New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1908-10-02
MAY SELL RAILROAD
FRISCO LINE TO UNLOAD.
Three Systems After Its Ne1C Or
leans Connection. 1t Is SAID.

Negotiations are under way. # was learned yes
terday from excellent sources looking to the sale
by the St, Louis & San Francisco Railroad Com
pafy OF its New Orleans connection the Colorado
southern. New Orleans & Pacific Railroad Three
Foaos, IL Is understood. Will act jointly the
purchase If the negotiations shall reach a success
fuI conclusion. and the Atchison, Topeka & Santa
re and the Kansas City Southern. it said
yesterday, are among the railroads connecting with
me colorado Southern. New Orleans and Pacific
which We're probably financially in position par
ucipate in the acquisition OF that property the
transfer Of which would, in the view OF Wall
street have an important bearing the work
Ing out OF the 'Frisco's financial plan
The Colorado Southern, New Orleans & Pacific
was Incorporated in Louisiana in May. 1895. with a
capitalization OF S50Co0OO stock and 3l2 o0OO 43
per cent first mortgage bonds and promptly began
the construction of its line. which to
from Houston, Tex. to Baton Rouge. La, a
trackage agreement giving IT the right when COM
Pleted to operate its trains New Orleans from
Baton Rouge over the Illinois Central. In
Official statement IN April, 1906 the Frisco an
nounced that il had acquired all the rights OF the
Colorado Southern, New Orleans & Pacific and
that it had sold TO a syndicate for financing the
acquisition, construction and equipment Of the new
road. $4,000 Of its ive-year per notes.
which secured by $500. 600 of the 100000
Colorado Southern. New Orleans & Pacific bonds
These notes mature January /. 1911 The
Frisco owns the entire capital stock Of the Colo
RADIO Southern. New Orleans & Pacific, which prop
erty il holds under a year lease
The distance between Baton Rouge and Houston.
including traCkage, is 500 miles, OF which all except
the 59-mie stretch between Baton Rouge and
Opelousas La, was finished and IN opera ton last
summer. The Atchison's main line extends from
San Francisco 10 Chicago, but the completion of
a cutoff from TexiCo Tex. the New Mexico
border, which is under construction TO Brentwood,
its Gulf, Colorado & Santa Fe road and the
acquisition Of interest the Colorado Southern.
New Orleans & Pacific, with which the Gulf Colo
RADIO Santa Fe connects at Houston. would give
the Atchison direct route from San FTancisc" to
New Orleans also.
The Kansas City Southern's line runs almost due
south from Kansas City TO the Gulf at Beaumont,
Tex, the Colorado Southern New Orleans & Pacific
having trackage over that road for forty-seven
miles between De Quincy and Beaumont, using its
own rails from Beaumont tP Houston, its western
terminus. The Kansas City Southern three
years ago. it viii be remembered, made surveys
for line OF its into New Orleans and it
would surprise the Street If this road should
prove TO be among the purchasers of the Colorado
Southern. New Orleans & Pacific. its interest in
which property would. OF course, obviate the
sity Of building long line OF its own.
The Missouri. Kansas & Texas. extending south
ward from Kansas City and St Louis, passes
through Houston its route Galveston. 1t also
may be among the lines in negotiation with the
Frisco for an extension into New Orleans. II is
said. Stin another possibility is the Colorado &
Southern. which. by way OF the Fort Worth &
Denver City. which 1t controls. and the Trinity &
Brazos Valley Railway. in which it owns one-half
interest with the Rock Island system reaches
Houston and q connection with the Colorado South
ern, New Orleans & Pacific Railroad.
As already noted, the prospective sale OF the
Colorado Southern. New Orleans & Pacific may be
among the measures adopted for the Strengthening
out OF the finances of the St. Louis & San Fran
cisco Railway system There has been much dis
cussion during the last few months regarding the
financial position Of the e Frisco and the securi-
ties OF the system as well Of the Rock Island
which controls the g Frisco" have been greatly
depressed Recently, however, they have developed
marked strength and is said IN trustworthy guar
tiers that the financing Of the systems require
rnents over the next year Is practically assured