Wheeling register. [volume] (Wheeling, W. Va.) 1878-1935, 1899-08-23

Ex-senator Camden, who has been at
Monongah and Fairmont for a day or
two, looking after his immense coal in
terests at Monongah and along the
line of the M. r. road, was called upon
by the Registers reporter in his private
car, and received in the Senator's
usual courteous and cordial manner.
In answer to inquiries as to whether he
felt disposed to give the Register infor-
nation as to the railroad deal made be-
tween his West Virginia interests and
the Baltimore & Ohio Railroad Com
pany, the Senator expressed his will
lingness to give any information de-
sired.
sIs it true, as stated in the papers"
he was asked, that the B. & o. has
secured the West Virginia & Pittsburg
railroad, and will commence to operate
it on the first of September"
Eyes, it is true that the B. & o. will
assume control of the operations of the
road on the first of September; but
there is nothing particularly new in
that, as the B. & O. has held the lease
Of the road since it was built in $780,
and it is now only exercising the rights
which it could have exercised at any
time, but which for various reasons had
been deferred.
CAS- the status of the West Virginia
& Pittsburg road does not seem to be
generally understood. will explain
that the road was built under a lease
to the B. & O., by which the B. & 0.
guaranteed the bonds of the company
and agreed to pay fixed ratio of the
net earnings to the gross earnings as
rental; and in case the net earnings
should not be sufficient to cover the
fixed charges on the road, that the B.
& o. would supply such deficiency and
be reimbursed from the future net
rangement the stockholders of the road
were protected as long as the B. & o.
was in a position to protect itself,
which unfortunately has not been the
case for the past two years. The w.
Va &, P. roads earnings not being suf-
ficient to meet its fixed charges, and
the B. & O. not being able to advance
the deficiency as contemplated by the
lease, this road went into the hands
of receivers, as did other interests de-
pending upon the B. & 0.
"The stock of the West Virginia G
Pittsburg Railroad Company was near
ly all owened by the B. & o. and my
self. The majority of the stock, how
ever, was owned by me, small amount
being held locally by the stockholders
of the old narrow guage, and when it
came to the question of recognizing
the road, the B. & 0. proposed to treat
the stockholders of the w. Va. & P.
road literally by reissuing to them, in
case of sale of the road, the same
amount and character of stock then
held by them; but upon reflection, it
was suggested to the b. & o. on the
part of the stockholders, that inasmuch
as the road would require from one to
one and half millions of new money
to be expended upon it, in taking out
the heavy grades caused by following
the lines of location of the old narrow
guage road, especially between Clarks-
burg and Weston, and in making other
permanent improvements in order to
make the road what it ought to be as
freight road, to develop the coal,
timber and other interests of the sec
ton of the State through which it
passes, money for which could only
come through the B. & o.; that the
B. & O. might feel more inducements
to furnish the money to make these
expenditures in its own interest than
it would in the interest. of outside
stockholders, and with this in view it
might be better for the B. & o. to pay
the stockholders reasonable amount
in cash for their stock and become the
sole owners of the road.
"Tne B. & o. upon reflection adopted
this view and paid the stockholders of
the West Virginia & Pittsburg Railroad
Company in cash price for their stock
as fixed upon by the stockholders them
selves, making mutually satisfactory
deal to all parties concerned, which was
unquestionably the wise thing to do
The B. & o., therefore, is now not. only
the lessees of the road but the owners
of it, by virtue of holding practically
all of the stock of the company.
Il makt this explanation in order
that the action of the B. & o. and the
motive of the stockholders may be per-
fectly understood.
1T might have been better in the
long run for some of the principal
stockholders to have retained their in
terest ii the property, but il would not