New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1888-10-25
RAILROAD INTERESTS.
THE EAST TENNESSEE DIVIDEND
THOUGH LONG DELAYED IN Is FINALLY De
ApEr--SQI-p1.r tn

| THE EAST TENNESSEE DIVIDEND
| THOUGH LONG DELAYED III Is FINALLY d.
| CLARED-sOURcE OF THE OPPOSITION.
Tho directors Of the East Tennessee. Virginia and
Georgia Railway Company, at their meeting yesterday,
declared the delayed per cent dividend the fret
| preferred stock IL fumored IN Wall Street thai
papers had been prepared to test tho legality Of tho
recent lease Of the property to the Richmond and
Danville Railroad, but the source Of these uconrmed
4 rumors was fully understood. The directors and
| friends Of both companies confident tia. n any
hostile action Of this hind begun the result would
be unfortunate to its authors. Before the Lease way
made the directors had received hints that II would
be violently opposed by the Norfolk and Western
Railroad, and the question referred TO some Of
the prominent lawyers in the country.
The lease made moreover, in the Interest of the
| junior stocks Of the East Tennessee Company, and
their representatives filed It with safeguards 70
has been argued for instance. that the rental
for the first term Of two and half years. which Is
80 per cent Of the gross earnings might not be more
than enough 10 pay the fixed charges guaranteed
dividend on the first preferred stock IL has been
suggested that n might be convenient to show
that the lease Improbable for year two for
speculative purposes. These fears. which necessarily
| Involve the charge that the Richmond and Danvlls
would falsfy the OF It's leased line
wholly groundless, because the lease guarantees q
case Of failure to meet all the terms Of the agree
ment 1t becomes Immediately voif
A friend Of the East Tennessee Company, who rep
rcsens large foreign holding Of its securities said
yesterday that the only opposition the lease came
from the Norfolk and Western. THAT company tried
| to lease the road,s he said but haggled tho
price and lost It's opportunity AZ least threefourths
Of It's stock are held in Europe, fact which explains
the foreign SLING of East Tennessee stocks APP
parcnfiy the Norfolk and Western is left without con
n nnf NJ ia nCSS ha
greatly injurd."
Mile there are no negotiations for the acquisition
Danville, or the Richmond and West Point Terminal
Companies there IS said to be little doubt that the
railroad monopoly In the South viii be s0lidfed in
this direction II In no other way within short time.
A RAILROAD DEED or TRUST FOR s3e 100000
San Francisco, Oct. o4-The Southern Pacific Com
pany fled In the Recorders ONCE to-day deed Of trust
to tho Central Trust Company Of Ncw-York conveying
10 tho latter for the purpose OF securing payment Of
mortgage Of s3S 600 all the properly Of tho rail-
road company and also the property Of the branch
roads which have been amalgamated with it, Ths
deed Of trust declares that the branch roads have
turned over all their property the Southern Pacific.
the latter assuming all their debts and liabilities and
that to payment OF these debts. tho Southern
Pacific Company VIII is5nc $4,000 bonds of $1,000
each. TO secure these bonds the company viii create
sinking fund and after the year 1893 Will pay
900 per month on of the net Income Of the rail.
road until the debt Is paid.
MISC ELLANEOUs RAILWAY INTELLIGENCE
Boston, Oct. 2f.-At the Union Pacific directors
meeting to-day Mr.. William II. lIolcomb chosen
director, vice Mr.. Colgate resigned. subsequently
Mr. Ilocomb chosen vice president 10 succeed
Thomas J. Potter chief executive officer Of the
Union Pacific system. resident Al Omaha T.. T.
kimball appointed general manager and c; ;:
Mllcn assistant general manager The president
stated that no changes In The organization OF the
Union Pacific were contemplated
Des MOines. Iowa, Oct Enlargement has been
begun In the Supreme Court in the Iowa Railroad
appeal from Judge Fairas decision enIoinins
the commissioners schedule Of freight rates. Judge
Nourse, in opening for the state quoted many
decisions 10 the effect that though the question he
raised whether the railroads could compensation
under rates fixed by the state. the Legislature and
not The courts was judge as TO what were REASONABLE
Thomas :. Wright followed nor the railroads
maintaining that the comm ssioaers had not compiled
with the letter spirit OF the statute, whch required
q schedule of rates each road, instead Of which
they made one unclastc schedule all the roads Of
the State The viii probably not be decided for
some time.
Louisville KY. Oct. 24.-General Passenger Agents
A. II. Hanson Illinois Central; J. +. C. Charlton,
Mobile and Ohio B. r. Mccullough. Texas aud
Pacific: c. W. Watson, Atlantic and Pacific; T. ".
Howe Lou svile. New-Oreans and Texas Pacific and c.
p Atmore, Louisville and Nashville, to-day held
meeting at the Calf House. looking 10 the establish
ment of a European emigran, business through New
Orleans. The project IS for the West india and
Liverpool and New Orleans weekly and to connect with
the railway lines represented here
Philadelphia, Oct. "a tspeciaD.-At the main oflcs
OF the Pennsylvania Railroad in this city 1t was
authoritatvely denied that the company buying
New-York and New-England stock with view o.
securing en- entrance into New England by of the
Poughkeepsle Bridge. While some New England stock
Is held by persons friendly 10 the Pennsylvania, ths
amount is comparatively small, and this has not been
increased lately, except for speculative purposes
The Pennsylvania II + held. has no desire to under
take the operation Of railroad far away as
Poughkeepsie, and would prefer instead 10 make
traffic arrangement with tie roads diver ing from the
Bridge into New I'm rIand. In wellnformed railroad
circles it Is said that the real purchaser Of New
England stock is the New-York Central.
President Roberts, OF the Pennsylvania has written
a letter to the Interstate Commission protesting
against the reduction I'm The rate on crude oil from
Washington Penn to Baltimore. from 30 cents TO
40 cents per barrel ordered by the Commission and
declaring that the company does not care 10 30
business at that figure. Commissioner Cooley has
answered lir. Roberts, stating that the Commission
canno, recognize position he has taken and desr-
ing conference.
The difficulties between the Reading and New
Jersey Central and the Letigh valley Companies. IN
reference to the proposed terminal railroads al Anct
town. have all been settled aud both roads VIII ~
constructed. 4 large force OF mcn are already AZ
work H.. -oo
gondols cars which Will be bu al tho company,
shops Altoona This Is in addition 10 i,ooo poN
Il
Tho Councils sub Committee Railroads TODAY
voted report tsvorabiy In the matter ot me app,
ration for q siding connecting the Baltimore anh
Ohio trarlts 3t Gray Ferry.
lalthnOlr, Oct. 2l-.N tho annual meeting TO-DAY
OF ~, Board OF Directors vi the Western Maryland
Railroad. the newly elected board reelected j. "
Hood and John : Harden secretary and treasurer.
Washington. Oct. 2I.-In the case of the DctfoN
Board of Trade and the Detroit Merchants and Mann
faciurcrs' Exchange against the Grand Trunk Railway
Of Canada and the New-york Central and Hudson
River Railroad Company, the Interstate Commerce
Commission to-day dsmi> ,ci tho PETITION deciding that
the estimated percentage oi through rae between
Intermediate points on long han> from tnc Northwest
to seebOard New England points. vice versa,
not a fair standard Of comparison with the rates