New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1914-07-15
UNITE TO PROTECT
RAILROADS. BONDS
Kuhn, Loeb & Co. Repre-
scented on Committees for
Missouri Pacific Bonds.

strength in Missouri Pacific issues
on the Stock Exchange yesterday was
explained late in the day by an an
houncemcnt that strong banking in.
terests had formed two committees TO
protect the holders of the companv's
hrst and refunding mortgage con-
Veruole per cent bonds and the FORTY
year is. What was considered espe-
clally significant in the announcement
was the appearance Of the names of
Otto II. Kahn and jerome J. Hanaucr.
both Of Kuhn, Loeb & Co.
Ever since negotiations were begun
10 pay of Missouri Pacifc's $4,000, 600
issue of notes which matured June
this banking firm has been connected
with possible plans for the reorpani-
zauon OF the property. The firms
refusal to finance the June notes tenn
porarily set at rest reports of its re-
entrance into Missouri Pacific's affairs.
but now that it is represented on the
protective committees for the roads
bonds Wall Street holds that the Will
lam 81. bankers will have an important
voice in any readjustment plan which
may be formulated
The committee for the Missouri Pa
cifc convertible per cent bonds. of
which S29,S06,000 are outstanding. con-
sists Of Alexander J. Hemphill, presi-
dent OF the Guaranty Trust Company.
chairman; Robert Fleming, represent
ing the London bOndholders; Donald G..
Geddes, of Clark, Dodge & Co.; Jerome
j.. Hanauer, Of Kuhn, Loeb e. Co.;
Alvin W. krech, president of the
Equitable Trust Company, and c. +.
Ter Meulen. of Amsterdam, represent
ing the Dutch bondholders.
Benjamin Strong, jr., president OF
the Bankers Trust Company, is chair
man of the committee representing the
S37, 255,000 forty-year As. The other
members arc Otto II. Kahn, of Kuhn,
Loeb g. Co.; John W. Platten, presi-
dent of the United States Mortgage
and Trust Company. and W. II. Will
Jams, president Of the First Mortgage
Guarantee Company.
The organization of these two COM
mittees at this time is considered par
/ ticularlv significant in view of predic-
tons that Missouri Pacific is on the
! verge of drastic reorganization which
. may involve a heavy assessment on
I the company's stock and a scaling
down of interest bearing securities
Should there be a default on the bonds
now officially represented by promi-
nent bankers the interests Of the hold
ers Of the bonds should be we'll taken
care Of.
For the FIRST time in several days
buying orders for Missouri Pacific
stock were in evidence on the Stock
Exchange Yesterday and the stock
closed at l17s. gain Of "a points
over Mondays closing price. The
bonds were also strong and advanced
more than a point Last week both
issues declined more than ten points
on rumors Of reorganization and pos
siblc reecivership.
No plan has yet been presented for
meeting the Sll.0O0.000 three year :
per cent notes OF the international &
Great Northern. another Gould prop
orty. which mature August l. A con
/ ference OF the bankers and the rail
roads officials was held yesterday. but
the only announcement after the meet
ing was that progress had beer made
A conference will be held within tho
next day or two between officials of the
/ Denver & Rio Grande and the Western
Pacific and bankers with respect to the
/ payment of the September | interest
on the bonds Of the latter company.
Final action regarding the matter. II
was said. would be taken by the Dem
yer & Rio Grande directors. Their next
regular meeting will not take place
until the first Thursday in August.