The Salt Lake herald-Republican. [volume] (Salt Lake City, Utah) 1909-1918, 1909-12-02
ROCK ISLAND LETS
THE FRISCO SLIDE
Lines Were Parallel in Places
and Federal Intervention
Was Feared.
YOAKUM NOW IN CONTROL
RUMoR OF AN ALLIANCE WITH
THE HAWLEN SYSTEM.

New York, Dec. six thousand five
hundred miles Of railroad, forming the
St. Louis & San Francisco Railroad com
pany changed hands in New York today
by its severance from the Rock Island
company, with which it was merged in
1905
The purchasers are B. +. YOakum, for
mer chairman of the Frisco Rock Island
executive committee. and b. L. Winchen'
former president of the Rock Island, who
now becomes president Of the Frisco. 1t
is understood that Messrs. Wincheu and
Y0akum have as their associates in the
deal some OF the leading capitalists OF the
middle west, including Adolphus Busch
and F. J. Wade of St. Louis, as well as
the Union Trust company of that city.
Fear of Intervention.
All accounts agree that the dissolution
was brought about by fear of federal in
PREVENTION. The Rock Island and Frisco
lines parallel and tap each other at vari-
Gus points and there is reason to believe
that the interstate commerce commission
had taken cognizance of the fact.
Another interesting phase of the trans
action is that despite denials, the cur
rent belief is that the Frisco will form
some alliance with the lines of Edwin
HaWley, the newcomer in the railroad
world, who recently acquired, with b. r.
YOakum, control of the Missouri, kan
sas & Texas. At the same time, the rela-
tiOns of the Frisco and the Rock Island
are to be friendly and for the benefit Of
both.
Bonds Must Be Retired.
According to official statements, inter
ests now in control of the St Louis &
San Francisco will operate that road as
an independent property, although the
actual transfer cannot be effected until
the 81, 1854. 900 of five per cent collateral
of he controls
S29,OW,O00 of st. Louis & San Francisco
common stock, have been retired.
The redemption price is 1929. and large
quantities of the bonds have recently been
traded in on the stock exchange at a
steady advance from Sc to 10lle, the lat
ter. or top price, being reached today. A
formal offer of redemption probably Will
be made at once.
The St. Louis q San Francisco Railroad
company was organized i'm 1896 as the sue
cessOT Of the railway company Of that
name, which had been sold in foreclosure.
When taken over by the Rock Island
with b. +. YOakUm and his friends, and
Mr.. YOakUm was made chairman of the
Rock Island executive committee.
Yoakum-Hawiey Alliance
Credence is given the rumors Of a
YoakUm-Hawley alliance in more ways
than one. Besides the katy" recently
purchased, they have other interests in
common Mr.. Hawley is credited with the
control of the Chesapeake K Ohio. the
Chicago & Alton, the Minneapolis q St
Louis, the Iowa Central and the Toledo,
st. Louis & Western, while he is inter
ested I'm Hooking Valley, Toledo & Ohio
Central. Western Pacific, the Atlantic
Coast Line and Louisville & Nashville.
The St. Louis & San Francisco had not
been d profitable subsidiary of the ROCK
Island system, for the Rock Island, being
responsible for the Frisco bonds, was
practically paying what the Frisco did
not earn. Both roads, therefore, look for
improvement under the new arrangement