The Express.
London, England, 1867-07-27 00:00:00

THE ANGLO-AMERICAN TELEGRAPH.

The following is from the report of the directors
of the Anglo-American Telegraph Company (Li-
mited), to be presented at the general meeting on
the 2nd August :
On the 4th February last the directors presented to the
proprietors an approximate statement of the net earnings
to the 31st December, 1866. They now beg to submit a
balance-sheet, together with • similar statement for the
eleven months ending the 30th June last, showing& net profit
for that period more than sufficient to meet the sums of
125,000/. and 25,0001., pa able to this company as a first
charge upon the working of the two cables,and tbe Soma the
New York,Newfoundland,andLondonTelnrapliCogpany.
The accounts will be prepared and adjusted betwefh this
company and the Atlantic Telegraph Company for the
year ending the 27th July. The directors were in hopes
that a recommendation of a joint committee of both
boards, made in January last, would have been adopted,
whereby the charge would have been reduced to 51. for a
message of ten words, with free address, and the
charge for code discontinued, and that a large ac-
cession of traffic would have accrued therefrom.
The Atlantic Telegraph Company, however, were nn-
willing to risk that portion of the revenue which was
coming to them, and your directors were therefore coin-
! polled with regret to acquiesce in a policy which they con-
I eider detrimental to the permanent welfare of allinter-
; ested in the Atlantic gables, and to the maintenance of
the ioute via Ireland and Newfoundland. Early in May
ithe cable of 1866 was seriously damaged by the grounding
of an ioeberg, about 2i miles from the station at New-
foundland. Immediate steps were taken for the despatch
of • vessel with skilled staff and necessary material. The
weed left the Thames on the 4th of June, and on the 18th
of the same mouth the complete repair was effected; and
having lauded surplus stores and twenty miles of main
line cable at Heart's Content (to be available at that point
in case of need), the vessel returned to the Thames on the
sth of July, homing been absent only thirty-two days.
The entire cost, including about twenty-one pur-
chased miles of new cable stored at Newfound.
land, will amount to between 11,0001. and 12,0001.
This chine will not interfere with the sums of 125,0001.
and 26,00 V. payable to this company. Both cables were
in perfect order up to the afternoon of the 20th inst.,
when the cable of 1866 was suddenly Injured, at a dis-
tance, as shown by the tests from both sides, of about 60
miles from Heart's Content. At this point, which is near
the entrance of Trinity Bay, the depth of water is only
about 110 fathoms. Immediate steps will be taken to
effect the necessary repairs. The land lines upon the
' American side have for some tins past been working with
much regularity ; and it is expected that the submarine
I cable from Placentia to Sydney will be laid in the course
of a month or six weeks. The lines between Valentia and
London will be worked by the staff of this company from
and after the Ist August. At the last general meeting ape
Mal attention was drawn to the 28th article of the articles
1 of association, which directs that " • sum equal to 10 per
cent, at the least of the annual net profits of the company
shall, until a general meeting otherwise determine, be set
apart as a reserved fund.^ This article has been acted
upon on the present occasion, but the directors have to
state that in their judgment it is not necessary under ex-
isting circumstances to accumulate • larger sum than now
, at the credit of the fund, which they consider ample to
' meet all contingencies ; they therefore recommend the
meeting to pass a resolution accordingly. The directors
recommend that a dividend of 25e. per share be now de-
clared, payable on the 6th proximo, which, with the 20s.
already paid, both free of income tax, will make nearly 23
per cent. for the year. They further recommend that the
sums of 2091. 2s. M. and 10,680!. 4s. 6d., as shown in Nos.
15 and 6 of the accompanying 'amounts, be carried forward
Ito the credit of next year's revenue.