Waterbury evening Democrat., 1895-05-18

They Intend tO Get Control of the Entire
 Anthracite Output-A Financial Reorgan-
 ization of the Reading Is to Follow How
 the Purchase Was Made.
 PHILADELPHIA, May 1S-The Wander bilts and their friends have completed a deal of gigantic proportions by the pur- chase in tho stock market of majority of tho stock of tho Philadelphia and Read ing railroad. The acquisition of the stock began a month ago and at the close of business hore on Friday it aggregated, it is said, 800, O00 shares of n total of 500, 900.
 The possession of the Reading is the principal part of scheme for the coAtrol of the anthracite coal trade. The process of accommodating R0ading stock in New York has been the same as that employed when the Nanderbilts and the First Ma tional bank party sought ascendency in the Delaware, Lackawanna and Western railroad.
 On that occasion the stock was bought by brokers and remained in their names until needed for tho purpose ot voting at tho annual election of the compan1 Tho Reading stock has been kept in the names of the brokers who purchased it for the combine.
 Will Control Four Roads.
  the combine will dictate the management absolutely of these four companies; Phila delphia and Reading railroad, Delaware, Lackawanna and Western railroad, Della ware and Hudson Canal company and Central Railroad of Now Jersey.
 Tho NanderbiltS and the First Nation al bank party" as it is known in Wall street. are tho chief figures in the combine The First National bank party is maGle up of President George F. Baker and Vice President Harris C. Fahnestock of the Central Railroad of New Jersey and other large capitalists.
 The First National bank party first sc cured the Now Jersey Central railroad some fivo years ago. Two years ago they allied themselves with the Nanderbilts in gaining control of tho Delaware, Lacka- wanna and Western railroad. The Wander bilts last year turned up in control of the Delaware and Hudson Canal company, and excluded from the board of directors Colonel Legrand B. Cannon. who had for years been first vice president of the com pany.
 The Nandorbilts have long had large interest in tlSo Philadelphia and Reading. They agreed to increase it when the propo- sition for n combine came from the First National bank party.
 Not Like the Mcleod Deal.
 The company on July will bc in de fault on the interest on the general mort gage bonds for two years. The amount that will then be owed on this account is S3, 544, 400. Other obligations which must bo taken caro of arC: Receivers certifl- catos S0 800. 900; floating debt. S4, 0OO, GOO i; car trusts, SS. GOO, GOO, and miscellaneous, S1, 5O0, OOO. In addition thcro Is a claim against the company on account of the Poughkecpsie bridge guarantee of Sl, 500. - OOO
 When A. A. Mcleod. then president of the Reading, made up his great deal three years ago, by which he put under one management the Reading, Jersey Central, Lohigh Valley and New York and New England road. he calculated on securing q permanent advance of $l.50 a ton in cir Cular prices for coal. Mr McLeod's pro Gramme was upset by tho courts because i in some respects 1t confiiCted with Penn sylvAnia and New Jersey laws. The com 1 hine which has been buying Reading stock has formulated its plans so as to avoid trouble of this kind.