Omaha daily bee. (Omaha [Neb.]) 187?-1922, 1911-01-29
YOUNG MEN GET TO The FRONT
Financial Institutions Shifting Burr
dents to Strong Shoulders.
Old MEN IN ADvIsORY ROLE
Proposed Large Issues of Railroad Sc
Curities Arouse Nccn Interest In
wall street-1tEh Finance
a. waiting.
M PRESTON Z. ADAMS

NEW YORK Jan sS-tSpeciaI to The
Bec)-ln finance, as well as In other lines
of endeavor the young man Is coming into
his own Recent bank changes IN New
York have served to emphasize the gradual
shifting Of the burden of finance TO young
shoulders.
Frank A. Vanderlip Of the National city
bank, Francis L. Hinc Of the First Ma
tional, Albert II WigEin Of the Chase Ma
National, and Samuel Wolverton OF the
GHllaun National are all young bank pres
idtnts, many Of them ON the sunny side %
%. Thomas II. Lamont and William IT.
Porter, who have Just entered the Morgan
firm, and also several OF the newly elected
trust company presidents. belong TO this
class. So does George NJ. Reynolds Of
Chicago, who heads the largest bank OF the
west. The tendency seems to be TO place
men between 40 and 50 at the head Of the
great institutions as the older men drop
out
In many instances the older men are
made chairmen of the board. and It may
be SAID no moro elastic office was ever
created than chairman OF the board"
this position may mean nothing or Il may
mean everything. All depends upon the
man filling It, and upon the wishes OF
directors.
ola Ones Politely sheIvcd.
The president Of an organization who
has outlived his usefulness, instead OF
being vulgarly dismissed. can politely be
elevated to the office OF chairman Of the
board, with, however. no powers. or
when a great many details press upon n
man, of conspicuous ability, Il is sometimes
convenient to have a subordinate made
president and invest still fuller powers In
the former president as chairman. We
have had several recent instances Of both
kinds Of changes. OF the so-Called promo
tons which have really meant superau-
nuation, IT were unpleasant to speak.
But when man like A. Barton Hep
burn becomes a chairman Of the board VI
the Chase National bank instead of presl-
cent 1t simply means that he will he re-
lteNed OF irksome routine duties so as to
enable him TO devote more time to large
problems When MIR. Hartman first AS
pred to rulershlp in the Union Pacific no
was denied the presidency, but was made
chairman OF the executive board: his co
directors quickly discovered however. that
this office could carry with 1t more power
than the presidency, and in due course he
was elected to the latter office. as well as
to the craftsmanship.
New Railroad Issues.
As talk of contemplated financing by
numerous railroads is being INDUCED In
| throughout the street following the an
nouncement OF the Pennsylvania plans
for authorizing the issuance of sl0O 600 COd
of additional stock, IL is not surprising that
the New York Central Is credited with
being next on the program of roads plan
ming to issue new bonds One rumor in
connection with the plans OF the New York;
Central for new financing had II that this
road was about TO issue $4,000 COO of per
cent debenture bonds at 81 or M while
another rumor had IL that this issue al
ready had been sold. The latter rumor
was denied in official quarters, however,
and all that was definitely learned was
that the company has In view some
financing which has not yet been approved
| by the directors or shareholders.
Just how soon arrangements will he made
Tor this new financing is not known, but
indications now are that no flotation will
be made within the near future.
OF course publication Of the plans OF the
Pennsylvania railroad TO authorize the is
suance of $1OO,010OOO more capital stock he
| arranged in order to supply the road with
FUNDS needed to pay for additional stock
in the Norfolk q Western stock about
eight months ago, which, with it's previous
holdings gave II clear majority of the
Norfolk & Western stock There never has
been any official announcement as to how
this purchase OF Norfolk a Western stock
was financed, but Il is known that the
amount which the Pennsylvania bought
cred with the proceeds Of the $40, 900 coo OF
new Pennsylvania stock. which II is now
proposed to issue n any considerable por-
ton thereof is to be left for other pur-
poses
High Finance Bides Time.
waiting" That, in one word sums up
the attitude of high finance II is waiting
Tor the supreme court decisions; Il is wait
ing for the Interstate Commerce commits
slons ruling II is waiting for trade de-
velopments; it is waiting for new issues OF
corporate securities; IL Is waiting for the
monetary commissions action Meanwhile,
a neutral course is being followed as far
as possible, although, of course, things can
] never be allowed to stand stiIl on the
| stock exchange nothing Of outstanding i'm