TUESDAY, JANUARY 16, 1968 Supreme Court Approves Railroad Merger NEW YORK (IP) The Su preme Court approved yesterday the nearly six-year -old proposal to merge the Pennsylvania and New York Central railroads in the big gest consolidation in U.S. corporate history.' In a 7-1 decision, the court in Washington cleared the tracks for the creation by Feb. 1 of the world's largest privately owned railroad sys tem with assets of more than $4.3 billion. Justice Abe Fortas, speaking for the court, said the justices could find no basis for reversing approval of the merger by the Interstate Com merce Commission and a New York federal court. The merged road, to be known as the Pennsylvania New York Cen tral Transportation Co., stretches halfway across the continent be tween New York and St. Louis and Chicago with 20,000 miles of road. Eventual savings for the rail roads have been estimated at more Commonwealt Press Association To Meet The Press Association of Commonwealth Campuses, a state-wide organization of commonwealth campus news papers, will hold regional conferences beginning at 1 p.m. Saturday. The campuses east of University Park will meet at the New Kensington Campus, and campuses west of University Park will meet at the Schuylkill Campus. "Reorganization will be the main theme of these con ferences," said Timothy J. Aurentz, interim chairman. He said that in the last three years, the Press Association has been ineffectual. "Through reorganization, it is hoped that the Press Association will be better equipped to carry out its pur pose," said Richard A. Nash, interim vice chairman. Explain New Projects • Aurentz (Bth-marketingLebanon, Pa.) and Nash (Bth liberal arts-Shamokin) will be guest speakers at the con ferences. Their speeches will explain the plans and proj ects of the new organization. The new organization was developed last term, ac cording to Aurentz. He said that the member newspaper editors have adopted a new constitution which will take effect at the organization's Spring Conference,—pending action by the Senate Committee for Student Affairs. The Interim Commitee was appointed by Gerry Hamilton, president, to prepare the organization for its new consti tution. Other members of the committee include Bill Epstein (Bth - journalism - Philadelphia), former president Dennis Arbutiski (11th-English-New Kensington), Linda Cunning ham (sth-journalism-Shamokin) and Gerry Winslow (6th education-Altoona). Shafer To Give Budget to Assembly Early HARRISBURG (AP)—Budget Se cretary Arthur F. Sampson said yes terday Gov. Shafer tentatively plans to submit his 1968-69 budget to the Gen eral Assembly when the lawmakers re convene March 4. "That is our plan at the present moment," Sampson said. "I've already had briefings with our budget analyst and will begin reviewing the individual departments Tuesday." The 1968-69 budget is expected to exceed the $2 billion mark as com pared with $l.B billion for the current fiscal year ending June 31. Sampson, meanwhile, turned down a request from Senate President Pro Tempore Robert D. Fleming, (R-Alle gheny) that the legislative leadership BUSINESS CANDIDATE SCHOOL Wednesday, Jan. 17 151 Willard Bldg. than $BO million annually. More than 95,000 employes are affected but the merger agreement protects them against loss of jobs. Part of the merger agreement is that the Penn-Central will make a loan of up to $25 million to the financially ailing New Haven Rail road and pick up some of the New Haven's operating losses. The court also approved, in its decision, ICC terms calling for the Norfolk & Western, a prosperous coal-hauling road, to take over three smaller eastern roads—the Erie- Lackawanna, Delaware & Hudson and the Boston & Maine. The three smaller roads, fearful of the economic consequences of the Penn-Central merger, had sought refuge under the Norfolk & Western corporate umbrella. Under the merger plan, the Pennsylvania's chairman, Stuart T. Saunders, will become board chair man and chief executive officer of Department Re be furnished with advance information on the new spending program. "It is the duty of the executive branch of government to screen budget requests in preparation of the budget," Sampson said in a letter to Fleming. "We will not give out such infor mation in advance of the presentation of the budget to the legislature March 4. We will begin discussions with the departments . . . today and these meet ings will be closed." Sampson said that this has been a traditional practice a n d similar re quests in other administrations were al so denied. Administration officials have said in past weeks that new spending re quests are expected to amount to some $5OO million, but would have to be trim- No matter what interests ... THE DAILY COLLEGIAN welcomes you to its editorial and business staffs. Positions are available on our editorial staff for reporters. Opportunities also exist in our classified, local, and national advertising departments, as well as in our public relations and credit departments. Separate candidate schools are being offered next week' for students interested in joining our business or editorial staffs. No previous experience is necessary. Students in any major are welcome no matter what your interests! 7:00 P.M. Pennsy, NY Central Now World's Lar the Penn-Central. The Central's president, Alfred E. Perlman, will become president and chief adminis trative officer. In a joint statement, Saunders and Perlman said they were "grati fied" at the court decision. Consummation of the merger will make it "possible to extend early financial aid to the New Ha ven and to expedite its inclusion in the Penn-Central system," they said. Justice William 0. Douglas en tered a partial dissent. Justice Thur good Marshall did not participate, presumably' because of his position with the Justice Department as so licitor general. Regarding the New Haven, Fortas said: "Continuation of the op erations of the NH, which the com mission has found to be essential, can be assured only upon and after effectuation of the merger with the Penn-Central.", The New Haven hauls 25,000 commuters from Westchester Coun The committee will meet monthly, until May, to act on legislation for the reorganization. The first meeting of the committee is scheduled for tonight. Association Press Services, a central news agency, has been initiated on a trial basis, according to Aurentz. He said that APS is currently covering Keystone activities and the Organization of Student Government Associations. APS sends these stories to member newspapers. Aurentz said, "As we get some of the bugs out of the APS system, we hope to increase our coverage with the entire University as the focal point"- An administrative staff centered at University Park has been sending newsletters and other .information to member editors. The'staff has also handled all of the ad ministrative details. "Some of our plans for the future include an awards program, a periodical trade publication for members and a news magazine, for all of the campuses and centers of the University," said Aurentz. "The reorganization will permit us to include yearbooks, literary magazines and any other press-related organization." Nash explained that the awards program will make awards to member publications and students on the basis of their achievements in the field of student publications. "Our first awards assembly will be held May 17 and 18 during our Spring Conference," he said. "These awards will be made in the various categories of news and editing, business, and production." The program will also award vests Begin Toda EDITORIAL CANDIDATE SCHOOL THE DAILY COLLEGIAN, UNIVERSITY PARK, PENNSYLVANIA Central News med by $3OO million to avoid a tax in crease. Shafer already has told the General Assembly he would propose no new taxes for 1968 and would veto any ad ditional spending bills unless they were accompanied by tax measures to fin ance them. Fleming, as chairman of the legis lative Budget and Finance Committee, wrote Shafer last week asking him for advance information on the budget re quests, particularly those of the De partments of Public Instruction and Pu blic Welfare. "The committee feels it is most im portant that we have the budget re quests so that an analysis can be made before the budget is formally presented to the legislature," Fleming said. your TONIGHT 151 Willard Bldg. 7:00 P.M. ty, N.Y., and Fairfield County, Conn., daily_ into New York and has been bankrupt for about five years. The decision caused a momen tary spurt in the price of the Penn sylvania and New York Central railroads on the New York Stock Exchange but this was cut later. When effective, the decision will leave the heavily populated indus trial Northeast with three major railroad systems, the Penn-Central and two lines that hope to merge— the Norfolk & Western and the Chesapeake & Ohio-Baltimore & Ohio. Passengers traveling the merged Penn-Central will see little imme diate change, railroad% sources said. Any change in services needs the approval of regulatory ,agencies. The Penn-Central merger is aimed at saving money through the elimination of duplicate services and equipment. Much of the trackage of the two roads crisscross many of the same states. scholarships to students on the basis of their work on a member publication. Gerry Winslow, chief secretary of the interim com mittee, said the Press Association needs more students to work on the administrative staff. "We are particularly interested in recruiting former editors and staff members of commonwealth campus publications. We also need stu dents with training or experience in journalism, business or secretarial work." Any student is eligible to join the organization. DAILY COLLEGIAN CLASSIFIED AD DEADLINE 10:30 A.M. Day Before Publication Catering in a jiffy Winkys Nittany 237;1456 Enjoy the same fast service that you receive at both stores. li degree levels] k a ould you like a 300-company c areer? ;ee us on. campus Jan.. 25 and 26. 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We're literally No. 1 "America's Leading Energy Company" with wide-scope career opportunities for people in every discipline, at every degree level. All phases of oil and gas ex ploration, production, refining, transportation, marketing and management— as well as oil and chemical research. Would you like to start with one of the leading chemical companies in the U.S.? In Enjay Chemical Company's decentralized manufacturing, marketing and business operations you get the benefit of a large corporation's resources and the environ ment .of a small company. You will have a chance to develop a management as well as a professional career, either in Eniay's domestic chemical activities or in the international operations of our affiliate, Esso Chemical, worldwide. Would you like to start with one of the world's largest research companies? Esso Research and Engineering solves worldwide problems for all affiliates of Standard 011 Company (New Jersey). 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In this election year, the session is expected to erupt frequently with political fireworks as the legislators struggle with the frustrations of Vietnam, the budget and economy, taxes, crime on the streets. And right off, the Senate faced the prospects of a filibuster over civil rights proposals when they are taken up on Thursday. On this snowy day, however, there was little of the excitement that usually occurs at the start of a new Con gress, where many new members are sworn in. The same faces are back this year and the off-year drabness was even more marked because the 1967 session didn't end until mid-December. It took a slow, 22-minute roll call for the Senate to muster a quorum of its 100 members,-56, five more than necessary to do business. The tally showed 34 of the 64 Democrats and 10 of the 36 Republicans absent. The House had less than 100 of its 435 members present at the start but a quorum call managed to muster 288. The meeting lasted an hour and 10 minutes before the House quit until noon today. The Senate session was even shorter, 53 minutes with adjournment until 8 p.m. tomorrow, an hour before President Johnson delivers his State of the Union message to a joint session of Congress. But the short meeting was punctuated with a flurry of debate when Sen. Wayne Morse (D-Ore.), was blocked in his effort to have the Senate receive an antiwar petition from a group of women headed by former Congresswoman Jeannette Rankin of Montana. Majority Lader Mike Mansfield (D-Mont.), objected that "under long-established customs, principles and prac tice" the Senate does not transact any business until after the President delivers his message. One of the big questions facing Congress as it resumed its work is what to do about Johnson's request for a 10 per cent surcharge on income taxes. The budget is due before Congress Jan. 29 but some administration officials have been talking about asking for an extension of time. But Mills' committee has set hearings next Monday and Tuesday to hear the government's top fiscal officials. lists Humble Oil & Refining Company Enjoy Chemical Company Congress Begins Second Session Equal opportunity employers. PAGE THREE
Significant historical Pennsylvania newspapers