New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1913-03-14
MODIFY PACIFIC R. R.
DISSOLUTION PLAN
Aim to Meet Objections Raised
by Californian Railroad
Commission.
OFFICIALS ARE HOPEFUL
Southern Pacific to Handle
U. P. and G. P. Freight Over
Benicia Cut -Off-Com-
mission Informed.

julius Kruttschnitt. chairman OF the
board Of directors of the Southern Pacific
Railway Company. announced late yes
torday afternoon that an agreement had
been reached on modification Of the plan
separating that property from the Union
Pacific The changes were made TO meet
the objections of the california Railroad
Commission regarding the use of the
Benica cutoff and other terminal facili-
ties in California.
Tho chief feature Of the modified plan
provides for the handling Of Union and
Central Pacific freight over the Benicia
cutoff by the Southern Pacific. thus Civ
ing the Southern Pacific an opportunity
10 make arrangements for a division OF
rates with the Union Pacific without
throwing other parts Of its system open to
other lines. This move was made To de-
strOy. If possible. the contention OF the
Western Pacific that the 999-year lease
of the Benicia short Line 10 the Union
Pacific. as originally provided for is in
restraint Of trade and in opposition TO
the spirit Of the decision Of the United
states Supreme Court ordering the disso-
luton.
I'm order that the modified plan may he
approved BY the California commission
before midnight SATURDAY. when the UNI
dcrwrting syndicate agreement expires.
the California commission has been in
formed OF the essential details In order
that il may take immediate action. IF
the plan IS sanctioned Il will he presented
- the Circuit Court AT St Louis for APP
prevail on Saturday morning. IL is be
licved that the plan will be perfected and
the matter disposed Of by the end OF this
week
So FAR rs Wall Street il concerned. the
principal features Of the agreement APP
proved bv ex-Attorney General wicker
sham remain unchanged. II was said by
member Of Kuhn. Loeb & CO. yester-
dav that. 81 ould tho modified plan be ap-
proved hy the California commission and
TN. Circuit Court hy Saturday. tho I'M
de~wrltinc syndicate would still b. liable
FOR the handling Of the sl2i.oJ0"" South
crn Pacific stock e. be disposed % ac-
corling 10 the Suprcme Courts mandate.
Some question has arisen a 10 whether
new syndicate would have 70 be- formed.
lut IL appears that tins VIII not no he'es-
sary
A. tho rights 90 the Southern Pacihc
stock hav. not ,c' been ISSUED 20 Union
and southern Pacific stockholders. som"
question also has arisen as 90 whether
th. time for subscription. which expires
on March u. would Doe extended automat'-
raIlv N there should Doe further delay IN
issuing the rights Orcials ~ both com
panlos say. however that notice viii ne
givcr u any extension ~ tho time for
subscription IL made. 40 there VIII be
ample time FOR shipment OF the risht4
abroad
Washington. March i3-R'pres"ntauves
Of the Union Pacific and Southern lacih'
railroads hope for an carly agreement on
a new plan dissoiving the merger. accord
Ing 90 information received to-day los
Attorney General McReynoids No def
mite proposition has yet been submitted
90 the Atforncv General however.