Pittsburg dispatch. [volume] (Pittsburg [Pa.]) 1880-1923, 1892-10-27
IT'S NAMED AN ALLIANCE,
But Mcleod Is the Head of 1t All, and
His Friends Own the Stock.
WIN. c. WHITNEY is INTERESTED.
A Practical Monopoly Of the Through
Business Acquired by
THE NEW KING OF THE RAILWAY WORLD

air Tor several weeks, was consummated to-
day. Parties largely interested in the Bos
ton and Maine and the Philadelphia and
Reading Railroads have made friendly
alliance. This explains the surprising &C
tivity and sharp advance in the market prics
of Boston and Maine stock during the past
fortnight.
Vanderbilt interests were not the pur.
chasers, as was currently believed, bu,
President Mcleod, of the Reading, his
friends and associates; and it is known that
they have acquired large blocks ofthe stock.
This resulted to-day in the resignation Of
William 7. Hart, director of the Boston
and Maine. The vacancy was filled by the
election of A. A. Mcleod, President of the
Philadelphia and Reading Railroad. Presi-
dent Frank Jones, of the Boston and Maine
Railroad, then rendered his resignation. and
Mr. Mcleod was unanimously elected to the
Presidency of that corporation. The posi-
tion of Chairman of the Board of Directors
was created, and Mr.. Jones was chosen as
that official, being charged with the execu-
tive management of tine Boston and Maine
system, as heretofore. He was, also, chosen
Vice President.
The Reading Railroad and allied lines
will distribute its enormous merchandise and
coal traffic into New England over the
Boston and Maine system. Boston will be
made the center of its distribution.
For some time minor details of the new
relationship have been under consideration,
but they were not fully formulated until
last Monday, when President Mcleod met
representatives of the Boston and Maine in
New York, and matters were brought to a
satisfactory conclusion. 1t is said that for
several months this alliance has been under
consideration by Mr.. Mcleod at the earnest
solicitation of parties interested in Boston
and Maine, though he was reluctant to take
upon himself cares and responsibilities
other than those now resting upon him; but
after looking over the situation carefully,
and believing that such an alliance would
be greatly to the advantage of both prop
critics, he decided to take hold and give
whatever assistance he could to its practical
development
The Boston and Maine has large water
front on Boston harbor and is building the
largest grain elevator in the United States,
which will be equal in capacity to all the
other elevators in Boston combined. The
two corporations have aggregate mile
age of 900 miles and will carry upon its
payrolls over sc, 600 employees
Mcleod Explains the Significance.
There were present at the meeting to-day,
Hon. Frank Jones, President of the corpor-
alton; Hon. William C. Whitney and
George c. Haven, of New York; General
Samuel c. Lawrence, Joseph S. Kicker,
Alava W. Holloway, Richard Oldney,
Walter Hunnewell, John w. Sanborn and
Joseph II. White. Dr. w. s. Webb and
W1llisp1 IT Hart ohsapt O., ba;,
asked the significance of this alliance,
President Mcleod said:
While the Boston and Maine system has IN
recent years made great progress in tonnage
and revenue and has become the greatest
railroad system in New England vet it has
remained isolated, comparatively speaking
from many sections of the country. 1t is
well known that the manufacturing indus
tnes on Its lines are more numerous and
exceed in output and value those of any
system in the country, and IL they are TO |
continue to expand they must extend and |
enlarge their markets. On the other hand, |
the network of railroads controlled by the |
Reading covers one of the most populous |
regions of the country, and would consume,
II the New England industries had access to
them, probably greater proportion than
any other section in the United States, 10 |
say nothing OF the vast territory beyond |
more easily reached by the Reading lines
than any other. The relations will be very |
much of the nature OF that now existing |
between the Boston and Maine and the |
NanaClan racine, winch has proved so aQ. |
vantageous to both companies.
A Like Deal With the Canadian Pacific.
Much OF the traffic 1 refer to must be
moved by rail. There is no better evidence
of the need of the Boston and Maine for ad- |
ditional trunk line connections and their
value than the connection with the Canadian |
Pacific, the northernmost of ALL which has |
brought to the former a large traffic which |
1t did not formerly enjoy, and which has |
nrOypI be femuuerativa
The alliance will greatly add to the passen-'
ger traffic OF the Boston and Maine, not only |
from the travel incident to the commercial |
and business interchange, but through an |
efficient and united through service similar |
to that now in operation over the Reading |
between Washington and New YORK. The |
alliance, having control of the only through |
rail route, Will command a Vastly in |
creased proportion of the travel between the |
southern portions OF the country and the |
coast and the lakes and woods of Maine
This alliance will form one through line |
over its own rail, extending from the Great |
Lakes to the ST. Croix river and will give to |
Boston and vicinity new and independent |
trunk line of railroad to Buffalo and the |
West.
Hon. Frank Jones, the new Vice Presi- |
dent and Chairman of the Board of Di- |
rectors, said: |
1t is the greatest thing that could have |
happened to the Boston and Maine. Only |
bear one thing in mind: There is no ANAL |
gamation OF the two systems. There is no /
exchange of stock; there is no traffic ar |
rangement In fact. there is no arrange
ment OF any description which will merge |
the two companies into one corporate or |
Eanization.
Mr.. Jones Dodges the New England Phase. |
Mr. Jones was asked what position the |
New England Railroad occupies in the ar |
rangements as now contemplated. He re-
piled: 81 must decline to enter into any |
explanation at this time. The New Eng |
land property was a necessity in certain |
directions, and il was thought expedient |
for the friends of the Reading system to |
own majority of its stock |
Hon. w. C. Whitney. of New York, said: |
have no interest in the Reading COM |
bination and never have had. As a Boston |
ana Maine director, think this will help |
the property. In the first place, they are |
not in the same territory and do not COM |
pete for the same business; therefore one |
cannot be run to the pref udice OF the other. |
They are both interested in the develop |
ment of the joint business, and not in tile |
suppression of the business of one in the /
interest of the other. 1 am assured tnat |
and Maine with the New England in any |
form, nor with any other property. 1t can
not be done without legislation: without the /
general concurrence of the stockholders. /
When that rs proposed will be the time to
consider and fight it.
Archibald A Mcleod, President of the
new combination, is 45 years old and has
been in the railroad business since early |
manhood, beginning as roadman on the
Northern Pacific
A Protege of Austin Corbin.
He was first heard of in connection with
Sho phiIadelnhia and READING whef, Austin I