The Indianapolis times. [volume] (Indianapolis [Ind.]) 1922-1965, 1927-07-27
Steel, MOTOR
COMBINE MAY
BATTLE FORD
Automobile Struggle Might
Extend to Fight for In
dustriaI Domination.
DU POINT EXTENDS FIELD
Detroit 'Flivver Maker Is
Girding for Fray With
d.. Ads; New Model.

VBn United Press
NEW YORK, July 27.-Reports OF
an approaching link between the
General Motors Corporation and
the United States Steel Corporation
led observers to speculate today
upon the possibility that the sup
posedly impending battle between
General Motors and Henry Ford for
SUPREMACY in the automotive field
might be extended into a gigantic
competition for American 1ndustrlal
domination.
While Wall Street studied the Mo-
tors and Steel earnings reports made
public Yesterday, reports that Pierre
S. Du Pont, chairman OF General
Motors, and an important t1gure IN
the Du Pont explosive companies,
would become a director OF the Steel
Corporation and might even sue
ceed Judge Elbert H. Gary as chair
man, gained wide circulation.
Du Pont Influence Spreads
It was understood that overtures
for placing motors executive on
the Steel board came from the
steel company because OF the re-
markable record of the present man
agement of General Motors.
The Motors executives, however,
were understood to have refused 10
consider the plan unless methods O
conducting affairs of the Steel Cor
noration we're changed to accord
more nearly with the methods
which have proved SO successful IN
the automotive field.
Du Pont interests have purchased
114.0oO shares of steel stock IN re-
cent months.
a Ford Controls Vast Interests
, If Pierre Du Pont became chair
man of the Steel Corporation, the
Du pont family, already strongly
represented in some railroads
would have widespread influence IN
the three great branches OF current
industry, steel, motors and rails.
Ford already has absolute control
over his great motor company and
over a miscellaneous collection OF
railroads, coal mines and other IN
dustries.
Thus the way would be prepared,
according to speculations OF OBJ
servers, for conflict which could
easily dwarf any of the colorful
nineteenth century struggles OF
American financial giants
The General Motors-Ford battle
for motor domination already has
passed the preliminary stage, and
at the moment General Motors un-
doubtedly has gained slight ad-
vantage. It's earnings statement for
the first six months of 1927, show
a net profit of $129, 9,25O,2O7, the larg-
est six months profit ever made by
a corporation except the abnormal
wartime earnings of U. S. Steel.
But increasing evidence comes
from Detroit that Ford has fully
awakened to the threatened loss of
the motor dominance he has held
so long.
Reports that a $15,000,000 adver-
tising appropriation had been made
for the Ford company for the cur
rent year shows greatly stimulated
interest in sales promotion.
Wait on New Model
And Ford has been preparing for
\ months for typical stroke of Ford
4 drama with his new model.
For months rumors of the new
model have been permitted to leak
from the Dearborn factory, but not
an authoritative word of its design
or the changes it involves has yet
been published.
Motor sales in many places were
reported to have dropped consider
ably because of anxiety. over pos
Sible effect of the new Ford model
on demands for other cars.
Illness of Judge Gary, who was
unable to attend yesterdays steel
directors meeting, added to the un-
certainty of the situation.