The Barre daily times. (Barre, Vt.) 1897-1959, 1903-08-14
GREAT RAIL
ROAD TRUST
Meaning Of Acquisition Of Seaboard
by Rock Island Interests.
WHOLE CONTINENT COVERED
New system Has 17,207 Miles OF
Tracks With Outlets ON Both
Coasts ana May buy In Mex
lean Central.

New York, Aug. 14-1he big decline
IN prices Of railroad stocks it was
prophesied some weeks ago would re-
suit in a radical change Of ownership
Of some Of the roads
The first example Of this is the &C
qnirement by interests identified with
the st. Louis and San Francisco Rail-
road company Of the control Of the Sea-
board Air line, official announcement
Of which has just been made.
The st. Louis and San Francisco rail-
road IS owned by the Rock Island COM
pany, so that the mileage Of the latter
road IS now increased to 1927 miles,
the biggest railroad system in the
world,
The latest illustration of the com
mnnity Of interest In the operation OF
competing railroads or connecting rail-
roads, or railroads that should natural-
IL be connected and operated in har-
mony for their own benefit as well as
for the benefit Of the company, was
brought about by B. +. Yoakum- presi-
dent Of the st. Louis and San Francis
co, in about twenty-four hours, it is
said, as a result Of a conference be-
tween himself and the other parties in
terested
Result of Recent slump.
Tie securing Of the control Of the
necessary stock was made possible by
the straits which certain firms recently
found themselves ia as the result Of
the slump In prices. After the confer
ence it was decided that the control OF
tie Seaboard should pass to a syndl-
cate represented by Mr. Yoakum, Mr..
Pierce. Ladenburg, Thalmann q Go.
and the North American Trust COM
pany. Some stock, including that held
by sharp & Bryan, who made an as
signment last week had been already
acquired by Ladenburg, Thalmann &
Co. To this was added extensive hold
fngs of southern interests represented
at the conference. The price agreed
upon for the voting trust certificates,
representing the preferred and common
stock Of the Seaboard, is understood to
have been about $40 for the common
and $40 for the preferred.
The interests which now control the
seaboard Air line are therefore the st.
Louis and San Francisco railroad,
owned hy the Rock Island; the Mex
lean Central railroad and Ladenburg,
ThaImaun & Co., bankers, who repre-
sent the former controlling interest ia
the seaboard and are also the fiscal
agents Of the Mexican Central
The new voting trust OF the Sea-
board Air line now consists Of John S.
Williams. 3. S. Guinness, G. s. Shep-
erd b. f. Yoakum, II. Clay Pierce,
oakleigh Thorne. William A. Marburg
and James Fl. Doeley The trust will
not expire until 1910.
All the preferred stock and all except
fifty shares of the common stock are
deposited with this voting trust 1t is
said that this management of the Sea-
board will not be changed
Sot q Purchase BY Rock Island.
In referring to the change IN control,
the official statement says that the
change Of the personnel Of the voting
trustees Of the stock Of the Seaboard
Air line does not mean the purchase of
that property by the Rock Island or
Frisco interest although the Frisco's
lines extend into Birmingham and they
are a part Of the southern situation"
The growth Of the Rock Island sys-
TEN has been the wonder of the rail-
road world BY successive leaps over
apparently bottomless chasms Mime,
| apolis and ST Paul on the north have
been joined by one great system with
New Orleans and Galveston on the
gulf of Mexico, Denver and I'll Paso,
Kansas City and ST. Louis, Memphis
and Birmingham have been included,
and will now be connected in one sys.
/ tenn with all the Atlantic ports In the
south and with Washington, Philadel-
phia md New York, for the Seaboard
Air line owns d one-sixth interest in
the Old Dominion Steamship company
d one-sixth interest in the Richmond
Fredericksburg and Potomac and has
an arrangement with the Pennsylvania
for freight and passenger traffic which
admits il to Philadelphia and New
York The Seaboard win connect with
the Frisco at Birmingham. Ala.
A close alliance also exists between
the Rock Island and the Mexican Cen
trail and one Of the bankers who nego.
tiated the Seaboard deal and is also
| interested in Mexican Central financ
ing said that it would cause no sur.