The Topeka state journal. [volume] (Topeka, Kansas) 1892-1980, 1919-08-11

approached him with model of the
invention. He had NOT spoken to me
a minute" Carnegie has since recalled.
before. like a flash. the whole range
OF its value burst upon me. Yes,
said, that is something which this
continent must have"
He consulted Scott, and the three
invested for the manufacture of the
cars. Carnegie, then earning $50
monthly, had to borrow 5000 as his
first installnent OF capital. but later
when he sold out his interest to the
Pullman company he had realized
$4,000 for the enture.
Was U. S. Rail Director.
Carnegie was 90 when. the Civil war
broke out and he saw his old en-
pIoyer and friend Scott elevated to the
| post of assistant secretary of war.
Carnegie in turn won an appointment
as director of government railways
and. telegraphs. To the carnage he
saw at several battles may be traced
his lifelong belief in the folly of war
fare-''a blot upon civilization.
Unwittingly following the lead of a
man who was later to eclipse him IN
fortune building. Carnegie. at 80 years
of age, invested in oil. AS one of
syndicate he bought up vast tract
of oil land. In a year, to the surprise
of all the investors. 1t paid the aston
ishing return of 100000 in cash
dividends upon a capital of $4,000.
But iron was the magnet then at
tracing Carnegie. The railroads were
experimenting with cast iron bridges.
Carnegie foresaw the demand for
factory that could turn out the iron
parts and he formed the Keystone
Bridge works. They built, as their
Ohio river, with a span of 800 feet.
Demand for similar structures became
| general, and the Keystone works got
the big orders and profits.
Imported the Bcsscmcr Process.
Carnegie then began to Sc = that iron
rails must be given up for steel. On
a visit to England in 1868 he discov-
/ cred the success being obtained there
with the Bessemer process. Carnegie
quietly brought it home. and before
: the English makers were aware of the
fact. he had adopted 1t in his mills.
The romance of his success was
such that the immigrant boy of 1S4s
became some 40 years later the worlds
| leading producer of steel, a multi
millionaire himself, and fast bringing
a score of other men into the same
category. Many square miles of his
mills surrounded Pittsburgh. He
reached into upper Michigan. 700
( of ore land. He established railway
and steamship lines to bring the ore
to him. He boosted of the reduction
in price of steel rails from sos a ton
down to see. His critics claimed that
even the lower figure was maintained
only by the fact that he had monopo-
lized the industry. former secretary
once divulged what was alleged to
have Been official correspondence to
the effect that the Carnegie steel COM
bination could sell rails at, profit as
low as S12 ton.
Sold Out to Morgan.
1t was certain that the grip which
| he had upon the steel situation made
his elimination necessary il others in
| quest of wealth in steel were to realize
the millions they saw going to him.
He was. accordingly, bought out in
| 1871. The syndicate headed by j. p
Morgan. which desired to form the
| billion dollar United States Steel cor
poration, paid s420.0o0,O0o in their
five per cent bonds for the Carnegie
| company's holdings
What fool L was" Carnegie later
said in hearing before a congress
! sional committee at Washington, ITO
only $42O,0OO.00 have since
learned from the inside that I could
nave received 500, 900. 900 more from
Mr.. Morgan If we had placed that
value on our properties" Carnegie's
personal share in these holdings netted
| AiAiil epOul @0UsUUO,OOU. HIS 11rSt
actual investment in iron had been
$500 of borrowed money, thirty-six
years before.
Made Fifty MiIIIonaircs.
The secret and method of my sue
cess is simple" he said. II organized
my business into departments. put
the best man could find at the head
of each department, held him respon-
sible and judged him by results.
have started more than fifty men on
the road to nillionaires"
| Carnegie's mother, to whom he re-
peatedly gave credit for all that he
was. lived to be an octogen1rian, and
SO devoted was he to her that he
| hesitated to marry. In 1888, how
ever, he married Louise Whitefield,
of New York, by whom he had one
| child, a daughter, Margaret, born in
1897. His bride was twenty years his
Junior. To her and her daughter
probably remains large fortune, not
withstanding Carnegie's public gifts
Miss Margaret Carnegie was recently
| married to United States naval Of
ficAr