Daily Kennebec journal. [microfilm reel] (Augusta, Me.) 1870-1975, 1907-05-11
Conflicting Stories Heard
Regarding Deals.
Believed Me|Ien Would Like TO
Gain Control Of Road.
New York Central Said to Have
the Same Longing.

New Haven, Conn, May 10.-The alb
scnce from this city tonight Of Pres.
Charles s. Mcllen Of the New York,
New Haven & Hartford Railroad
makes il impossible ID get an official
statement az to the basis uf the re-
1Iorts current that he has secured
controlling interest in the Boston <
Maine Railroad AS far as kI""n liz
railroad circles here this has not been
accomplished. but the opinion is held
that President Mcllnn would like to
obtain control Of that system if he
could got il. 10 prevent il, On the one
hand from falling into the hands Of
the Sew York Central ana allied in
tercsts, ana on The other hand as 4
means Of unifyinG the New Haven syS-
TEN in New England and as an adj
juHct in developing coastWi.e traffic
by. the recently acquired steamship
lines.
the New York Central recently. it
is stated. secured control through own
"rship or through allied Interests NJ
UPWARDS Of 10000 shares Of the BOs-
ton e Maine Road, or about On"-fifth
Of tn" cnti:C amount outstanding.
Quite recently fear was expressed in
high railroad circles bore that should
the New York C'htral ct the Boston
IL Maine q hard blow would be- struck
at the New Haven system and al
though the report could not D" con-
firmcd. it is firmly believed here that
there have been negotiations not Net
completed lonking 4" control Of the
Boston q Maine system by the New
HavcnlE,oad.
If such coutrol should be- obtained
it is regarded here as probable that
the control Will not b.. in the form of
direct purchase Of stock, but pre-
sumptiycly in tn" form of 4 lease
which has hreu III" method by which
the New Ynrk. New Huvrn & Hart
ford Railroad 90. III almost Ill cases
in the acquisition of larg" corupOra-
tion has been followed in forming
mergers.
Any actual purchase is net consil-
cred likely owing to the wide distribu-
tion of the Boston & Maine stock and
lease would have to b" done 10y
agreement probably with the directors
Of that company alone or with assent
and approval ~ MANY holders Of large
amounts Of stock. III the discussion
her" IN reference to the matter Of
theory of q ! Hsr is based Oh "A larger
return than In" ScV"'I per cent. which
th" i"~t"n x MlAr stock pays 1t
has also been considered here that
there might be an exchange of New
Haven %t"yk 'nr IIuSt ln 4 Naiu, stock.
which also i. iii accord with I'll" policy
~ til" New YORK. %"W iIulcn A. Hnrt-
ford Railroad Co, as was done notably
at th" tim" Of IL, y. ~ tin, rId rniu..y
The New Haven Road has large pow
cr$ Of making such cX-hlu. under
its C"un"o'iout charter.
President LUcius futile and Tie Other.
E"Ston x Main" officials refuse t., confirm
IA" reports whicA HAY" been in rircIil:t-
ton for several weeds that thai ~yStrrr
will eventually pass INTO III" control ~
another road. President Tuttir hld mdda
number If drniiIS that 1t wa pnesibl"
to purchase control in the open market.
The majority nf I'll" shares j. held by
The American Express Co. and Boston.
McdIord Mass. Franklin y. II. ana
Maine people. Many Of the largest
shareholders it i said. do not care To-
transfer their holdings at present mark, /
prices. So far as can he lcl-ncd. no
proposition to Lease the road has b"cn
considered.
tho Maine Central. Washington County
ana other lines, in four New England
states.