Wheeling register. [volume] (Wheeling, W. Va.) 1878-1935, 1901-05-01
HOW ]. ?. MORGAN SECURED
CONTROL Of LEYLAND LINE.
A CIRCULAR TO SHAREHOLDERS
ISSUED BY THE CHAIRMAN OF
THE COMPANY.
FOURTEEN YEAR CONTRACT
WHEREBY CHAIRMAN ELLERMAN
KEEPS ENTIRELY OUT OF THE
NORTH ATLANTIC TRADE.

LONDON, April 30.-A circular was
issued this morning by Chairman Eller-
man, of the Leyland line, in which the
shareholders are informed that he has
entered into a provisional contract
with ]. Pierpont Morgan for the sale
of his entire holdings of ordinary
shares in the steamship line, namely
II 900 shares at ETA los per share for
each 910 share, and that Mr.. Morgan
agrees to purchase on similar terms all
ordinary shares offered before May 26.
Holders of great majority of the
ordinary shares have, according to the
circular, intimated to Mr.. Ellerman
that they will avail themselves of the
offer of Mr.. Morgan and the effect will
be that purchasers will become owners
of practically all the ordinary shares
of the consolidated corporation at a
cost of upwards of Ell 100000. Mr.. Ed
lerman binds himself not to engage
either directly or indirectly In the North
Atlantic trade, either with the United
Kingdom or the continent, except be-
tween Antwerp and Montreal, for a
term of fourteen years, on condition
that the purchasers sell him the Med
iterranean, Portugal and Montreal
fleets and the business connected there
with at an agreed on price. Mr.. Eller-
man adds that he proposes to retain his
entire holding in preference shares,
amounting to over G180000, and his
co-directors will retain all their pre-
ference holdings, amounting to E120,-
600. Mr. Ellerman also offers to buy
any preference shares at par and their
accrued interest.
the Leylanu line accompanies Mr.. Ell
lerman's circular. 1t explains that the
directors, including Mr.. Ellerman, hold
eSS6, $50 out of 91,200,00e ordinary
share capital, and s314,900 out of
91,415,000 preference capital Several
of the directors also control a large
amount of other shares and all the di-
rectors intend to vote in support of
Mr.. Ellerman's arrangement at all the
meetings called in connection there
with.
The Secretary adds:
ut is anticipated that practically all
the ordinary shareholders will accept
the offer and the effect will be that
the Morgans will hole. G1,200,000 ster-
ling ordinaries at a cost of over 91,750,-
0OO."
A meeting of the shareholders has
been called for May 18th.
The shipping combine absorbs the in
terest of the commercial world here.
Though no definite information is yet
obtainable, it is understood that the
American line has also been in confer
ence with Messrs. Morgan and Baker
with the idea either OF joining or max
ing working arrangement. Liverpool
shipping circles, seemingly in ignorance
of this phase of the affair, predict sharp
competition between the Morgan people
and the American line.
Aside from the new combination there
is general activity among the Atlantic
steamship lines. Two conferences will
he held in the near future. The first
will be held with the view to bring the
White Star and Cunard lines into the
continental pool. The seconu will be a
conference of the purely continental
lines to fix uniform Storage rate. 1t
will be held in Paris this week.
II is said that overtures have been
made to certain Manchester engineering
firms for the purchase of their concern
by an American synolcate.