Sacramento daily record-union. [volume] (Sacramento [Calif.]) 1875-1891, 1889-10-31
The Chicago and Alton in Control of the
Union Pacific.

RAILROAD MATTERS.
The Chicago and Alton in Control of the
Union Pacific.
New YORK, October 3Oth.-Almost before
the ink bad become dry on the document
which now binds the Union Pacific and
tie Chicago and Northwestern together
with an almost indissoluble link for the
next ten years, President Charles Francis
Adams Of the former had practically con-
cluded arrangements with Vice President
McMullen of the Chicago and Alton for the
passing of majority interest in the shares
of the latter company into his own hands.
Exactly how much cash, if any, passed
in the operation is not known, but the
amount involved is probably not far from
$1,000 900, this amount being equal tO$140
a share for majority of the capital stock
of the Chicago and Alton Company, the
total stock issued being SIT, 594 100.
II is possible that holders OF the Chicago
and Alton stock may elect to take in pay
ment collateral trust bonds of the Union
Pacific, the stock of their own road being
the collateral pledged.
New YORK, October 30th.-Kiernan's
circular says: The following lines are in
cluded in the Vanderbilt Union Pacific
alliance New York Central, West Shore,
Lake Shore, Canada Southern, Nickel
Plate, Northwestern, st. Paul and Omaha,
Union Pacific Oregon Navigation, Oregon
Transportation, Chicago and Alton, Cleve-
land, Cincinnati. Chicago and st. Louis and
Chesapeake sDd Ohio. When the Denver,
Texas and Fort Worth line is added to the
system the negotiations, which promise to
be successful, TOW pending, will show an
aggregate of 27,375 mi es, with a bond
IT,. . N n fol ohor
$3.50 $500
Kiernan's Financial Circular states: We
have investigated thoroughly the reported
Unicn Pacific and Chicago ana Alton deal,
and ere assured the negotiations outlined
are correct. Other and more important
transactions are pending.
NEW YORK, October 30th-Fhe CONNER
c;dl Advertiser says: 1t is a well-known
fact that the Alton Company entered the
Railroad Presidents Association with re-
luctance. When the Atchison claimed the
right to carry all its freight beyond Kansas
City without breaking bulk, the Alton,
which had before received large proper
ton of such freight, protested and appealed
to the Association. The decision was
against the Alton Company, which then
withdrew from the Association. The road
has always been conservative, and was
loathe to become a rate disturber, but its
position was such that it must either begin
TO fight for business or lease or sell out to
some other company. The Atchison finally
offered to purchase the contract at $125 per
share. The proposition was rejected. The
Union Pacific, in contemplation of its deal
with the Northwestern, offered $40, and
the Alton accepted.
Boston, October 30th.-Union Pacific
officials deny the reported purchase of
the Chicago and Alton road. They say the
Alton is the best traffic feeder of the Union
Pacific Kansas lines, and had not the Union
Pacific the worst railroad charter in the
world, it would be perfectly natural alli-
ance to make. but such a thing has never
been seriously considered.
NORTHERN PACIFIC.
PHILADELPHIA, October 30th.-The Press
says the Northern Pacific Board meet next
week for the purpose of organization. Viii
lard will be elected Chairman and will be-
come the actual head of the company.
Cakes will be reelected President 1t is
not impossible the gross earnings for Octo-
in sight for November and December is
quite large.
THE AToHIsoE SYSTEM.
BosroN, October 30th.-Vice- President
Reinhart, chief accounting officer of the
Atchison system, in charge of the reorgan-
ization work at Boston. saws there is no
longer question of the success of the
Atchison plan but the ability of the rail-
road and the Union Trust Company forces
to handle the millions of bonds offering for
deposit under it. OHtside people have
little idea of the enormous amount of
a l. n hut - i la,r
Quoted in g safe, systematic manner, and as
rapidly SIS physical conditions will admit.
THE STORY CONFIRMED.
New YORK, October 30th.-Notwith-
standing the denials regarding the purchase
of the control of the Alton by the Union
Pacific, it is asserted positively this evening
that tine deal has been accomplished.
j. PieTpont Morgan is credited with hav-
ing put the thing through. 1t is asserted
that the papers will all be signed in few
and Alton cease.
Chauncey NJ. Depew did not seem dis
posed to admit the full effect and full infu-
ence attributed to the transaction. He
said There has been no change of pro-
prietary interest in the Alton system SO far
as | know, nor. as | am informed, has there
been any operation like consolidation.
understood that traffic agreement similar
to that negotiated between the Northwest
ern and the Union Pacific had been agreed
upon. Newspapers have been induced to
make too much of the matter"
Seriously" continued Depew, there is
no truth whatever in the statements that
the Vanderbilt's have purchased the Chica-
go and Alton or any part of its CONTROL or
that they contemplate any such transac-
tons, or have been interested in any nego.
tiations directly or indirectly that may
have been opened by anybody in regard
to the Chicago and Alton. l make the
denial in he most sweeping manner, and
when l say Vanderbilt | include those cap
italists wao are identified with the Wander
bilt name, and who are usually interested
with him.
The Vauderbilts are satisfied with the
properties with which they are now con-
nected or which they control, and which
the public know about, and are not reach
ing after any new expansions and are only
DESTROYS of developing the interests now in
their hands. If the Union Pacific has
made an arrangement with the Alton road
we know nothing about it, and the North
western is certainly not concerned. If the
Union Pacific should secure traffic con-
tract with the Alton, it would simply mean
that it desired to reach st. Louis"
EXAMINING WITNESSES.
One Hundred Thousand Dollars Spent