New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1899-01-06
NASSAU AND RAPID TRANSIT.
CONSOLIDATION OF BROOKLYN STREET
LINES ABOUT COMPLETED.
aeon .,-ruoptry FOR RELIEVING THAT NBGoTIA-
r1oNs ARE IN PROGRESS FOR THE CONTROL
-. LILLE nnnnKryN ELEVATED LINES


By THE RAPID TRANSIT PEOPLE.
Brooklyn railway circles were greatly stirred
last night by the positive assertion that the
friends of Roswell p. Flower and Anthony ~
Brady. Of the Brooklyn Rapid Transit Company
had at last secured control OF the STOCK OF the
Nassau Electric Company held by Tom Il. ana
Albert johnson. and that consolidation OF the
two systems would take effect Just as soon as
the papers could be made out All OF the I'M
portant features OF the deal were completed yes
terday afternoon at ) o'clock and there only re-
main a few formalities before the name OF
Flower will dominate the operations OF the sur
face lines Of Brooklyn.
Right on the heels Of this announcement was
another to the effect that the deal included poth
elevated roads in Brooklyn and that before sat
urday night the consolidation OF the brooklyn
Heights Nassau and De Kalb-ave surface lines
and the Brooklyn and Kings County Elevated
lines would be complete. Colonel T. 5. Williams
secretary and treasurer OF the Brooklyn Rapid
Transit Company. told Tribune reporter last
night that the proposed deal did not include the
elevated roads. Colonel Williams said
Negotiations are still pending between the
representatives OF the two systems looking 10
purchase Of the Nassau by the Rapid transit.
You may say positively however. that the nego-
tlations have not been contaminated. AT the
present time the negotiations comprehend moth
ing beyond a consolidation Of the Nassau with
the Rapid Transit system. All talk about the
merger going further than that IS mere guess
work"
PREVIOUS NEGOTIATIONS.
The consolidation Of the Nassau with the Rapid
Transit system was planned last summer. and
f. T. Wilson and E. II. Hartman made an at
tempt to facilitate the transfer OF the Nassau
road TO the Rapid Transit people some time be-
for July last The Nassau. as originally capt.
talized, had 100000 Of stock and S6,VOO.ooo
bonds II leased the Atantic-ave. railroad for
q fixed annual rental in addition 10 paying the
interest on the various bonds for which the
Atlantic-ave company was responsible. lhs
was a very complicated condition. and II was
planned TO issue p new Nassau mortgage TOT
Sl5OOOOO0 S6,5OOO00 OF per cent preferred
stock and IS 5000 Of common stock. and with
these securities TO buy up oil the outstanding
bonds and stock OF the Nassau and the Atah'ic-
ave companies. BY July this had apparently
been accomplished. but then an Unexplained
DELAY occurred. and for two or three months
there was little heard OF the REIMBURSEMENT plan.
Then II was announced that r. T. Wilson who
was a heavy holder OF the Nassau shares ana
would under the readjustment scheme nave
controlling interest in the stock had agreed 10
sell ont his holdings to those interested In the
BROOKLYN Rapid Transit Company he had
given an option on his stock which would not
expire until November 3. This option was taken
by those interested in the Rapid Transit COM
pany, and then IT was discovered that +. n.
Flynn and the Johnsons. who still had controi
Of the old companys stock, would not vote 10
issue the new securities which Mr.. wilson had
contracted to deliver until their stock shouid
be purchased by the same people who took the
Wilson holdings Now It seems the Johnsons
at least have secured satisfactory price for
their shares The figure is said to be IN the
ne,ghborhood of 100 Probably Mr.. Flynn. who
likes nothing better than fight, Will stand out,
bat he can do little beyond getting out In
functions. which may temporarily delay the
consolidation. as he IS one OF the minor share
holders in the Nassau
At the Office OF the Brooklyn Heights Railroad
last night. important work being carried
forward by President Rosster and Chief En-
gineer breckenridge. The presidents table was
covered with blue prints, and every one was
working under high pressure When President
Rossiter was asked to confirm or deny the story
that the Nassau had at last been bought by
Roswell z Flower and his friends, he smiled
broadly and said GO and see Governor Flow
err" quickly adding, we're $4,000 ahead in earn
ings over the first four days in 1898" When
ever a direct question with reference to the re-
ported consolidation was put to President RIOS
sitter. he smiled and invited an examination or
the earnings figure. as compared with previous
years.
When Tom L. Johnson. Of the Nassau com
pany was asked about the sale OF the Nassau
ha All he
vet sold share OF stock. but he added that
things were nearer to settlement"
In Brooklyn financial circles II Is said tnat
President clinton l.. Rosster will be placed In
charge Of the united surface lines when con-
solidation comes and that Mr. breckenridge VIII
be chief engineer Messrs. Flower ana bra al
agement OF the Heights system which last year
earned more than S1OO,UO in excess or any
years earning since the road came into the
possession OF the present management, and at
the same time the expenses OF the road are less
than they were when Mr.. Rossiter became presi-
dent The system has been almost entirely re-
laid with new rails, and the company has puiit
O. car shop at large outlay. capable or build
ing its own cars. II the managers desire 10 90
so. President Rooster and Colonel I. 3 VIII
Jams have labored early and late TO produce
satisfactory results, and they are now able 10
point TO the fact that, while three years ago
Rapid Transit stock was selling at 20, IL is 10
day above 90 and rapidly approaching the lVV
mark.
THE BELIEF IN WALL STREET.
II is generally believed in Wall Street that the
sharp advance in Brooklyn Rapid Transit stock
In the last two days reflects simply the practical
completion Of he long-pending negotiations FOR
the taking ever Of the Nassau Electric Railroad
system by the Brooklyn Repid Transit and
does not mean that the two elevated railways IN
Brooklyn and the Coney Island and Brooklyn
traction system (the Jay and Smith sts De kalp-
ave. and Frankln-ave llnes) are 70 be ac-
quired In the Immediate future. EX-Leutenaht-
Cnvcrnnr William r. Sneehan. OF Sheehan e
Collin. counsel for the Brooklyn Rapid Transit.
when asked yesterday regarding the extent or
the consolidation, which from the activity ana
rise in price II the stock Of that company wouiu
seem TO be imminent. answered:
1--WE have net purchased or contracted Tor the
purchase Of any OF the elevated railways III
brooklyn. AS 10 any negotiations resaruins