The comet. (Johnson City, Tenn.) 1884-1916, 1894-07-12
THE SOUTHERN RY.
The East Tennessee, Virginia & GeOr'
gia Now a Part OF the System.
President Spencer Has Something
To Say in Regard to the Road.


ginia and Georgia Railway System,
comprising the Tennessee, Georgia
and Alabama lines and branches, took
place at Knoxville Saturday.
Those who attended the sale in COM
pauy with President Spencer, of the
Southern Railway System, were !;
Chas. H. Coster, Francis Lynde Stet-
son, II. w. Calhoun and A. B. An
drews, Of New York.
AS it was we'll understood to be be-
forehand the successful bidders we're
the representatives of the Southern
Railway Company, and the system is
therefore part Of that larger system
now.
The purchasing company's bid was
$1,5O0,0O0.
The sale occurred in front Of the
general passenger d,p0t, and was
made in accordance with an order Of
the United States court conveying
properties under equipment and inn
provement mortgages, also under gen.
eral mortgages we're bid off at 81 ,250,-
600, The price bid for the second
class mortgage properties was $3.50, 900.
Special Attorney Wimbish, repre-.
senting the State of Georgia, gave mo-
tice that the sale did not carry with it
any rights other than in existence un-
der present arrangements with the L.
IT, V. & G. r. R., so far as using right
OF way over the Western & Atlantic
State Road.
With reference to the plans OF the
new company, President Spencer had
the following to say, which will give
an idea Of how the roads are to be
managed:
GAS regards the ownership Of prop
critics, issuance OF securities and the
management of finances, the policy OF
the company will be that Of CONSOLE
dation as a means of creating and
maintaining the greatest value Of the
securities and for the properties. Sucn
concentration of financial strength in
one company will best enable 1t to
maintain the properties in good condi-
tion for public service and assist in
building up the territory served by its
lines.
"As regards operating and traffic,
there is no change Of view from that
outlined in the original plan OF organ.
ization, namely, full recognition OF
the fact that the properties in question
are located in two distinct territorial
sections, which can best be served by
two local operating organizations,
which, while united and cooperative
as to general policy, must be distinct
as regards each other.
while it is impossible yet to for
mulate the details for these two orga-
nizations, they will in general way
embrace a general manager for the
western system, located at Knoxville
a traffic Office at Knoxville, immediate
ly in charge of traffic for the Western
system, with a similar one at Rich
mond for the eastern system; an audit
Office at Knoxville in charge Of the
accounts OF the western system, re-
porting results 10 the general Office
in New York. The western system
will likely embrace all lines west o.
Bristol and Atlanta.
at is too early to speak as to what
the requirements of the system will b.
in the matter Of repair shops, and in
the present depressed condition o
business no expenditures can be made
on such account. Economical admin
| istration, however, can not be secured
without shops for general repairs a
some point on the western system, fol
shops on the eastern system can no
| do work for the Western."
Mr.. Spencer said that his company
! would ask for q confirmation of th'
sale on the 18th inst. II this is grant
ed, the Southern Railway Compan,
will take full charge Of the propert.
on August 1.
Regarding local officials, Mr.. Spen
Ger said that he had given the matte
no thought, but that the best mel
would rule. This means PRACTICAL,
that nearly all the old officers Of th
East Tennessee, Virginia and Geol
! gia Railway will hold the same places
/ chattanooga is one Of the most i'm
portant points on the system" sal
Mr.. Spencer, sand with the enterpris
ard push which is characteristic {
that city we will be bound to recof
nize and cooperate with her in a
things, and one Of our objects is I
build up local points"
How's Thisg