The Washington times., 1919-08-29
D. RAILWAYS
TO Be VALUED
NDAY0R
Company Heads Consider Plan
for Merger Suggested BY
Mr. Gardiner.
y BILL PRICE.

What is becoming known as the
Gardner plan for merging the. two
street railway companies OF the Dis
trict-and some combination or pub
lie control must be made soon TO OBJ
tain better conditions for Washington
people-ls receiving considerable at
tention among leading stockholders
Of the two lines, Il became known to-
day.
Commissioner W. Gwynn Gardiner
drst put forward his plan more than
year ago, when efforts were being
made by q joint committee OF stock
holders of the two railway lines 20
get together for a merger. Negotia-
tions were carried on for weeks, but
Saiied owing to disagreements as to
details Of a plan.
II Is Mr.. Gardeners purpose to de-
vote much of his time to bringing
about q merger when he retires from
his position as Commissioners and Is
s member Of the Public Utilities COM
mission.
He will retire shortly. os as soon as
the President names his successor.
Because Of the view Of practically
ali interests ~ Washington that q
merger Of the Capital Traction and
TrGshinEton Railway and Electric
Companies O. imperative. the Gardiner
plan win prove very interesting at
this time.
The Gardner Plan.
Stockholders Of the two companies
would meet and select q Joint com
nitfee TO represent them, choosing the
ablest and fairest men TO be found
This committee would select a deposit
tary, preferable q local trust com
pany. The stockholders would agree
20 deposit their respective holdings
Of stock in either company with the
depositary selected under the terms
Of the agreement.
The stockhoIders would receive
from the trust company, as deDoSi-
targ. receipts for the number Of
shares deposited. with the terms OF
the contract written in the receipts,
the vital portion Of the contract to
be q merger OF the companies The i
stock would remain in the depositary, |
subject 70 the order OF the joint COM
mittee, until the physical valuations
OF the two roads have been definitely |
determined by the highest courts. Az |
ter this, stock in a newly organized
company would be distributed upon
these court valuations. II either Of
the railway companies does not ap- /
peal from the valuations to be fixed /
BY the Commission, these valuations /
would be accepted in the final issue
OF new. stock.
DITidehds To He Paid.
Between the time Of the valuations /
fixed by the Commission and the
highest courts, the respective stock
holders shall receive dividends on
their stock on the basis OF the vslu-
ations Of the Utilities Commission. At
ter the termination Of litigation in |
stock. the dividends would be paid on
the court basis Of valuations.
Right To Sen or Assign.
On the receipts Of the trust com
pany for the original stock would be
the right 70 sell or assign, the same
Is applies to ali stock at this time.
Any holder OF the interim receipts
might sell or assign. and the fnal
holder would be entitled to new stock
iu the consolidated company.
The joint committee would be per-
mitted by the stockholders to deter
mine the management OF the merged
roads from the start, or al least until
the animal meetings Of the respective
Etockholders in January. at which
time the holders Of receipts would
elect directors or trustees to manage
and operate for the next ensuing year
IN the same manner as at present.
ME. GaFdIneFss Views.
To The Times today. Mr.. Gardiner
said:
"In the plan I propose. there would
be no injustice, IN my opinion, TO any
EtockhoIder. He or she would lose no
value. On the contrary, the value OF
the stock deposited should increase as
the benefits of consolidation became
more apparent.
at cannot see any legal objection to
such q plan. and IL appears the most
equitable can think Of There would
be equity and justice for all stock
holders, and much beneft to the pub
lie generally.
although have not recently talked
with the officers Of either Of the com
panies, am satisfied they would well
come q fair plan for consolidation.
Valuations In Few Days.
The Public Utilities Commission
will announce within q few days it's ]
6nai valuations OF the properties OF
he two railway companies The de-
There g. little PROBABILITY that the
three members OF the Commission
viii be unanimous IN their findings.
-vo Of them will agree. and a dis
eenting opinion viii be handed down
iav the third. That Is the way Il
looked today.
The Chamber Of Commerce has :
recommended that the Public UtiIi-
fies. Commission appoint a commits
don Of impartial men OF high stand
Eng. who will consider the various
merger plans and recommend one
that may Be accepted. The Utilities
Commission viii PROBABLY not DO this
unless there is a unanimous demand
not now contemplated.
INFAETILE PARALYSIS HERE.
-Four case OF infantils paralysis