The times dispatch. [volume] (Richmond, Va.) 1903-1914, 1907-04-29
Union Pacific Pool Story Does
Not Advance
Prices.
WATCHING CROP OUTLOOK
Wall Street Not Disturbed by
Roosevelt Speech, but Awaits
NJ Another.

NEW YORK. April 2S.-The market
has continued to be professional in
character throughout the week, al
though there has been some evidence of
buying by strong interests in Union
Pacific. and the belief Is spreading that
there will be some action taken by the
mana cement of this corporation to put
its affairs in such shape that the stock
holders will be satisfied and the threat
ened litigation avoided. There is as
yet no confirmation of the report that
has been current on both sides Of the
Atlantic that MIR. Hartman is working
on the plan for a holding company to
take over the investments of Union
Pacific in other corporations, but the
story is ut least ingenious and is there
3 fore interesting if 1t has not received
general credence. 1t has been used
with some effect by the bull pool which
has been operating in the stock. Ac-
cording to this report Mr.. Hartman
proposes TO form q corporation some
what after the character of the Rail
road Securities Company, which he has
used for some years to carry the Union
/, Pacific holdings in Illinois Central. It
is said to be his plan to turn over TO
this holding company all OF the Balti-
scago and Alton, Atchison and St Paul
stock owned by the Union Pacific From
the income from these investments it
is proposed to pay a dividend of per
cent. while the Union Pacific dividend
is to be placed upon a 6 per cent ba-
Sis. 1t is also proposed, according to
TINS story. to assess the Union Pacific
stockholders an amount sufficient to
pay off the obligation to the Pennsyl-
vania Railroad assumed by the pur-
chase of Baltimore and Ohio stock.
An extra dividend of one per cent
above the Union Pacific disbursement
is to be considered as interest on the
/ cash to be advanced by the Union
(. Pacific stockholders. Whether or not
< Mr.. Hartman has any such plan in
view. it is known that he is very
anxious to restore his securities to
popular favor and at the same time,
II possible render his railroads more
secure from attack either by the gov
crnment or by the State Legislatures.
The Money Market.
The local money market continues
easy and there is every prospect now
that New York rates will be the lowest
In the country for some time to come
Outside of New York there is very
active demand for funds at full rates
~ The continued expansion of loans
among the interior banks is perhaps
the most unsatisfactory feature of the
monetary situation. There has been
an abnormal volume OF business at
high prices which merchants and man.
ufacturers have been anxious to take
care of even at the danger of over
extending their credit. In this they
have unfortunately received much en-
enlargement from their banks This
is one of the weaknesses of the
present situation and one that is
/, causing q good deal of concern to con-
servative bankers. In fact, there is
always a disposition in times of great
prosperity to distend credits beyond
the pont warranted by the cash cap
ital of the borrower. Many Wall
Street bankers feel that the interior
banks. now that there are signs of
business retrogression are making a
mistake in allowing this policy TO con-
tinue and that it is time for them to
begin a gradual curtailment of their
loans to limits more in keeping with
the practicei2 Of sound banking.
The Crop Outlook.
The weather in the greater part of
the country continues to be backward
and is delaying the work of the
Z farmer. There is a good deal of I'M
certainty as to the extent of The dam
age which has resulted from the wide
spread drought. In many instances
great areas have had to be plowed
over and replanted. 1t is possible that
the losses that have been made IN
some sections will be made up by the
gains in other harvests 1t will be the
final outcome of all our crops that will
determine the position on the market
to be taken by many of our leading
bankers. AS matter of fact the crop
WELD this year will play an important
mart in determining financial condi-
,tct. s tlncH.