The Express.
London, England, 1850-03-26 00:00:00

OftLF,DONIAM
The refithe by die almietags to be presented the 4EI
lielf-yesrly meeting to be held at the Freemasons' Tavern,
on Thursday next, has bees issued, and contains the Miley-
ins statements
" The directors have to report to the shareholders that the
present position of the cordpany, as resulting from past mile-
management, Is sock ea to demand the serious comderation
of every one concerned. The first step of the present board,
on taking office in London, was to Mr* • statement of the
bills then falling due sad the cash balance in band. The
return showed • list of bills, either overdue or falling due
within • fortnight, of 74,0001., while the treasury was abso-
lutely and literally empty, and there wen arrears due for
coke, maintenance of way, rates, and taxes. No provision
whatever had been made for the accruing interest on de.
bentures, nor the rents or dividends on the leased lines, long
Buie, demanded, and land claims still remained as-
sented, for one of which engines had been seised in execs-
lion a few hours before the change of directors took plane.
In accordance with the opinion of eminent counsel, both in
England and Scotland, the directors immediately
issued a circular to the creditors, explaining that,
while there was not the slightest intention el
disputing the just debts of the company, the pus ties
of giving bills should not be continued. Though premed by
irresistible claims, the board pursed a minute appropriating
• weekly awn especially to debenture interest, sad have
regularly paid that suns into the Beck of England to imam
its punctual payment. The revenue accruing fur the last
half-year, upon a gross receipt of 169,6021. Os. 25., er an
average of 8,1341. 143. per week, shows an actual deMieney
(after paying interest on debentures sad floating debt, bet
without say payment whatever to the lamed lines) of
6,4231. 14s. 1014 This, however, is partly owing to the
improper payment of a dividend on the Preference Shares,
and a sum paid to the Scottish Central Railway, as
also to other sums strictly chargeable to the pre-
vious half-year; yet, allowing for these ineguliiri-
*lee, there would still have remained only 31,6041.
to meet 88,3811. of guaranteed or preferential claims.
If this were assumed to be a criterion of the company's
future prospects, it Is evident that the guaranteed lines
would have little to hope for ; but your directors believe
that, by the introduction of the strictest economy, and by
devoting their whole energies to the development of
traffic; they could pay a very fair though, of course, a
reduced rate of dividend to all. It is but just and um
nimble however, that the Caledonian board should have
the inducement of some hope at least of • return upon
the ordinary stock of the company ; and your directorsfeel sure that, when the real state of affairs is known a
re-arrangement of liabilities in the interest of all parties
and under parliamentary sometime, will be agreed to:
Your directors, in calling attention to the impost-
ant 'abject of guarantees, are aware that, in doing so, they
present a very unfavourable view of the company's stack.
It Is • duty, however, on the part of the directors to explain
that the present amount of preferential claims greatly en-
amels the existing, and even any rational estimate of the
future income of the company. Amnia( an annual revenue
of 338,0001., or 8,6001. • week (last half-year's weekly earn-
were 8.1341. 141.), there would be a deficiency of
g 7,68111. per annum. Should the traffic, however, increase
to 7,0001., or even 8,0001 a week, and, in the face of the com-
petition to be expected from the Nithsdale lice in the
sataina, it would be unreasonable to expect more, there
would still be a deficiency in the one me of 64,5894
and in the other of 28,6891. against the preferential
Maims, and this supposing the working expenses reduced
to 60 per eent instead of 51 per cent, their present mount.
These estimates do not include the loss that will arise from
the Greenock guarantee, when that burden, which has
already been sanctioned by parliament, comes into opera.
Lion and the Barrhead compeer have raised, be-
yond their guaranteed capital, 60,0001. on deben-
tures, the interest ea which is also not included.
Upon • careful review of all the circumstances, and coast-
daring the fair right of the Caledonian shareholders to some
littleinterest in their own property, while still conceding
to the leased lines rates of profit tar above what they actu-
ally earn, the directors think that a :modification of the
tees, conformable to the ascertained resources of the=
suers company, would beet consult the interests of all parties.
The two bills promoted by the company this session were--
" A Bill to repeal or amend certain Provisions of the Cale-
donian Railway (Wialuiw and Coltaess Railway Purchase),
Act, 1849 ;" and " A Bill to repeal, alter, and mend certain
Provisions of the Glasgow, Barthead, and Neilaton Direct
Railway Lease, Act, 1849." The clause in the Withaw Bill,
which it was proposed to repeal, was the one introduced by
the consent of the late board, but without the knowledge
of the shareholders, compelling the Caledonian company
to teem the Greenock /ins at dper cent., and giving
up the right of amalgamation. Your directors do not
wish to eonppeel the Greenock Company to amalgamate with
the Caledonian, but seek to be relieved from an oppressive
gmasalse most irregularly and unfairly imposed. With
mpeet to the Barrhoad lease, consideliog the extraordinary
eiremeteness wider which • line, not only useless, but ridi-
culous as a railway undertaking, was forced upon the Cale-
donian Company lilt session, and the stromg. ground for seek-
ing • parliamentary iaquiry into the omen. 'smith; and
history of that tramaction, your board thought it proper to
sing at • modification or repeal of the act. Unfortunately,
from the shortages of the time allowed previous to lodging
the bill, the notices were held to be insuffitheat, and them
two bills were rejected on standing orders. It is, how-
ever, strongly recommended to the shareholders to go
to parliament next session, and every thoogeding
one, if necessary, to obtain rallef from the ruin-
ous engagements contracted under the above acts.
The bills promoted by other companies are part of the legacy
left by the late board, and have for their object to compel
the Caledonian company to guarantee still further payments
over and above those now in existence, and already in excess
of the company's available receipts. 'lt is not conceivable,
however, that parliament will reader guarantees worthless by
enacting than without raise mss to the possibility of fulfil-
ment. It is intended, thilniiptiN to petition parliament for as
inquiry into the moue stale If the Caledonian Company,
with reference to the tearless este affecting it, and imposing
liabilities beyond the power *1 the company to meet, and the
ctircumatances wider which such acts were obtained; sad.
further, to pray that such petition be referred to • select
committee of the house, with instructions to report thereon,
and that all bills &fleeting the Weeniest Company may be
deferred until the committee shall have reported upon the
petition, when it shall be lawful for the petitioners to
in • bill in conformity with each report, for samdlegbda
explaining the various acts affecting the company. Tito
Caledonian shareholding, as a body, are probably not aware
that, although the total expediters on ate line has been
21,1861. pa mile ever and above the 18,5001. per mile
which Yr. Locke, the memo, considers to have
been expended ia the actual formation of the, pee-
musent way end the con of the MIA, the line
Is still, la many *medal respects, nallaished, and
fa a state that abeolutely requires farther outlay.
The directors have rethouteadod an Inerfee of one dime-

;o7toCluTieeeet;ftuseiaertlitiini W3tVeylia;TlCePtist
mind the tact, that the ordinary stock being bald chiefly in
Engiud, it is desirable to edict an English director. Ilr
Poser having lately resigned, the board, in conformity
with a promise to the preferential shareholders, have
elected Piz. Wheeler, who wu put forward by that interest.
To speak, is reselasien, of the future prospects of the cots-
may the directors state that, in the present position of
;Mirk all depends upon a reductios of the guarantees so
recklessly given. If that redaction be made, the directors cut
yet see hope for all parties; if sot, there only remains endless
litigation and rertais ruin, as the aeeawry result of the Se-
an • and sraagentent, whieh has had so parallel is
railway h
The Wanes sheet at 31st Dumber, 1849, gives
the 7
wing items;—To reesipS : 4,720,0 w es. lid.
Bungle account, 2171. k. Bd. ; bills payable,
MAIL Ifs 7d.; pawky debts due by_ the company,
182,2N1: Yid, i due be hashers 188,4061. 18a 111 d. r
Wised of mess* mesas% 8.30 W. 11e. IL ; soul,
6,421,01141. 14e. Ild.-14 espesditan as per estenesse,
6,8281481. 111. 71d. ;miner 80,41 es• O. the 001080117,
78.7881. les, kd ; dee by beak" I,IOW. 181. ld. ; mows,
of Uwe amount, 14,1041. Ils 14. i Mel, 8,426,09 k. 14e. 214.

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