The Jersey City news. (Jersey City [N.J.]) 1889-1906, 1897-11-02
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.

r
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 "Even-
ing News and 1t is intimated on the
street that the deal may be contaminated
in the very near future. Mr.. Stanley de-
clines to talk business until relieved OF
his 'tsea 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 kind is anticipated, and, they add.
that it will involve more than the mere
amalgamation of the local gas company
with the Peoples Light and Power Com
pany. According to their theory. the pro-
posed deal contenplates a merging of all
Tie GAS anu clSClllI liSnt anu POWSA SOH"
Germs of the State under the control Of one
corporation.
They do not say that a consolidated
company 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
err 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 1t. 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 nave
large interests in the Philadelphia and
local gas companies, and the controlling
interest in the latter concern has a large
interest in the electric ompany and the
Philadelphia Gas Company.
From that it is inferred that the ques-
4. e { ~ aa,1Il fnA a r.
ranged whenever the score of capitalists,
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, and
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 fsallroad CoH.
pany, including the Hamburg place ana
Maplewood divisions, by the Consolidated
Traction Company. A heavy stockhoider
in the Consolidated Company said that
overtures 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 inc that the contamination
of the deal had been delayed only on ac-
count of the absence of Mr.. Stanley, who
is one of the heaviest stockholders in the
Consolidated Company.
M VII tIO oSAAN oAAN
Scheerer, of the South Orange Company,
says there is no truth in the report; that
no overtures have been made, and that
the Newark and South Orange Railroad
Company 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
rrd nod cod M II
cars since the death of Mr.. Ward. The
cars at present on the city division are,
he said, during the hours of heavy travel,
run on a two-minute schedule.
The cause of delay is occasioned, he
says, by the grade crossing at the Market
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
travel is the heaviest. Until such time as
the railroad tracks are elevated 1t would
says. 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
South Orange Street Railway Company,
which was incorporated March Z. 1861, with
a capital stock of S100, 900. The War of the
Rebellion interfered with the construc-
ton of the road. and it was not put into
active 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 $35, 1000 and
he remained the sole owner of the road
for fourteen years. He made many inn
provements during that time, including
The Hamburg place extension, and in 1892
sold it to the corporation which now owns
it for 81, 500. 900. The present owners sub
stituted electricity for horses as the mo-
tive power, rebuilt the entire road and
made an extension to Maplewood. 1t has
been intfmated that an offer of $780, 600
has been made for the line.