The silver state. [volume] (Winnemucca, Nev.) 1909-1925, 1911-05-25
merger OF GREAT
COPPER INTERESTS


between the Morgan, Guggenheim and
Standard Oil copper interests, it be-
came known yesterday that the long
anticipated copper merger would soon
be announced to Wall street. In view
of the United States Supreme Court 3
ruling in the Standard Oil case, the
copper magnates have decided that
they can combine to bring about more
economical operation of the industry
without being charged with causing
any unreasonable restraint Of
trade.
In order that the merger shall not
arouse legislative investigation, how
ever, or be liable to Federal prosecu-
tion along the lines Of the government
suits against the oil trust and the
tobacco trust, its central corporations,
it was said, would be linked together
by gentlemen agreements.
Chief among the corporations to be
affiliated in the merger is the Ameri-
can Smelling & Refining company, the
capital stock of which was increased
from $1OO,000,000 to $115,OOO,O00 .
vote of the stockholders on January 5
last. At the time Daniel Guggenheim,
president Of the company, best known
in Wall street as the smelling trust, -
made this statement
s'The increase of business and the
increasing value Of the stock held by
the American Smelling & Refining
company should assure not only the
payment of the seven per cent divid-
ends on the preferred stock, but should
increase the dividend nd-earning power of
the common stock. Further advan.
tages are secured to both classes of
stockholders by exercising the privi-
leges which is to be offered to them of
subscribing pro rata of the entire is
sue of SIS 100000 bonds Of the securi-
ties company
Properties to Be Merged.
The various mining interests of the
Guggenheims, according to the present
plan, are to be rorganized so that
those which deal with anything else
than copper will be handled independ-
emily. The $22,OO0O0O Guggenheim
Exploration company, for example,
holds large stock interests in both the
$25, 100000 Utah Copper company and
the $25,000,000 Yukon Gold company.
One of the greatest mining proper
ties in the Guggenheim group is the
Nevada Consolidated. Together with
the Cumberland Ely, the Nevada Con-
solidated owns the 81 100000 outstand-
ing stock of the Steptoe Valley Smelt-
ing Mining company, and the entire
81, ,O0O, 900 outstanding stock and all of
the outstanding mortgage bonds of the
Nevada Northern Railroad company
The Nevada Consolidated has capi-
tai stock of $1O,000,OOO. The last re-
port showed that its total annual earn
ings aomunted to $2,236,661.
Most important of the companies
outside Guggenheim circle of control
which have been invited to come into
the merger and which it was said have
practically agreed to accept the offer,
are the United Copper company and
the Amalgamated Copper company.
The Amalgamated, with a capital
stock of $155, 100000, controls the fol-
lowing:
Anaconda Copper Mining company
Capital $30,O00,00O).
Big Blackfoot Mining company (cap.
ital $640,00O).
Boston & Montana Consolidated
Capital $3,75O,OO0).
Butte & Boston Consolidated (capi
tai $2,000,O ,OOO).
Butte Coalition Capital $15,O0O,-
O0O).
Diamond Coal & Coke company (cap-
ital $1,500,00O).
Greene Cananea Capital $50,0oo,-
o00).
Mountain Trading company Capital
$111 ,O0O).
Parrot Silver & Copper company
Capital $2,298,000).
Trenton Mining & Development
company Capital $1,000, ,O00).
Washoe Copper company Capital
So, ,046, ,40O).
Backed by Standard Millions.
The Amalgamated had the backing
of Standard Oil millions. H. H. Rog-
ers, until his death, was dominating
spirit in the company. Among it's
directors at the present time is Will
liam Rockefeller. John d. Ryan is its
president.
The United Copper company has an
authorized capitalization of $S0,0O0,-
900. F. Agustus Heinze is president.
Because of the tumultuous experiences
which this concern has had, during
which the Federal authorities finally
captured the company's books, it is
said to be especially willing to settle
all pending litigation and come into
the merger.
The Haggin Morgan mines at Cerro
del Pasco, Peru, are also said to be in
the deal.
Up to the time of the Standard Oil
decision negotiations were pending
with Rothchild interests which control
the great Spanish Rio Tintos. Be-
cause of the favorable wording of the
decision it is believed that the nego-
tations will be brought to a head
within the next few weeks. Attorneys
who have been drawing up the legal
basis for the merger were found most
reluctant 1t was admitted by one that
4La Stanlard OIL dacisian ananad Tho