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Show I. TAKES BACK FRISCO AND LEAVES ROCK ISLAND NEW YORK. Dec. 1 Six thousand five hundred miles of railroad, forming f the St. Louis & San Francisco Rnil- . rond company, commonly called the Fris- ; co, changed hands in New York to- J day by its severance from the Rock Island company,, with which it was merged in 1003. to form the well-known Rock Island-Frisco system. The purchasers are B. F. Yoakum, for-:' for-:' mer chairman of the Frisco-Rock Island I, executive committee, and B. L, Win- !' chell, former president of tho Rock Island, who now becomes president of i the Frisco. It is understood that Wiu- f chell and Yoakum have as their asso- i ciatcs in the deal some of the leading ii capitalists of tho Middlo West. inclucl- iug Adolphus Busch and F. J. Wado j of St. Louis, as well as the Union Trust I company of that city, i Federal Intervention Feared, j. All accounts agree that tho dissolu- f lion was brought about by fear of fed- eral intervention. Tho Rock Island and Frisco lines parallel and tap each other at various points, and there is reason to believe that the interstate commerce commission had taken cognizance of tho I Another interesting phase of tho transaction is that, despilo denials, tho current belief is that tho Frisco will form some alliance with the lines of Edwin Ilawley, the newcomer in tho railroad world, who, recently acquired, with B. F. Yoakum.'control of the Missouri. Mis-souri. Kansas & Texas, known ns tho ; "Katy" line. At. tho same time tho , relation of the Frisco and the Rock r Jsland are to be friendly and for tho benefit of both. According to official statements, in terests now in control of tho Frisco will operate that road as an indepen-' indepen-' dent propcrt', although the actual ' transfer cannot bo effected until the i $17,;j,(ii,000 of 5 per cent collateral i bonds of the Rock Island, which con- trols $20,000,000 of tho Frisco common j, stock, have been retired. : The redemption price is 1021,;, and largo quantities of the bonds have re- cently been traded in on the stock ex- change at a steady advance from 96 to lOl'j, the latter, or top price, being reached today A formal offer of ro- . demption probably will bo mado, at I onco. f Tho St. Louis fc San Francisco Rail- road company (tho Frisco) was organized organ-ized in ISOti as tho successor of tho railway company of that namo, which had been sold in foreclosure. When taken over by tho JRock Island company control of tho property rested with B. F. Yoakum and his friends, and Mr. Yoakum was mado chairman of tho Rock Island executivo committee. Enter Hawloy and "Katy." Credence is given the rumors of a Yoakum Ilawley allianco in moro ways than ono. Besides tho "Katy" recently recent-ly purchased, thoy have other interests in common. Mr. Hawley is credited with the control of tho Chesapeako & Ohio, the Chicago & Alton, tho Minneapolis Min-neapolis & St. Louis, the Iowa Central and -the Toledo, St. Louis & Western: while ho is interested in Hocking Valley, Val-ley, Toledo & Ohio Central, Western Pacific, tho Atlantic Coast Lino and Louisville & Nashville. The Frisco has not been a profitable profit-able subsidiary of the Rock Island system, sys-tem, for tho Hock Island, being responsible re-sponsible for tho Frisco bonds, was practically paying what tho Frisco did not earn. Both roads, thorcforc. look for improvement under tho new arrangement. ar-rangement. Official Announcement Issued Tho following official statement was given out: The Chicago, Hock Island & Pacific Railroad company of Iowa today sold and delivered to B. F. Yoakum and others, common stock of the St. Louis & ban Francisco Railroad company, representing the controlling interest, and being all the shares of stock which the Chicago, Rock Island & Pacific- Railroad company has heretofore owned in that company. A mooting of the board of directors of the Chicago, Rock Island & PacMc Railroad Rail-road company was held this morning, proper authority was given, and the transaction was later in the day closed. One of tho reasons for tho snle was the legal advantage, if not necessity, of a. separation of tho Rock Island and Frisco properties, a question having heen :aisod both by the federal and curtain stato governments as to the two roads being parallel and competing. The Rock Island and Frisco railroads will henceforth be operated as separate properties, there having been a complete legal Kcvcranco of all relations heretofore existing between them. Notwithstanding this, the friendliest feelings exist botwecn those In control of tho two roads, and it is Jntcnded that they shall be operated to the mutual advantage of both, wherever wher-ever it may properly be done. At a meeting of the board of directors of the Chicago. Rock Island fc Pacific Railway company, the following were elected as the executivo committee of tho companv; D. G. Rcid. W- II. Moore, J. II. Moore. F. L. Illnc. R. A. Jackson, H. U. Mudgo, 13. S. Moore. The following officers were elected: I). G. Rcld. chairman of the executive committee; R. A. Jackson, vice chairman of the executive committee; H. U. Mudgo, president. The meeting adjourned until tomorrow for the election of additional officers and the transaction of other routine business. At a meeting of tho board of directors of the SL Louis k San Francisco Railroad compnny, held this morning, the following were elected as the executive committee: 13. F. Yoakum. Edwin Ilawley, B. L. Winchcll. James Campbell, Frank Trumbull. Trum-bull. 13. V. R. Thayer, Thomas II. West. The following officers were elected; B. F. Yoakum, chairman of the executive execu-tive committee-, 13. L. WInchell, president. presi-dent. . , The meeting adjourned until tomorrow for the election of additional officers and the transaction of other routine business. |