigh i'm
possible to restore original equaii-
ties.
IL In a matter Of common knowl-
> edge that large part Of the $780,
100000 common stock originally rep
resented little more than bonuses, or
water. On the other hand. IL has
been admitted by government invest
igators that much OF this inflated
value has been replaced In recent
years by money taken out Of earn
ings. In fact, the report Of the de-
partment Of commerce and labor has
practically fixed upon value Of $50
for the common shares because Of
the millions put into new construc-
: ton. betterments. depreciation. etc.
Quite apart from the legal obsta-
cies which are said to beset the path
Of the corporation. IL Is evident that
trade conditions are distinctly ad-
verse. For the last three months
such new business as the company
mas received has been at marked
: concessions. This. OF course, Is
equally true OF the many independ-
ent companies. but the latter have
had distinct advantage in that
their wage schedules were generally
lower than those Of the big corpora
tions. Intimations put out from va
: rious quarters during the week point
clearly to a liquidation Of labor" In
steel and iron. beginning perhaps
with the steel corporation. Omcials
of the latter company have issued no
nsures dealing with the extent OF
operations at the more important
>rplsnts. but advices from Pittsburg,
Chicago and Cleveland indicate busi-
ness at those centres Is smaller at
thb time than at any period since
the hrst quarter OF the year.
The common and preferred shares
4 the United States Steel corpora
ions were subjected to severe attack
I'm today's stock market by reason OF
ne various rumors affecting the cor
poration. On sales approximating
$4,000 shares. or almost so Der
cent OF the days total transactions.
the common stock registered a net
! loss OF more than FIVE points. while
the preferred shares. with sales ex-
ceeding $4,000. declined alm ost as
much. In both instances new low
records for the year and even a long
er period were established.
Dealing In steel stocks and allied
industrials completely overshadowed
the rest OF the list which az first.
was only slightly affected. Later.
however. the entire list yielded un-
der the pressure upon these stocks.