Savannah morning news. [volume] (Savannah) 1868-1887, 1885-03-01
TALKING HIGHER PRICES.
THE GAS WAR LIKELY TO END
IN A COMPROMISE.

The Situation Practically Unehsnged
with Indications Pointing to an Early
Termination of the Fjght-RumOTs of
Further Cut Lack Confirmation
What the New Company is Willing
to Do.
There are no new developments in the
gas war on the surface, but indications
seem to point 10 a termination of the
fight before the end of the present month.
Beginning with to-day the price of gas
will be 80 cents per thousand, and there
is very little probability that it will 20
lower. 1t was whispered yesterday that
a further cut was being discussed by the
directors of the old company, but no
positive confirmation could be secured.
There is nothing new in the situation, -
said President Green in reply to tie in
quiry Of NEWS reporter.
"Tnere is very little probability
that the price win 90 any lower. In fact,
it can't be done" said a gentleman inter-
ested in the new company, and in a posi-
ton TO know what he was talking about.
The cut has created a lively stir among
the patrons of both companies, and fears
are entertained, if there is any farther
reduction. that combination viii be en-
tered into, and the price Will be
advanced to where il was three
years ago. This would naturally be
the result il the war is kept up, and
prices are reduced much lower. The
pledge Of the new company to furnish gas
at not over 81 50 per thousand is the only
obstacle that exists in the way of such a
move, providing an agreement could be
effected between the companies.
LIKELIHOOD OF AN ADVANCE.
Both companies claim that they are
bound to protect themselves. and what
ever may be the outcome of the fight the
inference is that protection means higher
prices. The prediction at the beginning
OF the var when the November reduction
was made, that there would be no further
cut, and that the price then settled upon
would be maintained through the winter.
has been in part fulfilled. The peO-
pie have had the benefit of
cheap gas for four months, and
they are prepared for an advance if it is
not return to the eX0rbitant prices
charged prior to the organization Of the
new company, 1t is evident that the cut
Wh.ch goes into effect to-day cannot last
long, although a gentleman largely inter-
ested in the old company said yesterday
that it might continue during the sum-
mer, so far as the company was con-
cerned. "The people have confidence in
us, and we have confidence i'll our COM
pany,' he said, ''and we will furnish gas
as cheap as anybody, even if it comes to
giving it away"
DISCUSSING THE SITUATION.
\ number Of the directors Of the new
company were together last night infOr-
mally discussing the situation when a
NEWS reporter dropped in. gloomy
state Of affairs was pictured in the office
OF the old company. The new company,
1t is claimed. is rapidly TALKING up sub
scribers, and Secretary Thompson
pointed to forty new metres placed in the
market and turned on for the first time
last night. The officers of the old com
pany, however, deny that they have
been damaged to any considerable
extent by the competition, and say that
Ii is not true that their subscribers are
going over TO the new company. as they
are represented TO be. 1t is clear that
both companies have gone into the fight
with bitter determination to win, but
what the result will be is just at present
difficult to forestall.
EFFECT on THE MARKET.
The effect Of the fight has been to cause
drop in the old cCmpaDy'S stock. which
was offered Yesterday at two points be-
low the day before. The stock of the new
company was quoted at par. The way
the matter now stands there is but three
ways III WHICH, TUE W III can ne LeIuliudI-
ed. One is for the companies to come TO
a mutual agreement as to the
price. Another is for one company
to buy the other out, and third IS for the
two companies to consolidate. Buying
out, however, and consolidation in gas
deals frequently mean the same thing.
Ii is limited that some other plan may be
resOrted to, but Whatit is the projectors de-
cline to state. 1t is generally understood,
and is SO stated by the officers of the new
company, that they are willing to enter
into a compromise with a view to putting
up the price to 81 30 per 1000. which is
30 cents below their original guarantee,
and pledge themselves to keep it at that
figure. No proposition has, however.
been made to the old COM
pany, and its officers have
not said whether they would accept an
overture Of that kind1f it were made. 1t
is evident that some arrangement will be
effected before the end Of the month look
ing to an advance from the price which
gees into effect to-day, and which is far
below the cost of production.