The Sun.
London, England, 1865-02-01 00:00:00

METROPOLITAN.

The report of the directors of this company states that
the receipts during the past half-year will, after deducting
all expenses and interest chargeable against revenue, leave
a net available balance of £64,101. The directors recommend
a dividend at the rate of 5 per cent. per annum upon the
preference stock, and at the rate of 7 per cent. per annum
upon the ordinary stock and new ordinary shares respec-
tively, and that the balance, £7,777, be carriedto the credit
of the next account. The traffic returns during the half
year show a very regular and satisfactory increase, and the
same steady improvement continues to the present time.
The directors have completed an arrangement with the
Great Western Railway Company which they believe will
prove advantageous to both companies. The directors have
also concluded an agreement for the maintenance and work-
ing of the Metropolitan and St. John's-wood Railway at 50
per cent. of the gross earnings of that line, with a view to
secure the early and full development of the traffic of a valu-
able feeder to the Metropolitan system. 'With regard to the
Finsbury extension and widening between King's-crossand
Farringdon-street, two lines of rails would be wholly inade-
quate to meet the requirements of the rapidly increasing
local traffic (more than 315,000 persons having been carried
in one week), together with that of the Groat Western,. the
Great Northern, the Midland, the London, Chatham, and
Dover, and other railway companies seeking accommoda-
tion ; and that if the works were so constructed they would
have to be enlarged at great cost and inconvenience. In
view of these facts the directors had to determine either,
at a great sacrifice of capital, to urge on the works
as originally laid out, and open the line to Finsbury within
the stipulated time, or to submit to the temporary loss of
the Finsbury revenue which would be occasioned by the

postponementof the extension, and be in-
evitable ifat once proceeded with for four
the i nwor theks openingwere
lines of rails. Under these circumstances the directors ac-
cepted a proposal from Mr. Kelk that the time for the com-
pletion of the Finsbury works should be extended, and that
he should be intrusted with the construction of the ad-
ditional and enlarged works between King's-cross and
Finsbury, he on his part undertaking to pay from time to
time any amount which might be required to compensate
the shareholders for the temporary loss of the Finsbury
revenue. In accordance with this arrangement Mr. Kelk
has contributed for the past half-year a sum equal to 7 per
cent on the paid-up Finsbury capital. The directors have
thus been enabled to effect the saving of a large and waste-
ful expenditure and to pay the shareholders the dividend
they had a fair right to receive, and at the same time have
been placed in a position to complete the agreement with
the 'Great Western Railway Company, and to enter into
similar engagements with other companies without dis-
arranging the local traffic of the line. The works between
Farringdon-street and Finsbury are being carried on with
great vigour; both the Aldersgate-street and Finsbury
Stations are expected to be ready for traffic before the next
half-yearly meeting of the company. The time has now

arrived when arrangements should be made for raising
the capital for the Eastern and Western Extensions. In
the opinion of the directors, the requisite capitals should

be raised as portions of the general capital of the company
by the creation of new shares, upon terms which would
make them immediately valuable, and which should be

offered at par rateably to the existing shareholders. The
directors therefore suggest that during the construction of
the works arrangements should be made for the payment
of interest on the new capitals at the rate of 5 per cent. per
annum for the first two years, and at the rate of 6 per cent.
afterwards ; that from the opening of the extensions until
the 31st of December, 1869, the holders of new shares should
participate in dividends not exceeding 6 per cent. per
annum ; and on the Ist of January, 1870, the capital should
be consolidated and take equal dividends.
The report of Mr. J. Fowler, the engineer, states that the

works of the Finsbury extension are proceeding satisfac-
torily. The works from the Farringdon-street Station to
near Smithfield-bars with the proposed junction of the
London, Chatham, and Dover Railway are very nearly

completed, and a considerable portion of the excavation in
Smithfield required for the depot under the proposed meat
markets has been executed. The additional lines of railway
to Aldersgate-street are nearly completed. Mr. Fowler pro-
poses to push forward the works from Aldersgate-street to
Finsbury, and to open a temporary station there during
the course of next summer, simultaneously with the open-
ing to Aldersgate-street. The works of the widening from
King's-cross to Farringdon-street have been commenced.
Mr. Fenton, the general manager, states that thenumber
of passengers conveyed over the line in the first half of
1864 was 5,207,335 and
the receipts £54,740, and in the
second half, ending Decemberlast, 6,514,544 and the receipts
£61,749, showing that 11,721,889 passengers were conveyed
over the line during the past year, against 9,455,175 in
1863, showing an increase of 2,266,714. On compaiing
the number of passengers in the past half year with the
corresponding period of 1863, thero was an increase of
1,882,816 passengers, and of £13,100 in the receipts. The
largest number of persons carried since the opening of the
line in one week was 317,813 in Christmas week last, and
the largest daily number was 64,143 on the-Monday of that
week. The capital account showed that 2,369,447 had been
expended, including £314,009 expended during the past
half year. The revenue account showed that £97,192 had
been received, and £25,474 expended in working, and
£7,617 paid for interest on debentures, leaving £64,101.