New-York tribune., 1901-10-11

tho IS TO resign the presidency Of the Erie
Railroad.
os The latter stock having been at l22. II was
also said that F. D Underwood wes soon 70
retire from the preEtdency OF the Erie Rail.
road Company, TO which road he came few
months ago from the Baltimore and Ohio. and
would become one Of the principal operating
officers Of the proposed new company.
This report was widely credited in the Street
and received virtual confirmation yesterday
afternoon It was Mr.. Hill who placed Mr.
Underwood at the head of the Erie road. and
IN Mr. Hills opinion. it is understood. the
present Erie executive combines in more
marked degree the elements of a practical rail-
road man and inancier than any other man Of
his acquaintance. It was reported also down
town that Mr. Hill would retire from the presi
dency of the Great Northern before many
rnorths 10 take the csairna aship OF the board
and that Mr.. Underwood would then succeed
him in the presidents chair. was said yester
day morning in TIE Tribunes dispatch from ST
Paul
The story about the plan for organizing
proprietary company TO hold the control Of the
Great Northern and Northern Pacific stocks
lacked specific confirmation. Morgan interests
denied IL in a general way. but added the Sig
nihcant remark that there was nothihS III tiie
report-yet The fact seems TO be that com
pany has been formed to take over the control
of the Great Northern stock but that de-
cision has Yet been reached as TO transferring
the Northern Pacific stock 10 such a company.
Il is Illegal IN some Of the States through which
the two roads pass for any railway company TO
own the stock Of a competitor, and this pro-
hbition. it is suggested, may extend even to
the case OF a company formed to hold the
shares OF two competing lines The proprietary
company, T. %, zanized and if including the
Northern Pacific. would offer its own securities
70 the pupIc, thus releasing immense amount
Of capital which has been for months locked up
in the Northern Pacific.
The titanic struggle between the Morgan
Hill and HaTiman-Kuhn Loeb & Co. interests
for control OF the Northern Pacific. with its $50
GaO0O Of common stock and S75,O00,O0O Of pre-
fsrred, contest which swept the market bare
Of the common stock and which eliminated in
The Northern Pacific corner Of May 9. is still
fresh in the public recollection. Absolute con-
rol Of the Burlington having been purchased by
The Great Northern and Northern Pacific
jointly, the position OF the Union Pacific became
nenaced. as the Burlington largely paralleled II
N It's Own territory, and In addition had West
en connection with the Northern Pacific at
Billings Mont Control OF the Northern Pacific
would obviously give the Union Pacific an equal
voice with the Great Northern in the direc-
non Of the Burlingtons policy, and interests
coseiy identified with the Union Pacific there
iae undertook TO secure that control, an aim
Sfenuousy combated by the Morgan interests.
Al the end Of the great contest in the stock
MARKET II generally understood that Mr.
Hartman and his associates had succeeded in
the fal
the Northern Pacific. something in excess
sn5OO00O par value but that Mr.. Morgan
sac his friends held controlling interest in the
fcavO9e0O OF common stock. The Street ru-
nss mofs yesterday did not assign any price at
.1Aeh the proposed proprietary company would
sAe over the Northern Pacific preferred stock,
- - omission which caused a renewal OF the old
tepoft that that stock would be retired on Janu-
=. - y but a representative of the Hartman IN
49, declared that all talk about retifihg
~ llerh Pacific preferred was still in the arr
Late IN May announcement was made that an
s-ueIstanding had been reached between North-
IN 1h faeifc and Union Pacific interests under
tleh the composition Of the Northern racine
eio would be left in the hands or MT MOT
~ Who would name certain men whose selec-
rl. would make for the establishment OF ON. On,
80 80 and permanent harmony, and undef this
Esaisssnent Mr. Morgan in July named James -
E- H. PRESIDENT OF the Great Northern T.. n
t,efnman William Rockefeller. II. NICK Twoih-
an1 Samuel Rea a vice president OF tie
reasyvania Railroad Company All the sss
eh We're included in the board as re-electeu
rssek or two ago at the stockholders annual
,,.hg The board as now constituted is sun
:, Morgan board. The Northern Pacinc pan
reorganization provides that the company
- retire the preferred stock on any January
~. 70 1917, and the view has been urged thal
~ company" means for this purpose the boara
tb 1fectors. who then would be able to retIre
p,F preferred stock despite the fact that tne
o. e.ttinan interests control actual na9orlts
fs-s n's total number Of shares, common anc pre-
10, 80 81 being taken together. But the best oplh-
x'r Wall Street is that the preferred STOCK
NJ not be retired except with the assent OF
hartman and his associates