New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1892-12-25
BIG TRACTION INTERESTS.
TWO POWERFUL SYNDICATES ADDING To
THEIR HOLDINGS.
TIE wIDENER-ELKINs AND MKEE-vERNEH
PARTIES SEEM NOT TO BE RIvALS-PossI-
BILITY OF THEIR UNION-IHE STREET
RAILWAYS OF MANY CITIES UNDER
THEIR CoNTRoL-MILDIoNs OF
DOLLARS INVESTED.


Pittsburg, Dec "a iSpecal Two Pennsylvania
syndicates are seeking to control the street rail-
ways of the United States Strange to say. they
are not competing syndicates. for each seems to
avoid the Others field. One is pretty well
known to the general public. the other is JUST
sprnging into prominence, although it has street
railways in eight cities. II is the Mckee-Verner
combination of this city The combination best
known to the public is tie Widener-Elkins. OF
Philadelphia which controls the cable roads or
Ncw-Yorl, Philadelphia, Baltimore and Chicago,
end has one cable and electric line in Pitts
burg The McKee-Verner partys most recene
act was its purchase OF the control OF the
Citizens Line OF Indianapolis for Sl,5oo,oOo.
1t is an odd coincidence that the first street rail-
way in which Mr. Werner was interested was the
Citizens Line, OF Pittsburg. in which he suo-
ceeded his father as superintendent. 1t was the
most profitable horse car line in this city,
Mr. Werner who is about forty years DID,
takes charge of newly acquired lines. When tho
fnanciers of the syndicate with which he Is
connected have completed their part OF the pro-
erammc. Nj Werner superviscs the reorganization
Of the local companies.
r. Sellers Mckee had already earned an inter-
national reputation as a manufacturer OF wndo"
glass He is millionaire, and introduced tne
Belgian tank system into America. with MS
mariner the glass JUSTICES. Jdhlts Nh'ii"''''
he established the new town of Jeannette,
TWENTY-FIVE miles east OF Pittsburg. on tne
Pennsylvania Railroad, where several thousand
mon are employed in lis mammoth glass factory.
Mr. Chambers is known as one Of the rulna
snirits in the birmingham Electric Street kali
wav n corporation which las welllntorne"
stock broker said today could be purchaseu Nv
the Widcner-Elkns yniicate whenever " lei. 81
disposed This emphasizes the belief IN certain
quarters that The two great syndlca'es are noo
at war The WdencrElkins people mado 'heir
first venture in Pittsburg in the purchase oh
the Fifth-ave. horse car line, ana IN NS """
formation into cable linc the hlst III 'no
c;.v When CHRISTOPHER Magee. the Republican
loader. bull. a competing line. the Duquesho
electric. the Philadelphians leased it, ana q
,ohhs Of all the lines in the city is expected ia
tho near future. through the Intervention OF inc
Nooee n,rtv which holds stock in all the illleS'
Tho creat financial power behind the 'lchcr
Warmer svndicate is really Eastern capltal-h. W.
Clark & Co., the Philadelphia BANKERS anu a. an'
" Saligman, Of New-lork. The syndlca'e nus
inc. secured street railways in BROOKLYN anu
thirteen cities a:e directly interested IN tpe 'pr'
.:..a . ,be two combinations The Mckee-Ver-
nor nconle were already established in New-York,
prnolo Pochcster, indianapolis, Louisville ana
Ncv-Crlcans ,lct,,e Scgmaa is supposed 10 nave
enlineered the purchase OF the contro alns H'er'
ests in the Atlantic-ave. and Brooklyn lily rail-
roads. Of BrOokiyn. but no change III the manage
mpnt of either is expected until The January
noc,ing of the Board of Directors Henry D.
| Ives. the Napoleon OF Finance, who borrower
S23, ,ooo, 900 and spent $92,ooO'ooo before no
,ros tyycnty.fonr years old, is supposed 70 be a
,rn,,hor of The McKee-Verner combination, al
though in the acauirement of a now road. no with
| To- lists
ttv The ostcnsibc purchasers, so far 40 fearcheTs
After information for newspapers are concerned,
are Mcssrs Mckee Il Werner. Ives Is irequen'
visitor to Pitisburg, presumably for CONSULTATION
with thc local members OF the syndicate.
There was competition to overcome in tho
purchase of the Citizens Street Railway oil In
dianapois The road has tcen paying one and
has no rivals The railroad was controlled by
Chicacoans, the heaviest stockholders telnG
Samuel Mlerton, Cyrus II. Mccormick and John
J. Mitchell. Afr Allerton was arranging to get
control but the Pittsburgers oherel TO pur chaS'
the whole plant at pr and they got IL. lhey
we're posted as TO the value of the property by
J. c. Shaner ex-prcsident OF the Citizens line.
who was their repre- -cntativc. Mr.. Shafer WAS
removed eighteen months ago because the Chicago
stockholders wanted an Indianapolis man Mr.
FrenzeD at the head. who would be closer i'll
touch with the citizens and employees.
Some INSIGHT into the capitalization OF the Biz
mnghlm electric linc OF Pittsburg indicates what
may lie expected of the Mckee-Verner combina-
ton in other cities. Tho birmingham las fifteen
miles of road-maim line and brancheS-ani Is
capitalized at S3.0)0,000 and is bonded to tho
extent OF S2,i75.oO0, making total lldD.h'y or
S5I75,O0o or S3ij.000 a mile. over twice as
much as the road cost. Tic purchase OF tho
original horse car line, the substitution or
electricity as a motive power, the building OF tho
Smi,hGcld.st bridge over tire NJ nGahela
River. and the requirement OF branch lines ma &c
the total cost S?,30o0OO. The stock is selling
at $25, or half its par value. II. Sellers Mcn,o
Is known locally the leading spirit IN the
Birmingham line. but his interest IS not 50 great
as that Of T.. w. Clark x Co. OF fhiIadeiphla.
Tie recently acquired line at lndi map !, has
ninctv-.ivc miles Of track and If thc Mckee
Werner people pursucd the birmingham policy OF
capitalization tho lndianaro> line would r-prc-
scnt the figure of S32..,J.UO0 WAic these
capitalists are still after moro railways. tie only
common interest likely 10 result l. the cstaoli n
mont Of big repair SOP. the IDENTITY OF eatn
ciys interest being uEGlsturbe !.
l; could not be learned In this city Yesterday that
there was an early prospect Of consolidation OF the
II. financial interests thai have been active In the
Inst wear In III, purchase OF the surface railroads OF the
PRINCIPAL elite, Of tie country ard tho substitution, In
mot Of the eis, OF the trolley system fr o:' power
Ilat such a result may be reached some day Is al.
mitcd Ly some o. the capitalists Who have been p'oml-
mont I'm numerous deals" As rule. the Eastern
syndicate has conducted its operations entirely
distinct from tie McKee-vcrn.r, Western, syndicate.
lut each interest owns properties that would be at
tractivc 20 the other interest investment. 1t
i, denied that negotiations foot at present LOOK
ng 70 LniGcauon of these Interests. but there arc
.oe financial men who consider that Consolidation Is
the ,ogical outcome OF tAt .ituailoa
The business Of consolidating the surface routes Of
TRANSFORMATION OF the leading cities has reached
enormous prop roas. II has been almost . pie
uoncnon OF the financial world Enormous prices
have been paid Tor the conrol Of OF the street
railway properties. and yet there has never been the
slightest difficulty In obtaining money for the con-
summation OF the transactions. The amount Of capital
Invested in these enterprises Is prodieious. 1t IL
practically Impossible 10 inelise estimate
-. rnuchly O. lr.aind that In nina