New-York tribune., 1902-04-12
NO CORNER IN L. & n. STOCK
ASSIRANCES FROM PRESIDENT KEEP
PLER-AGAIN THE MARKET
FEATI RE.
FEATURE

Louisville and Nashville was yesterday oi''V
mere the feature of the stock market out tie
fear that corner being arranged was ols-
sir ated and the belief gained ground that the
heavy buying more than merely hiahipu'a
tive and might signify contest for controi OIL
this important property. The dealings III Aoui'
vile yesterday were heavy, aggregatihs aoou'
1000 shares although far less than Oh lhuiS
day and the stock made a further advance III
price The opening sales were 1000 ana o'o'"
shares. both IFS. Thursdays last price ih
the stock sold down to 1l614, the low ieNel "
the day. from which it advanced to l2-'2 Inc
close was at 119ls. net gain for the day OF i7s
points.
Rudolph Keppler. president of the Stoch tN
change yesterday authorized the statement 'iial
he had been assured that there no intention
to corner Louisville and Nashville STOCK anu
that the stock would be available to borrowers
Asked from whom ne had received this assur-
ance Mr. Keppler declined to make any state
ment regarding its source. 1t is understood
however that it came from the operators VINO
are the most directly interested in the LOUIS
willie and Nashville situation at the present ume'
and tho oninion was hazarded in some Wall
Street quarters that it was quite possible iia'
John w Gates himself had given the assurance
TO President Keppler. Persons who were III d
nosition to know best how matters stood. said
in any accidental manner. but that 1t had been
q direct personal assurance to him, which ne
had received as the result of inquiries which he
had himself Instituted. the executive head
of the Stock Exchange in order to ascertain
exactly how matters stood 1t was also learned
that the fact that the SJ,Ho.poo OF new stoch
is not quite ready for issue has no important
bearing upon the existing situation. althoush
great deal of Importance has been attached IN
the newspapers TO this circumstance PRESIDENT
Keppler has been assured that no advantage
will be taken of the circumstance that the ne"
stock has not yet been issued. and admitted to
dealings on the Stock Exchange.
Jobn w Gates could not be seen yesterday
afternoon and it was said that he had not come
downtown. His son, Charles O. Gates dehled
that any personal assurances concerning LOUIS
Vile and Nashville stock had been given by Mr.
Gates to President keppler.
A story of the origin OF the present market
movement of Louisville ami Nashville which
is credited in high financial quarters is that some
of the directors of the road went heavily short
of the stock and also sold the N'ooo~" OF
treasury stock-techncally going short of that
also as il is not yet a good delivery-in the
expectation that this move would force down the
market price 10 a level at whicn they could adj
vantageousy cover but that Mr. Gates ana HIS
associates having Learned OF their operation
promptly acted upon his discovery to puy all
the stock thus sold by the insiders. Inc p"sSl-
bility of a corner obvlated according u
this story. by arrangement Of some E"'
having been reached between these directors ana
Mr. Gates: the basis Of this settlement being, ac-
cordng to rumor, that Mr.. Gates has allowed
the short interest ample time within which TO
deliver the stock instead o: acting upon hls
right Of immediate delivery. The outcome OF the
transaction Wall Street IS agreed. is that MI
Gates controls a very large line OF LouisVile
and Nashville stock, which it is not unlikely lie
may sell to some railroad company.
II was announced on Monday by the LOUIS
Vile and Nashville directors that the colhpa"s
had acquired a majority interest in the A''ah'"'
Knoxville and Northern Railroad. when "He4
coronIeted will run from Knoxville TO Jelhco.
Tbe statement was made at that time thar TINS
purchase put the Louisville road INTO com
petition with the Southern Railway petMeTtn
Cincinnati. Knoxville and Atlanta. Inc oou''a
ern 10 nropertv with which J. F. Morgan X
Co are connected. and yesterday IL was te
ported that Southern Railway interests th, 49,
a controlling interest in Louisville, ana th'sh'
purchase the Gates holdings. These reports
however. were denied by Samuel Spencer, presi-
dent of the Southern. who said he knew nothihg
Of such intention the part of his fEad-
Late in the day J. S. Bache q Co announced
that they sent the following cable uIspa'ch 10
the RothschiIds in London:
we hear control Of Louisville secured ny
Morgan who bought your holdings at 10. Can
You confirm or deny ~ .,,..
The reply Of the Rothschilds was as follows:
1--WE have received your cablegraIn We
know absolutely nothing about reported neso-
tiations between Morgan and LouisFlhe coih-
pany" .
Despite the official denial of the present inten-
ton of the southern Railway interests TO take
over the Louisville and Nashville. however, the
Street persistently believes that in time such a
purchase will be effected. 1t was again ruInored
yesterday, too. that the Pennsylvania Railroad
i-omnaDv might turn out to be the purchaser.
August Belmont. chairman of the board of
the Louisville and Nashville was asked yester-
day afternoon
Have the directors of Louisville and Nash
vile made a settlement of their shorts
i have nothing to say answered Mr. Bel