Ottumwa tri-weekly courier. [volume] (Ottumwa, Iowa) 1903-1916, 1912-02-29

fourteen sections, some containing
voluminous quotations from the min
utes of meetings of the corporation
and of the subsidiary companies.
! Summarized the report concludes:
Competition between previously
competing concerns was terminated
by the concentration of the control of
upwards Of 1870 corporations into one
security holding company known as
the United States Steel corporation.
The United States Steel corporation
Is merely holding company engaging
in no business except the control
through stock ownership Of the sub.
sidiary companies.
There were acquired and brought
under single control, upwards OF 1870
concerns in lines of business allied
with the steel making business, includ,
ing ore owning and mining companies
(which are now restrained from COM
peting the sale of ore" transportation
companies through consolidation OF
which every possibility of competition
between these roads is prevented" pig
iron plants, coal and coke companies,
and many others.
There were acquired large number
OF major concerns at much inflated
valuations, succeeding several In
creases in the capitalization OF pre-
ceding interpretations, due, In some
cases, to the greater combination value
or merger of the consolidation, IN
which of course the units combined
were restrained of any competitive
activity. Specific instances are given
under this head relating TO three pro-
cesses of combination as follows:
| '"rhe original combination OF major
concerns to eliminate all possibility
of competition. Combinations admit.
tedly or internally having direct effect
| to remove competition or IN the &C
complishment of which the removal OF
competition was the declared or infer
red object of the consolidation.
"Other acquisitions in related lines
Of business for which no explanation
has been offered and none appears ex-
cept the visible consequence, the re-
moval, Of such concerns from the~inde-
pendent field.
"rhe requirement of large num-
| her of plants which never were oper
! ated and some of them, dismantled,
being removed from the competitive
field
! The Tennessee Deal.
| The requirement Of other plants,
such as the Clarion Steel Co., the
Tennessee Coal & Iron CO., and others,
of which the report says: "Isolatedly
considered, the purpose in acquiring
| independent concerns may be entirely
color!ess, but when considered in con-
nection with the acquisition Of other
! Independent plants admittedly or in
! ferably to terminate competition, the
continued policy and practice Of &C.
curing control of companies engaged
in its own line OF business, may be
corroboratory of the conclusion that
the intention was to prevent sompeti-
ton of the concerns acquired, II not
| per Sc indicative Of such intention"
/ In this connection after lengthy
analysis Of the taking over Of the Ten
Inessee Coal & Iron Co., in 1907 the re-
port says:
| 1T may not be possible to state the
true intention in acquiring the Ten
nessee Co., in a way which would be
admitted by the men in control OF the
steel corporation, inasmuch as it ap.
pears to many experienced men who
are also disinterested, that the inten-
Ition which impelled its acquisition was
merely the desire to bring under con-
ttroI of the steel corporation the great
possibilities for competition possessed
by the Tennessee Co. The conse-
ouence of the acquisition should and
must be held to have been intended in
legal contemplation. even IL the re-
suit so deduced conflict with the in