| Show The Central Pacific System Leased NEW YORK March 3IThe report is current that the Central Pacific system of railroads has been leased to the Southern Pacific Company for ninetynine years the lease commencing tomorrow Leland Stanford President of the new company and it has a capital stock of nearly 100 000000 The transfer includes the Central Cen-tral Pacifics leased roads in California The reasons set forth in the preamble of the lease for making the transfer are as follows It appears that part of the business busi-ness heretofore done by the Central Pacific Pa-cific railroad from Ogden to the waters of the Pacific have been diverted by the Northern Pacific Atlantic and Pacific Atchison Topeka and Santa Fe Railroad and that the Union Pacific Company has secured control of the Oregon Short Line thereby securing an outlet to the Pacific over the Oregon roads without using the Central Pacific that in order to maintain main-tain itself against such diversions the latter should be allied and operated in connection with a friendly line through to the waters of the Atlantic The Southern Pacific Company has secured control of such line between the bay of San Francisco Fran-cisco and gulf ports with the use of steamships steam-ships thence to New York available for I tiimiirrh ii traffic b Each of the contracting companies iHi visi i having a large local traffic on between them respective lines harmony I is important and the Central gains protection pro-tection against the diversions of its I time through business while at the same I both are to be operated so as to secure I their just rights to each withoutone gaming advantage at the ex i benefit or ing any of the other Separate accounts of pense earnings and expenses of the roads the of but the administration are to he kept both will be concentrated |
