Salt Lake Tribune | 1909-12-16 | Page 2 | Morgan Now Entries the Telephone World

ibgi low Emms THE TELEPHONE WOHLD King of Kiuance Secures Control Con-trol of Two Companies; Is After Others. TOLEDO. O.. Doe. Jn. Announcement was made today that J. P. Morgan & Co. have bought two of the independent telephone properties lu which James S. Brnllcy, Jr., of thin city, recently lost control. On authority from Morgan & Co., the following Htntcmc.nl was Issued by Clarence Brown, counsel for tins United Slates Lontr Distance Telephone company and the Cuyahoga. Telephone company of Cleveland: "1 am authorized by James S. Brnllcy. Jr., to announce thai J. PJerpont Morgan & Co. have purchased, for their own account, ac-count, a majority of tho stocks of tho United Slates Long Dlstanco and Cuyahoga Cuya-hoga Telephone companies. Further than this, no stutcment can bo made at present." pres-ent." Mr. Brnllcy admitted today that ho hat mnde a deal for the new plants at Columbus Col-umbus and Dayton, O. Millions Rcpreaonted. Announcement as to these companies, the new long distance company, tho Indianapolis In-dianapolis Telephone company, and tho Toledo Home Tclephono company. Is withheld for tho present, but unofficial Information that, they' have been, or will be. acquired by Morgan & Co., Is credited. cred-ited. Control of the seven companies is snld to represent a cash outlay of eight million dollars. The United Stntos company is tho long dlstanco service of tho Independents In Ohio and Michigan and the new long distance dis-tance company in Indiana. Tho management manage-ment practically will remain the same as now. Uxcept for the statement that these properties will bo continued as "separate plants in competition with the Bell, but upon conservative linos without disastrous disas-trous prlco cutting." their futuro relation rela-tion lo tho Bell company Is left somewhat some-what open, so far ns official Information goes, it seems, however, that the light on the pari of the principal independents In the middle west has been shifted to the Continental Telephone and Telegraph company, which Is being promoted by II. C. Stlfel and Max Kocsler of St. Louis and John A. Howard of West Vlr- Good Faith Alleged. Tho Brallev-Brown Interests made no denlnl of this, and Mr Brailey today gave out a statement declaring that tho Continental company and its promoters, and not minority stockholders of independent inde-pendent properties, In good faith instigated instigat-ed the suits against the United Stales and Cuyahoga companies. Information was given tonight thai the new owners plan that independent companies com-panies In smaller counties shall solve their own problems, consolidating, If they desire, with tho Bell where opposition plants are not prolllahle. Otherwise. Brailcy-Brown Interests declare, the Interests In-terests of all other companies will be protected.