Richmond dispatch. [volume] (Richmond, Va.) 1884-1903, 1899-09-01
w. Il. VANDERBILT IN WALL ST.
Deal for Ocean 10 Ocean Railway
Line Contaminated.
CNew York Press-August Slst)

t4HtW \ Ork PrcSS-AuguSt 3lSt)
Another step in W. X. Vanderbilts
transcontnental line scheme was taken
yesterday. and ". X. Vanderbilt himself
went 10 Wall street to witness it.
The negotiations in themselves meant
only STEP but in their significance
stride was accomplished. Three rail-
roads. spanning more than half the Con-
tinent were merged into one great sys-
ton, with one name, one management,
one set Of officers, and one power-the
Nanderbllts-bohind the whole scheme.
The outcome will be not one, but seve-
raj transcontinental systems. as the ac-
tual establishment Of one lire means that
other systems must Join together 10 pro-
tect themselves and their stockholders
INCREASE OF CAPITAL.
Quietly but positively, the Vanderbilt
policy Of dominating line from the Al
lantic to the Pacific has been pursued
Yesterday the lines they control from
The Missouri river to the Pacific coast
were merged into one. The deal required
an Increase Of almost 500 O00, 600 in the
capitalization Of the Union Pacific, as
that line absorbed the Oregon Railway
and Navigation Company, which, in turn,
lowed and digested the Oregon Short
Line.
AN EXPLANATION.
The official statement of the amalgama-
ton, which means through trains from
New York to Portland, Ore, in the near
future. was technical and interested Sc
curity-holders rather than the general
public. 1t is Is follows:
The directors Of the Union Pacific have
voted 10 increase the preferred stock S25,-
10000 to lOO0)O.0OO. and the common TO
Sl,S)O,0)O to s95,0o00OO. The additional pre-
ferred will be used TO convert about Sl4,
00o.O0J oregon Short Line 'B' bonds and
NiU0C0O oregon Railroad and Naviga-
tion preferred stock. The new common
is 10 be exchanged for oregon Navigation,
common. snare for share The oregon
Short Line A bonds will be taken up
with Union Pacific As, now in the trea-
sury.
This step retres all outstanding Sc
Curlties Of the oregon Railroad and Nav
igation Company except the bonds. and
merges the company absolutely into the
Union Pacific"
THREE SYSTEMS UNITE.
Thus 1t was announced officially that
the Union Pacific, in which the Wander
bits are the dominating factors, had ac-
qured its own line from the Missouri
river TO the Pacific coast. The same men
now control the New York Central and
it's many connections as ali so well know.
They also control the Chicago ana
Northwestern. And the Vanderbilts. with
the Rockefelers and the Goulds. are in
terested 10 the extent of 100000 each
in the Chicago and Alton. These lines
operate from Chicago to the Missouri
river Thus the three systems, all under
the domination OF one clique. that W. X.
Vanderbilt controls. together form one
line from the Atlantic to the Pacific
Ocean.
And the prediction is made on every
hand that these systems will be merged
into one great railroad. that will span
the Continent. They practically are one
system now. and their traffic agreements
are such that through business may be
regulated.
ANOTHER AMALGAMATION.
Wall street yesterday wondered, bat
failed TO comprehend the situation. The
sossips remarked that w. X. Vanderbilt
was in the street So, too, did they
notice that j. Pierpont Morgan was un-
usually active. Mr. Morgan dominates
the Erie and the Northern Pacific. Those
lines. too, would complete a transcontl-
mental system, except for the gap be
tween Chicago and ST. Paul.
The Great Northern. Of which j. j..
Hill Is president, Is in the same position,
a. MT Hill recently has acquired an in
terest In the Baltimore and Ohio, and mas
become one Of its directors. Plans TO
amalgamate three lines are being dis
cussed. So, too, is the scheme TO estdb-
Iish an alliance between the Pennsylvania
system and the Atchison, and Mr.. Nor
gan Is figuring on some plan whereby ne,
TOO. may not be cornered.
Thus the contamination Of the VAN
derbilt transcontinental line carries with
IL the probability that several such sys-
TENS will be established, whereby all
rates and traffic will be controlled by less
than half a dozen men.