Evening star. [volume] (Washington, D.C.) 1854-1972, 1904-08-22
SALE OF THE SEABoARD.
President Williams Talks of the Terms
With Ryan.

A dispatch from Richmond, Va, last
night says: Mr.. John Shelton Williams ar
rived in Richmond this afternoon from
New York and confirmed the reported sale
of the Williams Middendorf holdings OF
Seaboard Air Line stock. He said: Mr..
s. Davies Warfield. president of the Con-
tinental Trust Company of Baltimore, en-
deavored a few weeks ago to negotiate a
sale of the Seaboard stocks owned by
J. L. Williams & Sons of Richmond and
]. William Middendorf & Co. of Baltimore
to the Ryan-B interest, which for the
past six months or so has represented the
majority on the voting trust, but these
negotiations fell through on account of the
unwillingness of the purchasers to meet
our ideas as to price. and we had practi-
cally abandoned the idea of making a sale
to Messrs Ryan and Blair.
But Mr.. Warfield, with his characteristic
determination. decided that the deal
yesterday morning 1 received telephone
message from Mr.. Warfield, who was in
New York. and at his request 1. left for
New York on the afternoon train and met
Mr.. Ryan. / told Mr.. Ryan that 1t would
be useless for us to discuss the sale OF our
holdings of stock at any figures less than
those we had named to him at the outset
and that II he wanted the property it
would be necessary for him to pay those
prices to secure 1t.
THE figures l named for our stock were
Is for the common and % for the preferred
Mr.. Ryan assured me that neither the At
lantic Coast Line nor the Southern rail-
way would be interested with him in the
purchase, and that the property, If pur-
chased, would be maintained and operated
an Independent system, and he said that
he fully appreciated the Importance both
from the standpoint of the road itself and
Of the people of the south of operating the
Seaboard Air Line independently and clear
of control or of entangling alliances with
all ar r,.nta o cni1 hiv,, of
the stock, about equally divided between
preferred and common, at SIS per share
net for the common and s25 net per share
for the preferred, the stock to be deliv-
cred and paid for at once.
Mr.. Ryan told me that he was buying
the stock of his own responsibility, and
that 1t would not be decided until next
week whether or not his associates, Messrs
Blair and Coolidge would be interested
with him in this purchase
Il advised Nr. Ryan that II the sale
would embrace all of the stock owned by
myself and my firm l would desire to
as the stock should be delivered and paid
for, and that l thought it likely that my
associate, Mr.. Middendorf. would desire to
do the same thing.
LAS the Ryan-Blair syndicate is under
stood to have owned about 6O.0OO shares of
stock prior to this purchase its total
holdings now probably amount to about
100000 shares. or about one-third Of the en-
tire stock Of the company.
'Of the balance of this company's stock
most of 1t is held in Maryland and the
south, and is largely scattered among
comparatively small holders If the COM
pany cap now be assured of a good and
able operating management, in addition to
the strong financial backing which 1t en-
joys, stockholders may confidently look
forward to handsome returns upon their
investments at no distant day"
The sale has been made, said Mr.. VIII
liams mot because of any lack Of conf
dence in the future of the Seaboard prop
erty, but purely for the reason that my
firm has thought it desirable to realize on
this stock in order to expedite the liquida
ton of its affairs and the payment in FULL
principal and interest of all obligations,
which 1 consider this transaction will as
sure"