New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1872-11-26
YESTERDAYS CAMPAIGN.

YESTERDAYS CAMPAIGN.
Notwithstanding that Henry 5. Smith had
been closeed with Horace F. Clark and Jay Gould on
Saturday evening It not believed that they had
come TO any satisfactory understanding, aud it was sup
posed that and his elderly colleague, Drew, were
st short OF the stock and at the mercy OF the
victorious bulls" IL even beheyeo thatine ouils
irrtated by delay in settling at $50 would now put
on pressure and force the figures mp to 400 or even
higher Much speculation was INDUCED in as TO tho
probabe Intervention Of the lawyers It having been in
tmated that Daniel Drew had been taking legal advice,
and had come TO the conclusion that he was not obliged
TO pay more settlement Of his Northwest contracts
than the actual value Of the stock, which ne OeheVed
was between 20 or So
When the doors Of the Exchange thrown open
the brokers nocked INTO the room and were soon en-
crossed in their operations, to the edihcaton OF the
crowds OF spectators that filed the gallery The price OF
the common stock opened the sale OF an odd lot at
$50 (the osensibe settling price Of Saturday. but the
first regular sale OF 100 shares quoted at no. decline
Of 60 on the closing quotation of Saturday. Several
hundred sold to 9 but the price reacted to 49,
az which figures 400 shares we're sold.
NEW ISSUE OF STOCK,
Some excitement was created by the announcement
that the officers OF the Chicago and Northwestern Rail
road haa sent notice 70 the Stock Exchange informing
the members that they would register certain amount
OF common aud preferred stock TO be exchanged for
bonds OF the Peninsula Railroad. This railroad was
consolidated with the Chicago and Northwestern eight
years since It's bonds having clause whereby this con-
version into stock was authorized.
within a week some hundreds OF those bonds have
been thus converted into stock but it not until
terday that formal notice was to the Exchange As
this Of course would create certain amount OF stock
which would be OF immense value in this emergency
the shorts eagerly applied for further particulars in
order they might themselves by means OF the
new stock. Application 70 the Secretary OF the EX-
Cd lof
as follows
The Csgo ard Railway notice e the NvYors
f'oos L1ealge That At '5 expiration 81 asi,9y W. ss of 5s
COMPANY may be required 70 Issue n saS ss 3f Fsa SSoS "a
B, % p erred Tor eseb bsad Of { O06SsS-Yof Nov IS iSTS
C. r. MAKyIS, Treasurer. J. Il. TRACE President
The Committee 90 Securities Of the Stock Exchange
visited officers Of the road, and, while the objected
to the clause allowing 80 days, yet consented to waive
their rights nasmuch it not an extra issue or In
creased liability that the railroad intended Soon amer
their visit however. the first notice was withdrawn
and following letter transmitted TO the PRESIDENT
o. the Exchange.
OFFICE on cHicAeo AND yoRrH.wrsrzRx RsIwAY Co,
No 81 w. k Sss,.S. nov H. 'o1
me note. sent this morning n reference to 'dd
a r. MiKvIS Treasurer NJ L. SYKES Vice President
Much comment was excited by the latter letter, and
the opinion was freely expressed that the object of it
was to prevent an issue stock which would be likely
20 interfere with the corner and enable the bears
TO cover part Of their contracts Those holders Of the
Peninsula bonds who succeed in having them con
verted into stock Of the Chicago and Northwestern Rail
road VIII make handsome profit By the enhanced value
Of Northwest stock.
Notwithstanding the revocation OF the notice Of regis
tration it is alleged that the Farmers Loan and Trust
Company, agents forIhe company, were converting the
bonds as fast as presented.
A COMPLICATED STOCK TRANSACTION.
fba Il md M ueyV Of "A pOmD
tween the conflicting interests was announced, the
street anticipated that there would be excitement
In the Exchange after the regular deliveries ceased 70
be made. Immediately after ais p. m. few hundred
shares were bought in for the account OF defaultng
brokers' and at about 900 p m, Garland Martin Co.,
brokers both Gould and Smith, ordered the purchase
OF 1000 shares OF Chicago and NORTHEASTERN Common
stock for the Drake Bros Of Broadway, who
gave up the name Of the firm OF Josyn. Bach Co.. also
brokers' for both Gould and Smith. In the latter firm
Gould and Smith were special partners' and had In
vested large amount IN the business. ViceChairman
wheelock presided, and bought IN the 1000 shares bee
fun board At prices ranging from l4s 70 2OO the last
lots being obtained at the latter figures.
When the YiceC Chairman had completed his purchases
of the rostrum and addressing the brokers' said that
they had simply acted agents IN the transaction, and
The circumstances Of their connection with 1t was
briefly follows: About Nov. IA Garland, Martin Co:
were anxious lend JOslyn Bach Co 5000 shares OF
Chicago and Northwestern common stock, but for pur
Of their Own pect qd , not q dss d 70 t
that of Joslyn Co.. but engaged Drake
rOs 70 receive the stock from them and deliver 1t TO
Joslyn Bach q Co. The brakes simply 10 act
clearing house and not 70 be responsible for any
through brakes office at about s. although the market
value was then about &C. portion OF the stock
turned but yesterday Garland Martin Co. called for
their stock Drake Bros referred 70 JOslyn Bach
Co. The stock beng Forthcoming Garland, Martin
Co. ordered IL be bought In for the account OF
Drake Bros who directed tO DO bought IN for the
account Of Joslyn, Bach Co.
NORTHWEST PREFERRED ADVANCES.
Earlv alta rflp bV tan
peared 10 be indications Of corner in the preferred
stock Of the Chicago and Northwestern Railroad The
price opened az sa and sold up about midday,
amid great excitement and apprehensons, among the
bears IN the stock that they about TO treated
Ike their associates 10 Northwest common. Many
were gwen for the sudden and unexpected ad-
vance In price, some dealers alleging that there
large short" interest In H. g. many operators had
sold large quantity Of stock that expected from
Europe.
Others stated that It owing 10 the heavy purchases
OF German bankers. The explanation Of the advance
Bach Co., Henry n. smiths brokers had obtained az
many shares 81 Northwest preferred as thev Owed
AarlaDd, Martin q Co. 20 common stock and rendered
ahem In lieu OF the common stock Having taken legal
could MI his contracts Smith had come 70 the
conclusion that he rendered the preferred
which IN the normal condition Of the stock
D. regarded the preferable stock two
hence usually quoted several per cent higher on the
list would comply with the legal require me nt
This TRANSACTION was probably based upon the precedent
jn the Chicago grain market bear" had been
cOrnsFed" grade OF grain when he found
that he cond not obtain IT, be procured quantity Of
superior grain OF another nam1tf t1ls n opponent de-