Santa Fe new Mexican. [volume] (Santa Fe, N.M.) 1898-1951, 1912-12-19

the American Telephone and lele'
graph company, the Northern Pacific
ana the Southern Railway, although
they had made no agreements with
them. t sqs
Mr.. Unterlnyer took up the North
ern Pacific reorganization.
Was that property re-organized
under a voting trust?"
Mr. Morgan said it was, and that
he was a member of the voting trus,,
In that connection" he added, I'd
like to present these reported of the
voting trustees for the Northern Pa,
cific and the Southern Railway
Mr. Untermyer looked at the re-
ports Mr.. Morgan presented and ask
voting trustees in behalf of their good
management.
Mr. Morgan replied that they were
the reports of the trustees.
Dent you think that interstate cor
porations should be entirely free to
ket and not be tied up to one firm,
no matter how just the method?" ask
ed Mr. untermyer.
: no, not necessarily replied Mr.
Morgan.
Mr.. Untermyer asked if Mr.. Morgan
did not think securities of interstate
corporations should be sold in open
competition as were United States
bonds.
Il do not" said Mr. Morgan.
He said there was plenty of competi-
tion for railroad securities.
Mr.. Untermyer asked where there
could be competition between the New
York, New Haven & Hartford and
! Morgan & company in the sale OF New
/ Haven securities.
They want great deal more for
them than we think they are worth,
said Mr.. Morgan.
DO you think it would be better for
the railroad to be able to offer its
securities to another banking house,
No do not" returned Mr.. Nor.
gan. He added that the position OF
the banking house often had much
to do with the stability and success
of corporations.
Mr. Untermyer turned to the fiscal
arrangement with the United States
Steel corporation.
Didn't you name the entire board
OF directors Of the United States Steel
corporation" asked Mr.. Untermyer
Il think | passed on it.
Mr.. Cntermyer asked if Mr.. Nor
gan had not named Judge f. H. Gary
for chairman of the Steel corporation
finance committee when George w.
Perkins resigned.
Il think so. It's very probable.
don't remember now"
Who fixed the prices at which the
various subsidiary companies should
go into the organization asked Mr..
Untermyer.
Il approved the price said Mr..
Morgan.
But it was left to you to determine
the price at which they should come
in9"
Yes. but ! wasn't able to get them
at the price we wanted always
Which committee of the Steel cor
poration selects 1.-THE banks where its
funds shall be deposited?
THE finance committee"
Who selected J. P. Morgan &
company
why, it was sort OF eE-officio. j
+. Morgan & Co. then had the whole
company and its funds naturally came
to us.
You thought it would be a profitable {
business" suggested Mr.. Untermyer. {
I'VE didn't know whether it would
be profitable or not said Mr.. Morgan.
'It didn't look like it when it went
down to IS a share
Mr.. Morgan added he had bought
all the steel stock he could get hold
of; that he had never lost confidence
il. the steel corporation, and that he
had never advised anyone to sell. He
knew OF no pools or syndicates formed
to deal in steel stock.
Il have no doubt that there have
been pools formed without our know
ledge, he added, but | know of
nCne"
Mr. Cntermyer took up the sale of
large issues of stock Mr.. Morgan
said that in some instances stock
issues were underwritten by syndi-
Gates formed by his firm.
Mr.. Morgan said many banks and
trust companies in New York were
allowed to participate in the syndi-
Gates.
Can you tell us the amount of
securities marketed by your firm.
year by year??' asked Mr., Untermyer.
Mr.. Morgan could not say, but he
believed it would amount to $1,000
100000 year. He agreed to furnish
statement to show the amount.
Il think it is generally over-estimat-
0'Onfinr,nd IL