New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1903-08-13
FRISCO GETS SEAB0ARD.
IN CONTROL OF AIR LINE.
BE. Yoakum in Board-Combined
Sastem No7r Has 20 900 Miles.

Rurnor early in the day had it that the Sea-
hoard control had been transferred, but il was
not until the close Of the market that an Off
cial statement was put out. This statement
was as follows
Tadenbure Thalmann &, Co. announce that
,bev have completed negotiations whereby new
and important railroad interests nave become
Identified with the Seaboard Air Line Railway
d = Yoalum H. Clay Pierce and B. F. GUM
,eee ~ Ladenburg. Thalmann & Co, and Oak
iaigh Thorne. president OF. the North American
Trust Company have been elected voting trus-
ices of the Seaboard Air Line Railway. Presi-
dent John Skeiton Williams also announces that
B F Yoakum, II Clay Pierce. oakleigh Thorne
and F. 3. Van Worst have been elected directors
of the Sea board Air Line Railway.
Later in the afternoon the following official
sypplementary statement. explaining the scope
and importance of the Seaboard Air Line trans
action was issued:
The change of the personnel Of the voting
trustees Of the stock Of the SeabOard Air Line
Railway does not mean the purchase Of that
property by the Rock Island or Frisco interests,
although the Frisco's lines extend into Birming
ham and they part of the Southern sltua-
zion. Il does. however, further emphasize the
fact that all the great railway systems are car
ryjng out the policy of more closely cementing
the railway transportation interests of the coun-
try. which viii greatly retard and it is hoped
entirely prevent, decentralization Of the rate
situation or unnecessary construction and
duplication Of property.
Attention is also called 10 the fact Tnat Win
the dscontinuance Of any further construction
by the Seaboard Air Line the value of the
properties in that section are greatly enhanced.
Another gratifying fact at this time, which is
further evidence OF the future disposition of
the railroads. is that this transaction does not
call for any financing or supplying of new
money.
The statement is made on high official
fhority that the management of the Seaboard
Air Line viii remain as at present.
THE RETIRING DIRECTORS.
The retiring directors are E. B. Addison, Of
Richmond: W w MacBaIl, Savannah R. c.
Davidson. Baltimore and F. r. Pemberton,
New-York City. The board Of directors is now
as follows: John Shelton Williams, ]. NJ Barr.
c Sidney Shepherd. Ernst Thalmann, B. S.
Guinness. F B. Van Worst. B. F. Yoakum H.
Clay Pierce. OakIeigh Thorne, George w. Watts.
William A Marburg, John H. Dooley and ].
William Middendorf.
J. W Middendorf, Robert c. Davidson and
s Davies Warfeld all Of Baltimore. retire from
the voting trust, the membership of which is in
creased from seven to eight. as follows: John
skelton Williams. B. s. Guinness. C. Sidney
Shepherd. B. F. Yoakum, H Clay Pierce, Oak
leigh Thorne, William A. Marburg and James II.
Dooley
Although the official statement says that the
change In the voting trust Hdoes not mean the
purchase Of the property by the Rock Island or
Frisco interests there was nc dissent any
where in the financial district yesterday from
the view that the policy Of the seaboard Air
Line system would henceforth be dictated by
the Rock Island.
One Of the voting trustees. when asked to
state the real significance of the deal said that
# meant better understanding among inter
ests that have at various times conficted.'
Reports have been current from time to time
in the last three years that the Seaboard
was TO be purchased by some other road among
those prominently mentioned having been the
louisville and Nashville and the Southern Rail
way AS 10 the latter. however, which prccti-
cally parallels the Seaboard Air Line, it has f1e-
Quently been pointed out that :he statutes Of
some Of the Southern States provide that a rail-
road company must not be interested, even in
directly. in the control of competing line The
policy of the Seaboard Air Line has iony reen
one Of absolute independence, and President
Williams only recently declared publicly that
The road was not for sale at any price That
declaration was made on the witness stard last
March in the course Of the Louisville and Nash
VILE hearing before the Interstate Commerce
Commission. when Mr.. Williams test fed that he
had asked George ". Perkins. Of J. P Nor
gan & Co. if it likely that that 6-s, would
sell the Louisville and Nashville 10 the Sea-
board Air Line at a reasonable pr;ce Mr. Per-
kins replied that it was not likely tJa+ tho,
would part with the control OF the roaI IN ,,,,
interests they could not control: 10 which Mr.
Williams retorted that no one could control +ta
Seaboard line, and then asked for definite
figure on the Louisville and Nashville Mr.
Perkins gave him no figure. Mr. Williams +es-
titled, but instead asked az what price he oo,,,
buy the Seaboard Air Line: whereunor NJ
Williams remarked that that road was no, o..
sale at any price
As J. P Morgan & Co. are the financial sge,.s
Of the St Louis and san Francisco RaiIroa,5
Company, il may fairly be assumed. Wau g.,
believes. that under the control OF that roaa ,to
Seaboard Air Line will be operated IN harmon,
with the Southern Railway the Atlantic Coas,
Line and the Louisville and Nashville. in all of
which the banking house of J. P Morgan & co
has controlling influence.
CAPITAL STOCK OF THE LINE
The capital stock Of the seaboar5 A..
Railway consists of S37. 100000 con,r,o, -
winch S-9ooo00o is outstanding. and. S25 600
V'O preferred, of which $40. 100000 has 49,.
Issued "0 Oeeh
NO details Of the way in which control mo-,
obtained by the new interests could he sao,,-ez
yesterday. but il was currently, rAror.o, -
certain large holders Of the S10Oo0 600 -
eral trust bonds of 1901 found il 10 tbo,r -
est 10 dispose OF their holdings which -.
taken on their hands by the Rock Island ,E1-,soo
party, who with this acquisition obtained -,
resentation IN the voting trust and in the hoard
OF directors. 1t was assumed in Wall Street
that with the bonds there have also bAer -.
ferred enough common and preferred shares -
represent control. although all of the nraferras
stock and all except fifty shares Of the con,,,o,
stock are deposited with the voting trust This
trust rms until Apru