New-York tribune., 1903-04-25
d., L. s ". GETS FERRY.
Bugs s3,3OO,OOO Outstanding Stock
of Ne7o-York and Hoboken Co.

The Delaware. Lackawanna and Western
Railroad Company, it was announced yesterday
by President Truesdale. has within the last few
days purchased control of the New-York and
Hoboken Ferry Company. which operates line
of ferries from Barclay-st., Christopher-st- and
West Fourteenth-st. to Hoboken. President
Truesdale declined to give any particulars con-
corning the transaction. but it is learned from
other authoritative sources that the Lackawan-
ma intends to build terminals and new
ferry poats, bringing its ferry service up to a
par with that OF the Pennsylvania Railroad. and
purposes also establishing stations in this city.
The New York and Hoboken Ferry Company
has S4,O00OOO capital stock. of which S3,3OO.OOO
is outstanding, on which per cent yearly dlVi-
dends have recently been paid. It is understood
that the Lackawanna has purchased practically
the entire outstanding stock, paying for it nearly
$4,OO0,00O For many years the railroad COM
pany had q contract with the ferry company
for the transportation of the railroads passen-
gers between Hoboken and this city. Ihls
agreement the railroad abrogated, it is said. af-
ter unayailing attempts to get better terms,
and since last December the Lackawanna
passengers carried to New-York have been paid
for at the regular ferry rates.
The railroad company threatened to build It's
own ferries, and when a franchise was sought
for the New-York and Jersey tunnel it was re-
ported that the application was made in the
interest of the Lackawanna, which would bring
it's passengers under the North River TO its own
terminal on Manhattan Island.
The long disagreement between the Lacka-
wanna and the new controlling interests in the
New-York and Hoboken Ferry Company-the
Stevens family having some time ago sold out
their holdingshad the effect of depressing ma
terially the prices of the ferry company's Sc
curities, which are traded in the curb
Last December, however the prices suddenly
advanced, the stock rising sharply from 20 to
9S bid with a few or sales. 1t was learned
that Gustav E. Kissel, large shareholder, was
interested in the movement, and the further
fact developed that syndicate had been formed
TO buy up the stock; but whether the syndicate
was operating in behalf OF the old owners or
of the Lackawanna could not be ascertained
1t was learned yesterday from a stockholder,
however that before the rise in the curb mar
ket in December a private offer had been made
to every stockholder for the purchase at par OF
his entire holding This offer was reflected IN
the sharp upward movement Of the stock in the
market, but, as all of the shareholders had been
included in the offer, there little actual
trading in the shares. The syndicate. having
purchased virtually all Of the stock deposited
it with local trust company, and then opened
negotiations for the sale of it in a block to the
LaCkaWanna.
This explains the rather unusual feature of
the transactfon-the purchase of the stock and
properties outright. railroads usually contenting
themselves with acquiring a majority of the
stock of properties which they find it advisable
to control.
Just what the Lackawanna paid the syndi-
for the ferry could not be learned, but 1t
is understood that the profits of the syndicate
were between 10 and u per cent.