New-York tribune., 1908-03-27
fEx dividend.
STOCK MARKET OPERATIONS.

During most of the session Yesterday Union
Pacific the centre of interest IN the stock
MAJ arket, the and rumors Of news concern
ing it having controlling influence upon the
course of the trading The market opening had
been at generally lower prices, and the early
trend downward until around noon, the sell
ing being attributable to desire to take prohts
after the long rise and not being due to any un-
favorable news developments. Soon after noon
it was learned that the Union Pacific directors
were in session, and the rumOr spread that they
were at last 10 make public the long looked for
segregation plan, which would involve the deca-
ration of large extra dividend to the common
stockholders The common stock promptly De
gan 70 ascend, and with it many other issues of
various classes and various corporations, Union
Pacific having advanced points when the word
came that the directors, instead OF cutting
melon had decided on an issue of bonds TO
the amount of perhaps as much as s5Oo00,oOe-
The Street has fresh in its memory the salient
facts of the Union Pacifcs recent financial
historv-the authorization about three years ago
Of 800. 600, 600 of preferred stock, no part OF
which has yet been issued and the purpose OF
creating which has never been explained; the
purchase Of heavy holdings in the stocks Of other
road some contiguous to and some far remote
from the Union Paciics lines, these acquisitions
having been made when stock market prices
we're high, so that at present quotations the ag-
gregate shrnkage is around S4000O-00O, ana Ihe
authorization last spring of s75,000,o00 convert
ible bonds the proceeds of the greatest part OF
which ara slIpposed to have been applied 10
meeting the companys floating obligations.
largely incurred in pursuance Of the policy OF
ACQUIRING stock holdings in other roads
There had been rumors for weeks OF new
Union Pacific financing, that the news of the
contemplated bond issue should not have created
surprise and apprehension; but that was the
effect produced. That the Union Pacific had
formally announced its intention to come into
the market for another great sum- following so
closely upon its putting out of the $10,O0O,O0O
conYertibles and the sinking in stock invest
ments Of it's cash resources of more than $50
GOO 600 s1Ifficed to send the entire market down
ward with Union Pacific in the lead, that stock
not coming to a definite halt before touching
1851. q fall of more than three points. a late
rally brought Union Pacific to 1857 at the close,
a net loss of rs points, the other issues closing
as a rule also lower than Wednesday. with
the principal net decline in standard railroad
stocks Great Northern and Northern Pacific
declined, respectively, Ia and Is points, the
pessirnistic reported comment OF James J. Hill
on the cheerful views expressed by Interstate
Commerce Commissioner Lane as TO the posi-
tion Of the railroads in this period of decrea sed
traffic having a weakening. influence upon their
price as indeed upon the price of railroad issues
In general
The business transacted not far from the
largest for any day this year, sales being almost
2S0000 shares. Money rates. both for demand
and time acconrn odation. held their accustomed
ease. unchanged from the figures which have
ruled for many days. The weekly statement
of the Bank Of England showed an increase in
gold of s750,000, but also an expansion of SIS
100000 in loans. which resulted in a decrease Of
a bout Sl600.000 in the reserve the proportion
Of which TO liabilities declined to 1850, against
5l-20 per cent a week ago.