The Salt Lake herald. [volume] (Salt Lake City [Utah]) 1870-1909, 1903-08-13
ROCK ISLAND is
GIVEN A VOICE
Secures Representation in the
Seaboard Air Line.
FRISCO ALSO IN The DEAL
ONE OBJECT rs. TO PUT A STOP
TO RATE-CUTTING.

New York. Aug. 12.-Tha long-ex-
pected announcement that the Seaboard
Air line had passed practically into
new hands was made today by Laden
burg, Thalman & Co.. who issued a
statement showing that interests rep
resenting the Rock Island and St. Louis
& San Francisco had secured repre-
sentatiOn in the Seaboard directorate
and board Of voting trustees. The Off
cial statement was as follows:
'Ladenburg. Thalman & Co. an
nounC- that they have completed ne
gotiat.Ons whereby new and important
interests have become identified with
the Seaboard Air Line Railroad COM
pany. B. +. YOakum and H. Clay
Pierce of Ladenburg, Thalman & Co.
and Oakley Thorne, president of the
North American Trust company, have
been elected voting trustees of the Sea-
board Air line. John s. Williams also
announces that B. +. YOakum, H. Clay
Pierce. Oakley Thorne and S. B. Van
Worst have been elected directors of
the Seaboard Air line"
Mr. Yoakum IS president Of the st.
Louis q San Francisco road, for which
company j. P. Morgan & Co. are fiscal
agents.
Denies Passing of Control.
The official announcement also said:
The change of personnel of voting
trustees of the stock of the SeabOacd
Air Line company does not mean the
purchase of the company by Rock ISL
and or Frisco interests, although the
Frisco lines extend into Birmingham
and are a part of the southern situa-
cfv
fact that all the great railway systems
are carrying out the policy of more
closely. cementing the railway interests
of the country. which will greatly re-
tard and, il is HOPED. entirely prevent
decentralization of the rate situation or
the unnecessary construction and dupli-
cation of property"
One of the voting trustees. when
asked to state he real significance Of
the deal. said il meant a better under
standing among interests that have at
different times conhicted."
The policy of the Seaboard Air line
for a long time was one of absolute
independence, so much so as to make
it at times inimicaI to the interests Of
opposing roads traversing adjacent
territory. TOday's developments. it is
thought. viii do away with such trou-
tween so-called Morgan interests"
represented by the Southern railway,
and the Seaboard Air line people during
the last few years has been a sharp
one. In contrast with the Old-time rate
cutting which the SeabOard INDUCED
in, it has been significant that in re-
cent years it has had sort of silent
understanding to maintain rates. so
that all of the railroads in southern
territory would be able to get as much
profit out of their traffic.
Air Line Operates 2,61I Miles.
The Seaboard Air Line Railway
company, operating 2.611 miles of road
was formed under the laws of Virginia
in 1900 to succeed the old Richmond,
Petersburg & Carolina railroad. The
system now extends from Richmond
extending west to Montgomery and
Birmingham, and east to Charleston,
Wilmington and Norfolk.
BY a traffic agreement with the
Pennsylvania a through passenger and
freight service is maintained to and
from Washington and New York
The Seaboard Air line also owns the
Bay Line Steamship company, operat-
ing from Baltimore to Norfolk.
An important point in the agreement
between the Seaboard Air line and the
St Louis & San Francisco interests is
that it gives the latter road an outlet
to tidewater at several points. These
include Norfolk, Wilmington, Savan-
nah. Charleston. Brunswick. Jackson
vile and st. Augustine. Farther down
the coast the Frisco road will have
an outlet at Cedar Key.