The evening star and Newark advertiser. [volume] (Newark, N.J.) 1907-1908, 1907-08-16
LOOKING INTO
MERGING OF
TROLLEYS
Little Opposition Expected
but Inquiries Are Made by
Parties Opposed to ?. S.

Little opposition is anticipated in the
adoption by the stockholders of the
various trolley lines controlled by the
Public Service Corporation and those
of the United Street Railway Com
pany to the plan of amafgamation al
ready approved by the respective di-
rectors of the corporation affected.
Frank Bergen. general counsel of the
corporation. said today:
I'm brief outline. the plan will con-
centrate the management of all the
street railway lines in Passaic, Bergen,
Hudson, Union. Somerset, Middlesex
and Essex Counties for the purpose of
economical administration.
'The plan in no wise even contem-
plates the amalgamation of the gas or
electric lighting companies. These cor
porations now light and power to the
public and controlled by the Public
Service Corporation are under distinct
management, although the directing
function exists in the general board
of the holding corporation. The adop-
ton of the amalgamation plan py
stockholders will not alter this situa-
tion.'
Stockholders of the corporations con-
trolled by the Public Service but who are
a%ntagonistie to the management are looking
into the plan to ascertain IL there exist
Wild grounds for opposition to the pro-
posed merger, but so far there has been
discovered nothing that would seem to
furnish food for litigation.
The stockholders of the electric lines
to be brought into the new consolidation
is already largely held by the Pubic
Service. so that the change of name and
the incorporation of q distinct holding
company for the street railways Is merely
n technical change, which will operate to
permit various economical changes with
out violation of the formalities imposed
by the law.
For instance, the am~algamation will elm
mate the holding of directors meetings
each month and the consequent saving OF a
great deal of time and money. Sometimes
fifteen or twenty meetings have TO be heic
on one day to comply will the law,
The amalgamation will also permit the
establishment of a uniform system of book
keeping under one head. This feature
alone will mean the saving of thousands OF
dollars each month.
The plan proposed for the transfer OF
stocks Is eminently simple and absolutely
free from even the suggestion of stock
watering, say the company ohiSldiS' IA
fact the new company will have 100000
less stock than the three companies now
have outstanding.
The plans as recommended to the stock
holders by the directors and on which they
are to vote next week is to exchange share
for share with stockholders of the North
Jersey. Hoboken and Paterson Street Rail
way Company. and the North Jersey Rail
wav Company. while for -four shares OF the
United Street Railway Company of Central
New Jersey three shares of the new con-
pany will be given. This will give the
Public Service Railway Company n capital
of ,sSS. 900. 900, taking the place of the pres
ent $50. 600. 900 outstanding stock.
That some of the stockholders who are
by association or political affiliation op
posed to the present management of th'
Public Service Corporation, and suspicious
of any plans the directors may make. may
endeavor to prevent the contamination oil
the amalgation, is believed by Public
Service officials. One owner of North Jer'
sey stock, who represents, with certain
friends, from 1900 to 1000 shares of stock
stated today that he was seeking the ad-
vice of counsel regarding the amalgama-
ton.