Deals & Developments

Sick Seaboard. Early this year was consummated a re-organization of Seaboard Air Line Railway Co., whose 4,500 mi. of track stretch north and south between Richmond and Miami, west between Wilmington and Birmingham. A feature of the re-organization was that it provided the road with $20,000,000 new working capital. But business depression has cut Seaboard's net in the first nine months of 1930 to $4,527,000 against $8,479,000 in that period last year. Seaboard common has dropped from $12 1/2 to $1, preferred from $28 to $2 1/4. Last week the j railroad announced it was unable to cope j with the situation, asked its bankers, DilIon, Read & Co. and Ladenburg, Thalmann & Co., to help work out another new plan, i avert receivership. Chief immediate problem is the maturity of some $11,000,000 ; bonds during 1931. Seaboard Air Line is grouped with Wabash in the I. C. C. plan, but Wabash has shown no desire to acquire the unfortunate road. Southerners are familiar with Seaboard's practice of putting the names of oldtime engineers on their locomotives.

Proud Utility. One of the few large independent utility companies is United Illuminating Co. which furnishes New Haven and Bridgeport with electricity. Long has it been understood that United Gas-Improvement Co. of Philadelphia and the Fitkin interests (Abraham Edward and Willis Fitkin) have sought to obtain control of United. Last week United's directors proposed that stock in the company be trusteed for 15 years to assure local control. Mechanics of the plan involve formation of a new company, Illuminating Shares Co., issuance of two shares in this company for each share of United deposited. United Illuminating stock is very closely held, last sold on the New York Curb, unlisted trading, in 1927 at $97.

P. R. C. Price. Last fortnight, Philadelphia & Reading Coal & Iron Corp. sold certain power properties to Pennsylvania Power & Light Co., subsidiary of National Power & Light Co. for an undisclosed sum (TIME, Nov. 3). Last week it was reported that the price was $281,085 in cash, plus 115,000 shares of National Power & Light Common. At current prices this stock represents nearly S:4,000,000; if National Power & Light should regain its 1930 high the 115,000 shares would be worth some $6,756,000.

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