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Show I i REACH AGREEMENT i $ "Western Pacific and Union Will . Operate in Perfect I i Harmony. 'r i H GEORGE J. WILL NOT : HAVE ATLANTIC OUTLET Transcontinental System May fk Be Abandoned Under the ew Understanding. 1 :. - nj Just before sailing for Europe on the 5v I Kronprinzessin Cecilc, George .T. Goulrl V X expressed himself as fairly well satis- ; fied with the condition of his railroad properties, notwithstanding tho fact 'ijj ' ioat four of them were in tho hands S of receivers. He talked as if his house I- I had been put in order. No longer, it 0 seemed, was every hand raised against t i hira in important railroad circles in the ast and West, .jj Later in tho da- this assumption was I strengthened by positive statements in x both Gould ami other railroad circles, f aye tho New York Commercial. n all :', theso quarters the statement was made Jj, J positively that tho differences between i i the Gould roads and the trunk lines in ': the East and the Gould roads and the !i Hirriraan and other Pacific Hues in the ' ' West had been adjusted, -k: v According to the terms of the agrce- I TBfnt, as it is generally understood, Mr. 2 Gould is to retain the possession of all j"? 5 M properties west, of Pittsburg, wheth-nl wheth-nl 1 er in tho hands of receivers or not; he $t ' is to complete the work on tho Western Pacific and to operate under an agree- f ment with the JTarrinian and other J j Western lines. lie is to reorganize, 2? x without opposition from other railroads. j? the lines west of Pittsburg. But while 4lu X' h has crossed tho "Rockies with the '' I Weetcrn Pacific, he may not cross tho "lh !; Alleghanies and connect tho Wabash 'M (" ivgtem with the Western Maryland, it ' Eoad Will Not Be Linked. The Gould interests in the Western ; Maryland are to bo protected, whother tni f- tho road is reorganized independently fclJ p or as a Gould road, but; that road is not . io be linked with the others by any new - ' i construction and the vision of a rrans- ps-'i k tontinental Gould system will not again .- appear as long as the agreement holds. (iy ; As is well known, Mr. Gould fell out ' ' with the trunk lines, notably the Penn-' Penn-' - ' ivlvania and Baltimore & Ohio, by i building an entrance into Pittsburgh, .r? ? purchasing tho Western Mnryland, and itt? planning to connect Pittsburg with the ; Western Maryland. He fell out with .'i-- i the trans-Mississippi linos by beginning T1' i the construction of tho Wes'tern Pacific fm. 0 to San Francisco. A railroad once built :!JJ t cr ono gearing completion must be opc- i rated to save any portion of the invest- I ment and the agreement recognizes this I old railroad proposition. The agree- j ment also recognizes the folly of com- 1 petition between roads to many of tho ! same traffic ceuters. Accordingly the i Western Pacific, on its completion next year, will start operations without danger dan-ger from rate cutting by the Hnrriman and other Pacific lines. Tho day before his departure for Europe Eu-rope was one of the busiest in Mr. Gould's business career. In tho early part of the day meetings of the Wheeling Wheel-ing & Lake Erio directors decided upon a receivership for tho road. The directors di-rectors then discussed plans for the merger of the Wheeling & Luko Eric and" tho Wabash-Pittsburg Terminal, arid the reorganization of tlicso two suspended sus-pended companies under Wabash control. con-trol. Finally Mr. Gould had a long interview in-terview with E. H. Ilarriman, as a result re-sult of which, it is believed, the finishing finish-ing touches wore put on an agreement in both tho West and East. Ilarriman Gained a Point. Mr. Harriman, it was said, very like-lv like-lv was persuaded into an agreement with tho Gould roads in the West by tho abandonment of the Gould trunk lino proposition in the East, for the Gould scheme contemplated direct competition com-petition with the Baltimore & Ohio, which the Union Pacitic controls. Whatever What-ever it lost to the Western Pacific will he more than made good by tho undis-I undis-I turned occupancy of Us territory by tho Baltimore & Ohio. Mr. Harnman, not being in a position to prevent the completion com-pletion of the Western Pacific, undoubtedly undoubt-edly welcomed developments blocking the tidewater outlet for tho flould roads in the East. . In tho interview he gave out, before sailing. Mr. Gould declared emphatically em-phatically that there would be no moro roceiversliips among tho Gould properties. proper-ties. Ho felt, he said, that he was leaving leav-ing all his properties in a comfortable position. If he did not feel so, .ho said, he would not go away at this time. |
