The Telegraph-courier. [volume] (Kenosha, Wis.) 1888-1946, 1909-01-07
Property of Kenosha Electric R'y
Company Sold to Investment
Registry Co. Of London
DEAL CONES AS SURPRISE
Local Men Who Had Been Dickering
for the Property Lose Out as
Result of Deal Made by
Frost This Morning
lFrom Monday S DailYl

By deal negotiated in Chicago by
A. G. Frost, just before noon today,
the property of the Kenosha Electric
Railway company was sold to the In
vestment Registry company of London,
England, the holders of a large amount
of the bonds of the v-4cago and Mil
waukee Electric Railway company.
The new owners of the property took
possession of it at noon today and the
line is now being operated under their
supervision. The consideration of the
deal was given out at 100000, but the
actual figures are said to have been
$4,000.
A. G. Frost, who has been the man.
ager of the company since it's sale. to
him by the Arnold Power company
several years ago, retires entirely from
the control of the road and will have
no part in it's future operation. So
far as can be learned no immediate
changes will be made in the local
operating force, but it is probable that
in the near future some new mer will
be sent here to take charge Of the af-
fairs of the company for the new own
ers.
The sale of the line came as a sur
prise to many people in Kenosha and
to many railway men who had been
dickering for purchase of it. For
weeks it had been known that the line
was on the market and it was thought
that a. deal would be made for the
sale Of the property to local men with
the understanding that it should ulti-
mately pass into the control of the
Beggs system. That such negotiations
were being carried on was confirmed
by Albert G.. Frost in an interview this
afternoon, but he stated that the men
making the purchase of the line had
absolutely nothing to do with John [.
Beggs or his system and that their
sole purpose in purchasing the proper
ty was to hold it that it might eventu-
ally be made a part of the system Of
the Chicago and Milwaukee Electric
Railway company in which the London
company j., is heavily interested as a
bondholder
In speaking of the sale of the road
Mr.. Frost declared that the local men
had been shouting about purchasing
the road and that this FASTENED the
sale to the London company. Mr..
Frost, said: E'The London company
will probably make no changes in the
operation of the line in Kenosha- but
will simply hold it as protection for
their property in the Chicago and Mil
waukee line. [ should have liked very
much to have held the Kenosha Elec-
trio Railway line for Notwithstanding
all other statements to the contrary
this has been my personal property
and [ believe that in time it will
proved most valuable piece of prop
erty. However, the last few months
have placed my financial affairs in such
condition that I was forced to let
go of it. Of course I am pleased that
it has gone to the men who were inter
ested in the Chicago and Milwaukee
as it is ultimately bound to become a
portion of this line. +"
It is dlncult matter to forecast
| the effect of the sale on Kenosha and
the future of the Railway company.
The new owners of the line will proba-
| bly, not hold it for any great length
of time. Mr. Frost stated today that
arrangements were being concluded for
reorganization of the Chicago and
Milwaukee company and the date has
been set for Jan. II. It will, however,
be impossible to get things in condi-
ton for this reorganization in less
than four months. It is possible that
the Kenosha Electric company will
be taken into a consolidation at that
time and be portion of the re-organ-
lied company
It is rather remarkable fact that
the Kenosha company was not thrown
into the hands of a receiver during the
liquidation Of the other affairs of
Frost and at one time such plan was
contemplated, but Frost and the other
parties interested managed to keep the
Kenosha line free Of this legal entan-
clement.
It is probable that the new owners
of the company will make some i'm
portant announcements in regard to
their future policy within the next
few days.