The Scranton tribune. [volume] (Scranton, Pa.) 1891-1910, 1894-07-06
GENERAL NEWS
OF INDUSTRIES


past work with the Reading and the
New England systems. Some things
that he said will be read with interest
by friends in Scranton, Speaking of
the Rsa1idg alliances that he planned,
Mr.. Mcleod said:
lsaw no other way at that time to ac'
complish an increase in the gross earn
ings than to agitate for larger percent
age Of the coal output. 1t seemed to me
very unjust that the Readings quota had
been reduced from S3 to about Is per cent.
especially in view of its ownership OF un-
mined coal. ], therefore, determined to
have the percentage increased. Other
companies were slow 70 concede the Read
ings right to larger quota, and ] found
it necessary in order to carry the point,
to formulate plan to command the an
thracite coal trade, resulting in the So
called Reading deal Of February 1892, by
which control WAS obtained of the Lehigh
Valley, the Jersey Central, aud, through
corporation. of the Lackawanna. |
was then in position to do what l
conceived to be the best for the
prosperity Of the Reading, name
ly, to increase its output OF coal and OBJ
tain for coal higher prices. The latter
were not easy Of Accomplishment. | had
often to contend against great odds. A
good many told me it was practically i'm
possible to mark up coal and keep it up. /,
Of course thought differently. l started
about 1t, however very. cautiously, and
advances Of only small size were made
until prices were at point that permitted
all engaged in the industry to make fair
returns on capital invested. The miners,
TOO. participated in the era Of prosperity
that opened up the trade, and the public
by no means suffered. My idea was to
have uniformity Of prices, and eliminate
cutting Of the circular, always o demoral-
izing factor. l succeeded, l think, very
well in this direction. Coal men have
often told me that times were never better
in the trade than when was at the head
Of the Reading.
All this helped to make Reading securities
more highly regarded. ard facilitated me
in my project to extend the Readings mar
kets for coal At this time, although the
Reading had larger output and obtained
higher prices for coal, it had no markets
which the Delaware and Hudson anda few
other less consequential companies could
not enter. What the Reading required at
that stage was, / thought an exclusive
market II occurred TO me that New Eng
of all sections the one for the Reading to
secure access to exclusively. This could be
done only by obtaining control of the New
York aud New England and the Boston
and Maine. | set about doing this as
speedily MS practicable, with the result
familiar to the public. There was no other
aim on my part and that Of my associates
in entering the New England territory
than TO widen the Readings market for
coal aud talk current that the object was
10 interfere with any Of Mr.. Morgan's pro-
jects is absurd Mr.. Morgan was not
thought Of in that connection. What is
more, control Of the Boston and Maine and
the New York and New England was
vested III me and my friends at the start.
When wrote Mr. Rice who was in
London at the time, the letter stating that
the Reading was not obligated dollar by
reason of the control OF the Boston and
Maine and the New York and New Eng
Land, stated fact well known TO mum
ber Of people. That was in October 1892.
The Reading, however, obtained control
OF the Boston and Maine and the New
York and New England in December, 1892
Stocks Of these companies, although show
ing at the time large profits to me and my
associates, were turned over to the Read
ing at original cost. The only object in
buying them, in the first place, was to in
crease the Readings earning capacity by
widening its market for coal. That is all
Of that story. After that the Reading
was going along very well until the be-
ginning of the year 1893, when the with
drawal OF Mr.. Dre2ers support. hitherto q
source of great help to me in attempting
to serve well Reading security holders,
precipitated the receivership. 1t was my
thought then that it would prove only TEN.
porary, but the point was made plain to me
in April Of that year that could ot accom-.
plish the practically impossible, having at
that time to contend with overwhelming
odds, and l resigned the receivership. On
tho same day that / resigned from the
Reading wrote out my designations as
president Of the Boston and Maine and the
New York and New England, but was pre-.
vailed upon to continue at the head Of the
latter. l reluctantly did this, because ii
was mere tail to the kite, and had no
heart in it at the start After | examined
the property very thoroughly, however, !
saw way oren to make something OF 1t
rs an independent concern, and originated
the plan to bring the New England into
New York city. l alone carried the com
ami was hopeful Of being able to do so in
January, 1884, and should have done so
but for the snap receivership, which SUR
prised me as much as 1t did the public and
cost me much in money and otherwise,
and, worst Of all, entailed large losses on
loyal friends.
No liquor of any kind is sold in the
lunch car" recently added to excur-
sion trains on the Lehigh Valley,
An Allentown dispatch says: There
is trouble among the stockholders Of
the Lehigh Valley Traction company
and IL has leaked out that the minority
shareholders who were interested in
the old Allentown and Bethlehem
Rapid Transit company, which was
recently absorbed by the traction com.
pany, recently held q secret meeting.
The meeting was called for the protsc-
tion of the interests Of the minority
stockholders which represented be.
tween 5000. 900 and $500, 900 10 shares
Those present were or the opinion that
the plant is not being properly con.
Quoted and that the minority stock.
holders are unable to secure any In.
formation concerning the management
as at present existing; that the lines,
especially those Of the Rapid Transit
company, are not kept up to the stand.
ard as under the old management, and
that the minority stockholders have no
means OF securing any information in
the matter. After the session of nearly
two hours it was agreed that commit.
tee OF five be appointed to consult the
officers OF the Lehigh Valley Traction
company and secure some information
relative to the present management and
report at the call Of the chair.
MINOR INDUSTRIAL NoTEs:
sixty-eight mine foremen were commits
stoned Tuesday at Harrisburg.
shipments of coal and coke over the
Pennsylvania railroad continue to steadily
improve.
The Pennsylvania has made a bid 10,
hnsinAsa IN the Lake ShorAia tarrito,t, n,