The Seattle post-intelligencer. [volume] (Seattle, Wash. Terr. [Wash.]) 1888-1914, 1893-02-06
LINE FROM OCEAN TO OCEAN.
The kumored Combination OF Pennsyl-
vania, Burlington and Unios. Pac. fic.

The Kumored Combination OF Pennsyi-
vania, Burlington and Unios Pacific.
The New York Times has the following
article on the rumOred alliance of the
Pennsylvania, Burlington and Union Pa
cific railroad systems: 80
Railroad men are much Interested in story
that the Pennsylvania managers are trying TO
arrange with certain Western roads sor through
route to the Pacific coast. There is good reason
to believe that two or three important confer
ences having that end in view have been held in
this city within the past fortnight
Representatives of the Pennsylvania railroad
and the Chicago, Burlington d Quincy railroad,
Ii is said, talked this matter over n friendly
way at a private dinner in one of the uptown
hotels a few nights ago The advantages to the
Pennsylvania system Of having through line
to California and Washington were fully dis
cussed, and 1t was made apparent, also. that an
arrangement might be mace by which the Bur
.lington would profit.
Mr.. A. J. Cassatt is mentioned a. one of the
Pennsylvanias representatives at that dinner,
and Mr.. Fred Prince, OF Boston, As one OF the
representatives OF the Burlington system. There
was a tacit agreement, so the story goes, that
there should be an interchange of directors be-
tween those two companies.
AS to which of the Pacific roads 10 to become
a part OF this combination, there seems TO be
good deal of uncertainty TIE prevailing be-
Lief is that connection is to be made at Denver
with either the Union Pacific tne Atchison
system Men who are usually well informed il
matters concerning the Pennsy lyania railroad
sverred Yesterday that all but the rlinor details
OF this deal had been arranged. Quite naturally
the report that Mr.. George 3. Roberts will
tire from the presidency OF the Pennsylvania
road is connected with this scherae, although
there is no intimaton that Mr.. Roberts is op-
posed to the deal.
1t is intimated that the alliance proposed is
the result, of policy suggested b. important
foreign interests which have large investments
in both properties. Thus it is probable that ii
the Pennsyi vania gets a representation OF three
directors on the Burlington ROAD, one of the
trio, at least, will be selected By the foreign
stockholders
This alliance between the Burlington and Penn
syIyania would WORK great advantages to 10th
properties. 1t would create u transcoutinental
route OF more consequence than any hitherto
proposed. During 1898, because Of the Worlds
fair traffic, both the Burlington and Pennsyl-
vania will profit on an especially iasge scale.
More Pennsylvania railroad securities are said
to be owned abroad today than ever before,
though the average American railroad stock
list shows that foreign holders have for the last
few years been inclined TO sell out rheir Ameri-
can stocks. They did this, however, not on ac-
count OF any distrust OF properties mere, but be-
cause in the general deInora jzatior OF financial
affairs abroad American securities have had
reader market than any other Lass OF stocks or
bonds.
Unless there are reasons which do not
appear on the surface, it is hardly likely
that the Union Pacific would go into
such a combination. Its lines and those
of the Burlington parallel one another all
through the prairie states of Nebraska and
Kansas, and are naturally competitors.
The Burlington is also pushing towards
the Coast on its own accouns, and may
have Its plans so far maturet as not to
need Coast connection. On the other
hand the Gouids. having enhanced the
value of Union Pacific securities by the
increase in the net earnings gnd the de-
crease in the floating debt which they
have effected, may be ready to unload at
an advance. especially as the government
dent falls due in 1894 and the probability
OF 3 REIMBURSEMENT OF it is so slight that
foreclosure is almost certain. With this