The Birmingham age-herald., 1922-02-16
NEW YORK BANKS W ! LII ) FINANCE ALABAMA COMP ANY
Will Incur Expense of Thirty Millions if Offer Accepted.
 Martin Thinks State
 Would Be Aided
By HUGH W. ROBERTS
 hnA nnridarr, ir,l

Washington Bureau. The AEe-Herald.
 500 Davidson Building.
 Washington, February 15.-(Spe- cial. )-The offer of the Alabama Power company for Muscle Shoals was submitted today at noon after the board of directors of that com pany, sitting in Washington, had of ficially approved it this morning.
 The members of the board present were; Thomas W, Martin, of Bir- mingham, president; R, A. Mitchell, of Gadsden; R. NJ. Hobbie. of Mont gomery; Frank NJ. Moody, of Tuscs- loosa; W. II, Weatherly. of Annis- ton: W. H. Hassinger of Birming ham, and W. M. Walmsley, of Sir mingham.
 According to statement of Presl- dent Martin. the company was en- abled to submit it's bid through the improvement in the money market which warranted New fork bankers in guaranteeing to finance the propo- sition. It is estimated that if the offer of the company is accepted, the company will be put to an eS- pense of SS0,000,000. Completion of Wilson dam will cost between S22,-
  the company would pay the Govern ment $5,00o.000 for auxiliary steam plants at Gorgas and Sheffield. Ar rangements for finances were com pleted only last Saturday. it is stated.
 President Martin, in statement for The Age Herald tonight, eN pressed confidence that his offer was more advantageous to the Govern ment, in every particular, than the Ford offer. He believes his accept ance would rebound 10 the best inter- ests of the people of Alabama, a. well.
 He was moved to act at the present moment, because discussion in Con gress had indicated the intention of the government to lease Muscle Shoals power for commercial pur- poses. Last April he informed the war department that when such in- dication was given, it could rely on the Alabama Power company to submit it's bid
 Cooperation Promised
 Further in this particular he said:
 When in April, 1921 the war de- partment inquired concerning the feasibility of completing the Muscle Shoals developments we expressed the opinion that the project was all economical and profitable undertak- ing. and promised that when the Eovefnment determined to comple; "a it for commercial purposes, the gov ernment might rely upon the co-op- eration of this company. Recent dis cussions in Congress indicate that the government Is now prepared to devote this power to industrial uses, and it is therefore, appropriate for this company now to offer it a sug- gestion.
 "In formulating our plan. we have sought 10 meet the requirements of the government first in thc desire to produce cheap fertilizers; sec ond. to have nitrates available in time of war, third, to contribute to the industrial development of the region, both by bringing in new in dustries and opening up navigation on the Tennessee river; and finally to complete the project without fur ther expense to the government.
 We are assured by a number of important industrial enterprises that if the power from this development becomes available to the public, they will establish new plants and fac tories in this locality. This, with the rapid growth of industries in the re- zion which may be economically served-a territory larger than New England-is such that we are confi- dent the entire power output will be promptly absorbed. If the Muscle Shoals power can be made available for everybody, we believe that not only will a number of industries bs established at and near Muscle Shoals. but the industrial develop ment Of Alabama. Tennessee, Geor- gia North and South Carolina, and indeed the entire south. will be pro- noted. Hence our willingness to as- sume the large responsibilities in- volved in our offer"