Negotiations for the contract at Homestead began in January under the supervision of Frick. Carnegie went to Scotland. Frick built what his workers called Fort Frick: an eleven-foot fence topped with barbed wire and portholes that encircled the steel works. Frick was not interested in an accommodation. On June 28 he locked out the workers. On July 1, Carnegie consolidated all of his and his partners’ properties into Carnegie Steel. It was privately held and capitalized at $25 million, well under its actual value. He made Frick chairman.
