New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1903-09-01
CONFIRMED BY BANKERS.
But WaH Street Does Not Clearly
Understand Securities Deal.
STATEMENT OF KUHN, LOEB & co.

More OF less mystery seems TO surround the
transfer Of the Kuhn. Loeb co. holdings OF
Metropolitan Securities stock to the Ryan-N hitney
syndicate. which reported in last Sunday :
Tribune. The banking firm confirmed the report
yesterday follows:
Kuhn. Loeb & 60. confirm the report that they
have sold their holdings OF Metropolitan Securities
ates their willingness 10 sell having been deter
attention to the details OF the management of the
properties and the practical operation of the roads
than they found practicable 10 give
As was told in The Tribune. this sale was sup
posed 10 be a step in the amalgamation Of all the
traction. gas and electric light interests Of the
city. at least, of Manhattan Borough. II was
reported also that Standard OH interests we're
represented in the Whitney Ryan syndicate (Which
controls the Metropolitan Railway. but yes
terday this denied in the financial district All
concerned. however. were exceedingly retcent and
none would he quoted. Mortimer II Schin, Of
Kuhn. Loeb & Co. gave out the quoted statement.
but declined absolutely to say anything more.
The reason given for the bankers selling-that
their holdings required more and closer attention
n the details Of the management Of the prop
critics and the practical operation Of the roads than
they found practicable 20 give"-was variously
commented and puzzled the Street Ii seemed
10 surprise many folk 10 learn that Kuhn. Loeb
& CO. had given closer attention 10 the details Of
the management and the practical operation of the
roads than they could spare and others were IN
clined to doubt that actual purchase had been
made. as il became known that the s. oooooo under
writing syndicate. formed by Kuhn Loeb & Co.
had been dissolved for several months men,
Der of the syndicate was quoted as SAYING that all
the securities Of the syndicate were sold out and
checks received for the profits months ago. and
that there syndicate stock in existence
Hence. It was asked. how Kuhn. Loeb & Co. owned
any stock at this time 10 sell. unless they had
bought it individually or held it as security for
loan. It viii be noticed that the formal state
ment makes no mention Of date the trans
fer took place. Although the first report Of the
deal mentioned that il had gone through on Friday
last. It was said yesterday that IT was consum-
assertions were r7ads t1st Iha e,I rs ~, II,
transfer OF block of stock held cola teral by
ned with Standard oil inteTests 10 Dc
Wall Street naturally filled with gossip about
the deal. but facts We're few and far between.
vanCed sharply on the news METROPOLITAN Street
Railway rising per cent and the Securities stock
Neither Mr. Ryan nor Mr.. Whitney was down
s,S Ia ana none OF me directors 81 me
word on the subject. August Belmont. president
viii run the subway and leases the elevated road
laughed at the idea OF the sale presagins a com
terests of the city. He refused to be quoted. be
yond saying the idea ridiculous.
dispatch from Philadelphia quoted Close
as being associated with William G Whitney and
Thomas F Ryan in The purchase. as saving that
not only Mr. Widener not interested in the
Metropolitan Securities holdings.
Despite denials. the statement was reiterated yes
terday that Standard OF interests working
in harmony with the big traction interests. and
that the ultimate object the combination Of
all the traction companies in the city
The entire capital stock Of the Metropolitan Sc
curities Company $50 00D0n-waS underWritten at
par by Kuhn. Loeb d Co The Securities company
took over all the securities Of the Interurban Street
Railway Company which in turn leased the Metro
Interurban company amounted 10 S0On0o0. and
Interurban Company amounted to 800 0O09o. and
the agreement was that the Securities company pay
100000 in cash into the treasury Of the Interurban
company for which il received the stock OF the
latter company at pa and per cent debentures.
When the Metropolitan Street Railway Company
leased the Interurban company paid SO Ol09
into the treasury Of the former company. Stock
holders Of the Metropolitan Street Railway Com
pany subscribed par for S23 40 900 Of Metropolitan
Securities stock. leaving $4,000 for the under
writing syndicate TO take up. This appears to be
the amount that figures in the Kuhn. Loeb transfer
yet until some makes official statement the
exact amount will not be known