Pittsburg dispatch. [volume] (Pittsburg [Pa.]) 1880-1923, 1892-12-01
A DELUGE OF PHILLIE
On Report of Bearish Compromise
With Carnegie & Co.
THE STOCK SCORES A BIG LOSS.
Union Switch and Signal Also Takes q
Downward Turn.
LOCAL AND GENERAL FINANCIAL NEWS
WEDNESDAY. Nov. 80.


the market all day to-day, the result being
steady decline to 1879. 1t was known
late yesterday to favored few that the
weakness of the stock was due to the fact
that the legal battle between the company
and Carnegie, Phipps & Co. had been
terminated by compromise unfavorable to
the Philadelphia Company, and the deluge
of stock to-day was not unexpected. A
good many of the selling orders executed
were for Eastern account. A fair Pro-
portion of the business was strictly local,
however, and it is expected that
the decline to-day will bring out
considerably more lightly msrgined
stock tomorrow. If such is the
case, and no support is offered, lower prices
will doubtless be made, though it would
seem as if the compromise had been dis
counted, particularly since the exact terms
of it are unknown. Oflcials of neither cor.
poration would say anything further than
that compromise had been effected and
that it was none of the public's business
what the terms of it were. One rumor had
it that the disputed accounts item was
wiped out and the perpetual contract an
nulled, in consideration OF which $4,000
changed hands; but the rumor failed to
state which side got the $4,000. The
Philadelphia Company at least secured
the right to make the Carnegie concern
pay the market price for gas if they want to
use it, and if they don't want to use it the
company will have it to offer to someone
else at the regulation price. In this view of
the case the compromise is bull card.
The worst feature about 1t is that the
terms agreed to are so jealousy guarded
from the public. 1t is some of the public's
especisiy shas portion of ' she pubic
who are stockholders, and as long
as they are withheld the compromise
will be considered a good deal more of a
bugaboo than it probably really is. The
deal should be fully and officially explained,
not alone in Justice to the stockholders, but
to relieve certain officials of the company,
of tpe suspicion that they withheld all in
formation, and are still withholding it, to
trade on.
No matter what the nature Of the compro-
mise. 1t should have no farther depressing
effect. 1t has had too much already. The
company will be as able to pay Its dividends
and increase its dividend rate as ever, and
it will probably have just as much gas as
ever. 1t is not going to the demnition bow
vows right away.
Trading in the other shares was limited.
Union Switch and Signal was decidedly
weak, selling down to 1s%. closing at Is bid.
P. & B. traction sold at 24% Central traction
at 2914@29, Airbrake at l32, P. & B. traction
bonds at par, and q small lot Of Electric
Scrip at 9273. The general tono of the mar
ket was weak.
Citizens traction IS were quoted at 1os
bid, and Pittsburg traction 5s at lO4 bid.
as follows: P. & B. traction, 24sz@241S: do
6s, 9s74 asked; Duquesne traction, N@2712; do
5s 100 and interest asked.
The Steel Rail Trade.
A conspicuous feature in the steel trade at
present is that, while the aggregation of
Chicago mills is we'll employed on rails.
nearly all other establishments have exc
cuted the most of their back orders and
stand in need of new business to insure win
ter work. With the Carnegie establishments
rapidly getting into smooth working order,
the position becomes even more interesting.
Thus ar 1t does not appear that the trying
conditions have fractured the manufactur-
changes and dissatisfaction in certain
quarters have circulation. On very good
authority it is learned that the Chi
cago Company has paid into the pool" 50 80
per ton on $4,000 tons sold IN excess of the
allotment. although some time ago generous
enough to turn one good-sized order to East
nate competitors this sum OF $15O, 600 is likely
to check dissension Tor time, since open
competition would be likely to force prices
for rails down closely to current rates for
high carbon bfllets. In other words, doing
nothing at good profit seems to be more
satisfactory than working mills at q very
slender margin or at loss, and the "pool"
arrangement is doubtless thereby kept in
fact. 1t has been argued that no more rails
would be sold at S25 per ton than at $50.
For time this argument seemed
have been inquiries pointing strongly to
more active employment for various mills
were prices for rails brought nearer to cur
rent rates for other heavy steel products,
and circumstan tial evidence is strong that
more than one large order is being held
back for some change OF base on the part OF
rail manufacturers or disruption OF the
pool" Meanwhile the "pool" price for
heavy sections remains at $50 f. o. b. Eastern
mills, while x0-pound sections are sold at soc
to 81 per ton less and lighter sections at
corresponding rates.
Financial Notes.
During the decline in Phfllie on Change
this afternoon one of the brokers recalled
the famous communication of C. l. Wade on
the stock and remarked that they laugh best
who laugh last.
The chief sellers Of Phillie to-day we're
Morris Brown, ]. B. Barbour and W, H.
Watt; the buying was pretty we'll distrib-
uteed.
Signal to Sproul & Co, and F. Eaton.
Sproul & Co. sold P. & B. IS to A. Caster.
j. j. Campbell, Hill & Co, and Sproul & Co.
were the sellers of z. & B. and S. S. Pinker-
ton was the purchaser.
]. B. Barbour sold Central traction to
Sproul & Co.
Yesterday afternoon the stockholders of
the Parkersburg branch of the Baltimore
elected the following Board of Directors:
Orlando Smith, President; Robert Garrett
W. H. Blackford, w. +. Burns, WV. Tavlor
Aubrey Ream, c. H. Shattuok, W. N. Chan
cellor. j. n. Camden, Thos. s. Spates and D.
c. Winebrener. The annual report showed
gross earnings, $6l4.O4S 50; net earnings, ss2-
499 %.
The New York Evening Post says: "There
is but one conclusion to be drawn from q
market such as to-day's. 1t has ceased for
the time to reflect anything, but the terrors
of supplemented speculators, who see
from some professional dealer in scares to
believe that all is lost"
1t is stated that negotiations are pending
between q steel syndicate representing
81 600 900 and Jonas Shalter, of Muhlenburg
township, Berks county, for the purchase OF
been agreed upon, and there remains but the
small matter of the agents fee to be ad-
justed The syndicate, It is believed, will
erect q plant similar to that at Steelton, The
site is three miles north of Reading, between
the Pennsylvanis and Reading Railroads.
has the Philadelphia Company any more
contracts similar to the one it had with
Carnegie, Phipps & Cot
Jay Gould Is quoted as saying that he ex-
poets Sl00 100000 Of gold to be shipped to
Europe before June 30.
Sales and Final Quotations.
Following were the transactions recorded
on the Exchange sales board to-day:
FIRST CALL.
so shares Philadelphia Company 20
so shares Philsdephia Company y................ 20
2uO shares Philadelphia Company. .......,.,,.,,. 20
10 shares Philadephia Company ................ 20
50 shares Phiadelpha Company. ............... 2Ok
sha PhiladelDhia COmDanY