New-York tribune., 1891-08-30
UNION PACIFIC CHANGES.
THE yANDERBnTs SAID TO HAVE SECURED
- CoNTRoL.
SAMUEL SPENCER WILL PROBABLY sUCoErD
MR.. p1LLoN-rHE DENVER AND RIO
nv.Nnr ruE Srxr MARK


MR.. p1r.noN-rHE DENVER AND RIO
sRANDE THE NEXT MARK.
CHICAGO, Aug 2o.-A nerning paper here prints tho
following: ga ,o.
at is generally understood that jay Gould mas
,rtnallv relnouished control Of the Union Paclhc
railway and that majority of the stocks and oohcs
;, the company have been placed in the hands OF tine
Ss,kiue firm of Drexcl. Morgan a co. J. Perpont
yorran Of that firm, is to be the leading spirit I'D
Che management Of the road hereafter sidney Di-
,on the president Of the Union Pacific, IL is sau'
about to resign his Office, and s S. Spencer ioimerS
o president of the Baltimore and Ohio and 81 pres
ant In charge Of prcxe Morgan co.'s srafiway anrs'
,s mentioned as Mr. Dlllon's successor. The manage
m.pt of the company is TO undergo compete chsse'
o., smith, formerly receiver of the kansas F@ci"0'
mno has inst resigned the Office Of general menseer
AZ the Denver and Rio Grandc. is to sncoeea H. IL
clars as general manager of the Union Pacihc.
sThe general opinion is that Drexel' horesh
~ acouired control of the Union Pacific in tho In
,.ast Of The vanderbilts prexel. Morgan g 70 are
a. snancaI agents OF the Vanderotits ana arc aiSo
In control OF the chicago, Mi~suAee anu SV' 4'
1N,s indicates that close alliance cet"een 'hc oo"
roc,ac Chicago and Northwestern, ana 0moaso'
Milwaukee and St. Paul roads Is con'onpl"'o"
nv. vanderbits have long been anxious 70
- - .oothod west OF the Missouri River ana gam
y ,aerendent outlet for their system OF ROADS 10 the
...t Il IL not likely they viii be content with the
Union Pacific, but that they mean 70 a0quiio Vie'
mportant railway systems west OF the hocAs NoN'''
contest is said to be in progress between 'ho
vanderbts, the Chicago Burlington ana eu"i'S auo
The Atohison Topeka and santa Fc FOR the possession
~ the Denver and Rio Grande road with the prospect
~. The vanderbits will carry off the plum The
.s,gna,on Of President Moffat indicates that the MO
c,ande is about to change hands. Mr. CopeiL the
managing director Of the company, Is unoers'oou 10 Uo
an intimate terms with the vanderbilts ana prexel
Morgan g. Co.. and will do all In his power W aSsiS'
those parties in gaining control Of the Vso'
81" the Vanderbilts succeed in gettins te hio "raue
Il k believed their next will be to secure contro
=. .he Southern Pacific and there are no serious OBJ
,taces in the way OF their getting It, Win TINS ROAD
in their control the Vanderbts viii DO masters OF the
stuston and be able to dictate terms 70 all Quiet
lines so far as the trafio between uie Auahtio anu
Pacific is concerned. 1t would Simply 10 carrying out
Gould,s and Huntingtons original plan OF placing ali
the roads between Chicago and the racine oosV uhuer
the control Of syndicate Of bankers win lhe oniy
dle,srhes that instead Of the three banking firms OF
yisder Peabody Co.. the Barring Brothers, and Drexel,
Morsan 4 Co. being The controlling financial houses
me system under helr control will Include all the
Vanderbilt lines east Of Chicago and an t ~. scSsS nS and has
an understanding with the yanderbilts and Drexel,
Morgan CO. WHEREBY his Tsr0He interests IN 'e
While nobody has been found here today who can
throw any new light on the DEAL the ,posted rail-
Sushod ' his Control Of the road to the yandebilts
1t is simply confirmation Of rumors that have been
almost constantly In circulation for several months.
and especially since the organization of syndicate
TO take OF the Union Pacific floating debt was
begun. But that part Of the story relating to the
formation OF bic railroad trust Of the objects
Of the deal Is generally secuted. 1t is not believed
that the yandefbts will lave any intention desire
10 get control OF the southern Pacific and is not sup
posed that any. combination Is contemplated beyond
the establishment OF harmonious relations among the
various roads as relief from over competition.
A Western railroad official said to-day You sec,
when J. Perpont Morgan consented TO represent the
syndicate organized 10 take Of the floating debt IL
was condition that he should be placed in supreme
control OF the road. Mr.. Morgan Is also interested
in the Chicago and Northwestern, and the Chicago,
Milwaukee and st. Paul. II Is natural conclusion,
therefore, that the relations of these two roads with the
Union Pacific will be the less friendly on
count OF the change In fact, the retirement of Gould
the advantage of both roads. since there will be less
likelihood Of through traffic being diverted from its
natural channels to benefit Gold's Missouri Pacific.
II believed the organization OF the syndicate meets
with CiOud's approval. and that he will work in haT
mony with the management Of the Union Pacific.
In fact there those who profess % know that an
the deal and that the principal object Of the whole
transaction Is 70 secure greater harmony among those
western roads that have common interests to protect"
1t was impossible to confirm the news from Chicago
Yesterday In Wall Street. Saturday being half
holiday. all the bankers and railroad men interested
had left town for over Sunday. Charles II. COster.
OF the firm Of Drcxel, Morgan Co.. said that he knew
nothing whatever about the matter. Rumors that
current early in the week to the effect that Mr.
Spencer would soon succeed to the presidency
then denied by Drexel. Morgan & Co. 1t was said
at that time that Mr.. Morgan had been buying Union
Pacific and advising and urging his friends to do the
yesterday afternoon seemed inclined to believe that
the change reported had taken place.