The semi-weekly messenger. [volume] (Wilmington, N.C.) 1897-1908, 1902-12-19

Atlantic Coast Line Bid Against Sea-
board Air Line and Saved $1,000
600 a Year.

Facts were obtained yesterday which
Explained the question often asked re-
in Wall street. Why did the
Atlantic Coast Line take over the con-
troll OF the Louisville and Nashville at
"a cost per share approximating len.
while the market price has steadily
declined? Yesterday 1t reached u, 3-4
When the control of Louisville and
Nashville was placed on the market the
Atlantic Coast Line was offered the
dilemma Of either buying the contrtl
or losing from its net earnings IN the
neighborhood or 81. 00O. 900 a year.
Before the Atlantic Coast Line had
taken n definite action regarding the
Louisville and Nashville the ~Seaboard
Air Line, 4 rival to the Atlantic Coast
Line. had made a bid for the property.
Relations then existing between the
Louisville and Nashville and the At
lantic Goa Line were worth about
81, 000, 900 to the latter company.
in view of this n having absolute
confidence in the inherent worth of
1.-THE Louisville and Nashville system,
directors of the atlantic Coast Ii AZ
decided to take over the control Of the
Louisville n Nashville. ven though
they were forced to pay a high. price
for il.
We were not merely buying the
Istock as SUCH" said an official Of the
Atlantic Coast Line yesterday; I'VE
were buying the control Of the system.
That is, we consider the majority stock
per share worth much more than the
minority stock per share. The Louis
vile and Nashville system has ster-
~ 1911 a 81 ,rN 1000 f,.H IN
the industrial and agricultural develop
ment OF the south. which will, of course.
make the railroads of the south con-
%ttnualiy more prosperous.
There is n great puzzle tha: must
be solved. 1t is the question of labor.
THE negro must be forced before he
will do efficient work. Efforts have
often been made to introduce white la
Dor. but in the lowlands have hitherto
met with no great success. l have no.
ticed that the tendency of the negro
is to remain IL he l~owlands, while the
white laborer seeks the higher coun-
prospect OF great industrial develop
ment in the highlands Of the south.
This country is reached by the Louis
willie and Nashville system.
THE Louisville and Nashville Will
not he absorbed and assimilated by the
Atlantic Coast Line. but will be con-
Quoted Upon its own merits and nde-
p~endently, with the control-and conse-
Iquertly the direction Of the roads policy
-resting with the Atlantic Coast Line.
It will not be operated for the Atlantic
Coast Line alone. but will take all the
business it can get, as it has done il
the past. Our position in regard to the
louisville and Nashville is merely that
iOf the majority
For the present, at any rate. the
dividend rate of five per cent will not
be increased. Dur policy-like tina OF
the Pennsylvania Railroads. to put a
large proportion Of the earnings back
into the road as improvements. This
policy will also be applied to the Louis
vile and Nashville. Should the earn
Iings of the Louisville and Nashville in,
~crease sufficiently to justify such q
step and still preserve this conservative
policy, the dividend rate in the future
may be increased."-New York Herald
nth