MR. CARNEGIE'S GIGANTIC INCOME.

New Zealand Herald, Volume XXXVIII, Issue 11602, 16 March 1901, Page 2 (Supplement)

MR. CARNEGIE'S GIGANTIC INCOME.

£3,000,000 PER ANNUM..

WHAT MR. CARNEGIE EXPECTS TO SPEND.

Yearly income from present Carnegie bonds, 5,000,000 dollars; income from bonds issued to pay for his stock, 7,500,000 dollars ; income from other investments, 2,500,000 dollars:, total expected income, 15,000,000 dollars. To be devoted to personal benefactions, 12,000,000 dollars;, for personal expenses,. 3,000,000 dollars. " I calculate upon a million a month for libraries and organs."

This is what Andrew Carnegie is telling his friends. It is his way of expressing his intention to devote to public benefactions the major part of the great income upon which he is to retire. He will be in a position to give away 12,000,000 dollars (£2,400,000) a year—enough to provide for the living expenses of a fair-sized city —and still find time to keep the wolf a considerable distance from the front door of No. 5, West Fifty-first Street. annual income, £3,000,000. Mr. Carnegie expects to struggle along for the rest of his days on 15,000,000 dollars a vear. He is to be paid for his stock in the Carnegie Company entirely in bonds— probably collateral trust bonds, secured upon the assets of a new and formidable corporation, whose president will bo Charles M. Schwab, and whose management will be in the hands of a representative executive committee. Mr. Carnegie, his friends say, invested 9,000,000 dollars of idle cash in one of the British war loans, which proved so acceptable to Americans. What is his income from these outside sources is, of course, a matter of conjecture. Wall-street head a story the other day that Mr. Carnegie walked into a banking house, asked for a list of high-grade investments, figured a bit on the margin of the paper on which that list was printed, and then bought the whole list.

Mr. Carnegie will retain his Carnegie Company bonds, which approximate 100,000,000 dollars in value. At 5 per cent, they pay him pretty close to 5,000,000 dollars a- year. His stock will be paid for, according to present plans, from a new issue of 5 per cent, bonds. The amount of these bonds, as nearly as it could be learned lately, will be about 150,000,000 dollars, so that Mr. Carnegie must expect to get about 2,500,000 dollars from sources outside the steel trade to realise his expected income of 15,000,000 dollars.

That Mr. Carnegie will devote four-fifths of his income to such public gifts as the foundation of libraries and presenting organs to communities of musical disposition, is only to be demonstrated, of course, by future events, but the fact is that he has expressed himself recently as expecting to spend about a million a month for public benefactions.

Mr. Carnegie's friends say that to whatever cause he may give, he certainly will not contribute to churches. He is a pronounced foe of sectarianism. The organs will not be church organs.