The Portland daily press. [volume] (Portland, Me.) 1862-1921, 1900-01-25
TRADE MADE.


Continued FROM First Psxe.
purchss 20 By shs Boston q Maine railroad
Of the $4,000 shares Of the Fischburg COM
mon held by tine state. the railroad pay
Ing therefore 81. 0oo. 900 Of u. q NJ. par
cert fifty year gold bonds; and an OPP
portubity IL offered TO the minority
holders Of the common stock TO exchange
their stock for Boston 81 Maine bonds
under the like basis within the limited
period.
II should be clearly understood that
this whole plan Is dependent, first, upon
a ratification of all its parts BY the stock
holders OF tie two companies interested
and sscoud, upon its approval BY the
legislature now In session, including the
right of the Boston q Maine X. r, to
Issue the bonds that are to be paid to the
state In exchange for the states IS, 00O. oC0
of stock and also Including the lease and
all other matters connected Herewith.
1 believe the plan will be approved by
the stockholders OF Doth roads for the fol-
lowing reasons:
The Fitchburg road. II made q part OF
the Boston q Maine, viii thereby become
capable of largely increasing both Its
g,oss and net earnings, while IL Ii con :
tnuts to be operated separately, the Ike
lihood of such an increase In Its net earn
Ings as will warrant an incrsess Of the pre-
ferrea stock dividend above the present
of four per cent would seem to be quite
remote.
The properties combined can In my
Judgment, produce much better net re-
turns for 10th companies than will be
possible II thsy continue to be separately
operated and consequently 1t seems to be
that ths plan now evolved must commend
itself to the stockholders Of both COM
pa aies as the best thing for ALL"
DIR. W. Seward Webb, one of the Fitch
burg railroad directors, before leaving for
New York today, gave out the following
interview in answer to questions:
al notice that the statement has been
made many times in newspapers by Bos-
on and Maine officials that II the Boston
and Maine should lease the Fitchburg
road, the Fito burg would be strength
ened. In view Of tine actual condition Of
things that is very amusing, The Fitch
burg by the returns for the past year has
handled co per cent Of she gross export
business from the port Of Boston. The
reason that this large amount OF business
has been given to the Fitohburg Is entire
ly teoa use it Is enabled to handle freight
to and from the West oheapsr than any
other road having AN entrance into Bos-
ton and by reason of Its terminal facilities
here 1t is enabled to transship that freight
with greater facility. The Boston and
Maine terminals oan never be made avail
able for export business aud even II It's
terminals were equally as good as the
Fitohburg, the grades on Its road between
Boston and Groveton Junction and New
pert prevent Its handling any large
amount OF western business for export, In
competition with the Fitchburg and New
York Central. 1t has gone ont OF the sx-
port business on these accounts, and at
the present time Ia switching grain from
tle Fitchburg road to It's Mystic Wharf
customary charge for elevation and
storage.
The Boston and Maine occupies a
strong position and in Its division with
all connecting railroads 10 anablsd to
make high arbitrary change because it
controls absolutely tbs freight business OF
this great territory.
1t has been said .hst the New York
Central will "bottle up" the Fitohburg.
l should like to know what arrangement
the Boston and Maine has with the New
York Central which would prevent its
being "bottlsd up" In turn If IL should
lease the Fitohburg. The policy Of the
New York Central has always been a
liberal one. 1t takes all of the business
Its connections can give 1t and returns to
those connections all the business it can
give them. The ''bottling up" talk in
these days Ia absolute nonsense.
1 favored lease Of the Fitchburg to
the New York Central before the Boston
and Albany property was offered to that
company believing 1t would be for the in
terest of the property, the people living
on Its lines and for the city Of Bost IN to
have a New York Central line through
reason for fsvoring New York Central
lease do not apply to a Boston and Maine
lease of the Fitchburg and am entirely
opposed to that proposition.
The Fitchburg road, under the oiroum-
stances, should remain independent and
l teiiere that the future business will
show the wisdom of my conclusions but
1t should be more aggressive and extend
its system into the large towns In New
Hampshire which are now under the con-
troll of the Boston and Maine road. There
is no reason why we should not give our
western connections entrance into such
towns as Manchester aud Nashua and