The Wheeling intelligencer. [volume] (Wheeling, W. Va.) 1903-1961, 1912-05-22
BRIDGE TRUST
INVESTIGATED
IN SUIT OF GOVERNMENT
AGAINST STEEL COMBINE.
Pereivsl Roberts. Jr.. Former presI-
dent American Bridge Co.
Tells Of Deals.

NEW YORK. May 21.-Percival
Roberts. Jr-. director OF the United
States Steel Corporation. a member
OF its finance committee and a de-
fendant In the governments suit to
dissolve the corporation under the
Sherman antitrust act, testified con-
corning the organization OF the Am
erican Bridge Company at the con-
tinuation OF the hearings today.
Mr.. Roberts, who was president OF
the bridge company when IL was TAX
en- over by the Steel Corporation in
1901. denied that the company was
originally organized with the object
OF mouopolizing the industry. He
said that at that time 190O) the
oompany's output amounted TO only
81 per cent OF the entire output OF
the country: that this percentage
has fallen TO 32 per cent a year ago
and that the company now only own
ed about 29 plants against 375 indie
pendent plants. Though admitting
that some of the original constitu-
erts OF the company were competi-
tors. they were combined, he said,
solely for the purpose OF doing a
larger business.
The Steel Corporation in answer
TO the governments suits SAYS OF the
organization of the bridge company
that the size and character of the
structures required larger capital
ana greater skill than could be COM
manded by small concerns"
Argument Unsupported.
MI Roberts failed to support this
argument when questioned by r. Lind
aoury, counsel for the CORPORATION
stating that several of the constituent
concerns were entirely capable of
handling structures built at that time
The steel director was unable IN
furnish. the government lawyers infor
NATION about alleged contracts entered
INTO with the owners OF constituent
companies taken over. limiting their
territorial operations for a period OF
years, but testified 10 the existence o,
contract between the bridge com
pany and the Carnegie Steel Comnany
under which the Carnegie conpany
was TO supply the bridge company
materials at advantageous prices and
Itself cease fabricating bridge worL
as long as the bridge company's ont
put exceeded two-thirds OF the conn
try's output
That the steel corporations execu
i've committee had under considera
uon shortly after its organization 2
proposition TO foster a combination n
several small bridge companies out
SIDE the American Bridge Compan,
INTO another company which woult
work TO the advantage OF the AmerI
can Bridge Company inasmuch as tbs
american Bridge Company could dea
with one competitor instead of several
was revealed by the minutes OF an or
ecutive committee meeting -U,bicl
were read by Attorney Dickinson. IN,
government counsel.
The Deal Was Quiet.
How J. p. Morgan q Companv 40
cured control OF the bridge compan,
on behalf OF the corporation witbou
any official action or knowledge ~ IN,
bridge company's directors or official,
as the witness declared. was an inter
esting feature OF Mr.. Roberts testi
mony. J. p. Morgan & ComDan,
merely issued a circular Offering >,
exchange steel corporation stock 10
stock OF the bridge company AZ III
steel preferred and los steel comno,
ior par OF the preferred and commo,
STOCKS OF the bridge company. Thn
oHer was accepted by stockhoJder
and that was all there was 10 n