|
The Metropolitan Street Railway System (New York)
Page entitled : Metropolitan Traction Company
Content of this page is about :
How the Street Railway Syndicate creted America's first holding company,
Metropolitan Traction, and gathered under its mantle the surface lines of
New York
Extract :
…
usually involved a
premium dividend on the stock of the leased company, as well as the
assumption of full responsibility for the latter’s debt. The shareholders of
the leased companies were thus given a particularly generous deal for their
property. This was notably necessary to gain the major lines, the
Metropolitan was not able to buy outright, such as the Lenox, Third, Fourth,
Sixth, Eight and Ninth Avenue railways, which were in the hands of well
established New York capitalists. As insiders, the promoters knew when to
buy the stocks of the companies, whose value would greatly increase
...
…
|
|
