81 
CHAPTER VI 
FORMATION of the united states steel corporation 
NOTE 
It was only after careful consideration that the editor decided 
to incorporate in this volume anything in regard to the formation 
°f the United States Steel Corporation. His hesitancy was due to 
the fact that the organization of this concern has been repeatedly 
Written up: by Bridge in his “Inside History,” by Meade in his 
Trust Finance,” by Berglund in his “United States Steel Cor 
poration,” and last, but not least, by the Commissioner of Cor 
porations in his recent report. The circumstances lying back of the 
formation of this gigantic corporation are therefore well known. 
two considerations finally led to the insertion of an account of 
the organization of the combination. The first was the de 
sire for completeness; the second, the fact that a careful perusal 
. the somewhat conflicting testimony before the Stanley Com- 
®dtee appeared to afford a more interesting story of the consolida- 
i°n than has as yet appeared, more especially as it was from the 
*Ps of those who were most prominent in the matter.—Ed. 
Exhibit i 
TESTIMONY OF JOHN W. GATES 1 
The Chairman. The United States Steel Corporation was 
0l ?} e d about 1901, was it not? 
Mr. Gates. 1901; yes, sir. It started in 1900 and finished in 
*901. 
. At that time was there any danger of a second 
prices on account of the attitude of Mr. Carnegie 
_ these concerns? I believe up to that time a great 
|^ an y of them had been getting certain products from him, and 
anufacturing certain products themselves. In other words, along 
ti 1898 or 1899 the Federal Steel Co. had its orbit or its scope of 
‘ c, u 'ities pretty well defined, did it not, and the other companies 
Cor Hear ings before the Committee on Investigation of the United States Steel 
Poration, 62nd Cong., 2nd Sess., 1911-1912, pp. 30-32, 40 and 44. 
The Chairman 
demoralization in 
°Ward the rest of