In December, 1914, production of the Corporation’s plants fell to the lowest point ever recorded. One of its largest subsidiaries operated through most of the month at only about 15 per cent. capacity and another at 18 per cent. The general average of operations for the month was probably hardly over 20. Thus we come to the close of the second or middle period of the Corporation’s existence. The years which made it up were generally trying ones. At no time between 1907 and 1915, except to some extent in 1910, was there anything like real prosperity. And the close of the period saw industry practically suspended, aghast at the conflict that was shaking Europe to its very foundations, and threatening world credit. But while these seven years, 1908-1914 inclusive, were not, on the average, prosperous for the Steel Corporation, neither were they years of stress. Industrial affairs over the greater part of the period proceeded along a rather monotonous level, but this was possibly an advantage. So far as United States Steel was concerned, these conditions gave it an opportunity to perfect its organization, work out economies, and extend its operations along carefully considered lines. So that when industry revived under the urge of war times the big company was able to take advantage of the situation and to reap large profits and pay big dividends to its stockholders. For the Steel Corporation and for American industry generally conditions at the end of 1914 were as dark as could be imagined, but it was the darkness that comes before brilliant dawn. CHAPTER XVII THE WAR AND AFTER Never did year dawn so black for American industry as did 1915. The financial world, stunned by Germany’s unexpected attempt at world conquest, could see only the immense economic waste that war is. That the conflict in Europe could have a stimulating effect on American industry seemed unthinkable at that dark period, and industry as a whole seemed shaken to its foundations. Steel, the barometer of trade, naturally reflected this situation sharply. At the close of 1914, as we have seen, operations of the Corporation’s subsidiaries reached the lowest point on record and the new year brought with it no sign of early betterment. Hence it was natural that all except the most confirmed optimists faced the future with doubt if not with dread. This situation reflected itself plainly in the big company’s profits, which that January fell to $1,687,150. This proved to be the low point, however, a slight revivification of business beginning to make itself felt the following month, and being even more pronounced in March, when operations reached 60 per cent. capacity. But even then conditions were far from being satisfactory, earnings for the last month of the quarter aggregating only $7,132,081, and for the three months, $12,457,809.