The Jersey City news. (Jersey City [N.J.]) 1889-1906, 1897-11-03
CONSOLIDATION TALK
Return Of B. NJ. Stanley
From Europe Sets all the
Gossips a-Gossipping
GAS AND ELECTRIC DEAL
Also the Purchase of the South
Orange Line By the consolid-
ated Traction Co.
AND ELECTRIC DEAL

With the return from Europe of B. M.
Stanley, the rumor in regard to a pro-
posed consolidation of the Newark Gas
Company and the Peoples Electric Light
and Power Company has been revived,
according to a story in the Newark "Eyen-
ing News" and it is intimated on the
street that the deal may be contaminated
in the very near future. MI. Stanley de-
clines to talk business until relieved of
his "sea legs and other officials OF the
electric light company said Mr.. Stanley
alone is in a position to discuss the sub
ject from that company's standpoint.
Henry c. Kelsey, president of the gas
company, is absent, and other officials of
the latter concern declared that he is
the only one who could say if the deal is
really contemplated so far as the gas COM
pany is concerned. Heavy stockholders in
both companies admit that a consolidation
of some kim is anticipated, and, they add.
thai it win involve more thar the mere
a-malgamation of the local gas company
with the Peoples Light and Power Com
pany. According to their theory. the pro-
posed deal ~conternplates a merging of all
the gas and electric light and power con-
Germs Oh the otdlG uLQeT tLt CO1liOl u olC
corporation.
They do not say that a consolidated
ompan will be a new corporation, but
rather express the opinion that the United
Gas and improvement Company of Phila-
delphia will absorb and control the united
companies.
The Philadelphia company is incorpor-
ated under the laws of New Jersey, and
at the present time it controls many of
the gas and electric light companies in
South Jersey. Its principal stockholders
reside in Philadelphia, but quite a few
capitalists interested in the Newark Gas
Company and the Peoples Light and Pow
er Company, are also interested in the
United Gas and Improvement Company.
The heaviest stockholders in the latter
concern have for a long time been quietly
purchasing stock in the Peoples Light and
Power Company, and they control quite a
large block of it. They are also inter-
ested in the Newark Gas Company, but
do not hold anything like a controlling
interest in either. Summarized, the stu
alton appears like this: Holders of the
controlling interest in the United Gas
and Improvement Company have large
interest in the Peoples Light and Power
Company and the Newark Gas Company;
holders of the controlling interest in the
Peoples Light and Power Company have
large interests in the Philadelphia and
local gas companies, and the controlling
interest in the latter concern has a large
interest in the electric company and the
Philadelphia Gas Company.
From that it is inferred that the ques-
ton of consolidation could be readily ar
-----I --I -, ~ryar tha or no r 20 1 + Z
who control the the three companies,
come to terms. From what one of them,
interviewed today, said, the consolidation
will occur, but not for some time, ana
when It does. he added, it will include
every gas and electric lighting concern IN
the State.
Another and equally interesting rumor,
also occasioned by the return of Mr.. Shan-
ley, treats of a proposed purchase Of the
Newark and South Orange Railroad Com,
pany, including the Hamburg place and
Company. A heavy stockholder
in the Consolidated Company said that
have been under way ever since
the death of Elias S. Ward, late Presi-
dent of the South Orange Company. He
also said that the preliminaries were al
most complete and that the contamination
of the deal had been delayed only on ac-
count of the absence of MI. Stanley, who
is one of the heaviest stockholders in the
Consolidated Company.
On the other hand, President William
0c11Ge1GI, u tiO OQl vi SOA ,
says there is no truth in the report; that
no overtures have been made, and that
the Newar and South Orange Railroad
will not be sold to the CONSOLE
dated Traction, or any other concern, in
the near future. The road is in excellent
condition, he says, is kept in good repair
and has all the rolling stock that can be
Used under existing conditions. The latter
assertion he made in reply to the state
ment that the company was making no
and had purchased no new
cars since the death OF Mr. Ward. The
said, during the hours of heavy travel,
run on a two-minute schedule.
The cause of delay is occasioned, he
Street Depot of the Pennsylvania Rail
road. where as many as half a dozen cars
are frequently held up on the east side of
the railroad tracks during the hours when
is the heaviest. Until such time as
the railroad tracks are elevated 1t would
impossible to utilize more ears, he
even If the company had them.
That. he said, is the reason why no new
cars have been purchased recently.
The Newark and South Orange Rail-
Company had it's growth from the
South Orange Street Railway Company,
a capital stock of 500, 000. The Wal of the
Rebellion interfered with the construc-
ton of the road, and 1t was not put into
operation until 1870. For a long
time it proved a losing venture and the
late Eugene Kelly, the New York banker.
who was the heaviest stakeholder of the
old road. had it put into the hands of a
receiver in 1876. Two years later it was
sold to the late John Radel for S35, 600 and
remained the sole owner of the road
for fourteen years. He made many i'm
during that time, including
the Hamburg place extension, and in 1892
sold it to the corporation which now owns
it for 81, 800. 600. The present owners SUBJ
stituted electricity for horses as the mo-
tive power, rebuilt the entire road and
an extension to Maplewood. It has
been intimated that an offer of $500, 900
has been made for the line.