New-York tribune., 1909-03-21
NET TO GO PIECEMEAL
NO PURCHASER IN SIGHT.
So 1t appears as Date for Fore
closure Sale approaches.

No purchaser for the entire Metropolitan Street
Railway Company system as it stands to-day IS
likely appear at the foreclosure sale or June L
according io seuIi-oflcial Information obtained by
The Tribune In this event sale viii have
be ordered and the property viii be put up piece
-neal instead Of 3 whole. This is just what
Judge Laoobe SAID he wished to avoid in his fore
closure decree
Under the administration OF Douglas Robinson
and Adrian II Joline the federal receivers. who
have managed the property for the last eighteen
months many Of the important subsidiary lines have
been dropped as unproftahle but the dismemher-
rnent TO date. disastrous II has been from the
point OF view Of the public is nothing 10 the
complete breaking up of the whole system which is
likely 10 take place within the naXt three months
When the New York City Railway Company and
the Metropolitan Street Railway Company went into
the hands Of receivers. in September and October
cf 1907 the first move Of the receivers was TO de
fault the Third Avenue Railroad Company div-
dend. This action broke the e99-year lease Of the
Third system 20 the Metropolitan and
marked the beginning Of the breaking up Of the
latter system. All transfer privileges between the
systems were stoppeS and have not been re-
stored.
IN June Of last year the Metropolitan receivers
abandoned the lease of the Central Park. North &
East River Railroad Company. which operates the
seth street crosstoHn cars. The road was turned
back its owners. and is now operated separately
Transfers between the Metropolitan and its former
subsidiary were of and have not been restored.
At about the same time the receivers. acting al
ways by order Of the United States Circuit Court
cancelled the lease and abandoned the operation
cf tae Twent y-eighth & Twenty-nintA street
Crosstown Railroad. The company was 10 have
been turned over TO its stockholders by the re-
ceivers but In September Of last year Joseph &
Mayer was appointed receiver by Petition Of the
bondhoiders The road has not been operated
since the Metropolitan cast il of
The receivers next gave up the operation Of the
Fulton Street Railroad. another OF the systems
hcrsecar lines All the stock oc~ this road was
owned by the Metropolitan Gilbert H Montague
was appointed receiver in July OF last year with
power TO resume the operation Of the road, but
he has done date
Then came the Topping OF of the Second Avenue
Railroad from the Metropolitan system This line
was leased the Metropolitan Tor the life OF its
charter at q per cent guaranteed annual dlVl-
dtnd. The receivers defsulted on the June dlVl-
dend last year. and midnight Of November i
the road was turned to George W Linch, as
receiver He has operated the Second avenue line
since then. All transfers with the Metropolitan
were cut of save al one O points where
through the joint OF tracks. the state law de-
nnsnded that transfers he given
Before the reCeivership the total lines operated
hv the Metropolitan system aggregated 5lS miles.
To date there have beer divorced by the receivers
s0a miles. as follows: Third Avenue Railroad, 252
miles; Second Avenue Railroad. 30 miles: Central
Park North & East River Railroad. p miles. Full
Ton Street Railroad. mile and Twenty-eighth &
Twenty-ninth Street Crosstown Railroad. s miles.
Thus the Metropolitan system mas been cut down
207 miles al present operated.
As announced in The Tribune yesterday. the
Fourth and Madison avenue line. which is owned
by the New York & Harlem Railroad Company,
viii probably be the important link Of the
system TO be dropped total mileage Is close 10
twenty miles.
The receivers are at present in dispute with
the Public Service Commission over the service
maintained on the sth street Cross1own line
This lire Is owned by the Central Crosstown Rail
road Company. and was leased 70 the Metropolitan
for ee9 years at an annual guaranteed rental Of
& per cent The receivers defaulte3 in The rental
due last April. last July agreement was
entered into between tha Two roads by which the
METROPOLITAN agreed to operate the subsidiary line
fer one year and to pay fixed charges. The receiv-
e-s auege that the road is losing money, and have
fntirnated that they viii give up its ogEation when
the one year contract expires. its t5IaI trackage
IS about eight miles
In view Of the rlearness of the date set for the
foreclosure sale the receivers it Is understood,
7iu not take the initiative in further 6isuemberng
the system This does not mean. however, thai
the breaking up process viii not 20 on The
owners Of several of the leased lines are not salts
contemplating taking the initiative in attempt
n have the leases cancelled. In this the owners
Of the property viii have the consent. Il nor the
active cooperation Of the receivers. who. will lie
glad 70 get rid Of more Improbable leases.
In csse the Metropolitan system Is dismenbered
much more before the foreclosure sale the equity
~ +ne hondholders VIII be decreased, as the col
mart by leasec The general supposition has
6een t.st the hondholders and stockholders would
re. together and bid the property in At the fore
closure sale preliminary 10 reorganization It
seems probable now, however, that the property
VIII be sold pieoeHneal