Evening star. [volume] (Washington, D.C.) 1854-1972, 1906-02-05
THE ALLEGED MERGER
Relations Of the Penna. to
Other Railway Companies.
REPORT TO THE PRESIDENT
Statement of Interstate Commerce
Commission.
FACTS MADE KNOWN TO HOUSE
No Opinion Expressed as to Whether
a Violation Of the Antitrust
Law Has Been Committed.
REPORT TO THE PRESIDENT
FACTS MADE KNOWN TO HOUSE

Law Has Been Committed.
| President Roosevelt today transmitted to
| the House report submitted to him by the
| interstate commerce Commission in response
| to a resolution regarding the alleged COM
| bination Of the Pennsylvania Railroad Com
pany and certain other roads named there
in. in violation of the antitrust law.
The commission. In transmitting it's re-
port to the President, prefaces it with the
statement that it is in possession of no
facts other than those submitted annually
| by the railways in compliance with the law
and some which have developed at the
hearings OF the commission. The gist of
the information seems to be that most of
| the officers and the directors OF the
Pennsylvania road and of the Pennsylvania
Company overlap into the directories of
the subsidiary roads, and in some cases
are officers of these roads.
The ownership of stock in the various
lines by the Pennsylvania Is set forth as
follows:
The Pennsylvania Railroad Company
The Pennsylvania Railroad Company has
| an authorized capital stock of 100000, 900,
of which 1902, 513, 800 has been issued and
l
| to control. and is understood to control.
| all the lines embraced in the Pennsylvania
system, SO called. having an aggregate
| mileage of 10, Sc miles and gross earn
! ings for the year named of 1898 .lI2,o2
The term Pennsylvania system here
used includes the lines of Pennsylvania
Railroad Company the Pennsylvania Com
pany. the Philadelphia. Baltimore and
| Washington Railroad Company and the
| Northern Central Railway Company. but
| does ipclaHe R3ltirnOre and Ohfo
| Railroad Company. the Norfolk and West
ern Railway Company or the Chesapeake
| and Ohio Railway Company.
The Pennsylvania Company, which con-
| trolls all the lines of the PENNSYLVANIA sys-
| tenn west of Pittsburg and Erie. has an
| authorized capital stock of $4,000. 600, of
| which Sa0,0G0.o00 has been issued. All this
| issued stock is owned by the Pennsylvania
| Railroad Company.
| The Philadelphia, Baltimore and WASH
| ington Railroad Company has an author
ICED capital stock of SIS 800. 450, of which
| 500. 493 800 has been issued and is now out
standing. OF this issued stock the Penn
| sylvania Railroad Company owns $685.
| 49O7T5
| The Northern Central Railway COMPANY
| has an authorized capital stock of $50 600, -
| 600, of which SIT 193, 400 has been issued
| and is now outstanding. OF this issued
| stock the Pennsylvania Railroad Company
owns 50, 401, $50.
The Baltimore and Ohio.
| The Baltimore and Ohio Railroad Conn
| pany has authorized capital of $780,
100000 of preferred stock and $125. O0O 600
| Of common stock. of which $50. 9S6. 4e4 OF;
preferred and 24,272.O80 of common have
been Issued and are now outstanding. 81
| this issued stock the Pennsylvania Railroad
Company owns SCI $50 900 of preferred and
$50, 203 300 of common; the PENNSYLVANIA
Company owns 5000 600 of preferred and
S11.o44,6OO Of common; the Northern Gen.
trail Railway Company owns 81 600 600 of
preferred and 1871 500 Of common: the Phil
adelphia, Baltimore and Washington Rail-
road Company owns 81 600 600 of preferred
and $7S1 800 of common. It thus appears
that the Pennsylvania Railroad Company
| and three other companies which II con-
| trolls own an aggregate OF SOS 4s0 ono Of
baltimore and Ohio preferred and $40 900 :.
GOO of Baltimore and Ohio common.
Norfolk and Western.
The Norfolk and Western Railway Com
pany has an authorized capital of 500 OOO-
600 of preferred stock and Sos 600 900 of
common stock. all Of which has been is
sued and Is now outstanding OF this issued
stock the Pennsylvania Railroad Company
owns $5.5O0.OO0 Of preferred and $50. $50. 600
common; the Pennsylvania Company owns
| IS, 900 Of preferred and s.. 500 600 of COM
| mon: the Northern Central Railway Com
pany owns 100000 Of preferred and 81 Co.,
go OF common: 1t thus appears that tie
Pennsylvania Railroad Company and two
| other companies which 1t controls owns in
| the aggregate s11,000000 of Norfolk and
Western preferred and SO, $4,000 of Nor
folk and Western common.
Chesapeake and Ohio.
The chesapeake and Ohio Railway Com
pany. with an unlimited authorized capital
stock, has issued $500 first preferred, $500
second preferred, and So. 700. 400 common
stock. which is now outstanding OF this
| issued common stock the Pennsylvania
Railroad Company owns s1O.1sO, 600; the
Pennsylvania Company. $4,000. coo. and the
Northern Central Railway Company. 81
| 100000. 1t thus appears that the Pennsyl-
vania Railroad Company and two other
| companies which 1t controls own in the ag-
| gregate $15, $4,000 OF the common stock OF
| the Chesapeake and Ohio Railroad Com
pany.
directors Of the several roads from which
| 1t appears that the Pennsylvania IL repre-
| sented by either officers or directors In all
| of the supposedly competing lines
| The report of the Interstate commerce
| commission closes follows:
No Opinion as to Violation.
From the general knowledge and in
| formation of the commission the further
statement is warranted that. since the
| acquisition by the Pennsylvania Railroad
Company and the companies controlled by
it of the stock of the Baltimore and Ohio
Railroad Company, the Norfolk and West
ern Railroad Company and the Chesapeake
| and Ohio Railway Company. as above set
forth. the published rates OF the several
| railroads named have been better main
tanned, and In some instances advanced and
that there appears to be less Competition
In rates between these lines than was
formerly the case; but this Is also true Of
competitive rates generally in other parts
l Of the country.
AS to whether the facts hereinbefore
\ stated show or tend to show a violation
of the act of Congress referred to in the
resolution, the commission expresses no
! opinion. as 1t Is charged with no duty in
| connection with that enactment, and has no
| authority to determine question arising
Hereunder