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Show AGREEMENT j IS REACHED Railroad Dissolution Plan Approved By Attorney At-torney General Washington. Feb. 10. Attorney I General Wickershnm announced last night that he bad reached an agreement agree-ment with the representatives of the; Union Pacific and the Southern Pacific Pa-cific railroads for the dissolution of the greai Harrlman merger as de- ' creed by the supreme court I The Union Pacific agrees lo sell Its 1 1.266,600 shares of Southern Pacific si.ick to Its own stockholders and I those of the Southern Pacific in what the government regards as safe proportion pro-portion The Union Pacific will rtC- quire the Central Pacific from thr j Southern Pacific, giving It an extension exten-sion from Ogden to the Pacific cOUSl The plan announced last night is essentially the same as that made I public a few days ago by the- two ' roads, when they reached an agree -' ment satisfactory to themselves difl-I difl-I solving the merger The attorney general m ; public statement goes into greater detail, however and declares that competition compe-tition will supplant monopoly under the agreed si heme of separation He gives it his unqualified approval. The various contracts necessary foi I the carrying out of the agreement authorised by the boards of directors of the railrond ompanles have been completed and the effectiveness of the plan Is conditioned upon its approval ap-proval by the United States district court, to which it will be presented at an earlv day. Wlckersham's Statement. In his statement the attorney general gen-eral says "The result of the whole transaction will be to create Ideal competitive conditions between the Inion Pacific Pacif-ic and the Southern Pacific for trans continental business between eastern points and Portland and San Fran-cIfco Fran-cIfco and to relieve the states of Cal-Ifornia Cal-Ifornia and Oregon of the monopoly ol railroad control which has been the occasion of such widespread pub lie dissatisfaction In the past The plnn In brief provides lor Lhe disposition of l,26J.riUii shares of stock of the Southern Pacific which :he supreme court requires the Union Pacific Pa-cific to dispose of. by offering thc-same thc-same for subscription to and among the stockholders of the Union Pacific Pa-cific and the Southern Pacific companies com-panies the holder of every four shim s of s.tock of the Union Pacific company com-pany to have the right to subscribe for one of such Southern Pacific ' shares and the holder of every three shares of Southern Pacific stock to have the right to subscribe for one share of such Bhares Wide Distribution. "The larger proportion given to the Southern Pacific stockholders was ln-' ln-' sisted upon by the attorney general I for the purpose of insuring a wldox distribution among the Southern Pa-, Pa-, cific shareholders and to guard against the securing of any undue ! control of the Southern Pacific com-pany com-pany by the shareholders of the I n-lon n-lon Pacific. The result of the dls-! dls-! tribntioii if all the shareholders should 'avail of their subscription rights will be that the present stockholders of the Southern Pacific company will own 71 per cent of its capital stock, j while the stockholders of the Union ; Pacific will hold only 29 per cenl The stock in so offered for subscription subscrip-tion at a price practically equal to par. payable prictlcallv lb four installments in-stallments extending over a period of nine months. Some of the Details. "Out of the proceede ol uuch sale of stock t'ne Union Pacific Railrond company le to pay to the Southern I Pacific company for the entire cao!-tal cao!-tal stock of the Central Pacltlc Railroad Rail-road companj now held by the Southern South-ern Pacific company, thy total consideration con-sideration amounting to upwerda of 1104,000,000, and the existing ieaae of the Central Pacific to the Southern South-ern Pacific railroad are to be can-I can-I celed. 1 Provision is a!s) made for the lease in perpetuity by he Centrol Pa-cific Pa-cific to the Southern Pacific of thv line connecting the Southern Pacific road In California with the Oregon L California line, miking direct connection con-nection from San r ?flicleco to Po" land. Ore., and for '.ue gran", by 'he Southern Pacific to the Central of equal running nghta with 'he Sou'V em Pacific over the Benlclr. line be tween Sacramento and Oakland and I between Redwood and San Franc'''. : ; thus affording the Union Pc1": b) I way of the Central Pacific a direct ! line for its transcontinental tral Q over the short lino between Omiih'' and San Francisco There are various vari-ous provisions for the joint, equal use by the two companies of '.he terminals ter-minals at Junction pointB and other details not no. c-snry to be mention cd here |