Evening star. [volume] (Washington, D.C.) 1854-1972, 1927-02-08

OF L. f. Loree of the Delaware, Lacka-
wanna and Western.
The New York Central, the Nickel
| Plate and the Baltimore and Ohio each
| has acquired about one-sixth interest
| in the three classes of Wheeling stock
| and the Baltimore and Ohio holds 35
| per cent of the outstanding Western
Maryland stock, equivalent to con-
| trolling interest.
Announcement of the holdings of
| the roads allied against the Loree
plan also cast light on the mystery
| behind the technical corner in Wheel
| ing and Lake Erie and the sansa>
| tional advance in stock Of that road
| and Western Maryland in the last few
weeks.
Wall Street today awaited approval
| by the Interstate Commerce Commits
sion of the Wheeling & Lake Erie
plan to increase it's issue of common
stock to end the corner that has re-
| suited in loss of millions to bear
traders recently.
An alliance of New York Central,
| Nickel Plate and B. & 0. providing
that the Wheeling & Lake Erie and
the Western Maryland shall be
neutral terminals" establishes a
gigantic network Of railroad lines
reaching from Norfolk to Montreal on
| the Atlantic Seaboard, with outlets
on the southern ports of the Great
Lakes and with entrances to the traf-
fic gateways to the West.
Gets Alternative Routes.
Through the maneuver the New
York Central secures alternative
| routes into the union coal fields over
the Pittsburgh and Lake Erie and
| into the non-union fields over the
| Wheeling & Lake Erie. Wheeling
common selling at 95, and Western
Maryland at IA on the New York
Stock Exchange represent advances
of IS and 81 within one month.
Short traders in Wheeling & Lake
Erie remained trapped as the techni-
cal corner in the stock continued.
Short interests covering on commit
ments yesterday were forced to pay
81 a share premium, or $500 for one
days use OF 100 borrowed shares.
That the Stock Exchange recog-
niZes the growing tenseness of the sit
| uation is seen in its order to all mem
berS to report the number Of shares
borrowed and from whom and the
number Of shares loaned and to whom.
The new interests in Wheeling and
Lake Erie and Western Maryland
We're victorious in their coup through
| well executed market deals and a
private transaction with John d.
Rockefeller.
/ Mr. Rockefeller is said to have held
about 95 per cent of the prior lien
stock in VIII ceiling and Lake Erie, on
which dividends had been accumulat-
ing for years. A. II. Harris, vice
president of the New York Central,
announced that his road had acquired
over 95, 900 shares of Wheeling stock,
and M. j. Van Swer1ngen made a
similar announcement in behalf of the
Nickel Plate. George M. Shriver, SEN
Tor vice president of the Baltimore and
Ohio, said his road holds about one
sixth interest, or practically the same
amount as the New York Central and
the Nickel Plate. Aggregate holdings
of the allied roads are estimated to
be worth more than 100000 than
before the advance in Wheeling and
Western Maryland began on the eX
change.
Reply to LOree's Victories.
Transfer of control in the two roads
is regarded in Wall Street as the elm
ination of two vital units in the Loree
merger proposal. The three-cornereC
coup comes as sudden and seemingly
effective reply to Lorees recent vic
tories over the Central the Nicke
Plate and the Baltimore and Ohio.
Loree recently bought the Buffalo
Rochester and Pittsburgh while Other
leaders were bordering over its des
tiny, and invaded New York Contra
territory by buying into Lehigh Val
ley, which, Wall Street believes, en-
titled him to an equal voice with the
Central in the Lehigh road.
w. j. Harahan of the Chesapeak,
and Ohio announces that his road ha.
directed the filing of petitions with the
, Interstate Commerce Commission fo
permission to acquire stock control o
the Erie Railroad and the Pere Mar
quette and for permission to sell $50
SOP 400 of the company's common
stock at par.
; The announcement is believed to in
) dictate that the Chesapeake and Obi
l has been chosen as the holding com
pany for the projected Van Sweringel
consolidation of Nickel Plate, Erie
. Pere Marquette, Chesapeake and Obi
d. and Hooking Valley.
! George S. Kemp, chairman of TIN
s, minority stockholders in the Chesa
: peake and Ohio in Richmond, Va, ha
j, denied reports that minority interest
: had discussed the sale of stock to ma
jority holders, in contradicting rumor
. that negotiations with the Van Swer
u ingen brothers had reached a deadlocI
D because the minority group insiste,
D on price Of 1910 . share for thei
holdings.
MINORITY TO FIGHT.
&c. & O. Stockholders to Oppose Issuin