The Powder River County examiner and the Broadus independent. [volume] (Broadus, Mont.) 1919-1935, 1922-02-17
RYAN AND KELLEY
ON BRASS DEAL
ANTICIPATE STABILIZATION OF
COPPER INDUSTRY IN
MONTANA.
Success Of Wire Min At Great Falls
Led to Study Of Fabrication, and
the Absoebtion Of American Brass
Company by Montana Mining In.
terests.

yOssss - ANy 01AS Nu0AA IAAA Va sSAS
board of directors, and c. F. KEEL
ley, president OF the Anaconda
Copper Mining company, author
ize the following statement:
1T has been a growing convic-
ton of the officers of this COM
pany that the large investment re-
quired to carry on the business of
mining, smelling and refining cop
per and zinc was inadequately pro-
tected, that the business lacked a
stabilizing influence, so long as the
producers could not reach out to
the ultimate consumers of their
product and take the steps which
it is believed necessarily must be
taken if the copper producers are
to meet the competitive effort of
the producers of other metals in
marketing and distributing the
same.
''The initial result of this con-
viction was the establishment of
the wire mill at Great Falls. The
results achieved have demonstrated
the wisdom of this step. Since the
beginning of the operations on
June g, 1918, to the end of 1921,
the wire mill has drawn into rods
and copper wire a total of 1861
100000 pounds of copper, which
has been distributed at a rnanufac-
turing net profit of $85O,O0O, the
total investment having been ST.
057, 1908, reduced to $685., 900,
after allowing for depreciation.
when it became necessary last
February to take the forced steps to
shut down all of the mines of this
company, as did also most of the
othed large producers on this hemi-
sphere, the necessity for acquiring
such an outlet for production was en-
phasized by the fact that the produc-
ton of the wire mill was sold ahead
for many months, so that during
practically the entire period of the
shutdown 1t has been able to con-
sAAu0 SA0 1u0AuAoSSVA0 anu coAO VI
rods and wire at substantial manu-
featuring profit.
"About this time the officers of
the company undertook an intensive
study of the manufacturing and fab
ricating situation in the United
States. From this study it became
apparent that further building. of
plants would merely add to an al
ready over-c0nstructed mill capacity
and that an effort in this direction
by the company would result in add
ing decentralization rather than sta
bilization to the situation.
came apparent was that the Ameri-
can Brass company dominated the
manufacturing and fabricating situa-
tion in copper and grass. its plants
having q capacity equaling approx
mately 10 per cent of the total cop
per and brass manufacturing bust
ness of the United States. This vol
ume would utilize the maximum pro-
duction of copper and zinc capable
of being made by this company.
Negotiations were therefore un-
dertaken for the purpose of determin-
ing whether or not 1t was possible to
secure the American Brass company,
or q control Of its stock, for the Ana
conda Copper Mining company.
In addition to the direct advan.
tages embraced in securing such con-
troll, the indirect beneficial results
have been carefully considered.
''As an illustration. during 1921.