New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1912-05-16
CONTRAD|CTS 7. c. & |.
TESTIMONY OF COLONEL
Chairman Says Company Was IN
Good Condition When Taken
Over by u. S. Steel.
FEATURE OF DAY AT INQUIRY
John A, Topping Declares It Was
Developed to a Point Making
1t Second Only to Big
Corporation.

end Iron Company at the time Of its alb
rorrtion by the United states steel Cor
poratior in 1901 with the assent Of
President Roosevelt, was ono of the chief
topics of inquiry by Jacob NJ, Dickinson,
counsel for the government. al the hear
Ing Yesterday in the dissolution suit
against the alleged steel trust.
John A. Topping. chairman OF the
board Of directors of the Tennessee Coal
and Iron Company from the time a syn
dicate obtained control of the companT
until it was acquired in 1907 by the
Steel Corporation. testified that COndi-
ticns were entirely different from what
Colonel Roosevelt said in his statement
before the Stanley committee he had un-
derstood them 70 he
Mr. Topping declared that the syndi-
cate composed among others of George
G. Hanna, G. Il. Schley, j. B. Duke.
Earl w. OElcbay. John w. Gates. .. II.
Payne. Oakleieh Thornc and himself, put
SS0NOnnO into the corporation and made
Il an efficient. money making enterprise
that could have been considered second
only to the steel Corporation.
The company was the largest holder
cot mineral orc in the country after the
Steel Corporation, Mr.. Topping said
and it's approximate ore acreage was
IOO0au 1t had about a dozen iron
fifteen coal mines and sixteen blast fur
naCes. he said. Before the steel Cor
poration acquired the company four Of
the furnaces had been reconstructed
new power and light plants were built
and many other improvements were
made under his direction. MIR. Topping
testified. and the net profit made by the
co,npanv at the end of 1906 was about
81. 100000
Was the Tennessee Coal and Iron
Company solvent when it was taken
over by The steel Corporation asked
Mr. Dickinson.
Bio Rise in Stock Value.
Il regarded il as solvent" was the
answer. and Mr.. Topping added that the
company's working capital over ana
above the current liabilities was about
$1,000 900 i'm 1906 The stock issue was
SD 900. 600 at the time when the synd-
cate ACQUIRED the company. and when it
was sold TO the corporation the stock
value had risen to S290O0,OOo.
Was the business Of the company in
creasing just before it was taken over
by the steel Corporations" asked MI.
Dickinson.
Yes tho business was increasing
rapidly" said Mr.. Topping.
Al the time OF the absorption il 1907.
the Tennessee Coal and Iron Company
mad on its books orders for nearly 100000
tons Of steel rails at approximately $29
= ton. the witness said, and $1,000 tons
Of pig iron. Thousands Of tons of coal
had also been ordered.
Six months before that time. Mr.. Top
ping said, i. H. Hartman had placed his
order for 1J0O0O tons Of open hearth
rails. of which the company was making
speciality. The Bethlehem Steel COM
pany was making such rails at the lime.
he said but the Tennessee Coal and Iron
Company could produce them cheaper
The company's chief strength for steel
rails was the Southern markets, but 1t
sold pg IRON an over ''' nv"
bong abIe L" prou"ce 1t III "''
At from :" 10 :" Nv cheaper q 'o'I ''i"' ~
could he made IN P1tlspurS' MS "'i-
ference outwciched the item Of trans
rortatlon. Which WAS "s"'co 81 Z" ''''
FOR the longest distances.
An Admission by Topping.
-. .... -,i,stion however Nj.
- adr,ittad that tho Chicago
- ,ho Iu;roio Stool Cnmnany
,,,;,i,t ~ ablo r. uroduce rig iron as
-. ..,, ,,.,rl,s IN BIRMINGHAM
c,,n,,,,,. ,.,.,,a .,sot or fin, Ten
- zoo, md Iron Connanv MIR Ton
49,, 60, a., ,biIi,,. 10 s,,pnI, tho whole
co,,,to,.r market With coal and coke
r;.t,i \. r;,d,I,rr,. of ,.ouneal for
-, ,.e.,,,,,.,,, to-, ,.r,,s,-oxa,,,i,..d
~. ,,is ,os,iroo,,,. ,o,co,,i,,o
49, 1o,,nossoo coal and Iron compan,