New-York tribune., 1901-04-26
o. P. ACTIVITY SUSTAINED
RUSSELL SAGE QUOTED AS GIVING VAN
DERBILT ABSORPTION AS
THE REASON

There was no dirninution IN the remarkable
activity In the transactions Of Union Pacific
common shares on the Stock Exchange ves-er-
day While the dealings fell off considerablv
from Wednesdays high level abou. 4OooOO
shares were sold at prices fuctuating from 1oeal
10 10. The latter figure was reached early in
the day. but a reaction set in followed bv con-
siderable irregularity
Many conJectures were heard as TO the prob
able developments in the Union Pacific and aftil-
lated companies as a result Of this activity hu.
no official explanation of the situation courd he
obtained. Russell Sage was quoted as SAYING
that the boom was a direct consequence Of the
fact that 't is widely believed that Union Pa
cifc is TO form an important link in the Atlantic
Pacific line OF the vanderbilts.
This line, II formed" he continued would
be composed as 10 its main links Of the New
York Central the Lake Shore the Chicago and
Northwestern and the Union Pacific" Mr. Sage
gave another reason for the advance the fact
that the Union Pacific is a great national road.
with good feeders and earning capacity which
could not be materially reduced by combinations
OF opposing lines. He believes that the prices
OF most railroad stocks are entirely too high a
fault not shared by the road under discussion
Another possible reason for the buoyancy Of
the stock, heard IN well Informed quarters was
that there was good reason to expect in the near
future an increase in the rate OF dividend from
per cent TO a per cent basis. II was
thought that this could be done, since the road
was already earning IL per cent and was in
excellent physical condition
Another rumor credited the RockefeIlers with
having recently purchased two hundred thou
sand shares Of common stock on the rise. Still
other brokers were inclined to believe that the
upward movement was due TO tremendous
manipulation Of this stock by insiders, prompted
by the expectation of a larger dividend
While official denials by both Chicago and
Northwestern and Union Pacific interests OF any
change in the relations Of the two systems were
repeated yesterday. the belief was frequently
expressed in the Street and board that interest
ing developments could be looked for in the
near future Officials Of the two companies re-
terated that they a loss for an eX-
planation Of the buying of their stocks. They
hinted that a purchase Of control Of the Union
Pacific would be very difficult thing 10 ac-
compsh.
There was a meeting Of the Southern Pacific
directors at the offices of the Union Pacific Rail-
way at noon yesterday. Chairman Hartman,
Jacob II. Schiff. James Stiliman Otto H Kahn
and other Union Pacific directors We're present
The sole announcement made after the ad-
1ournment was that Alexander Millar secre-
tary OF the Union Pacific. had been elected to
the same office in the Southern Pacific company
II was asserted that no other business of public
interest was transacted at the conference
one OF the directors, when asked if the blIytng
IN Union Pacific was due TO the efforts Of minor
ity stockholders Of the Southern Pacific who
hopec IN that manner to secure voice in the
Union Pacihc management control said that
ne olo not believe such TO be the case.