|Tuesday, January 28, 1902, Vol. 58, No. 16210||The Globe (Toronto)||Page 1, col. 6|
C.A. Railway purchase.
Control of the Canada Atlantic secured by Vanderbilt.
Dr. Webb arrives.
Ottawa, Jan. 27.—Dr. Seward Webb, Vice-President of the Vanderbilt system of railways, arrived in this city this morning in his private car. In the morning he paid his respects to the Governor-General at Rideau Hall. This afternoon he had a conference, first with Mr. J. R. Booth, President of the Canada Atlantic Railway, and afterwards with Mr. E. J. Chamberlain, Manager of the line. Subsequently Dr. Webb admitted that the St. Lawrence & Adirondack Railway—virtually an adjunct of the New York Central Railway—had practically acquired control of the Canada Atlantic, and that only a few details remained to be completed, which he hoped would be put through to-morrow. The capital stock of the Canada Atlantic Railway consists of $2,000,000 of preferred stock, $5,200,000 of common stock, and $4,200,000 of first mortgage 5 per cent. bonds, making a total capitalization of $11,400,000. The road is well equipped. The net earnings of the company last year were $403,000. If, as stated in the despatches, the price of the Canada Atlantic is $10,000,000, that figure would pay nearly par on all the stock, both common and preferred, besides taking up the bonds, so that the stockholders—principally Mr. Booth—would get good value for their interests. The New York Central has already acquired the Montréal & Sorel or South Shore Railway, and the Rutland Railway. With their latest purchase, therefore, they control railways in Canadian territory extending from Depot Harbor, on Parry Sound, to Lévis, opposite Québec. The Canada Atlantic runs from Depot Harbor to Coteau Junction, where it has running powers over the Grand Trunk into Montréal. At the international boundary at Lacolle Junction the Canada Atlantic connects with the Delaware & Hudson Railway. Further south, at Swanton, Vermont, it joins the Central Vermont and Boston & Maine Railways. The St. Lawrence & Adirondack Railway runs from Malone, N.U., through the Counties of Huntingdon and Chateauguay to Caughnawaga, where a second entrance to Montréal over the C.P.R. bridge could be had. From Caughnawaga a small link of eight or nine miles remains to be built, and the St. Lawrence & Adirondack will then reach the Victoria Bridge, on the Grand Trunk System, giving a third entrance into Montréal, and also the South Shore or Montréal & Sorel Railway. The letter line at present runs from Nicolet, but is to be continued to Lévis, about sixty miles distant. At Lévis the Vanderbilt system will be in touch with the Intercolonial, going to Halifax, and the Québec Central, going south to the boundary line, via Sherbrooke, striking the Boston & Maine. By means of the Rutland Railway the Vanderbilt system will also have a line extending from St. Hyacinthe to Iberville, where it gets into touch with the Delaware & Hudson Railway. With the Canada Atlantic and other eastern Canadian lines in its possession the Vanderbilts hold one-half of a possible Canadian transcontinental line.
Railways: B. & M.Rd., C.A.Ry., C.V.Ry., G.T.Ry., M. & S.Ry., N.Y.C.Rd., Q.C.Ry., Rut Rd.., St.L. & A.Ry.