Los Angeles herald., 1892-03-28
THE RAILROADS
The Electric and Cable
Road Consolidation.
r. H. Mcdonald States 1t Is
Accomplished.
Huntington's Nephew to Be Ap-
pointed TOwne's Assistant.
The Southern Pacific Presidents Nephew
to BE Also Made Director-A
Long Distance Electric
tasa Road Proposed.

days San Francisco Chronicle, with re-
gard to the new deal in the cable and
electric road companies in Los Angeles.
He said: "The case go far as the public
is concerned is just this: The new
company had paralleled the old one and
had cut rates, issued transfers and done
everything possible to drive the old
one out Of business. This would have
actually taken place, and in the mean
time neither company was making any
money, but spending all it earned in hot
competition. An understanding has
now been reached by which the two
companies are merged. The bondhold
ers of both surrender their bonds and
receive new issue in the name of the
consolidated company. This has been
quite satisfactory to all parties. The
bonds are among the best security on
the coast and will without question pay
all interest when due and a large surplus
in time to the stockholders"
In answer to the question how the i'm
mediate interest on bonds is to be paid
Mr.. Mcdonald said: 1.-THE interest
itself has been paid in bonds for two and
half years in advance, in order to al
low the entire income from the opera
tion of the roads to be expended in their
development, the supplying of new cars
new machinery and the perfect equip
one-half years have elapsed all this work
will have been completed and there will
be money in the treasury"
When asked who holds the bonds DR..
Mcdonald said that the principal banks
of this city, the Pacific Rolling Mills,
James G. Fair and other men of meane
hold them. The rolling mills interest is
for materials supplied in the construc-
tion of the road.
AN ELECTRIC ROAD.
The Rialto Orange Grower, which
should be authority as it is published at
the home of Ex-Governor Merrill, says
that the project for the construction of
an electric road, under the lead of that
gentleman, is reality and that eastern
capital is already interested in the enter
prise. 1T is proposed, says the Orange
Grower, Ito connect San Bernardino,
Rialto, Cotton, Ontario and Riverside
by q motor road, and a franchise has
been applied for. The motive power is
to be furnished by the Bear Valley COM
pany, Arrowhead Reservoir company or
the Lytle Greek Water company, all of
whom had offered water, free of charge,
to the corporation that would undertake
the roads construction. Forty-two
miles of track would be necessary to
connect the above named five cities, and
it would necessitate an expenditure of
half million dollars to equip the road
ready for regular traffic. 1t is now
planned to have portion of the road in
operation within year.
SOUTHERN PACIFIC GOSSIP.
G. P. Huntington has decided to make
his nephew, H. E. Huntington, assist-
ant general manager of the Southern Pa
cific company, at the annual meeting
next month, and it is generally believed
that he will at the same time make him
a director of the company in the place
of W. V. Huntington, another nephew,
who has been director for number of
years past, and who is the brother OF II.
E. Huntington.
The change, it is said, will not be dis
pleasing to w. V. Huntington, who has
never taken any interest in the railload
business because OF a distaste for it. II.
f. Huntington, his brother, is a success
full railroad man in the opinion of his
uncle. He is about 40 years old and his
thrift, economy and religious inclina-
tions are considered his marked charac-
teristics. His uncle has assisted him in
accumulating we'll onto million dol
lars, and in one capacity and another on
@. P. Huntington's eastern railroad
properties he has, if common report is
true, impressed his uncle with the fact
that he gives promise of being a strict
af tho hsrp vo;1
road property on this coast.
His appointment as assistant general
manager is intended to place him in
eition of second vice president and gem
eral manager, but not in the sense of
superceding Mr.. Towne during the lat
ter's life time or until sickness or old
age may happen to incapacitate him, for
it is fact that Towne is considered by
Huntington to be the best equipped
man in his employ. Mr.. Towne, how
ever, is getting old and is by no means a
vigorous man, and there is no question
but he is expected to coach the nephew
into all the intricacies of his Office 30
that he will be able to take his place
when the time comes.
The nephew is now on his way west
with @. P. Huntington and Mr.. Still
man of Stillman, Butler & Hubbard,
Searles's attorneys, and his coming is
not in the nature of surprise at Fourth
and Townsend streets. Indeed, to most
of the officials at the local general Of
fees the nephew's arrival is looked
upon to mean that President Hunting
ton, realizing that he is getting to be
very old man, is preparing a plan by
which, when he dies, his interest in the
Southern Pacific company can be
handled and managed intact by his
nephew. 1t is generally believed that
Mr.. Huntington's will provides that all
his property, or ali of it in the Southern
Pacific, shall be managed as the Hunt
ington Estate Trust0after his death, by
his nephew, and that either the latter
or Mr.. Stillman or Mr.. Hubbard shall
succeed him in the presidency.
All three of these gentlemen want to
succeed him in the presidency when the,
time shall have arrived for such
change, and go does Colonel Crocker,
but there are number of complications,
both of a personal and business nature,
that are said by those who are on the
inside to seemingly make it impossible
for Colonel Crocker to have anywhere
near as good chance OF being Hunting
toms successor in the presidency as any
one of the other three gentlemen mem