Evening star. [volume] (Washington, D.C.) 1854-1972, 1927-03-18
LOREE RAIL MERGER
RAISES BIG BATTLE.
Proposed Fifth Great Trunk
Line Causes Shift on Many
of Carriers.
BY CARL S. BRANDEBURY.

NEW YORK. March IS P).-The
checkerboard war Of the Eastern
trunk line carriers to capture the
rich railroad business that lies be-
tween the Atlantic seaboard and the
Mississippi River continues unabated
while quiet moves are planned by
the captains of the railroad industry
Nearly $4,000 miles of railroad with
a. capitalization of $4,500,0 100000 are
involved in the tangled question
whether the Nations transportation
business in the Northeastern section
of the United States shall be carried
on four highly consolidated trunk
lines of a fifth system created by the
building of new trackage to connect
certain independent lines between
New York and the Mississippi Valley.
In the swirl and furry of railroad
securities that rise and fall on the
stock exchange; in the yelled moves
of quiet buying by railroad interests
of feeder railroads and in the plan
proposed for rail consolidation made
by the Interstate Commerce Com
mission may be pieced together
composite picture of a railroad war
that has not it's like in transportation
history.
No Rate War.
No rate war impends or is pos.
sible, the bankers say, as in other
days, but 1t is a struggle OF carrier
giants to organize their strategical
positions in their own fields and OBJ
tain the greatest amount of gross
business.
Some seven years ago this subter.
ranean battle began with here and
,Fr f,nIi rytC Ia
10 the public. Today finds the Ques-
tion of a four or five trunk line sys-
tenn still unanswered. with the forces
led by the New York Central urg-
ing four-trunk arrangement, while
Leonor +. Loree. president OF the
Delaware and Hudson, fights for
fifth system that would link up the
Delaware & Hudson, the Buffalo.
Rochester & Pittsburgh and the Wa
bash by new trackage In Pennsylvania
with certain trackage rights over the
Pennsylvania railroad. Aligned with
Loree in his fight against the New
York Central, Baltimore & Ohio and
the Van Sweringeens, It is Indicated
is the Pennsylvania.
Loree's plan for the fifth trunk line
sustained a jolt when the Buffalo.
Rochester & Pittsburgh declined the
suggestion Of the Interstate Commerce
that line be continued. Wall street
bankers say that IL the Interstate
Commerce Commission decides finally
to permit Loree to acquire the
Buffalo, Rochester & Pittsburgh, the
head of the Delaware & Hudson will
again seek its acquisition.
Four-Line System.
The four-trunk-line system. as urged
ffs
friends, groups the following lines:
1. New York Central. with the addi-
tion of the Lehigh Valley; the Buffalo.
Rochester & Pittsburgh and the On
tario & Western.
2. The Baltimore & Ohio plus the
Reading, Jersey Central, Ann Arbor,
the Monon, Buffalo Susquehanna.
the Cincinnati, indianapolis West
ern and the Western Maryland.
3. The Nickel Plate, plus the Lacka-
wanna, Virgfnian, the Detroit & To-
ledo South Shore. and possibly the
Wheeling q Lake Erie and the Pitts
burgh & West Virginia.
4. The Pennsylvania plus the Nor
folk & Western, the Grand Trunk
Western and the Chicago & Alton
from Chicago to st. Louis.
The grouping for the Nickel Plate
route has been changed by the OPP
erations of the Van Sweringens. who
are trying to bring about a combina-
ton of the Nickel Plate, Erie, Chesa-
peake & Ohio. Pere Marquette and
Hooking Valley.
The chief figures in the fight over
The four or five line systems, with
the Interstate Commerce Commission
trying for solution. are Samuel Rea,
president of the Pennsylvania; George
+. Baker, dominant force in the
Lehigh Valley and New York Central;
Leonor +. Loree. head of the Della
ware & Hudson; Daniel Willard. presi-
dent of the Baltimore & Ohio. and the
Van Sweringens OF Cleveland.
Ripley Plan Features.
With the transportation act Of 1920
openly espousing great railroad con-
solicitations, where there had for
years been severe opposition to them.
Prof. Ripley Of Harvard was engaged
by the Interstate Commerce Commits
sion to evolve an amalgamation plan.
Prof Ripley favored a five-trunk-line
system, namely, the Pennsylvania, the
New York Central, Baltimore & Ohio.
the Erie, and the creation OF fifth
system. He further proposed to award
the Jersey Central and the Reading to
the Baltimore & Ohio. the Lehigh Val.
ley to the Erie, to which would be
added the Wabash.
Prof. Ripley created a fifth trunk
line, with the Lackawanna as the
main stem, to which would he added
the Nickel Plate, the Buffalo, Roches-
ter & Pittsburgh. the Western Mary