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Inventor Edison was the last to come around, but he did so when the commercial advantages of AC over DC became increasingly apparent. Factories, finding they must be in cities to get DC, found also that they could make AC for themselves. Then the Edison companies switched to AC. Last week in Manhattan, where the opposition to "dangerous" AC was once the hottest, an Edison company recited in court the manifold superiorities of AC, in a suit brought by householders who were fighting a transition to DC because of the expense of changing installations.
From the utilization of Niagara Falls, Edward Dean Adams passed on to many another financial exploit. In 1883-86 he had conducted the reorganization of the New York, West Shore & Buffalo R. R. in a manner described by a financial observer of that time as follows :
". . . The success of the scheme is assured, for Mr. Adams is one of the shrewdest and most close-mouthed young financiers in New York. He has the great advantage of not being known at all to the outside public, but people who are on the inside track of the recent consolidation schemes aver that Adams was the real power behind the throne and that Wm. H. Vanderbilt Jr., J. Pierpont Morgan, Chauncey M. Depew and the rest of that clique were but practically carrying out the quiet undertone suggested by Adams. Whether these reports be correct or not, they are worth recording and Mr. Adams may as well have here a free advertisement, even if he does not like it."
Reorganizing the Central Railroad Co. of New Jersey was Adams' work, and in 1893-96 Mr. Adams was the man who took Northern Pacific out of receivership. His rehabilitation of the American Cotton Oil trust extended over the period 1889-99.
One day in 1896 he walked into the sanctum of J. P. Morgan. The U. S. was on the point of discontinuing specie payment. President Cleveland was embarrassed by Congress. Gold withdrawals were mounting daily. The Treasury's margin of safety, 100 millions, were badly overdrawn. Panic threatened the country.
Mr. Adams himself lately described the scene, to an astonished assemblage of potent Manhattan bankers, as follows:
"Mr. Morgan's general attitude was one of depression. His face was very serious and expressive of deep thought. He held the Morgan after-lunch cigar between his teeth, but it also was depressed, for it hung down at an angle of about 45 degrees, and its fire, if any, did not smoke. I greeted him cheerfully. Looking up, he said, 'Hello, Adams, come in.' I ... inquired as to the report from the Treasury that day, and he replied . . . 'It's still going out,' referring to the drain of gold coin and bullion. . . .
"I then took my precious document from my pocket, and passing it to him, said, 'Here is a paper that will interest you.' He saw at a glance its official character, and his form and face became alert as he read it twice, examining the various seals and signatures attached thereto, and looking at me with a piercing glance, said, 'Well, what are you going to do with it?' I replied that whatever was to be done should in my opinion be done promptly, and I suggested that he call James Stillman for a conference. . . ."