The Richmond Virginian. (Richmond, Va.) 1910-1920, 1911-12-21
IS UNION PACIFIC
AFTER WABASH?
Wall Street Stirred Over In
teresting Railroad Sit
uatiOn
NO LEGAL OBJECTION
TO RUMORED DEAL
Plan May Collide With Sam
uel Untermeyer's Wheel
ing and Lake Erie De-
velopments
BY THOMAS G. sHoTwELL.

NEW YORK. Dec. 2o.--When the
Lehigh Valley and Reading directors
made official announcement to-day of
the regular dividends. and nothing
more, speculative Wall Street turned
quickly from the coal stocks to Union
Pacific. They discovered, or thought
they did. that Union Pacific was to
get control Of the Wabash, the
Wheeling and Lake Erie and the
Wabash Pittsburg terminal. as re-
suit OF the receiverships in which
those three properties are involved.
No official confirmation could be
had Of such a deal and it developed
that such q deal would be strenuous
" opposed IL attempted, but there
IL circumstantial evidence that lead
Ing interests in the Union Pacific
management want the Wabash and
believe they can get 1t together with
its allied lines into Pittsburg.
This Union Pacific Wabash rumcr
caused a sharp advance In Union
Pacific stock early In the day. but
in the afternoon Union sold OFF with
the rest OF the market Specialties
were strong throughout the session.
particularly Beet Sugar and Harvester.
An advance of copper metal to IA l a
cents had little influence on the price
of copper stocks. Bonds OF the
American Tobacco Company. Liggett
4 Myers and the +. Loriliard Com
panies were features of the bond de-
partment.- Tobacco shares were heavy
on the curb.
Cause of Steel Strength.
Strength of Steel was due largely
to announcement that pipe manu-
faoturers had advanced prices on
some sizes and that another advance
in wire would be made soon. Presi-
dent Taft's tariff message did not
hurt the market. because II was about
what had been expected. The WOO
business has not prospered under q
high tariff and even protectionists are
doubtful as to the business or poiiti-
cal value OF the woolion schedules
as they now exist They want tariff
reform over with. and the quicker
1t Is done the better it Will please
even those against whom ii is direct
ed.
That Lehigh Valley segregation pIar
Is becoming a serious matter. Every
body knows that the stock is worth
its market price on merit alone, but
somebody j. milking the public. AL.
though Wall Street has been full oil
reports recently that segregation
plan would be announced followtne
the dividend meeting of yesterday
this directors OF the company know.
Ing the report to be false. remained
silent.
The talk OF a purchase by the
Union Pacific. of Wabash, Wheeling
and Lake Erie and WABASH Pittsbprs
Terminal is rot necessarily n reason
for buying any of the stocks involved
although ths matter could be made
either a bull or bear argument &C
cording to me humor- of the market
The disposition today was to treat !,
as an argument for higher prices fol
Union Pacific. 1t was pointed out that
there are no legal objections to such
dea! since Union Pacific does not &c
east Of Omaha. nor the Waha sh west
OF that city. and they are not COM
petitors to any point. By taking the
Wabash, Union Pacific would get over
It's own tracks to st. Louis. Chicago
Toledo and Detroit. and it would also
get into Buffalo through the Wabash
traffic agreements with the Grand
Trunk.
Would Need other Limos.
But to get into Pittshurg the Union
Pacific would need also the Wheeling
and Lake Erie and the WABASH Pitts
burg Terminal. and there ii would
collide with Samuel Unterrneyer's com
mitteo that IL reor0anizing those prop
critics as an independent concern. The
new stockholders protective commit
tee. organized today in connection with
the Wabash receivership. is also work
ing In harmony with Mr.. Untermeyer
no that some strong opposition would
develop II Union Pacific were to at
tempt to get into Pittsburg or course
these committees are only trying "a
get back the money invested in the
bonds in question. and II Union Pa
cific could AFFORD to pay price that
would satisfy the bondholders. the
deal could he accomplished Other
wise there can be nothing done. Wheel
ing and Lake Erie and Wabash Pitts
burg Terminal reorganization plans
have been perfected and will be an
nounced A. soon A. settlement can be
secured with the Wabash OF the various
liti9ations against that company
brought in behalf OF tho Terminal
bondhofders. The inside workings 81
the syndicate that built the Terminal
Company win all be exposed In q cou-
pie Of weeks. when the suit for an
aoountinx comes to trial In tho New
York state courts,
W. and L. Z. Neorsantsatlen.
Tho UntsYmeyer committee. that has
~ - 49, ~ vaAk