The daily morning journal and courier. [volume] (New Haven, Conn.) 1894-1907, 1897-02-03
HE CONSOLIDATED ROAD
rOCK MARKET RUMORS PROMPTLY
DENIED By THE COMPANY.

>jjWfn Surely be Paid-Company Abund-
Vanity Able to Take Care of Its Floating
y Debt-No New Issue of Bonds Contem-
plated by the Company.
gNrha sudden drop OF 10 points in the
ice of the stock Of the Consolidated
Lad yesterday, and it's steady decline
S@ price for some weeks past, created
considerable comment yesterday, but
ssz1uiry at headquarters Of the road
scloses nothing to justify any alarm
M; anxiety.
fudge Hall, vice president Of the New
sad, when asked last night as to the
K. dden decline in the price Of the stock
that company, said:
III do not pretend to account for the
X garies of the stock market. Moth
ii g in the business of the company JUS
n les any falling off in the price of the
sock.l Freight and passenger traffic is
@Yry good The road is earning and
Ill surely pay it's regular per cent.
vidends. The company is abundant
FIN able to take care of it's floating debt
INA thout any further issue of stock, and
Ss2 such issue is contemplated"
d The remarks of Mr.. Hall will be very
assuring to the stockholders, being
5ka official statement and right to the
AZ int. During the day yesterday Wall
sreet bears tried hard to get a Whack
A% the stock, but their efforts were
HSuitless. The stock declined II points
9 the sale of only one hundred shares.
II aich some one pressed for sale. This
Y parent weakness was followed by re-
Nv Srts regarding the dividend rate. The
HF ars were checkmated, however, as
icy found it very hard to borrow the
pck and so short selling was imprac-
$$ able.
ga reassuring dispatch was received
ay Kimberly, Root & Day yesterday
MI ternoon. which said that Henry Day
M r. L. Day & Co. of Boston, a highly
n putable firm Of brokers' had looked
city thoroughly into the affairs Of
MI railroad and could not see how the
to the company, as it has 100000
NJ New England railroad bonds that
%ssuld be sold at once, or by funding
IKE company could make a big saving
Az interest.
AT Prince & Whitely's, this city, a
spatch said that one reason of the
VI scline was that many small lots We're
NJ Afered down at all prices. They did
AT look for q reduction in the divi-
Ind.
Messrs Kimberly, Root & Day said
Est evening that a concerted drive was
Evidently made at the stock in New
%Fbrk yesterday, and that while its price
las marked down to 160 in that city,
e stock was selling from five to eight
spints higher in the Boston market.
III bme one pressed for sale small
lock on the market in New York with
We result, as stated, and the whole
mount of the stock sold in New York
Yesterday was only 200 shares-a very
# nall amount, and nothing that could
I'LL called in stock market parlance as
9Among other current gossip yester-
@Ay concerning the road was the fol-
1t wing printed in last nights New
Faork Post:
Many inquiries have been received
re from New York and Boston as to
4. e causes of the steady fall of New
aven railroad stock. The bid price
nee the opening Of the year has fall
N II points, and it sold to-day IS points
Sader the price of December 29. 1t is
certained that the quarterly report
|R the state railroad commissioners,
hich will appear a few days hence,
ill indicate that the regular dividend
NH the first two quarters of the year
SsSas been earned. But unlike the same
5sriod Of last year. no surplus to speak
NJ has been put into improvements or
kw equipment. AS to the earnings
sr january Of the third quarter, while
e through freight shows a handsome
crease, the general earnings show "a
4 screase and the showing for the quar-
.7sr is almost certain to be a bad one.
1t is known also that the New Eng
Ind returns are far from satisfactory
Ia result probably due in part to the
3version of through freight to the
aw Haven. The more immediate
use Of the decline, however, is prob
sly the new prominence assumed by
e floating debt of the company, which
N some shape must soon be funded.
~ amounts to some s9,OO0,000, and the
( mpany will actually gain by shifting
into q low interest-bearing security.
s1t the discussion of the kind of Sc
Il rity to be issued for the debt has at
ss acted special attention to it, with un-
<vorable results on the stock, The
owing competition of the trolley
lads and the present control by the
companies of the Connecticut
rislature are also unfavorable fac
rs.
Naturally such a condition Of affairs
IS revived here discussion of reduc-
,n of the dividend rate of the COM
Il nv from to per cent. a year. The
s<anper of the stockholders on the sub
s,t is such, however, that the New
aven managers will hardly make such
reduction unless forced to it in the
1t extremity after rigid economies
I've been tried. The feeling is espe-
ally marked among those stockhold-
ix$s who a few years ago gave up their
sldings of leased line stocks in ex-
ange for New Haven stock when the
ter was paying 10 per cent. dividends
~syear, and included in that class of
stockholders are number of directors
the New Haven company.
rs1he nrosnects therefore favor an era