The Dickinson press., 1893-02-25
READING. GOES WRONG.
RECEIVERS ARE APPOINTED FOR
THE ROAD.
Disaster Follows the Course That
the Management Has Pursued
Since the Formation of
the Coal Combi-
nation.
S,,rnrise on Wall Street.

Surprise on Wall Street.
New York, Feb. 2l.-The appointment
of a. A. Mcleod. Chief Justice Edward
Paxton .tnd l.. L. Wilbur receivers for
the Reading Railroad company was an
nounccd this noon.
This marks the crisis of one OF the
most dramatic cpiso,lcs i'll financial his
tory. Much of the inside history OF the
fall of the Reading management is Yet
to br told. hut the climax OF the affair
WAS the appointment of the receivers To-
day. 1t is safe to say that II" one OF
those who have forrsrrn that disaster
must follow the course that the Reading
management has pursued since the forml-
tion of the coal combination Il year ago
anticipated any such tremendous cat
ustrophc as that which Wall street has
witnessed during the past three days.
1t is safe to say that not even those who
brought about this catastrophe had amy
idea of how tremendous would br its
effects. 1t is felt by Wall street men
that if amy one could have realized its
extent it would have been the members
of the lucklrss Reading pool Ii is urged
they must have forcScrn that disaster
WAS impending: must have known on
what extremely thin ice their rcprcsrnta-
tive was skating and must have realized
that. with the available money of the
rotcric spread out on narrow margins on
the stocks of three great railroad systems,
decline of amy magnitude in the price
of Reading must have been attended by
dire results
1t WAS probably for this rcasoll-so
rules the conclusion of the street-that
they have made such strenuous efforts
to keep up the price of Reading. For ii
IS pointed out. only about Il month ago
the annual report of the Reading COM
piny WAS issued. Ii was full of hope and
encouragement for the stockholders Ii
VIII ID" remembered that full interest on
all IN" GLASSES of preference income
shown t" have been earned was paid.
President Mcleod in tho report told the
Stockholders that the future was full of
promise. That one month after tho is
suhlrr of this report the stock of the
company should decline 20 points. and
.iiat the appointment of Receivers should
d" necessary. seem almost Incredible.
In searching for the causes which
brought about the fall of the Reading
company il is unnecessary to 20 over
again the ground which is familiar to
everybody. The public understands that
when Mr. Mcleod. unsatistcd with the
results attained hy his coal combination.
went INTO New England territory and nc-
| CURED control Gf the Boston Il Maine
una Il large interest in the New England
company, he hntagonizcl the New York,
New Haven n Hartford and the great
capitalists behind that company. 1t is
| generally believed that the New Haven
management had looked for the uruuisi,
ton OF the New England at some time
and ut ITS own price. Mr. Mcleod must
have known this. The general public
did. Hence the news of Mr.. McI.cods
purchases of New England was received
WIN 'ie greatest surprise. That amy
man. and particularly nlun 10 stronger
tilih Mr.. Mcleod. should voluntarily
nnlasoniZc the New Haven munarclucnt
seemed lnconprrlrnSiblr. MIR. Mcleod
Is Reported 1" have answered one of his
friends aud nilics who demonstrated with
nm, in This manner: II will not bc die
.a.ed u ny Mr. Morgan. would rather
| run IL liltlc ono horse country road
The tension of The mArict az the ,i;,y a,l.
v;tnr"d WAS lrrlillcThc strain was ,nu
great for nanny frinS. an.l shortly after noon
some i'l'nr"a began To i,r announced. The
hlSt I" =" hH thr hourd WAS W. T. Russell.
Winnie III" :'d'l'l excitement of th, news
was still fresh came the announcement, of
;1.,'ll smother faiiurr-that of 7. j. DELANEY.
, ,In. ."." On me heels Of this came Il third,
,llit of g. $. Fleet. The amount Of their
liabilities is unknown, hut is believed not
'n ID" lhrs" No new Reasons are given for
IN" continuation of III" terrible onslaught IN
md
ne weakness III Heading is believed ON Wait
street To be The attitude assumed bv ,h,.
sahdurhiltS aud J. i'irrpont Morgan towards
Mr. Mcleod and his associates for rontcnl.
day between M". Morgan lnl MIR. MrI.eol,
bll this cannot be ,r:ilirlad
t., Annlli,,r rri sph given for the great slump
IN ltc;l'llnS Is that Spcycr * Go. have called
IN lh" loan ~ made To Heading last Jan.
lary, for the purpose of paying of the in.
trr,s! .:'l,, on third preference bonds. Ar. Spry
tf viii not affirm or deny the report
Trading in KeH,ilu. was unprrr"lcntcl.
Nearly every broker on the floor traded in
THIS stock. Among the heaviest individual
sellers lhiS IN, morning wns Howard; LapAey X
among other heavy sellers We're Turner
Mannlr. G.. W. Turner. Il. II. BissrI. II.
srhapin. Eiw:r. Sweet " Co., Mr. Maurice
more a"ii' share selling orders executed.
bat rs Il wiiol" til" transactions were made
III dn ana l.WhlSharr lots.
III" reported ;ill,,int!ncnt of Ncsars Pax
son. M"i."ol and Wilrr as receivers of the
lt"ai!!:2 Railroad WAS received with :ippro-
| batinn in Wall street. anI was regarded as
entirely III the interests of the company and
its present management. therefore. making
sure the continuation Of the present policy
of thr company AS far AZ lirHcir.hir. II
was frl' that there would he no going back
over the ground tIol'inn since Mr.. Mcl.cod' 3
election. and that not only the interests of
the R"mdins company alone would h looked
after but !h" Interests of tn" coal trade in
general. President Sloan. of the Delaware,
I.nrkHw:inf:a y Western. when seen, said
R"n ii; would in no way affect the price
of c"Hl. and tlinar looking nt this furry as
the disruption 81 I'll" combine and II cnuse
for 'h"ar"iling "f III" price of coal were
likely to b" disappointed.