Unformatted text preview: e University Club came to an end. Morgan went home, to
think about Schwab’s rosy predictions. Schwab went back to Pittsburgh to run
the steel business for `Wee Andra Carnegie,’ while Gary and the rest went back to
their stock tickers, to ﬁddle around in anticipation of the next move.
“It was not long coming. It took Morgan about one week to digest the feast of reason Schwab had placed before him. When he had assured himself that no ﬁnancial
indigestion was to result, he sent for Schwab-and found that young man rather
coy. Mr. Carnegie, Schwab indicated, might not like it if he found his trusted company president had been ﬂirting with the Emperor of Wall Street, the Street upon
which Carnegie was resolved never to tread.
53 NAPOLEON HILL THINK AND GROW RICH Then it was suggested by John W. Gates the go-between, that if Schwab `happened’ to be in the Bellevue Hotel in Philadelphia, J. P. Morgan might also `happen’ to be there. When Schwab arrived, however, Morgan was inconveniently ill
at his New York home, and so, on the elder man’s pressing invitation, Schwab
went to New York and presented himself at the door of the ﬁnancier’s library.
“Now certain economic historians have professed the belief that from the beginning to the end of the drama, the stage was set by Andrew Carnegie-that the dinner to Schwab, the famous speech, the Sunday night conference between Schwab
and the Money King, were events arranged by the canny Scot. The truth is exactly
the opposite. When Schwab was called in to consummate the deal, he didn’t even
know whether `the little boss,’ as Andrew was called, would so much as listen to
an offer to sell, particularly to a group of men whom Andrew regarded as being
endowed with something less than holiness. But Schwab did take into the conference with him, in his own handwriting, six sheets of copper-plate ﬁgures, representing to his mind the physical worth and the potential earning capacity of every
steel company he regarded as an essential star in the new metal ﬁrmament.
“Four men pondered over these ﬁgures all night. The chief, of course, was Morgan, steadfast in his belief in the Divine Right of Money. With him was his aristocratic partner, Robert Bacon, a scholar and a gentleman. The third was John
W. Gates whom Morgan scorned as a gambler and used as a tool. The fourth was
Schwab, who knew more about the processes of making and selling steel than any
whole group of men then living. Throughout that conference, the Pittsburgher’s
ﬁgures were never questioned. If he said a company was worth so much, then it
was worth that much and no more. He was insistent, too, upon including in the
combination only those concerns he nominated. He had conceived a corporation
in which there would be no duplication, not even to satisfy the greed of friends
who wanted to unload their companies upon the broad Morgan shoulders. Thus
he left out, by design, a number of the larger concerns upon which the Walruses
and Carpenters of Wall Str...
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This note was uploaded on 11/13/2012 for the course ACCOUNTING 225 taught by Professor Austin during the Spring '12 term at American.
- Spring '12