The Bridgeport evening farmer., 1911-09-11
Special from United Press.)

Especial from United HreSS.)
 New Haven, Sept. 11-That Presi- dent Charles s. Mellen of the New York. New Haven & Hartford rail- road. is to retire from. the presidency of the railroad system. was officially announced through the roads press department. today. The date has not been fixed
 The announcement caused sensa- tion in New England rafIroad circles and at once set loose a flood of gos- sip. Daniel Willard President of. the B. & O., is mentioned as Melien's successor.
 One reason given for his retirement is that he has completed the task ser by his chief employers, large stock holders situated in New York city. or perfecting an amalgamation of New England's transportation companies steam. trolley and water. 1t is about & years since Mellen took the preslden- .cy of the New Haven road. succeeding the late John Hall.
 This analgamation consisted mainly in the purchase of trolley, and steam boat lines, to which end securities were issued in enormous volumes, both stocks and bonds. ALI of these prop critics were obtained at a cost greatly in excess of their physical value. and many of them required the creation of securities much greater in amount than the utmost dividend earning ca pacity of the properties.
 ! Recently the New Haven has acquir ed by stock ownership control of the Boston and Maine. This control was long fought by Massachusetts, one of the grounds of opposition being that the New Haven. by reason of it's great indebtedness had become financially weaker, and would brhng the Boston & Maine to the same state.
 These views were succinctly put forth in pamphlet by Louis D. Bran deis, the peoples lawyer, under the auspices of the Boston Chamber of Commerce.
 This campaign of ggrandizement has doubtless been profitable to the insiders who established the trolley properties that have been seized. But its effect upon the original steam road owners mostly stockholders in New England, has been far from comfort ing.
 The stock of the New Haven, when MT. Mellen took the property, was quoted sometimes as high as $20O. It seldom fell below $175. The bonded indebtedness was small.
 The eight per cent dividend Mas con tinued to be paid upon the steam road stock, but it is some years since the dividend has been earned, although the steam road continued to do and has always done a vastly profitable business. The dividend requirements of the securities issued for "other properties absorbed their own earn ings and the surplus of the great steam road earnings, without being satisfied.
 The New Haven system operates practically all the lines in this state, Massachusetts and Rhode Island, op- crates the water freight and paSSeng- CT business of New England, controls the Boston & Maine and it's allied roads in Northern New England, con- trols the Ontario and Western with it's entrances into the coal fields and great lakes ports, and controls num- Ierous other steam, water and trolley connections.
 Another reason assigned for Mr. Mel lens signation is that he wishes to re- tire froms active business. He was 50 years of age August Is, and Is said to have remarked that he would like to retire while stiM in possession of his health and faculties.
 The road has not been earning it's eight percent dividend during the last year, although the dividend has not been redeuced. Rumors that the rate would be lowered have gained consid- erable strength in financial circles and have been consistently denied by the roads officials. The story that President Mellen would resign was published for the first time, last week, then denied officially as "too ridicu- 'lous to be considered"
 The annual meeting of the New Ha- ven's stockholders will be held. next month. President Mellen's resignation may be formerly rendered at that time.
 Mellen was born in Lowell, Mass. began his railroad career when he waA IS years old as a clerk in the office of the cashier of the Nor thern New Hampshire railroad. In 1884 he had risen to the position of general super intendent of the Boston & Lowell Af- ter holding various offices in the Un- ion Pacific, the New York, and New England and the New York. New Ha- ven & Hartferd, Mellen became pres
 E --