The times., 1901-04-12
UNITING TELEPHONE LINES
Final Steps Taken in the Big Con
sOIidati0n Scheme.

Properties Acquired Throughout
MARYLAND and PennsyIvanin-Cap
itnIized for II Large Amount-Nu-
merous Extensions Contemplated.
BALTIMORE, April 11.-Final steps
were taken today in the big telephone
consolidation scheme engineered by the
syndicate headed by George r. Webb
At the meeting Of the directors Of the
United Telegraph and Telephone Com
pany today. the following properties
were acquired: The Maryland Tele-
phone and Telegraph Company, capital
stock 81. .0O0. coo; Pittsburg and Aiie-
gheuy Telephone Company, capital
stock 81. 500 O00; West Pennsylvania
Long Distance Telephone Company,
capital stock 81, coo, ,OO0; Home Tele-
phone and Electric Company, capital
stock 5000. 600; Allegheny County Tele-
phone Company, capital stock 100000;
Hartford County Telephone Company,
capital stock 100000
In all about $4,000 phones, either in
actual operation or under contract
awaiting installation will go into the
combination. The United obtains a
strong position in the Pittsburg terri
tory by the interests absorbed there.
This territory is regarded, from Bell
standpoint. as the third best in the
United States for local service. and sec
ond only to New York for long-distance
business.
The West Pennsylvania Long Dis
tance Telephone Company owns the
line from Pittsburg to Beaver, Pa,
where connection is made with the
United Long Distance Telephone Com
pany, that will give service into Cleve-
land and other Ohio and other Indiana
points Over $4,000 telephones viii be
connected by this line with the PITTS
burg and Allegheny plant.
The United Telephone and Telegraph
Companv. which absorbs these exten-
sive interests. was chartered under the
laws of New Jersey. 1t has a capital
ization of OO0 Of common stock
and s.. 400. coo of per cent cumulative
preferred stock The financial plans
nroyide for the issuance at once OF
So 500 OO0 of the common stock and
50 600 of the preferred.
An underwriting syndicate has been
practically completed to take the
50 900. coo preferred stock at IS per cent.
This will give the big company Sl1OO'ooO
in cash. and this money will be used Tor
the numerous extensions to be MADE.
There are So, 400, 900 of outstanding un-
derlying ) per cent bonds on the prop
critics to be acquired.
or this amount 81, 100000 Of first mort
gage bonds were issued by the Mary
land Telephone and Telegraph Com
pany. and 81, 400. 900 first mortgage bonds
bv the Pittsburg and Allegheny Tele-
phone Company. The authorized bond
issue of the Pittsburg Company is
81 500 O0O. and 500. coo of the bonds are
held in the treasury.
The directors Of the United Telegraph
and Telephone are Alexander Brown,
Henry A. Parr, Thomas J. Hayward, ;.
Davis Warfield. and James Bond, of
Baltimore. and John Hedden (Sd), of
New Jersey. In pursuance of his plan
10 withdraw from active connection
with all corporations before going
abroad Mr.. Brown will retire from the
board and will be succeeded by George
r. Webb It IS also understood that
Mr.. Webb will become president of the
big company.
Additional directors will be placed on
the board to represent the Pittsburg in
terests. and among them VIII likely be
James D Gallery, NJ. K. Mcmillan, and
]. H. Reed. The latter is president Of
the Philadelphia company, which owns
extensive street railways, gas, and
electric light properties in and around
I,s4fsbr,ro