The San Francisco call. [volume] (San Francisco [Calif.]) 1895-1913, 1907-04-24
EASTERN CAPITAL
IS AFTER LOCAL
TRACTION LINES
Negotiations for Sale Of
United Railroads in
Progress
INSPECTION SECRET
Agents Decline to Divulge
Names of Principals
in Project
FRANCHISE IN DOUBT
Only Stumbling Block Is
Question of Trolley
Privilege
FRANCHISE IN DOUBT

Negotiations for the purchase OF the
United Railroads have been In progress
for the last month, and the sale OF the
street railway properties In san Fran
cisco may be consummated at an early
date.
Frank Birch, Robert y. Clark and ID.
III. Agnew. representin< eastern eapi-
talisfs, have been In this city for the
last three weeks. eonducting n thor
ough investigation of the system.
Clark was the first to arrive. He
registered at the St Francis. March
2s. from Plattsburg. N. Y, and repre-
sented that he owned several hotels
OF his visit was carefully concealed
Three days later Birch and Agnew ar
rived. and the three established them
selves in adjoining rooms at the St.
Francis and set about their work OF
examination with the greatest secrecy.
When Birch was asked for state
ment by a Call representative last
night he expressed great surprise that
the nature of his mission in the city
should have been divulged and an
swered tersely:
I refuse to be interviewed on that
subject"
When asked who the principals were
who were negotiating through him for
the purchase of the roads, he replied:
That is a private matter which
win not divulge-~
His manner indicated that any pub
licity in the matter at the present
stage would be distasteful to him. and
he closed the conversation by abruptly
turning away.
The terms of the sale have been ar
ranged in the east and it is understood
that an option has been given on a
majority of the stock. which is at pres
ent held by Patrick Calhoun. Laden
burg. Thalman & Co. and their associ-
ates.
The recent visit of R. D. Atterbury
to this city is now known to have had
more to do with the purchase and sale
of the properties than il did with the
graft prosecutions The Atterburys OF
Atterbury, Mass, took an active part in
the sale of the properties when they
were purchased by Brown Brothers.
Calhoun. who is a partner OF that firm.
afterward stated that this purchase
was with the intention of subsequent
sale, and that the roads were soon to
be taken over by Ladenburg. Thai
man & Co. who now hold large part
of the stock of the United Railways
investment company. which holds all
save eleven shares of the United Rail-
roads stock.
Birch. Clark and Agnew have become
satisfied with the physical condition OF
the properties and their inquiry has
been directed for the last week TO the
question Of the validity OF the trolley
franchise. To bankers here. whom they
have taken into their confidence. they
have expressed the fear that the city
might compel the company to take out
the overhead trolley system andareplace
1t by the underground conduit.
They have made the attempt to inter-
view those interested in the graft pros
ecutions as to the likelihood OF this be-
and it is understood that in all other
matters they are satisfied with the
prospects of the property and its abil-
ity to earn dividends.
H z. Huntington has been mentioned
as a probable purchaser OF the stock.
He has just returned from the east and
it is rumored that he has determined TO
renew his connection with traction in
terests in San Francisco. No man. other
than Patrick Calhoun, knows more OF
the earning capacity of the United Rail-
roads when properly managed than
does Huntington.
Another who has been mentioned as
a possible purchaser of the stock is
Thomas F. Ryan. who has been active
in acquiring traction properties
throughout the country.
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