New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1911-07-01

ment in Us properties of not loss than
/ 500. sos and OF this amount roughly
SiS5.CC) was virtually provided from earn
/ ngs The bureau comments on this point
as follows:
! This great addition 20 the investment OK
/ the Steel Corporation. has eliminated a
+ considerable amount If the water To the
original capitalization OF the Co.Ap'u.'
/ The increase in the investment does hc',
I however. exactly measure the amount -
water or inflated capitalization thus onset;
/ for tho reason that the capitalization OF
. the corporation has not oeen the same,
/ In the first place, the capitalization ~
! reen considerably increased. particularly
through Tia. issue OF new bonds ana Oiher
/ forms If indebtedness. and also through
the assumption OF Liabilities OF se'eI@l So. or,
Germs which have been acquii CO.. 'n 80
/ other hand. part OF this in crease hds
teen offset by the liquidation or part 81
the bonded Indebtedness. Although ~"
/ preferred stock Of the corporation W"s
! reduced In 1903 by $l0.O00.lOJ, this was &C
J compshed only by corresponding ~
/ crease in the bonded debt. by the so-callet
/ bond conversion plan, "A severely criticlstH
! operation and one involving certain oDJeC-
! tionable features The total net outstand-
] ing capitalization of the steel corporation
! on December 81. $40 Including with the
/ capitalization the purchase money ooiiea-
lions and real estate mortgages, as ~
! previous instances. but excluding So-'t'=
| par value of stocks OF su sld!@ry comp"-
I
poration). was H,46S.O33, 30. me excess OF
| the capitalization over the indicated lnYes'-
ment 81. 1856 $50 Q3s) was, therefore, $@sh'ol,-
900 whereas at its organization IN 1871
! the disparity between the TWO ngures Wes
! 500 S46N7. II is apparent. therefore thaI
large part OF the water IN the capita-
ization as 1t may be called. has been eluh-
| mated.
! The Steel Corporation. despite rs gIGa.
! size Is not exempt from competition IT.
deN, the evidence on the wlcfe lnll.@'l,'
| that competition I'm the industry mas stesu.
/ great additions made hy the 'orpo't o.
| 70 it's properties from earnings am ~ AZ
ousitIon Of several important 'lrlItb.-
| concerns it's proportion OF the us.neSs IN
nearly every important product "Ncepl Ps
| non ard steel rails is less than II was. D"
! 1901.
Control Of Ore Supply.
In iroa ore. I'm particular, the steel Cor
p0ratior undoubtedly occupies Gonllnat
! VIII arc now regarded az conmercalfE
! available ores exceed those OF m o'''
! iron and eteel interests combined. AZ Slotb
/ be clearly understood that the ores Oh o..
Lake Superior region substantially iot
! the basis Of the steel production OF ~
covptrv at the present time. While the
/ Steel Corporation has very 'NFlolNt ~.
/ ings Of ore elsewhere. the great nllh pl i,S
/ ore holdings are I'm the Lake superior et--
/ trict IN 1907 the holdings OF the steer
: poration I'm Minnesota, when state I'l,U.,
the Mesaba and Nermilion ranges, accoiul.s
! To a carefully prepared schedule or the
I Minnesota Tax Commission amounted ~
! about ei3 600 eco tons. or - per cent 81 tIs
! total ore deposits for the state. -.
Hence. not only on account OF us st''.
J holdings OF ore. but also on account ~
these peculiar advantages enjoyed IN the