New-York tribune., 1901-07-18

And I would suggest that the attention OF the
neard be called 10 the advisabiity OF arranging
srectors Of the company as soon as possible with
ont awaiting the annual election - i,
1S,tain Is within itself the elements best adapted
-oosmoTandum -o in connection with William K. Van
SerbiIt named therein as referee
Every important interest viii have Its representa-
rive who viii be brought into close touch with the
situation as whole and there should oe no am;
Guilty reaching a conclusion tlat VIII De tALr IIlo
set 70 al concerned and tend the establishment
@ eaFmOby aha bs saG 70 oooperate in such
manner as viii seem desirable
The memorandum of May 81 referred TO by
Mr.. Morgan. contained the following:
An understanding has been reached between
SIt ASTte he composition Of the Northern Pacific
hoard will be left the hands Of J. Pierpont Nor
o g now 70 be made public which will especially be
recognized representative OF the common IN
terests-
BOOM FOLLOWS LETTER
The letter Of AIr. Morgan was not made public
untu shortly before 8 p. n. but there was
hint early in the afternoon that his formal state
ruent was ready. and that was sufficient TO ere
.tA e boom IN railroad stocks Several Western
railroad stocks went up d 1e-F points on the in
formation that M Morgan had named the new
members Of the Northern Pacific directorate AS
soon ss copies Of Mr. Aorgan's letter were OBJ
tsinabIe 1t was read and discussed with interest
nv many Wall Street men. Mr.. Hill. as one OF
the new Northern Pacific directors. many
brokers said would represent his own ana the
Morgan interests. Mr.. Hartman would repre-
sent his Own and the Kuhn. Loeb & Co. inter
ests Nr Rockefeller would represent the Stand
ard OIL interests without being antagonistlc to
the Morgan or Hartman interests Mr..
Tworlbly, representing the Vanderbilt interests
and NJ Rea, representing the Pennsylvania
~ v,a1r4rn md
10 have been agreed upon both by the Morgan
and Hartman interests
After his letter appeared, Mr.. Morgan would
not discuss Il Members Of Kuhn, Loeb & Co.
said the letter covered the situation fully, and
they had nothing 10 add to it. The names Of the
five directors Of the Northern Pacific Railway
Company who are 70 retire were not made
known yesterday. In the list Of the present di-
rectors are Edward D. Adams George T. Baker,
Dumont Clarke. Robert Bacon. Robert N. Gala
way. Brayton Ives, D. Willis James. John Mel
len Walter G. OaEman, Charles Steele, Samuel
Spencer, James Stillman and Eben E Thomas
LAMONT MAY BE PRESIDENT.
One Of the reports that followed the appear
ance Of Mr. Morgan's letter was that President
Mellen probably would resign, and that Vice
President Daniel Lamont probably would sue
ceed 70 the presidency OF the Northern Pacific
Hartman interest said he did not believe that
Mr. Mellen had sent in his resignation, and It,
was highly improbable that any change in ~
presidency OF the road would occur before Ie
next regular meeting OF the board, which IS IlI
several weeks off. He said he did not think Mr.
Lamont would be promoted TO the presidency Of
the road
The letter Of Mr. Morgan was emphasized by
& small sale OF Northern Pacific stock at the
Stock Exchange. the first that had been recorded
since June ; Two hundred shares Of the COM
mon stock were sold at us. which thirty
one points lower than the stock brought June
g. and 100 shares Of the preferred stock
Northern Pacific stock on the tape was followed
Immediately by q bound in the prices for West
ern railroad stocks The boom spread TO other
Stocks, and steel stocks went up two points, al
though there was information Of early set
uement OF the steel strike
THE FAMOUS N P. CORNER
The corner n Northern Pacific sent that stock
I'D as high as $1,000 May 9, and caused a
panic in the stock market. The panic would
have been more disastrous than il was II there
had not been q postponement OF the delivery OF
stocks for twenty-four hours The corner that
produced the paEic was understood early 70 be
tne result or night between the t1lli ana MOT
gan interests on one side, and the Hartman and
Kuhn Loeb & Co.'S interests on the other side,
for control OF the Northern Pacific directorate.
Il was known May that there had been
secret buying Of Northern Pacific stock by both
sides and Northern Pacific common had risen
70 lsU and had fallen again TO l40. 1t became
apparent on May that the two factions had
bought Up about all the Northern Pacific stock
tnat was n the market, and the wild bidding Of
men who had sold the stock short and who want
eo to protect themselves by purchasing the stock
ran the price OF Northern Pacific up to $1,000
opont an hour before noon Large blocks OF
other stocks We're sold a loss by excited
brokers' and there were heavy declines in prices,
&.though the announcement Of the postponement
OF deliveries had some effect 10 check the panic.
and Northern Pacific dropped TO 325 Some Of
ne banks raised fund Of $4,000 600 TO be lent
at market rates.
MERCY FOR THE SHORTS.
Further trouble was prevented when Kuhn.
Loeb & Co. announced that Northern Pacific
Shorts who could not deliver the stock could get
Il from the firm al 80. The last sale OF North
ern Pacific stock in the open market in June was
az 80
AFTER the panic was over Wall Street men were
AZ a loss to know who had the Northern
rachc fight. Mr.. Morgan was in Europe. but
representatives Of the Morgan interests were
sac 10 believe that the Hill-Morgan faction had
11lGol Kuhn, Loeb & Co. and Mr.. Hartman
appeared 10 believe they had control. Before
NJ Morgan returned to this city there was a
heni-oficial announcement OF a compromise and
81 agreement for a community OF interest"
control
]nsre have been reports recently OF harno-
ous agreement and OF a threatened renewal Of
-sht and both reports have had some effect