New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1905-09-21
ERIE GETS c., H. & D.
MILEAGE Is DOUBLED.
One of the Biggest Railroad Deals
of Recent Times.

The Cincinnati, Hamilton and Dayton System
ts henceforth to be part of the Erie Railroad,
the mileage of which will. by this acquisition.
be more than doubled. Late yesterday after
neon the following announcement was made by
President Underwood of the Erie:
At q meeting of the board of directors of the
Erie Railroad Company held to-day. the pur-
chase of q ma iority OF the stock of the Gin
cinnati. Hamilton and Dayton Railway COM
pary was authorized. The method OF financing
the purchase was agreed upon and VIII De mace
public later.
Only few days ago it was announced that j.
P. Morgan & Co had purchased from the H. B.
Rollins & Co. syndicate their subscription rights
for 5000 of the $4,000 shares of Cincinnati,
Hamilton and Dayton stock dhe total number
OF shares being 10000, owned by the Original
syndicate and now held in a voting trust the
purchase price being 100. 1t was said at the
time that the voting trustees would not sur
render the stock unless the entire 69'eo shares
could be disposed of in a single block. and II
was understood that the Morgan firm would
make an arrangement with the trustees cover
ing this point
Since It became known that J. P. Morgan &
Co. had purchased majority of the stock there
has been much speculation as to the destination
OF the Cincinnati, Hamilton and Dayton con-
troll the Erie. a Morgan road having been re-
sarded by many the probable ultimate pur-
CHASER,
control would be divided between the New-York
Central and the Pennsylvania.
The Cincinnati. Hamilton and Dayton system
comprises the Cincinnati. Hamilton and Dayton
Railway, Pere Marquette Railroad and Chicago.
Cincinnati and Louisville Railway. the total
length Of its lines being 1875 miles
The Pere Marquette. which operates an ex-
tensfve system Of lines in Northern Michigan
and the main line of which extends from a point
near St Thomas. Ont, to point near Chicago
In 1903 made contracts with the Michigan Cen
trail whereby it obtained trackage rights into
Chicago on the west and into Buffalo on the
east giving it a continuous line between the two
cities. which viii supplement the present Erie
line between those points.
The Chicago. Cincinnati and Louisville will
give the Erie a short route between Chicago
snd Cincinnati
The Cincinnati, Hamilton and Dayton, extend
ing from Cincinnati through Indianapolis to
Springfield. Ill, and north to Toledo. with
branch to Fort Wayne. will give the Erie its
long desired entrance into Cincinnati. The Gin
cinnati. Hamilton and Dayton and thu Southern
Railway Company Jointly control the Cincin-
natl Ney-Orlcan5 and Texas Pacific Railway, |
which operates the Cincinnati Southern extend /
ing from Cincinnati TO Chattanooga The Erie |
has mileage of 5000, and with the Chicago |
Hamilton and Dayton its total length Of track |
will be 6, 765 miles
The Cincinnati, Hamilton and Dayton last
year acquired S12,S54.0oo of the SI6oOotoO
Common stock Of the Pere Marquette, and later |
took over the property on 800 year lease. |
Subsequently the two companies purchased the |
entire capital stock of the Chicago, Cincinnati |
and Louisville. giving in payment S35OGOo0 of
Joint collateral trust bonds. The capital stock |
of the Cincinnati, Hamilton and Dayton con-
sists of 10000 shares CSSOO0000 par value) all
of one class, practically all of the preferred
stock having been purchased by the company
in 1904 Its bonded Indebtedness amounts TO
SIS 100000 not including the S5oOO0o0o az
per cent bonds authorized last January. OF
which S25.O00.000 are reserved to retire exist
ing bonds: and IT has outstanding $1o,OOoO0O |
gold notes. ,o-oooo .
The Erie has outstanding S112,378900 common
stock. 81. S92.400 per cent first preferred and
SIG 100000 I per cent second preferred Its to- i
tal bonded Indebtedness. including old bonds. |
bonds on properties controlled by ownership Of
entire or majority of capital stock or by lease,
end new bonds of the present Erie Railroad
Company is more than S200.000O00 The Erie
has under way and in contemplation extensive
and costly betterments. including the construc-
ton Of cut-offs TO avoid heavy grades and the
laying of additional tracks on large part OF the