The Sun.
London, England, 1855-08-17 00:00:00

LONDON, FRIDAY EVENING,, AUG UST 174 1855,

TilX-CURSION from DOVER to BOULOGNE,
witnesi the Landing of her 11,jesty at Don
() Y; the 18th Atigust. The new and beautful
t Qt 'BEN will leave Dover at 11 a.m.,"on the arrival of
he train leaving London-briege at 5.10 a.m., and return froni
lieu-
',s•_ne in time to per nit excersiocists returning to London by the
train leaving Dover at 7.30 p.m.. Fare by the stamer, 10s., there
and hack. Tickets to be had on board, or at 56, Lombard street,
Lona n.

•
. 4
MERICAN ISINGLASS.—A large supply of
this ar, fele has be, n received at the AILE WAN IV A RE-
:'IOIIiF,S, No. 545 and 546, New Oxford-Street, price 3s. 6d. per
sound package, or a c so containing 12 rackages at 2s. 9d. per pound.
For Blanc- m .nge, Jellies. &c., this Isinglass will be found equal to
Englili or Atussiqn.', Als ,; a large stock of 4mefican Travelling
Trunks, Roles, and Cases, Hatchets, Clocks. Carpet liroom.4 Pails,
1 übs, and Wooden.ware oral! descriptionsiat most moderate charges.

RICKLEWOOD, MIDDLESEX.—To be
UNIURNISH ED, on the high road to Edgware, fonir
inles from the Marble Arch, CRICHLEWOC)D HOUSE, containing
twee sitting-rooms (two communicating with folding doors); eight
he '.:rooms. hntikkepper's room, 1 Tty, kitchen and offices, front. and
ack pleasure giounds, with hot houses and 'graperies, two kitchen
ardens, brewhove with two rooms over, four and two stall sta-
b es, three coach-houses, poultry-houses, piggeries, and extensive
card. Rent 851, the tenant keeping in_repair ; otherwise, 1001. per
annum. Term, Seven years.
Apply on the premises. or at Messrs. Bullock's, 211, High Holborn.

ADULTERATION of FOOD, d7c.—Mictors
the true and real offenders. —Head the ILYGF,IBfI' and
ME i PICAL REFORMER for next mouth. All Hyvelan agents
Are hereby r, quested to give as much publicity as pos.,ible on this
important question. Do not let the people be diver, ed Iron; the real
oint at issue. Remember the' the adulterations are committed with
he very poisons which doctors hold out or administer " medicinally,"
es they call it. The Hygeist may be had of all agents.

RAILWAY INTELLIGENCE.

GREAT WESTERN.

The half-yearly general meeting of this company took
place yesterday at Bristol ; the Right Hon. S. H.
M.P„ in the chair.
The Secretary having read the adyertisement convening
the meeting,
The CHAIRMAN observed that it was so unusual for the
proprietors to be addressed from the chair by anybOdy but
their accustomed chairman, that he felt some explanation
on the subject was due from him. They had seen from the
report that-Mr. Russell, from a failure of health, had foundit necessary to resign the office of chairman. That.gentle-
man had given his best services to the company, for a period
of 16 years, and from the opeortunity which he (Mr. Wal-
pole) had had of observing his conduct during the last year
and a-half he was able to speak in the highest terms of the
zeal, ability, had• vigour of mind, combined With vast in-
formation upon all subjects connected with the interests of
the company, and the perfect temper and gentleness of
conduct in conducting their proceedings which rendered
him so eminently fitted to preside over them. (Cheers.)
That position, however, having been vacated, and the di-
rectors ha-ving chosen him to fill it, he would endeavour
tp discharge the duties of his office to the best of his ability,
notwithstanding the present was a time of difficulty and
embarrassment as regarded the affairs of the company.
(Hear, hear.) The report which had been placed in their
hands noticed no circumstances worthy of comment since
February last, except that the dividend had fallen off,
and that it had become necessary to oppose the bill brought
into Parliament by the Oxford, Worcester, and Wolser-
hamptoh Railway Company. With reference to that, the
proprietors were aware that the Oxford, Worcester, and
Wolverhampton Railway Company were bound to lay
down the broad gauge for the benefit of the public as well
is for that of the Great Western Railway proprietors, but
they hal tried to escape from the obligation, notwithstand-
ing that the Great We-tern Railway Company, acting
utider a counter-obligation, were actually laying down a
narrow gauge upon an equivalent portion of their line. To
oppose that bill was, therefore, an operation of self-de-
fence, and he was glad to say that that oppo,ition had been
successful ; and now that that harassing and expensive
litigation was entirely at an end, he would say nothing
which would prevent peace upon that subject, or which
would throw difficulties in the way of any arrangement
which might secure the profit which, by mutual agreement
and harmonious working, they might secure, but which, if
they differed, would probably be lost altogether; but at
the same time he hoped no arrangement would be sanc-
tioned which would subject the pioprietors to immediate
loss for the sake of gaining an ultimate profit. He would
now turn his attention to the subject of the fall of dividend,
and would observe that in this, as in all other mercantile
concerns, the first thing was to look 'the truth fully and
boldly in the face; to tell them honesby the facts, to trace
the causes, and to account for the consequences which had
resulted from them. (Hear, hear.) From the fact that
the half-yearly dividend had fallen from 4 to 2 per cent.
per annum it would appear at first sight as if the company
were taking a downward instead of a progressive course ;
but he thought that he could satisfy them that the con-
trary was the case. The causes of the depreciation of the
dividend were to be found, first, in the general depression
of trade, bringing with it stagnation or oven diminution
of railway traffic ; and; secondly, in the fact that they had
had to meet engagements incurred long ago, but which
wore brought to bear upon them in one year simultane-
ously with thatdepression of trade and consequent stagna-
tion of traffic. If, then, the causes of the depression of
trade and stagnation of traffic, which were the cause of
the depreciation of their dividends, were of a permanent
character, they might, indeed, look to the future with ap-
prehension, but if he could satisfy them, as he was tho-
roughly convinced he could, that those causes were only
temporary in their character, he thought that they might
fairly ask themselves whether the consequences resulting
from such a state of things might not.be found to be tern-
porary also. (Hear.) Now, taking the working of the
line for the past two years and-a-half into consideration,

they would And that tor the half-year ending June, 1853,
their receipts were, in round numbers, 522,0001., and for
the half year ending December, 620,0001. ; that for the half-
year ending June, 1854, the receipts were 620,0001. and for
the remaining half-year 648,0021., while for the last six
months they had been 647,0001. Competing therefore the
two half-years, ending June, 1853, and June, 1854, there
was an increase of receipts to the extent of 98,0001., while
the increase upon the half-year ending last June over
the corresponding period of 1854 was 27,0001, only. The ,
expenditure for the half-year ending Juno, 1853, was
233.0001.; and for that ending in December of the same
year 242,0001. In the six months ending June, 1854, the
expenditure was 262,0001., and for that ending December
264,000/., while for the past six months it had been 280,000/. ,
making an increase of expenditure as between the half-year
ending June, 1853, and June, 1854, to the amount of
29,0001., and an increase as between the half-year ending
June, 1854, and June, 1855, of 23,0001. Comparing the
two sides of the account, they would perceive that down
to June, 1854, their receipts were gradually increasing be-
yond their expenditure, but that from June, 185 F, to
June, 1855, their receipts fell off, while their expenditure
had been slightly augmented. From June, 1853, to June,
1854, the balance in favour of net revenue was 70,0001., but
from June, 1854, to June, 1855, there was a balance in
favour of net revenue of 4,0001. only. He was satisfied
that the falling off was to be ascribed to three causes—
first, the effect of the war upon trade generally—an effect
which had been felt upon all the railways in the kingdom.
and evidenced strongly by the Board of Trade returns;
secondly, the increase, which could hardly be put at less
than 10 per cent., on wages and materials; and, thirdly, to
the augmented expenditure consequent upon the opening
of new lines which were sanctioned years ago, and which
expenditure was necessarily incurred for the proper carry-
ing ou of the traffic of the country. Had not these causes
been in operation, he believed that their receipts, instead
of remaining stationary, would have been increased at
least 40,000/. or 50,0001.; and, as he considered the causes
of the stagnation temporary, he saw no just ground for
alarm. Bet they would naturally say, " This does not ac-
count for the falling off of the dividend; for, supposing the
traffic to have been stationary, would the dividend have
been 2 per cent. less? A fairer question could not have
been put. His answer was that a dividend of 1 per cent.
to the proprietors of unprotected stock in that company
might be represented in round numbers at 82,0001. per
annum, or 41,0901. for the half-year; and what he had to
explain was why in each of the two half-years 41,0001. had
been withdrawn from thedividend since Dec., 1854. It was
owing, Ist, to their amalgamation with the Shrewsbury
companies; and. 2d ly, to the extension of their line from Bir-
mingham to Wolverhampton. The amalgamation with the
Shrewsbury companies constrained them by the agreement
they had entered into to guarantee to their shareholders a
preference dividend of 3- per cent. The profits of the past
half-year on the Shrewsbury lines fell short of 34 per cent.
by 34,000 ~ or, in other words, within 7,0001. of 1 per
cent., which latter sum might be considered the interest on
the expenditure incurred on the stations in the meantime.
The cause of the falling off of the other 1 per cent. was at-
tributable to the extension of their line from Birmingham
to Wolverhampton. If they looked to their accounts they
would find that the cost of that extension had been
1,900,0001. ; while the works were in course of construction
the whole of the interest on that account was, according to
railway usage, borne by capital. The line was opened in
December last, since 'which time interest on the money, ex-
cept. so far as respected the outlay required by stations and
other works to be used for them, had been borne by revenue.
The interest on 1,900,0001. at 44 per cent. was 85,0001., or
for the half-year 42,5001., so that the account was actually
more than 1 per cent. on the dividend. The fall of the
dividend was therefore fully accounted for ; and the only
question which it appeared to him could arise on this part
of the case would be whether the policy which advocated
this amalgamation and that extension was a bad policy ;
and, supposing that policy to be completed, whether they
had any hops of improvement for the future. On thefirst
question it would very ill become him to give an opinion.
He was no party either to the one or the other, and there-
fore individually he might perhaps be able to give as un-
biassed an opinion as any person in the room. Now, he
thought that a great deal might be said for that extension
and that amalgamation, and at the same time he did not
deny that a great deal might be said against them. He
would, however, point out that it was rather hard to visit
upon anybody at this time the consequence of acts which
were not only fully approved but recommended years ago.
He found fault with no one ; but when he looked back at
the proceedings of the committee of consultation which
was appointed by the shareholders in 1849, he found that
appendix.
These that committee had to deal with this as well as other sub-
jects, and that they not only approved of that policy, but
recommendedthe construction
These lines, when finished, will join the Oxford and
Rugby and Fennycompton, with which they will form a
continuous line 77 miles in length between Oxford,,Bir-
minghatu, Wolverhampton, and Dudley, and will no
doubt produce a large amount of traffic to London and to
the south and west of England by Oxford." And they
farther said, " The works of the Oxford and Birmingham
line are in a very advanced state, except at points where
with other companies, Your committee 'strew); room.
there-
fore all of them—directors, shareholders, and committee
of consultation, bear together the blame, if blame there
i it inof the
thesestrongest
lin e s,
is terms.
s e
were, of a mistaken commercial policy. The passage he
referred to in the report of the committee of consultation
was as follows : " The fourth class. —Lines pur-
chased by the Great Western Company at a premium of
101. ss. upon each 201. share, to be paid for on completion,
comprise the Birmingham and Oxford, 32 miles, and the
Birmingham, Wolverhampton, and Dudley, 11 miles long.
The amount already expended, and required to complete
fortht
considerable saving of cost may be effected by arrangements

• r• •
I mend the entire completion-of the •Works so as 'b enable
the Great Western, through the needinneof these lines to
metre such arrangements with- ether 6mpeniesdorth cf
prelley as May prod eta the greatest rros3iblestraXat hy this
route.!' He wished. to express eo oeiniou as to that policy,
still less did he wish-to throw an'sehlsrne on an- person.
He found that they had groat difficultiee to encounter,
and if the truth must be told he th.onght. they were all
mo+e or less responsible for the felling oft in.the
which was colasequent upon thcearnelgareation and exteri-e
sion to which haired adverted That being so, the ques-
tion they had to consider was what shohld-be their fotwe
policy with reference to these railways, and were those dif-
ficulties likely to be permanent artempOiery ? Hs had the
enthority of the board for saying—and he entirely eon-
eurred in their recommendation--that, whatever might
have been the-past policy of the directors and the cense-
quenceawhich had resulted, the policy which should now
be pursued ought to be—first, to make the most of their
existing engagements and their present lines ; secorelly, to
extend them in no direction -whatever; and, Wilily, to
prevent the evasion of that resolution, not to lease, amal-
gamate, or work any other line, if by such lease, amalga-
mation, or working they incurred any immediate loss, for
the sake-of prospective gain. To those rules or precepts
of conduct which he submitted for their c,onsiderstion he
would add a fourth, which required some guard, perhaps,
at the present `.moment, but which was that they should
vigilantly watch and check expereliture-e(hear)-eat. the
same time taking care not to interfere with or dirniaish the
proper development of traffic by,a false economy. Thoee
were the principei upon which the director's desited to act,
and had acted since he had had the hononr of a seat at the
board. Still, they might ask, if the traffic had been so '
stagnant, and if the extension of one line and the amalga-
mation of others had led to the reduction of dividend to 2
per cent., what hope could be held out of' better prospects
in future ? They would forgive him if he did not at pre-
sent enter-into an extended view of all the concerns-of the
company: If it were desired that he should explain those
matters so as to enable them to be as good judges as the
directors, he should ask for some cix weeks to look into the
state of their affairs, for while he would not, on the one
hand, wish to excite undue hopes, on the other, he should
be much to blame if he said anything which tended to en-
courage despondency. He had, -however, some facts—and
it was with facts-alone ho dealt—which he thought it right
and fair to bring before the proprietors. At the beginning
of this year the receipts were less than they had been
during the corresporeling perjod of the former year. Erom
April, hoetever, the tide appeared td ha'.re turned iii favonf,
of increasing traffic, and he had extracted the receipts on
their own line and on the Shrewsbury lines during the six
weeks of the current half-year, in- order to compare them
with the six weeks of the correspopdine half-year. Taking
the Shrewsbury lines first, he found the receipts of 1851-5
were as follows :—For the week ending January 8, 1854,
they were 3,1671- as compared with 3,992/. in the present
year ; July 15, 1854, 2,9931., against 4,1221. July the 15th,
1855 ; 3,1821. for July the 22d, in 1854, against 4,1691. in
the same week of 1855 ; 2,9341. for July the 29th, 1854,
against 3,9931. in 1855; and 3,2631. for August the sth,
1854, against 4,4181. in 1855 ; the difference in these five
weeks being 15,5911. in 1854 and 20,697/. in 1855. He
had just seen the returns of the last week, and they ex-
hibited an increase, of 9 iB/. on the corresponding week of
the previous year. (Cheers.) They had, therefore, an
increase in their receipts of about 1,0001. a week.
Though there might be-a corresponding expenditure, he
thought they could rely upon a great portion of the in-
crease as net revenue ; and, if the traffic continued during
the last half-year in the same proportion, he thought
they might conclude that they had seen the worst
of their Shrewsbury lines, and that henceforth they could
reasonably expect considerable improvement. (Mkt) He
now took up the Great Western proper, and would give a
statement of the receipts, comparing the same weeks of
1854 with the corresponding weeks of 1855. In the first
week the receipts were, in 18 4, 23,792/. ; in 1855, 20,060/.
in the second, X 5,1251. in 1854; in 1855,'26,8681. ; in the
third, 24,b00/. in 1854, against 27,5371. in 1855; and in the
fourth, 25,9331. against 30,4261., showing an average in-
crease of 2,800'. a week. He thought that the proprietors
might take consolation from those facts, and that the pro-
per inference to be drawn from them was that they had
already seen the worst with reference to their traffic,- and
might reasonably expect, a progressive improvement.
(Hear, hear.) He was not aware that he had anything
else material to state. He had carefully avoided throwing
blame upon any, one, or censuring any particular line of
policy ; he had simply given his opinion upon the present
state of their affairs, and he hoped that, under the circum-
stances, that would be considered sufficient. (Cheers.)
The chairman concluded, by calling on the secretary to read
the following report :

It is a subject of deep regret to the directors that the
continued stagnation of traffic noticed in the Last report,
and since experienced by almost every railway company in
the kingdom, has been coincident, in point of time, with
the pressure of heady claims on the general income in re-
spect of the two Shrewsbury railways, as well as with the
recent opening of the Birmingham and Wolverhampton
line, and its consequent burden at first upon existing re-
venue. To those causes, operating for the time with such
peculiar disadvantage upon the financial position of this
company, the necessity fora further reduction of the divi-
dend upon the ordinary consolidated stock is clearly attri-
butable, as will be perceived from the following facts :—ln
the report which was presented at the August meeting of
last year, a comparative statement was exhibited, detail-
ing the receipts, working expenses, and charges upon gene-
ral revenue, as well as the traffic between the correspond-
ing half-years, to June 1853 and 1854. It appeared that,
with the same extent of railway open during both half-
years, the improving traffic in the latter period had aug-
mented the gross receipts by 98,3891., that the net re-
venue, after deducting all working expenses, had in-
creased to the extent of 69,6081. for the half-year, while
the charge for loans and preference capital exceed that of
the former period in the sum of 50,59 W. ; still leaving a
surplus of 19,0121., available for the ordinary dividend of
the half-year. A similar comparison of the revenue, be-
tween the accounts made up to June, 1854 and 1855
respectively, reverses the result, inasmuch as it shows,
with 29i additional miles of railway opened in the interval,
that the total gross receipts for traffic had not been aug-
mented by more than 26,8801. ; and the net revenue, after
deducting all working expenses, had only increased to
the extent of 4,3721., while the additional sum paid for in-
terest and rents over the former period, amounting to
36,3251., absorbs such excess of net revenue, and leaves a
comparative deficiency of 31,9531., in 1855, instead of a
surplus of 19,0121. in 1854, as available to the purpose of
the pro rata dividend. The receipts for the half-year end-
ing the 30th of June, 1854, amounted to 620,8871., and for
the same period in 1855 to 647,7671., showing an increase
of 26,8801. The working expenses in the former period
amounted to 262,6181., and in the latter period t 0285,1561.,
showing anincrease of 22,5081. The net revenue amounted
for the half-year ending the 30th of June, 1854, to
358.2691. ; and for the same period of 1855,10362;0411.,
showing an increase of 4,3721. The preference charges, in-
terest on loans, &c., in the former period, amounted to
195,8251., and in the corresponding period of 1855 to
232,1501., shoWing an increase of 36,8251. -The disposable
balance amounted in the former period, to 162,4441., and in
the past half year to 130,491/., showing a deficiency of
31,9531. Au analysis of that traffic shows that the addi-
tional passengers referred to in the foregoing statement
are more than accounted for by the number conveyed
(hiring the half-year exclusively over the Birmingham
and Wolverhampton line, principally at low fares; the
average receipt from each of whom, in all classes, does
not exceed Bd. The extra tonnage of merchandise has
been more diffused over the lines generally ; but it princi-
pally arises from the conveyance of goods from the -Rad-
stock branch and the South Wales lines, with additional
traffic over the Wycombe branch. These facts demonstrate
beyond all doubt an unprecedented stagnation of the ordi-
nary railway traffic of the lines, and that the temporary
depression of dividend has arise!) from the causes specified.
The inquiry is naturally suggested by these observations,
why then, during the last half-year, have tho compara-
tive expenses increased so much in proportion to the
gross revenue? The circumstances already mentioned will
supply the answer. The directors have had to provide
fixed establishments at no fewei than 16 additional stations
over 30 miles of new railway, and to work one of those re-
cently opened lines with numerous trains for an omnibus
traffic at low fares, besides the expense incurred in re-
ceiving and carrying more 'merchandise for short distances.
On the other hand, the diminution of receipt has been
principally manifested in the more remunerative class of
passengers, travelling for ,a long distance ; and such loss
does not in itself relieve the company from much expense,
whether incurred in locomotion or in fixed station esta-
blishments. Already, since the spring, an improvement
has taken place in the passenger traffic, which increase, if
continued throughout the year, with a new traffic in mer-
chandise about to be commenced, cannot fail to restore the
due proportions of receipt and expenditure, and those
sources of income will eventually disembarass the company
from the effects of those onerous engagements in respect to
the newly opened lines of railway. When it is reflected
that the whcle requirement for a dividend of 1 per cent.
per annum on the ordinary capital of this company. but
slightly exceeds 41,0001. in any half-year, it may well be
admitted that the circumstance of the general depression
adverted to, becoming simultaneous with heavy liabilities
for new lines during the worst, half-year, before those lines
could become productive,-ought in no degree to discourage
the shareholders film a reliance upon the intrinsic value
of their investment, however disappointing it may prove
for the moment to their immediate expectations of income.
With respect to the two Shrewsbury lines now finally
amalgamated with your undertaking, the directors have
been enabled for the first time to present and circulate the
accounts of revenue which have been audited since the
amalgamation by Great Western auditors. A.deficiency
exceeding the former estimate has fallen upon the last half-
year, notwithstanding that the receipts had shown an in-
crease over former periods. The mode in which these ac-
counts have now been made up, under the instructions of
your auditors, identically in the same manner as the other
Great Western accounts, showsplainly how rigid is the ad-
herence of those gentlemen to the principle of making
revenue chargeable for every expense in any manner con-
nected with it. The directors have no desire to raise any
objection to that system. On the contrary, they entirely
concur in the propriety of it ; and merely advert to the
fact deduced by the auditors themselves, that the appa-
rently increased deficiency .arises principally from an
alteration in their statements from those exhibited under
the former audit, and from placing at once very heavy
items for accumulated repairs, &c., of the plant, and for
other expenditure, against the revenue for the half-year.
It is to be further observed that an additional expense,
which is included in the Shrewsbury accounts, has been
incurred for an establishment appointed to prepare for and
conduct the Northern goods business to the utmost advan-
tage. Mr. Newcombe, a gentleman of considerable ex-
perience and acknowledged abilities, was engaged in the
' beginning of the year with an efficient staff; and although,
owing to unforeseen delay in obtaining the Northern
traffic, all the benefits have not yet been derived from that
expenditure, it has prospective advantages, which will, in
due time, reimburse to the proprietors the intermediate
outlay. The revenue accounts of the Chester and Bir-
mingham lines are required by act of Parliament to be
kept separate from th 6 Great Western account, and they
will henceforth he published in the same form as the pre-
sent, after being audited and approved by the Great
Western auditors. The capital accounts of those two com-
panies are now undergoing similar scrutiny from the audi-
tor*, in order to ascertain and determine the precise amount
;of all their-respective encumbrances and known liabilities
at •the time of amalgamation, which will hereafter -be
;hewn in proper form, together with any oublequut pay.

racuts meth) fcr, the- same 'purpose. The elieecters
already provided a sum of ri0,0031- to psy off debeetnres
and other secerities of those compaa.des falling due, which
Lae 'mon °Got:4.V issuing a vorresamelint; el-.404"' Of
new sedrrities
under the proviaioea- of the Amalgamation
Act.. It etas been a niaappointenent to kind..t.hat s'`,oc °1)-
struction, similar to that previously complained. of, has
been continued to the traffic of the two Shrewsburyirailways
pastio&overthe'Birkenhead lines, in spite of the aseur-
,ances given by their late chairman to the contrary, and
notwithstendingethe efforts perseveringly ;made by direc-
tors of both companies to overcome that state of affairs.
The consequence has been, that in the absence of nil fa-
cilities .for transmission of railwayT traffict either to or
from Liverpool or Manchester, by means of friend& co-
operation and aid from the Birkenhead Company, it lies
been hitherto found necessary to forego the advan-
tages of soliciting or undertaking the mangement of mer-
chandise, the 'directors being unable to rely with certainty
that it would be properly forwarded upon equitable terms,
or punctually and correctly delivered. The agreement be-
tween the tvso companies made in January,: and referred
to in the last report, was subaequently rejected by a spe-
cial general meeting of the Birkenhead Company in F;sla-
ruery ; and; in the face of avowed hostility •from parties
influencing that rejection, it was deemed essential, first to
procure tor this company independent premises in Birken-
head, with adequate local accommodation both in Liver-
pool and at Timperley, near Manchester, and then to put
in force the running powers over the lines of the Birken-
head Company, so as to reach, without risk of impedi-
went from those parties, the important towns to and from
which such immense railway traffic is constantly in move-
ment. But those objects have been at length attained,
and the premises which will admit of commencing busi-
ness are neatly ready for it. The directors have been very
lately apprised that the main obstacle to, a good under-
standing with tbe Birkenhead Company is' likely soon to
he removed, which circumstance, it is believed,_ will lead
to reciprocal benefits for both cotopanies, by accelerating
the period when the Lancashire trade will be brought
through over their respective lines. The Hereford, Ross,
and Gloucester Railway was completed on the lst pf June,
from which date the working lease commences. Up to
hat period the traffic between Grange-court and Hope-
hrook belonged to the Hereford, Ross, and Gloucester
Company, for whom and at whose separate expense it was
worked by this company. This line which, in connexion
with the Shrewsbury and Hereford and Chester Railways,
forms the shortest route from Bristol, Glocester, and
South Walee to the Mersey, is calculated to draw an im-_
portant traffic over those railways, both in passengers and
merchandise. Arrangements are already made for the
interchange and conveyance of some goods, and progress
is making in similar manner for other business. The
purchase of the Birkenhead Docks by the Liverpool
Corporation, to be completed by them, as sanctioned by
Parliament in the last session, is a measure tending much
to the advantage of all companies having lines converg-
ing in that direction : and your directors regard it
with peculiar interest as securing the early construction of
those useful works which must constitute Birkenhead an
outport of considerable importance. It will be perceived
from the foregoing observations how vital to the perma-
nent prosperity of the undertaking is the progressive im-
provement and accumulation of traffic over the various
lines now belonging to or connected with your system. In
addition to the large trade in imported and manufactured
goods at Liverpool and Manchester, which, for the reasons
herein explained, has not yet been made to the Great
Western lines, the directors regard, with the utmost in-
terest, the capabilities of the railways under the manage-
ment for internal conveyance of a considerable business in
iron,and, coals, in which, but more especially in coals,
they are encouraged to believe that they can .successfully
vie with any other rati way company, whether as to the
comparative remuneration from the conveyance of social
traffic, or the extent of the dee-grind for it, throughout the
populous and very extensive disteicts of the country inter-
sected by your lines. Daring the last winter, for instance,
a quantity of coal raised in North Wales, close to the
main line of the Cluster Railway, was foe the first time
brought by way of experiment to London, limited how-
ever unavoidably in quantity, by the small working of the
collieries, and by the then unfinished means of transport
and accommodatiou for it at the piece of consumption.
The experiment proved entirely successful in establishing
the merit of the coal itself, its perfect adaptation to the
great market of the metropolis, and the almost unlimited
demand for it within a certain range of the Paddington
Terminus. It is not too much to predicate, that under
adequate arrangements for working a supply of that coal
upon an extensive scale, to be obtained at all times with
certainty, and at moderate cost, the ordinary shareholders
would from that source, in addition to others, make up
for the new reduced dividend, and promptly realise bene-
ficial effects in an improved income from their capital. The•
last session has closed, as the proprietors are aware, with-
out any application from this company to Parliament, and
the directors can state with confidence, that they do not
contemplate the promotion of any bill in the ensuing ses-
sion. They found it necessary, however, to oppose a bill
of the Oxford, Worcester, and Wolverhampton Company,
for disconnecting themselves from the traffic of your un-
dertaking, intending to divert it exclusively to that of the
London and North-Western Railway, by obtaining per-
mission from the Legislature to remove the broad gunge
rails, which the company were bound by their original
act to lay and maintain over the whole of their railway,
adapted to a continuous working with the Great Western
Railway. The directors successfully resisted that measure,
so fraught with injustice as well as mischief to your
terests ; and they trust that the rejection of that bill by
the committee in the House of Lords will now lead to some
amicable arrangement to secure for your line the advantage
of a traffic connection, and terminate the expensive and
harassing litigation of the lash few years between the two
companies. The directors have to announce, with very
sincere regret, that Mr. Russell has recently been obliged,
len account of his health, to retire from the chair, after
' having held the appointment for 16 years. It can scarcely
be necessary to remind the proprietors of the unwearied
attention and time devoted by him during that long period
to the arduous and responsible duties of the office, for which
he was so peculiarly fitted, by position and talents, as well
ashy the high honour of his personal character. Mr. Rus-
sell will continue to afford his assistance and advice to his
colleagues as one of the directors. The board have unani-
mously selected Mr. Walpole to become his successor to
the chair, under the conviction that he possesses qualifica-
tions which will enable him, with advantage, to adminis-
ter and preside over the affairs of the company. Since
the last general meeting, Captain Bulkeley and Mr. Roy
have ceased to be members of the board of management ;
and Mr. Rowland Jones Venables and Mr. Harold Little-
dale have been respectively elected in their places. The
former gentleman was a director of the late Shrewsbury
and Chester Railway, and resides near Oswestry ; the lat-
ter very influentially engaged in Liverpool commerce, re-
sides at Liscard-hall, in Cheshire."
The report of Mr. Brunel, the engineer, stated, that—
; " The several works which were reported upon in the last
report as being in progress, aro all drawing to a close. The
main lines of the Wilts, Somerset, and Weymouth Rail-
way, both from Frame to Weymouth, and from Warmin-
ster to Salisbury, are, with small exceptions in two of the
contracts, so far completed that the opening now depends
entirely upon the laying of the permanent way; and this
work is proceeding,at numerous points wherever the mate-
rials can be brought on to the line. The chief facilities for
that work are obtained at Weymouth, Dorchester, Yeovil,
Frorne, and Warminster, and every exertion is being made
to accelerate it, Without due regard to the cost of construc-
tion. The short branch to Devizes is nearly completed,
and the Bathampton line is more than half finished. The
Uxbridge branch is only waiting for rails, and the Henley
branch, on which the works are very light, is proceeding
as fast as we obtain occupation of the land, and will not
take long in executing. The third rail between Oxford
and Besingstoke is in progress, as rapidly as the supply of
rails will allow, while the western fork at Reading is be-
coming ready to receive it. The new line of junction at
Dirlcot is about to be used."

The CHAIRMAN having moved the adoption of the report,
Mr. BROWN made a few observations, impressing upon
the directors the necessity of economy, and that they
should use their best exertions to increase the traffic. H©
believed the whole system of management ought to be
scrutinised, so as to test the fitness of parties filling the
various offices. There must be an end to patronage, and
every servant of the company must stand on his own merit
and not be continued in office because ho was a friend or
relative of a director. He made no specific charge, but no
one could doubt that great extravagance had been mani-
fested. They had built for show, and expended enormous
sums upon ornamenting stations about which nobody cared.
He had confidence in the directors, but at the same time
thought it right to indicate the line of policy which in his
opinion they ought to pursue. (Hear, hear.)
Major COURT complained that the directora' report had
not been circulated at an earlier period. He had always
opposed the amalgamation with the Shrewsbury compani 04,
but he had been left in a minority, and now they saw the
result. He observed also that while the committee of the
shareholders had recommended that upon no account more
than 17,000,0001. should be expended, the accounts showed
au expenditure of 21,000,0001., and ho much doubted whe-
ther the directors had power to expend money in that way.
He complained also of the manner in which the accounts
had been presented, and thought that the charge for inte-
rest upon branch lines ought to be paid out of the receipts
upon such lines.
Mr. GORE, while admitting that the time for recrimina-
' tion or blame had passed, thought that the directors should
be called upon to furnish au estimate for the completion of
what works they had in hand. They could not expect to
get much additional traffic on the main line, but might by
means of the subsidiary lines, especially the South Wales
and its feeders. He considered the present agreement
with the South Wales Company a very bad one, and that
the results did not equal what they ought reasonably to
expect from the amount of capital embarked in it by this
company.
A PROPRIETOR inquired what return was obtained from
Paddington Hotel, which had cost the company 58,0001.
nearly?
The CHAIRMAN, in reply, denied that patronage had
been improperly exercised, and challenged any ono to point
out a single instance of the nature. Tho issue of the re-
port was dependent on the making up of the accounts, but
it would be worthy of consideration whether they could
not be placed in the hands of the shareholders 24 hours
before the meeting. He declined to go into other ques-
tions at present, but promised to devote his attention to
them during the winter. With respect to the Paddington
Hotel, the rent for the first year was nominal, being 1,0001.
only, but for the second it was 2,000/., for the third 3,0001.,
and after the fourth it would be 3,5001. a year, which
would afford a good return upon the outlay.
The report was then adopted, and the dividend of 1 per
cent. for the half-year declared.
A resolution expressing the thanks of the proprietary to
Mr. Russell for his long and valuable services to the com-
pany in the capacity of chairman, was then nroposed by
Mr. Nconuns, and carried unanimously, and a vote of
thanks to the chairman concluded the proceedings.