The Wheeling intelligencer. [volume] (Wheeling, W. Va.) 1903-1961, 1911-06-17
ROADS
TO Merge
W. K L. Z. and Pittsburg Terminal
to Combine Independent
of the Wabash.
LIFT RECEIVERSHIP
TO CARRY OUT PLAN.
REIMBURSEMENT of Finances of W. &
l.. Z. Planned by Bankers. Who
Have Ousted GOulds.

Special Dlspatch 70 the Intelgencer.
CLEN ELAND, o., June l6-The /
Wheeling & Lake Erie and the wa
Pittsburg Terminal are to be
merged into an independent railroad
system. Plans Icr the merger. which
Will include provision for the double
tracking OF the Wheeling. will be an
nounced within a few days. The re.
ceriverships under which both have
been operated since 1907 are TO be
lifted. and Cleveland will be the cen
ter or another important transporta-
ton Ink serving the rich traffic be-
tween lower lake ports. the prolific
coal fields OF southeastern Ohio and
West virginia, and the steel district
OF western Pennsylvania.
Rockefeller bankers are the domi.
nant interests in the reorganization
Blair & Co. and Kuhn. Loeb & Co,
oi New York. are hackers OF the deal.
The latter are hackers for the Harri-
man lines, and both houses are iden.
titled with the widely extended Rocke-
Teller Investments IN railroads
throughout the country. Backed by
a strong financial administration, il
is expected that the new Wheeling
has future that will make it a sec
ond Cleveland x PittsburG, now that
the Goulds have been ousted.
Would Dodge Utilities Bill.
Tho bankers in charge OF the mer-l
ger are anxious to whip the plan
into working order this month. be-
cause the new Ohio utilities bill. with
It's stringent regulations as TO new
capital issues. cXempts such deals as
are in formative process when the
bill goes into effect.
This will permit the maintaining oil
the Wheeling's present excessive cap-i
ital intact and save the shareholders
investment.
The newly merged Wheeling and
Pittsburg system viii be independent
of the Wabash. although 10 will pre-
serve its traffic relations ana existing
contracts with that system. Other
wise il will be a wholly independent
line. whose powerful financial back
ing will be able 10 dictate for It
profitable relations with other lead
Ing eastern trunk lines.
When the two SYSTEMS are merged.
The result will be "a railroad with en-
Try 10 four leading lake ports. Cleve-
land. Lorain. Huron and Toledo. and
extending south and east into the rich
est traffic producing territory in the
country. It's main stem will be the
Cleveland-PIttsburE line. while IT'S
laterals dip into the lake coal trade
and intersect all east and west lines
OF Pennsylvania. Lake Shore. Erie
and affiliated lines of frstnamed sys-
TEN.
Means Stock Adjustment.
The merger plans will probably call
for an assessment on common and
preferred stocks OF the Wheeling and
an equitable adjustment with the
bondhoiders o. the Wabash-Pittsburg
Terminal The eastern bankers are
iu control of the bulk OF 5000. 600 OF
Wheeling d Lake Erie notes past due
since August. 1905. Consequently they
are in dominant position as 20 the
Wheeling
Hondholders of tho Wabash.Pitfs-
burg Terminal arc split into two
camps. and are represented by two
committees whose disscnsions have
held back the reorganization for two
years. s new plan has been f0rmu-
lated. 20 which all parties are now
practically agreed.
The Wheeling has outstanding capt.
tal OF S3G.9N0f0' in stocks. lts bond
cd debt o. S25.33f.5oO. On addition 20
which there has recently hCcn added
S. .gf1. 800 in receivers certificates.
The Wheeling. 80 iE evident. cannot
stand for % larger capitalization hence
f ie expected that tho plan VIII call
FOR au assessment of tho stock to pro-
vide fio $4,000 600 needed 10 double.
track fhc system.
Terminal Well Financed
Tho V-af4af Tfff. b.frr Terminal Ic
NOT In need of funds and lfs financing
$3.50 consist largely ir pairing down
so. f0rHoatv bond leaure
Tho Wahtsh.pItfebure Terminal has
r capital stock of ftnunu.OpU and
bonds of fsn.21f.u Tho road op
crates about sixty miles of track.
which with hr wheeling 500 miles
viU make total OF 500 miles of
tract