The Montgomery advertiser., 1902-11-27
THE ELEVATED LEASED
INTER-BoRoUaH WILL BUN THE
MANHATTAN.
Official Announcement Made Yester-
day of the Deal-Latter Roads
Stock Will Be Increased 81
100000 for Improvements.

New York, Nov. 2e.-The official an
nouncement was made today that the
Manhattan Elevated Railway Company
will be leased to the Inter- Borough Com
pany, which is to operate the subway
now being built, to take effect April /,
1903.
The rental from April !. 1908. to January
/, 1906, will be the net earnings OF the
Manhattan company not exceeding Per
cent.
After January /, 1906 the rental will be
Z per cent fiat on Manhattan stock guar
anteed by the Inter- Borough Company.
The Manhattan Railroad Company will
increase it's stock to SIS, 900 for the pur-
pose Of completing improvements. This
is an increase of about 100000. The
Manhattan stockholders will be given the
new stock at par.
August Belmont of the Interborough
Company made the following statement
this afternoon.
THE directors of the Interborough
Rapid Transit Company have this day
after previous long elaboration and in
vestigation, determined for reasons which
appear to them important and controll-
ing as effecting the interests not only OF
the stockholders of the company but OF
the city and of the travelling public, the
lease the Manhattan system of elevated
roads for a period of 500 years on the
terms given out this afternoon.
ut is believed that this plan when per-
fected will work out a prompt and salts
factory system of marlborough transit
both lessons and lessee being thereby en-
gagged In a common effort TO stimulate. In
crease and develop facilities for trans
portation rather than-as would have
been the case II the properties had re-
manned separate-being engaged largely In
the effort to divert traffic the one from
the other.
1T is not intended by this arrangement
that any of the plans for the develop
ment Of the interborough system shall
be interrupted or departed from. In the
meanwhile, however. before these extern
sions can be completed the two systems
will work in harmony. Nor is 1t intended
to dispense with any additions which are
desirable for the Manhattan property
The proposed authorized but unissued in
crease of capital stock Of that company
beyond the $55, 200, 0000 up to SEC, 100000 ar
important part of the plan has been pro-
vided for that end
SIT is impossible in any brief state
ment to give in detail the advantages
which have appealed to those who will
be practically identified with the man.
agement of the united system but these
advantages affect both economy and OPP
Grafton and convenience of public traf-
fc 1t has been considered by the d.
rectors Of the Interborough Company that
they were not alone charged with the
duty of caring for the best interests OF
the stockholders but also that they car
ried the responsibility of the manage
ment and development Of a quasi-munic-
ipaI enterprise and they have come to this
decision with the conviction that they
were acting for the hest interests Of the
city and the travelling public both for
the present and for the future"
Mr.. George ]. Gould, President OF the
Manhattan Company, followed Mr.. Bel
mont's statement with the following:
II have seen the interview with Mr.
Belmont, and, so far as the Manhattan
system Is concerned, we agree with him
that a union of the two properties would
bring about a conspicuously satisfactory
solution of the rapid transit problem OF
the metropolis, wGse at the same time
the advantage of a fixed guarantee by q
corporation of the character of the Inter
borough Rapid Transit Company will be
apprecIated and accepted by the stock.
| holders of this company, large number
of whom have Of course approved of the
proposed plan"