The Richmond Virginian. (Richmond, Va.) 1910-1920, 1912-01-17

another step toward concentration or
banking interests
To Reorganise Wabash.
The Pierce committee in the Wa
bash announced that II had secured
deposits Of enough per cent. bonds
10 give II control OF the reorganiza-
ton of the company. Reports from
London Indicated an active campaign
In that quarter for Wabash securi-
ties and an early reorganization OF
the Gould system Is now looked Tor.
At the same time the protective com
mittees admit that they have not re-
eeived deposits as freely as they ex-
rected. Many investors prefer to
keep their bonds IN their own hands
until such time as they may know
exactly what to expect. The general
understanding In that tho per cent.
Wabash bonds will get so per cent.
In new bond and Is per cent. in
each OF the common and preferred
stocks to be issued when the COM
pany IL reorganized.
Belief also persists that In view OF
the early opening OF the Panama
canal some Western railroad system
will attempt TO acquire Wabash In
order to control business on the AT
lantie seabeaFd in behalf of the Psci-
tic coast railroads Every raiiroad
operating on the Pacih, asst should
have on the Atlantic seaboard
duplication OF it's Western lines. other
wise IT will lose much OF the freight
il now enjoys.
The Union Pacific is In the strongest
position in this connection because 1t
has the Pacific Mail for operation
through the canal and naturally 1t Is
the Union Pacific that is expected to
appear az purchaser of some eastern
hn n N
connection that is causing the appar-
ent heaviness of Union Pacific stock.
On the surface there Is every evidence
that Union Pacific Is being liauidated
but the evidence OF liquidation is 80
easily obtained that Wall Street sus-
poets some Interior motive.
No Corner in Lshish.
Tho attempt to create the impress
sion that "a corner exists In LehiEh
Valley cannot succeed for the Now
York Stock Exchange vii prevent any
foolishness IN that direction. Shorts
kill presahay -he- squeezed severely.
hnt there is no corner. Lehigh VAL
ley stockholders have n legal right
IL dispose oil their interest In the new
10 per cent. dividend, and the right
10 subscribe the coal shares as they
please. The directors have no legal
right to compel them to make their
subscriptions for the new coal sales
company stock through any one bank
er. The company may use that bank
er. but the stakeholder can use any
banker he pleases for his end OF the
transaction. Public sentiment Will MOI,
permit the Lehigh directors to get
away with the peculiar deal they have
attempted In this connection.
Strength OF Jersey Central is I'M
doubtedly based ON preparations that
ntuRf tta made before long ~ distri-
butte the stock OF that company to the
Atos kheIders OF the Reading. Through
leases running for s99 years the Jer~
sey Central controls several hundred
miles VI track OF railroad In the an
,hracite region that is parallel and
competing with the Reading. AS the
law forbids the ownership by one rail
road Of parallel and competing lines
1t is clear that ownership Of Jersey
Central was parallel with Reading that
caused the Reading To purchase It. In
the days when this was done, how
ever, Federal laws were looked upon
~ &, sss,ssa ,~sserss Mess that they are
likely to be enforced the Reading peo-
pie are anxious TO prove themselves
law abiding citizens before they are
compelled to do SO by the strong arm
Of The law.
The United States Rubber Company
announced another cut Of ten per cent.
III The price of automobile tires. This
makes a total reduction OF 20 per cent
price OF these ties aimee JAM
uary. 1911. The volume Of business
= has increased to a surprising extent az
Il result OF these reductions -
Number of shares sold today. 59l.-
AL: year ago. bs3.llS.
Tar value Of bonds sold today. 33.-
sbi.0oo. year ago. $5.463,00o.