The Sun.
London, England, 1855-05-26 00:00:00

LONDON AND SOUTH-WESTERN
RAILWAY.

Report to the special general meeting of the company,

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to be held on May 31 :
" In presenting to the shareholders a few necessary re-
marks with respect to the special general meeting on the 31st
instant, the directors would first premise that the question
for discussion is not whether, in the abstract or as a voluntary
proceeding, the undertaking of an extension of the company's
railways to Exeter would, under present circumstances, be a
convenient proceeding ; but that it is whether, h wing regard
to the pledge given on this subject to Parliament in 1853,
and the measures of the shareholders and directors respect-
ing it during the present year, the opportunity now offered
of settling the matter is not the proper one for the company
to adopt.
" On the question of extension generally, the directors
confidently assert that nothing has, during the last two years,
been done by them even to bring any extension under dis-
cussion ; and they trust that, in dealing with the matter
which is now for their decision, the shareholders will bear
this in mind, and will receive the recommendations of the
board as the result of their careful deliberation on the com-
pany's existing position, and will believe that, in arriving at
them, the board have been most desirous to avoid expendi-
ture, or any increase in the company's engagements.
" The pledge for extending the railway from Dorchester to
Exeter was given before the Devon and Dorset Railway com-
mittee, in June, 1853 ; the object was to procure the defeat
of the Devon and Dorset Railway Bill, and the pledge was
conditional thereon. The object was effected, and the pledge
thus became in force.

`.‘ in November, 1853, the proprietors denied the directors
the power of proceeding to Parliament in redemption of it,
and thus matters continued until the present year.
" Early in February last, the bill which the proprietors
have now to consider came to its second reading in the House
of Commons. Its provisions related simply to regulations
respecting the company's capital, improvements of their me-
tropolitan stations (especially the goods wharves and pre-
mises at Niue-elms), and fresh powers and further time for
buying land upon and for completing the Basingstoke and
Salisbury Railway. The house postponed the consideration
of the second reading in order that, as the bill showed no in-
tention, and contained no powers respecting the promised
Exeter Extension, the attention of the proprietors might
be called at their then coming half-yearly meeting to the
omission. The directors accordingly invited the attention
of the proprietors to these points at the last half-yearly meet-
ing ; but having a settled determination net to move in ad-
vance of the general body on a subject about which there had
been so much division, the board offered no recommendation
on it, and the meeting was adjourned in order that they
might do so. At the adjourned meeting the conduct of the
matter was left by the shareholders to the directors. On the
Bth of March, on the adjourned motion for the second read-
ing of the company's bill, in the House of Commons, there
was a discussion on the whole subject, and the bill was re-
ferred to the consideration of the same members who, in
1853, formed the committee on the Devon and Dorset Rail-
way Bill.

"Between that period and the 24th of April, when the
committee first met, the directors deliberated carefully and
frequently ou the subject ; but beyond determining that the
bill ought not to be withdrawn, but that efforts should be first
made to compromise the question by obtaining an acquittance
from the company's engagements, on terms which the direc-
tors could recommend the proi.rietors to accept, and summon-
ing, for the 28th of April last, a meeting of the general body
especially to consider the measures best to be adopted, the
directors deemed it their duty to remain perfectly passive.
" The proceedings of the committee on the 24th April, the
Directors' Circular of the 25th April, and the discussions and
resolutions on the 28th April, are too recent to need recapitu-
lation. suffice it to say that the directors, having then made
known to the proprietors the views of the committee, and
their own, were authorised and requested to conclude the
business on the company's behalf, in such manner as they
deemed best.

" The directors have now to report their subsequent pro-
ceedings in performance of the duty thus delegated to them,
and they trust that the proprietors, on considering the terms
of the clan es imposed by the committee, and which have
been accepted by the directors, will recognise in them such
important ameliorations of the engagement, to which the
company became subject in 1853, as will induce a ready ac •
ceptance of them by the shareholders also.
" The pledge of 1853 was to the effect that, if Parliament
would reject the then pending Devon and Dorset Railway
Bill, the company would in 1854 introduce into Parliament a
bill, and, if they obtained an act, would forthwith themselves
make a double line of railway along the coast, from Dorches-
ter by Axminster to Exeter (58 miles), and would double the
existing Southampton and Dorchester Railway (62 miles).
" The cost of redeeming it could scarcely have been less
than 1,100,0001.
4, The rtistance from London to Exeter by this route would
be 196 Miles.

" Thd clauses of 1855 require the company to go to Parlia-
ment next session for their act, and if they are defeated upon
a bona fine effort, the President of the Board of Trade will,
by his certificate, discharge them from any further liability.
" If the company do not apply at all in 1F56, they must so
apply iu 1857 ; and, in case of failure that year, without any
wilful default, the same functionary will release them from
all further liability ; but, if they fail in 1857 from want of
proper effort, the ordinary dividends are to be stopped until
an act be obtained, or a dispensing certificate given by the
President of the Board of Trade.

" If the act be obtained in 1856, the railway is to be com-
pleted (under the now usual penalty of a suspension of divi-
dends) by 31st December, 1861 ; if the act be obtained in
1857, then by 31st December, 1862.
" The railway is to be a single way (narrow gauge), with
land, bridges, and tunnels for a double one. It may proceed
from Yeovil to Exeter (50 miles), or from Dorchester to
Exeter (58 miles), in the option of the company, and it may
be applied for and made either by the company alone, or in
conjunction with any other company or persons
" The clauses give the company the power of raising the
necessary funds, not exceeding 1,010,0001., by borrowing, or
by preference or' ordinary shares, as they may find most con-
venient ; whilst it cannot be doubted that the unusual power
of borrowing all, or any desired part of the necessary funds,
will be found'of great practical convenience.
" The directors therefore recommend the adoption of the
clause, as the best practical mode of settling the pending diffi-
culty. The shareholders must see that any other mode of
dealing with it will only postpone, and not remove it. The
board believe that the House of Commons will agree to no
substantial alteration in the bill as it now stands ; and, there-
fore, that if the shareholders should, contrary to the recom-
mendation of the board, determine not to adopt the clauses,
this bill must be lost ; and the same fate might, in all proba-
bility, attend any other bill which the company may desire
to pass.

" With this explanation and expression of their opinions,
the directors must leave the decision with the proprietors.
" It may be convenient briefly to notice the other provi-
sions of the pending bill.
" 1. As regards the company's capital:—
" It removes certain irregularities, which had, in the course
of years, grown up in the creation of portions of the ordinary
s'iare capital, and settles its amount at 7,351,6501.
" It, in like manner, defines the borrowing powers of the
company—fixing them (including 2,336,1491. ls. 11d., the
existing debt of the company) at 2,400,4161.
" It consolidates into stock the amount paid up on the
Seven per Cent. Preference Shires (171,2761. 13s. 4d.), and
repeals the power of issuing any more of those shares, and of
calling any more upon those already issued (total repealed
power 1,923,7231. 6s. Bd.), and it confines the right of voting
to the amount actually paid up.
It authorises the raising of the additional sum of 9,0001. in
shares, and 3,0001. by loans, for the new works authorised
by the bill.
" 2. As regards new works and powers :
" It gives a year for buying the remaining land on the Ba-
singstoke and Salisbury Line, and extends to two years the
time for completing the works on that Line.
" Failure to obtain these powers will, indisputably, lead to
considerable expense and inconvenience, and a renewed appli-
cation to Parliament next year. It should also be noticed,
that without this bill the company will be under the obliga-
tion to complete and open the Basingstoke and Salisbury line
in August, 1856, and wi 1 remain without power of acquiring
by compulsion some of the necessary land.
" The bill also authorises an alteration in the mode of con-
structing the Basingstoke and Salisbury Railway, near Salis-
bury, by which a considerable saving (in itself more than
enough to pay the expenses of the bill) will be effected, but
which, if this bill be not passed, must be abandoned.
" It authorises an important improvement of the com-
pany's wharf premises at Nine Elms, and a new connexion by
railway between the parts of the company's goods yards lying
on the opposite sides of the Nine Elms Line. •
" By the exercise of these powers, the company will effect
a sensible saving in the current expense'of working that sta-
tion. It enables the company to complete the lines of railway
between Vauxhall and Falcon-bridge.
" The bill will also enable the company to acquire a con-
siderable further space, to be added to the goods yard, &c.,
at Nine Elms, the possession of which is not only desirable in
itself, but will render the company's present premises more
available and useful.—By order.
or May 23,1855."

" J. Cawsinz, Secretary.