The Dallas daily herald. [volume] (Dallas, Tex.) 1873-1887, 1884-07-02


81 think people are distressing themselves
unnecessarily said an operator in trying To
explain what Mr.. Gould means to do with his
Missouri Pacific. "You are told every day
that he can put the price up. but he cannot
sell his stock. This is supposed TO mean that
Mr.. Gould Will become overloaded and finally
have 10 throw his holdings upon the market
at enormous loss. Some members OF the bull
party have expressed anxiety upon this point.
is IL not possible that Mr. Gould does not
propose to sell Missouri Pacific at present?
what better can he do with hiSmOncy? Mis-
souri, Pacific is paying per cent, and is
accommodating surplus very fast. II you
Will look over the various eases and
amalgamations which have produced the
Southwestern system, YOU will find that
everything has been done 10 help Missouri
Pacific. For instance. Kansas & Texas Is
leased to Missouri Pacific for its earnings If
il should fail 10 earn its interest, Missouri
Pacific Is under no obligation to advance a
dollar. The International a Great Northern
Is incorporated into Kansas & Texas. Texas
Pacific Is controlled by traffic agreement
Wabash is leased to Iron Mountain and Iron
Mountain is controlled by ownership of
almost all The stock by Missouri. In all this
combination, involving over 10000 miles
of road, Missouri Pacific is not liable for a
dollar outside ofits own bonded debt. IfIron
Mountain earns more than Its interest, Mis-
souri, Pacific gets the benefit of the surplus,
because that goes TO the stockholders, and
Missouri Pacific is heavy stakeholder. OF
course, Missouri Pacific can, and probably has
advanced money to other roads ut various
times, but II has undoubtedly taken good
security and put itself in position
of preferred creditor. \ case
OF this kind appears in connection
with Wabash. Although Wabash was
leased 10 Iron Mountain. Missouri
Pacific has advanced Wabash money,
but II took security In the form
of Wabash collateral trust bonds and
now has Its money secured. The arrange
ment may or may not have been for the adj
vantage OF the subordinate companies. | am
not talking about them now. IL Is evident
that Missouri Pacific derived an advantage,
and this explains why Mr.. Gould may be
willing TO hold practically the whole Mis-
souri, Pacific stock. That stock controls the
entire system Of roads and with such n
mileage business enough can be dcVel-
oped for Missouri Pacific TO give trcmcn-
dous earnings on the stock. IL Is well that
Missouri Pacific has large volume of as
sets. What Is TO hinder Mr. Gould, when no
1inds the bulk OF the stock In his possession,
rom making handsome extra dividend.
dividing some Of these assets or their pro-
,crds: Friends Of the company have long
been told that there would be something
good for the stockholders some day. What
more fitting time than when Mr.. Gould hold,
AN unusually large amount of stock. IL /.
'nitcant, too, that the officials of the
Wthwestern roads have an extraordinary
Ount Of faith In Missouri Pacific. The
uiagers and division superintendent all
Ncc which Is the favored road, aud all spcal,
81 Missouri Pacific rs a wonderful property
Is that enough? MY theory is that Mr.
tould does not want TO sell the Missouri Pa.
ellie and that Is all there Is TO It,"