The great West. [volume] (St. Paul, Minn.) 1889-18??, 1892-04-22

Railroad company has secured BY
lease or similar arrangement control
of the Lehigh Railroad company and
the Central Railroad company of
New Jersey. The Reading guaran-
tees on the Lehigh Valley stock div
idends at the rate of 5 per cent per
annum until July 1, 1893, 6 per cent
Tor one year afterward, or until July
l. 1898, and Z per cent per annum
after the latter date. The excess
of earnings, if any, above Z per cent
will be divided equally between the
Lehigh Valley and the Reading COM
panies until the Lehigh Valley re
ceives 10 per cent dividends. The
surplus above such 10 per cent will
then go to the Reading. The Read
ing guarantees on the Jersey Central
stock per cent, all excess over and
above that figure to be divided
equally between the Jersey Central
and the Reading companies. There
will be one central agency or sales
department. AS these companies
control about seventy-five per cent
of the competitive traffic, the i'm
portance of this combina ton to the
coal trade is obvious. The increased
profits to be expected from this
coalition will come, not through any
cxtortion, but out of the economies
to be introduced"
This consolidation, notice, did not
add a dollar to the money invested
or the wealth in hand, but it de-
stroyed the possibility of compe-
tition, making it possible to shut up
any of the anthracite coal mines
when it pleased and keep coal at the
highest price by restricting at will
the output. By throwing miners
out Of work it can increase compe-
tition among them, many Of whom
with families must be forced to &C
cept next to starvation wages rather
than starve while doing neither.
These were the Economies to be in
troduced.'' Well, with this statement
of the brokers the Stock Exchange
was opened and the stock of the new
combination was thrown upon the
market. The New York Tribune
describes the day as follows:
when the gavel fell the scene was
of pandemonium. A wilder shout
ing, struggling and shifting occurred
than in times Of panic. The enor-
nous interest in the coal stocks led
many specialists "-brokers who de-
vote their attention to one or two
particular stocks-to refuse to exc
cute transactions in their speciailties.
Messenger boys were at a premium.
The confusion was indescribable.
1t was day OF tumult and excite
ment that appalled, the Oldest men
in the street.
'Pandemonium" is the proper
word. 1t was a fierce, furious, heart
less scramble of legion Of selfish
devils, each trying to get the largest
possible share of unearned wealth,
a strife for power to place an addi-
toned tax upon every fire that
warns the shivering poor. for con-
tinuous power to levy yearly tribute
upon every home and working man
in our broad land. Five hundred
and fifty thousand shares OF Read
ing stock alone changed hands in
that single day at the New York
Exchange, the stock rising from 80
to 50. The new Jersey Central rose
from 113 to 1877. and at Philadelphia
the Lehigh stocks went from so to
60. Eight million dollars were
''made" on Reading stock alone by
those who made the combination.
This does not mean that they earned
or created this much wealth, but
the combination gave them power
to starve the miners and tax still
more each of the 100000 families
who must use Pennsylvania coal, and
it was this devilish despotic power
which they sold and which the
specializing thousands we're crazy
to get hold Of And this is the way
our millionaire rulers are made.