The sun., 1918-06-16
ENGLISH CLOSE
MARINEDEA
Syndicate Reported to Have
All British Ships of Interna-
tiOnal Mercantile.
THE PRICE Is Sl25,OOO.OOO
About 100000 Tons of Vessels
Involved in Deal Await
ing Ratification.
THE PRICE Is Sl25.OOO,OOO
Special cabi. Despntch to THs srs.


LONDON. June 1.-THE Manchester
Guardian understands that nnal con-
clusion has been reached In the negotia-
tions that have been pending for the
purchase by a British syndicate includ-
ing Lord Pirrie and Sir owen Phillips
Of all the vessels Of British register now
owned by the International Mercantile
Marine Company. The transaction has
yet to be ratified by the stockholders.
The reported transfer price Is $780,
900, 900. much below the present market
value of the ships, which aggregate
about $50. 900 tons. BY an understand
ing among the Admiralty the Board OF
Trade and ]. Pierpont Morgan in August.
1903, when the combination was formed.
none Of the vessels could be transferred
to foreign registry for twenty years from
that date.
Deal Pending some Weeks.
Although nothing definite has been
announced. 1t has been reported fire.
quentiy In the financial district for sew
eral days that the big deal involving the
sale Of approximately 100000 tons Of
shipping, including some Of the finest
steamships afioa,. by the International
Mercantile Marine Company to Brit
ish syndicate. supposed TO be represent
ing the British Government, either had
been closed or was on the verge Of con-
summation.
The deal, II completed. will involve
approximately $l25. .Oo0. 900. and will dis
pose Of ships that have been practically
under charter by the British Govern
ment since the beginning OF the war,
Even large parts Of the earnings OBJ
tained from the charters have been tied
up in Great Britain pending tax set
Elements and other details, all OF which
has been the source Of much anxiety ia
the directors and officers of the COM
pany. At the same time the completion
of the deal will make the International
Mercantile Marine Company solely an
American concern, that Is TO say prac-
ticaily all Of its vessels win be operated
under the American tag.
While the details are still lacking It
ia generally known that the sale not
only will involve the company's British
tonnage but also all Of the assets OF
the companies that operate the ships
A for the local end OF the deal 1t Ia
generally assumed that the company
will retire the underlying bonds, which
amount to approximately HO.OOO.OOO
and the preferred stock. amounting to
about s5i 900, 900 After all this has
been completed the plan as 1t Is now
understood to stand calls for the forma-
tion OF a new company to take over con-
troll of the tonnage under the American
hax. in which the common stock holders
will get share for share.
Among the principal British subsid.
arie. OF ths International Mercantile
Marine Company involved In the sale
are the International Navigation Com
pany, Ltd. the Oceanic Steam Naviga.
tion Company. Ltd. white Star J.ine)
the British and North Atlantic steam
Navigation Company. Ltd. the Atlantic
Trsnsnort Company and Frederick Ley.
land 4 Co., Ltd. The steamships owned
nv these subsidiaries are among the
most luxurious on the Atlantic and in
clude the olympic. Baltic. Adriatic. and
other famous vessels OF the White Stal
sale Of these ships would leave tn.
company with fewer than . dozer
American steamships. two Of which ars
owned by the Atlantic Transport Com
pany of West Virginia. the other beinl
chiefly those Of the American Line. and
including the New York. Philadelphia
Ct. Paul, st.. Louis. Mongolia. and Man
churia. The Atlantic Transport Lint
owns some stock In the Holland-Amsrics
Line and II V understood that this sub
sidisry holds the parent companys In
terest In the New York Shipbuiidinl
/ Company. In which the American In
| ternational Corporation and w. r. Grac,
4 Co. each own one-third interest.