Evening star. [volume] (Washington, D.C.) 1854-1972, 1913-07-17
|PENNSNV WANNA IS OUT
| OF BALTIMORE AND OHIO
Transfer of Stock to Union Pa.
cific CompIeted-Po|icy of
Road Not to Change.

NEW YORK, July 1.-THE $3s.O0o,WO of
Southern Pacific stock held in the treas
ury of the Union Pacific has been ex-
changed for tile $42,OO.O00 of Baltimore
and Ohio held by the Pennsylvania Rail-
road Company. Prominent officials of
both the Union Pacific and the Pennsyl-
vania companies were present when the
exchange was made.
According to present plans, the remain
ing $SS,0O00O0 of Southern Pacific stock
will be deposited Immediately with the
Central Trust Company as trustee.
This marks the first important step in
connection with the final adjustment of
the unmerging of the Hartman lines.
The price at which the $SSW0,Ooo of
Southern Pacific stock Will be offered for
subscription, according to member of
the executive committee, will not be
finally decided for at least three weeks
Now that the Pennsylvania has finally
| parted with its holdings of Baltimore and
| Ohio stock, President Willard of the Bal
| umore and Ohio thinks John p. Green
| and Joseph Wood, no longer representing
stock, will at once resign from the direc-
| torate.
Not to Feel Change.
In discussing this change of ownership
Of this large block of Baltimore and Ohio
stock President Willard said that a year
or two ago he was asked what effect the
Pennsylvania ownership of Baltimore and
Ohio stock had upon the policy of the
local railroad ana his reply was None
| whatever" He said then that the mem
| bers of the Baltimore and Ohio directorate
| who represented the Pennsylvania inter
| ests in the road We're not only men OF
high character, but experienced railroad
l hot f6xair
| had always been helpful and in no in
| stance had they ever sought to exercise
| in the slightest degree their 1nnuence
| in any manner which could be construed
| as detrimental to the best interests OF
| the Baltimore and Ohio.
+, Now that the Pennsylvania company
| has sold it's interest in the Baltimore and
| Ohio. he said that he could only repeat
| what he then said.
| Referring to the competition between
| his company and the Pennsylvania, Pres
| ident Willard said that there had been a
| friendly but keen competition in the past.
| but. he said. in fact, the same kind of
| competition for business existed, or does
| exist, between the Baltimore and Ohio
and the Western Maryland. as Well as
with other competitors. and this will
| continue to exist.
Status of Holdings Unchanged.
| AS to the effect of increased interest by
|
Ohio, he said it would be nil. While the
Union Pacific railroad now owns some
thing over 40 per cent of the entire cap
! ital stock of the Baltimore and Ohio,
! and may be said on that account to have
substantial control of the road, Mr.. Will
| lard pointed out that the Union Pacific
for number of years had very supstan-
| tial holdings In the company, ana It's
status as a stakeholder has not changed
materially.
Attention was called by President Will
| lard to the fact that the traffic relations
| between the Baltimore and Ohio and
| Union Pacific have been friendly in the
past and of a reciprocal nature, and he
expects that this arrangement will be
continued. There is no reason to expect,
however that the Union Pacific will ia
tvor Baltimore or the Baltimore and
Ohio more than it's other possible con-
nections between the east and the west,
| because if it were to esta blish preferen-
tial relations it would antagonize its 9TH
or eastern connections and result in
more harm than good to the Union Paci-
| hc. The same might be said concern
| ing the Ba .timore and Ohio.