The Washington times., 1902-07-17
Two RAILWAY
LINES MERGED
Directors Vote to Consoli-
date Roads.
TO SIMPLIFY ACCOUNTS
Both Roads Controlled by the Pennsyl-
vania-New Line to Be Known as the
Philadelphia, Baltimore and Wash
ington Company.

The merger Q: the Baltimore and Pc
tomac Railroad Company with the Phila-
delphia, Wilmington and Baltimore
Railroad Company into Il lew company
to be known as the Philadelphia. Balti-
more and Washington Railroad. has been
approved by the directors Of the first
named corporation. As it is not expect
ed that much opposition viii develop
among the stockholders the consolida-
tion OF the two lines will probably soon
be an accomplished fact.
The merger was considered and ap-
proved by the directors Of the Baltimore
md Potomac Railroad Company at a
meeting held yesterday in Philadelphia
and will be referred to the stockholders
Of both companies for their approval at
meetings to be held some time in Au-
gust. As the stock of both companies is
nearly all held by the Pennsylvania
Railroad. the approval Of the merger is
a foregone conclusion.
Capital of New Company.
The new company will be capitalized
at an amount equal to the combined cap
itaI of the two companies, and the pres
ent securities Will be exchanged for
stock OF the new company on the basis
of the market value of the stocks of the
present companies.
AT another meeting held yesterday in
PHILADELPHIA. the board of directors OF
the Philadelphia. Wilmington and Balti-
more Railroad Company approved the
plan for the consolidation with the Bal
timore and Potomac E6iLcad yesterday.
The action OF the boara IS also to be
submitted to the stockholders for their
approval some tirae Earring the last week
of August.
Pennsylvania in Control
The stock of the Philadelphia. Will
mington and Baltimore Railroad and the
Baltimore and Potomac Railroad Com
panies is practically owned by the Penn
sylvania Railroad Company. and the
resolution to secure the consent of the
stockholders is in compliance with the
law as there can be no objection to the
consolidation.
For some time past the plan for the
OF these two roads has
been before the different boards, but
owing 10 some legal technicalities no
action could be taken until they were
satisfied. The stockholders at their
meeting in August will vote on the
not only TO consolidate these
two companies. but to merge them into
a new company to be called the Phila-
delphia, Baltimore and Washington Rail-
road. The capitalization of the new
is to be the same as that of the
Wilmington and Baltimore
and Baltimore and Potomac Railroad
combined.
No Opposition Expected.
ihere will be very little trouble in
this change as outside of few
stockholders all the stock OF both com
panies interested is held by the Pennsyl-
vania Railroad Company. and as it is
a scheme of the latter company to CON
these two companies the plan
will be carried through as speedily as
IS consistent with the laws of the State
interested
This deal only takes in the PhiladeI-
phia. Wilmington and Baltimore and the
Baltimore and Potomac Railroads, coy
ering distance of nearly 40 miles. the
greater portion OF which belongs to the
.oTmer company. All the details per-
.alning to the change have been pre-
pared and as soon as the stockholders
lake action the plan will be carried into
ELECT This change was made principal
" with the idea OF consolidating the
various departments OF the companies
and doing away with the numbers of
iarious accounts that have to be kept.
Under the new arrangements only one
system OF accounts will be required, and
II the same time the division OF rates
which has been in force for many years
Will also be cUrtailed.