The Cambria freeman. [volume] (Ebensburg, Pa.) 1867-1938, 1885-07-31
Railroad Purchane-

The people all over the State are inter
ested in the competition that will give them
cheap freight and the fact that the Soutb
Pennsylvania and the Beech Creek rail
roads, which were being built for that pur-
pose have passed into the hands of the
pennsylvania and which takes away ALI op.
position, will be seen by the following taken
from the Philadelphia Times Of July 2lst:
Inc deal between the Pennsylvania and
the New York Central railroads, by which
rates are to be restored and the business of
the lines is to be put upon a paying basis,
has been practically consummated. The
only matters to be settled are some of the
minor details, and doubtless they will soon
De satisfactorily arranged The agreement
Is an alliance between the New York Cen
tral and the Pennsylvania offensive and de-
tensiVe, with all that the term implies 1t
mas deeper Significance than the mere
transfer of the Beech Creek and the South
pennsylvania to the Pennsylvania railroad
ana the control OF the West Shore by the
New ork Central The negotiations were
oegun last January. At the time the Penn
sylVania offered a guarantee of X per
cent on the money which had then been
expended on the construction of the South
PennsYiTania. The offer was refused, and
the work OF building the road continued. II
the Pennsylvania had at that time offered
the terms which were decided upon at the
conference at Merton, last Friday, the com-
pany would have saved the pei petuaI inter
est on about 81 OOO. 900 at per cent
I'm the transfer of the South Pennsyl-
vania aud Beech Greek to the PENNSYLVANIA
the minority stockholders are offered the
same figures as Mr. Vanderbilt, but they
know that Mr. Vanderbilt does not look fer
his compensation In the price he will re-
ceiVe OF his interest in Pennsylvania. Trey
know that he will vastly increase the value
OF his New York properties by the deal and
so can affOId to sacrifice in a manner his in
terests In Pennsylvania. His property has
already increased in value many millions of
dollars since the fact thai the deal was to I've
made was first made public few days ago.
The alliance between the New York Cen.
tral and the Pennsylvania is made without
consulting the interest OF the Reading peo-
pie at al and the Reading system will ul.
timately become a mere dependency OF the
PennsYIvauIa.
The allia nee also means a bitter war
:hatsif the Baltimore and Ohio ever gets
to New York. it will be over its own tracks.
Mr. Vauderbilt's interest in the Reading
and Jersey Central is sufficient to control
the policy OF these roads, and they will be
controlled in the interest OF the alliance.
When the money kings OF New York and
London notified the New York Central and
the PsnnSylvania that they must stop fight
ing, way to stop was soon found. In the
last two weeks New York Central stock
has gone up thirteen dollars a share. A
rumor was curren. on Third street yester-
day that work had been stopped on the
Southern Pennsylvania railroad, but
could not be traced to any source. Several
OF the prominent contractors were seen last
evening. who said they had no orders to
stop work. There is little doubt, however,
that such orders will be issued IN a short
time"