The Minneapolis journal. [volume] (Minneapolis, Minn.) 1888-1939, 1906-08-18
HARTMAN POOL
MAKES MILLIONS
Stupendous Speculative Maneuve1
in Pacific Shares Results in =
Big Killing s

pendons speculative trick ever engi-
heered in Wall street IS turbulent his
tory was successfully put thru by r.
II. Hartman yesterday, when, without
an instant s warning, the news was
flashed into. the Stock exchange and
trict in this and other cities that Union
Pacific had been put on q 10, per cent
dividend basis and that Southern IA.
cific was in the per cent dividend
class. It is said that Hartman made
&25,OOO,O0O by the coup. 49,. ~.
The stock market was Just 70, min
utes old when the news came. From
peaceful humdrum affair it was trans
formed instantly into a crazy whirl,
and from that time, 1920. until the
final gong at PM, the scenes on the
floor were unprecedented, barring the
day Of the Northern Pacific corner.
King Edward Made a Killing.
One of the most interesting develop
ments of the day was the fact that
King Edward of England made hog
delivered to the monarch thru his
New York financial representative, Sir
Edward Cassel j.. 49,.
There is no doubt that King Edward
and group of friends who operate
with him in this market, have made an
enormous amount. He is usually rep
resented here by Sir Edward Cassel,
fees of Jacob Schiff. He learned soon
after Mr.. Harriman's flying return
from the coast that Union Pacific was
about ready to pay handsomely, and
his royal hacker was at once advised.
How the Trick Was Played.
Here is where the trick came In.
The meetings of the executive COM
mittees of Union Pacific and Southern
Pacific were held Thursday. For weeks
Wall street had been looking forward
to them, as it was understood that I'M
portant action would be taken in re-
gard to dividends The street had been
taught to expect that Union Pacific
would be placed on the Z per cent basis
and that Southern Pacific, which has
never paid a dividend, would be hoisted
to the 4 per cent class. Union Pacific
owns $9,0OO,OOO Of Southern Pacific;
and with that company paying divi-
dends the value of Union Pacific stock
would be considered enhanced. For
weeks Wall street had been expecting
the good news. Union Pacific stock had
been boosted from lao to 1853 and South
ern Pacific from 63 to SO.
At 2 pm. Thursday, the hour whe1
official news of the dividend actor
was looked for, nothing of the kline
came. Instead, Mr.. Hartman an
nounced the earnings Of the fiscal yea
Of the two properties. The failure Of
dividend announcement had but one in
depreciation on the exchange and IL
brokers' Offices, where the traders wer
gathered, and that was of the gloom
lest kind-that the expected good thin,
had been put off indefinitely. Trader
who were long of Union Pacific am
Southern Pacific closed out in disgust
others sold both stocks short in bi,
chunks.
skilful Buying Begins.
Somebody took the long STOCK
dumped out as fast as it came. The
buying was done quietly and without
bidding up, but every share offered
was taken. So skilful was the buying
that both stocks closed under the higt
price of the day, Union Pacific at 162M
and Southern Pacific at 82b.
Union Pacific opened yesterday a.
1853 and Southern Pacific at SO. They
hung around those figures for twenty
minutes and then came the whirlwint
which swept millions Of dollars from
those who had parted with their share
or sold short the previous day, into tn
pockets of the wise men who did tn
clever buying.
IL WIS a TOut Jne pears never wan
20 see again. The widest dream of tn
eraziest optimist in the street hal
never predicted 10 per cent dividen,
for Union Pacific, and only a few ram
pant bulls had expected to see South
ern Pacific on a 5 per cent basis.
Sports crazy to cover, longs crazy
get heavier load aboard, others frc1
zied to get piece of the good thing
boosted the prices of both stocks q
breathless clip. Traders fought lik
street boys grabbing for coins.
The Result of the Day.
Union Pacific never stopped clint
ing until it reached 179A and Soutl
ern Pacific did not halt until it reache
%. Both closed under the top. Unto
Pacific at 1881, net gain of 157
points. and Southern Pacific at STU,
net gain of 53s.
In Union Pacific alone $4,000 share
were dealt in, and in Southern Pacif
the trading reached the enormous tot;
Of 4S1 400 shares or more than a mi
hon for the two stocks. The total sale
on the floor were 2,43S,S0O shares.
was the twentieth time in the histor
of the Stock Exchange that one day
trading exceeded 100000 shares.