The sun. [volume] (New York [N.Y.]) 1833-1916, 1890-05-21
THE ATCHISON REACHES OUT,
AND TAKES IN THE ST LOUIS AND
San FRANCISCO RAILROAD

III, PrineIpais Not Ready to Give tho
Fncts. but Tho Sun Gets Them-The
AtchIson mileage Increased to 5000
BirEest Railroad System In the Country.
Negotiations which nave been pending for
acme time between the Atchison and the st.
louis and San Francisco Railroad Companies
ware concluded yesterday. and resulted IN the
aeauistlon OF the last named by tho FIRST. Tho
terms OF the deal are withheld from the public
until certain details have been arranged, 1t is
probable that before the ond OF tho week an
official announcement will be made by the
Atohlson Company. 1t is understood that
Messrs j. & W. Seligman 4 Co.. the fiscal
agents OF the san Francisco Company, have
sold all Of their large holdings OF its stock to
the Atchison, and also that OF their friends who
have been cogni2ant of the deal. No stock
holder can suffer- however, by reason of not
being advised OF what has taken place, since
all shareholders will have the opportunity to
dispose of their stock upon the same terms
that Messrs. Seligman & Co. have made for
themselves and their immediate associates.
1t is believed that the Atchison Company
will finance this new acquisition by IN issue of
securities. But its management is not yet
ready to take tile public into It's confidence on
that point The general presumption is that
stock will he Issued to take up the junior is
sues OF San Francisco stock The first pre-
ferred stock and the bonded Indebtedness of
the company will stand as at present and Of
courGe be assumed by the now owner
BY this acquisition the Atchison Company
adds little over 1900 miles of profitable rail-
road to its system, increasing its mileage to
over 5000 miles. The following are the ad-
vantages that 1t will gain: First, line into
st. Louis. which 1t has not heretofore owned :
and also line into Texas better located for
the transaction of through business than Its
Gulf, Colorado and Santa F6 road. The bust
ness Of that line will be increased, since tho
San Francisco road makes a junction with it
at Paris, Texas. and 1t will furnish tho San
Francisco system an outlet to tide water.
Ono OF the principal II not the most
important object that the Atchison Com
pany has had in view in acquiring per-
manent control Of the San Francisco road
is absolute and sole control OF the Atlantic and
Pacific Company. which is owned Jointly by
the Atchison and San Francisco companies.
The Missouri Pacific Com pany owns 10000
shares OF San Francisco stock and the South
ern Pacific Company owns 10000 shares.
Those two interests might. II any one can i'm
agine their working in harmony, at some tipe
form O combination to secure control OF the
San Francisco road. Should they do So, the
connection OF the Atehison with its Southern
California lines. which Is made over the Allan
tic and Pacific road, would be seriously imper-
lied. That possibility ia now removed,
systSm carefully are OF the opinion that the
acquisition of the ST. Louis and san Francisco,
and therefore of It's Interests in tho Atlantic
fpmpletion q the last.na named , road to san
other move that will demand the attention Of
the Atchison MANAGEMENT ip the near future
viii be tas s,,s connection OF Its new St. Louis
The ktehison already has line covering
about half the distance between Chicago and
line between Chicago and Kansas City. to to
Streator. and So miles of road running, south
miles, 4here are nanber OF % Pieces pt de
Of road between Pekin and East ST LOUIS that
sS6 be sS WEsS w6a Ehss Toa
miles long. as against 2s2 by the Chicago and
Il has beer. suggested that the next impor;
CHICAGO will be an ALLIANCE between the Atcht-
argued that such an Arrangement will lessen
the competition between the two roads where
City and Chicago and would also give the st.
Louis line Of the Atchis eR1,a an 4Htet to Chi
ton and consolidations referred to. such an
alliance would be a great advantage to the
Alton, as It would give It business at both OF
The directors OF the Atchlson Company held
meeting in Boston yesterday, at WHICH it is
sSssS 81 Se he
to that end have been conducted, in behalf Of
Rs Ry it Sas s9fR
body / To-. while tho san Francisco has been
represented by Messrs, seligman and lite Presi,
Cen. Winslow has been particularly active in
the matter since he desires to retire from the
MANAGEMENT of tho San Francisco. and will do
90 as soon as the Atohison Gun put its own on
ceLe IN charge OF the properly.
The deal was not known IN Wall street until
doomed Atchison stock, and after the close 1t
was reported that 81 WINS bio for It on the street
BosToN, May 20-The, announcement was
made unoiliGially to-day that the great Atchi-
6 son EGtnE st i IT, ss.d inc inc
same information. But everybody on the street
knows tonight that the boasts Of AtGhis S son
shares were deposited under the call. 5O.00O
shares promised not having been deposited.
ha 0p s 81 en- eSe anothor to tho e
Cisco '9a the st. LOUIS and sH ~
sSnkersS a and 1hareholder5 81 tSo St Louis and
Snn ErapGi;Go road was called at tho otiee OF
meet Mr.. Henry Seigman., and, 1t was sup
posed learned tho reasons ior the sale o. ne
nnSd IS 10 e DO oSSa hs Ra
ton. Tho gentlemen gathered, but Mr., Soig-
t man IVES not present nGt being through win
ohice tina: company. Therefore the meet
Ing dissolved as wise rs It convened,
IL ID SdIe 10 Say, HbNeEoT' ludl lub ITlScO
Company has sold out to the Atchison and that
details OF tho trade arc being perfected that
the deal embraces u new issue Of Atchison
stock, and the eventual spreading OF tho Atchi-
son blanket mortgage over tho whole Frisco
property Tho basis for the exchange ofst9cks
are declared TO be satisfactory. 1t is said that
the issue OF stocks for Frisco stocks will place
so many shares in friendly hands that the Not-
ing Trust can be safely Abandoned.
Tho Atchisons programme is no doubt a
comprehensive ono. and may DO far reaching
In results. At St. Louis connection Is had with
the Pennsylvania system. an Eastern ally OF
the Frisco, and hence tho recent gossip about
n through tlanscontinentnl me. Tho scheme
Is so broad that IL will REQUIRE time for aay-
body to conclude upon the probable benefits.