The daily morning journal and courier. [volume] (New Haven, Conn.) 1894-1907, 1905-03-11
ABSORPTION OF THE
HARTFORD TROLLEY co.
ANNOUNCEMENT OF ITS PUR-
CHASE By CONSOLIDATED.


Asked S3O0-Importance of the Ae-i
quisition-Third Rail VIII Soon be
NEUTRALITY-SUSPICIOUS. for Financing the
Purchase Not Definitely Determined
Upon hut Will Probably be the Same
as Those in Case of the Fair Haven
and WestyiIIe Road.
Hartford. March 10.-The offer OF the
New York, New Haven and Hartford
Railroad company to purchase the
Hartford Street Railway company has
been accepted, the compromise fgure
being $2S5 cash per share for this stock
and 2S5 per cent. for the East Hartford
and Glastonbury Horse Railway COM
panyss debentures. The offer is MADE
to all holders of the stock and deben-
lures. The acceptance has been by
majority of both.
Negotiations for the purchase of the
Hartford Street railway systenl--as It
embraces, what were once many iIldivid-
ual lines have been in progress for
some time, and the position of the New
York, New Haven and Hartford rail-
road was that it would purchase when
the price was acceptable. Recently the
discussion of price was brought to a
standstill by the figure Of $500 q share
demanded by the stockholders. The
price named to-day, therefore, is un-
To nn OIl1iS
The Hartford lines, it is understood,
although an official statement may not
be issued for some time, will become a
part of the system of the Consolidated
Street Railway company, the holding
company of the electric properties of
the New York, New Haven & Hart
ford railroad AT the present time ne.
gotiations are in progress for similar
purchase Of the Springfield street rail-
way lines, and of some other lines in
another part of New England already
reached by the New York, New Ha-
ven and Hartford railroad.
The purchase Of the Hartford Street
railway by the New York New Ha,
ven and Hartford railroad company is
with the exception of the purchase al
most exactly year ago Of the Fair.
Haven and Westville system, the most
important step which has been taken
by the steam company in the acquisi-
lion OF Connecticut street railways.
The Hartford street railway system is
somewhat unique. While consolidating
all the street railways centering in the
city, it has not followed the plan Of
other street railways Of the state Of
Initiating stock. AS a consequence, al.
though its stock has for years only
paid six per cent. dividends, it now
commands the price Of $2s5 paid in
cash by the steam company, on a par
value of 500.
Physically and locally the purchase is
also extremely important to the steam
company. It blocks definitely proposed
long distance extensions of rival com
panies towards Boston and to the
southWard. 1t also stands in positive
relations to the rival trolley traffic be-
tween Hartford and New Britain and
Bristol In competition with the steam
company's third rail line. 1t gives
special significance to President Mel
lens recent announcement that the
third rail line would be discontinued.
II that line is discontinued as result
of the new deal the track will he
cleared over the Highland division for
the expected increase OF freight traffic
by way Of the Poughkeepsie bridge.
Attention may be called to the fact
that several months ago President Mel
len stated that the development of the
Poughkeepsie bridge freight traffic
might compel the discontinuance or the
third rail line, which now seems likely
to be realized.
The Hartford Street Railway com
panies had by the last report to the
Connecticut railroad commission ST.
100000 capital stock outstanding and
| $2,760,000 bonds outstanding, and about
$4,000 capitalization per mile in
stock and bonds. As the total
capitalization of Connecticut street
railways Is about $4,000 per mile
the figures Indicate that the capitaiiza-
tion of the Hartford system is far low
er than the average and compares
closely with the Massachusetts, capital
ization which the railroad commission
In that state has forced to very low
point. OF its mortgage debt $2,500, 900
was issued in September of 1900. The
total length Of track operated is nine
ty-two miles, This, added to what the
New York, New Haven and Hartford
railroad company has already acquired
in the state gives to that corporation a
total Of about 700 inIres of street rail-
way mileage, in Connecticut. In the
states of Connecticut and Massachu-
setts combined the steam company
now owns about 572 miles of single
track electric lines, making it much the
largest owner of electric lines among
the steam roads of the country. The
purchase is in pursuance of the declar-
ed policy Of the road of protecting the
system by electric. road carriers both at
its optposts, as in the case of the Berk-
shire in western Massachusetts, and
the West Chester at the New York end;
and also by purchases at the centers of
population.
Unlike many of the Connecticut
roads the Hartford system is owned in
Connecticut where out of it's 81 100000
capital stock 1891, 800 is held and where
out of its III stockholders $50 reside. In
quiry at the New York, New Haven
and Hartford railroad office brings out
the statement that the plans for f1nanc-
ing the purchase have not definitely
heeu determined but that the money