Evening star. [volume] (Washington, D.C.) 1854-1972, 1899-05-10
PROPOSED GAS DEAL
Some Phases Of the Current Gossip
on This Subject.
UNCERTAINTY As 10 THE OUTCOME
Divergence of Views Among Even
Weil-Informed Men.
ABOUT THE DEPOSIT

During the past few days there has been
a decided renewal in the activity of the
gossip relative to the Washington Gas
Company and the proposal recently made
by circulars to the stockholders to pur-
chase the stock at $50 per share. Since the
issue of that circular, which was dated
April "a last, it has generally been taken
for granted that arrangements had private
ly been made prior to the issue of the cir
cular for the turning over to the pur-
chasers Of sufficient number of shares
to give at least a control.
Dpring the last few days, however, there
seems to have been a change in the current
opinion on this subject. and now there is
talk of the possibility of the proposed deal
not being made. On the other hand, it
should be stated that statements are posi-
lively made that not only the control of
the stock has been safely secured, but that
in addition, number of the stockholders
nave siSn1fed their intention to accept the
offer recently made.
Price of the Stock
There are two indications that seem to
point to a change of some nature in the sit
uation. One Is the price of the stock on
the local exchange, which has steadily de-
ciined during the past few days, reaching
the lowest point today, when offerings were
made at 81 and fraction. 1t is ar
gued that this decline from 50 and frac-
ton lends color to the assertion heard in
financial circles that the stock is to be a
good deal lower than 1t is at present.
Another indication which is looked upon
as significant in some quarters is the ankle
~ which is said to be exhibited by those
who are DESTROYS of the deal going through
to secure stockholders to agree to sell their
stock. 1t Is said this goes to show that the
b. Nv
numerous as was expected. and that the
amount named in the circular has by no
means been reached
Expenses of the Committee.
In the circular it Is stated that in case
the members of the committee who sign
the circular shall have secured the de-
post of $1,000 shares of the capital stock
before the 18th instant which is
Monday, and the right to purchase shall
not be exercised by the purchaser on or
before June 1, the sum of s250,000 deposited
in the Fourth Street National Bank, Phila-
delphia, shall be paid over to and among
the depositing stockholders pro rata as
Hquidated damages less the amount re-
quired to pay counsel fees. costs and eX-
penses incurred by the committee"
In the event, however that the total of
S1,GD shares is not offered, 1t is stated that
the deposit money under the terms of the
agreement is to be returned to the pro-
posed purchaser.
If this construction is correct, then the
holders depositing stock will not receive the
share of S25O,O00 in case the deal does not
go through, unless the full number of 81
900 shares has been secured by the COM
mittee.
StubbornIy Resisted.
There is another straw which seems to
show that there is some uncertainty at
tending the final outcome of the proposed
Transaction Practically he ~
cular was ISSUED to the stockholders a no.
tice has appeared in the advertising col
umns Of The Star, signed by one John H.
Minds of Philadelphia. requesting stock
holders who are dissatisfied with the propo-
sition to sell the stock and with the failure
to pay the May dividends, to send their
names and the amount of stock owned by
them to his address in Philadelphia.
Now. however. he states through the
same medium. the change being made in
yesterdays Star, that the character and
number of responses received in answer TO
his previous advertisement show that the
proposition to sell will be stubbornly re-
sisted
Doubt Expressed.
There is, however, no positive inforrna-
ton in local circles. at least, to whether
the sale is to actually take place or not
There are men who are interested in local
securities who have within the last day or
Two received positive information from
the most authentic sources on both sides
of the question.
On one side it is claimed that the COM
mitteeemen who state in the circulars is
sued to the stockholders that they are act
ing on behalf of such of the stockholders as
may unite with them, have all the stock
they may need for the purpose of comply
ing with the terms of the agreement and
the only object they have now is TO secure
as much additional stock as possible, for it
is alleged the prospective purchaser would
like TO get as much of the entire issue is
obtainable.
On the other hand it is asserted with
equal positiveness that the committee has
not the requisite number of shares and
that they will have to do some extremely
lively hustling If they expect to secure 81
900 shares by the close of business Monday
next. However, the right is reserved to the
purchaser to buy the same terms any
less number than $1,000 shares that may
have been deposited on or before the first
day of June, 1899, provided that such less
number shall be equal to the majority of
the whole of the shares"
Mr.. Letters Inquiry.
In this connection there is an interesting
bit of gossip to the effect that Mr.. L. H.
Letter, who is said to be one of the largest
individual owners of gas stock and who
has but recently returned to the city, has
been consulting with men familiar with To-
cal securities to the ACCESSIBILITY of SELL
ing his holdings of gas stock under the
terms of the agreement. AS Mr. Letter has
been supposed by many to be one of the
large owners of gas stock in sympathy
with similar interests to gain control of the
company, it is thought rather remarkable
that he should be asking advice on this
particular phase of the question. But it
may be that common rumor has done Mr.
Letter an injustice in attributing to him
any cooperation in the movement to pur-
chase the company franchise.
Lawyers Shad Bake.
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