The Sun.
London, England, 1854-08-21 00:00:00

RAILWAY INTELLIGENCE,

MANCHESTER, SHEFFIELD, AND LINCOLN-
SHIRE.
ctohnissicdoenriptahney
pwraospohseeldd atMan-
chAestesrpe ocniaSla
arrange-
ments with the London and North-Western and t u meetingrda y t ofo
War-
rington and Stockport and St. Helen's Railway Com-
panies, the terms of which have already appeared in The
Sun. The chair was taken by Mr. John Chapman.
The CHAIRMAN, in moving the first resolution, ob-
served that the proposed arrangement with the London
and North-Western Company was practically an amal-
gamation, though without the inconveniences of an
amalgamation, as it was intended to secure to this
company a minimum gross receipt of traffic with some
contingent advantages, while it left them in the position
of an independent company, to deal with their internal
affairs and economize the amount of traffic, and the pros-
pects of a return for the money invested. The working
of a large concern like this must always be liable to be
affected by unforeseen accidents, but the directors felt
confidence in anticipating, under the proposed arrange-
ment, that the preference shareholders would very
shortly be placed in a position of entire security, and
that a dividend, steadily increasing, would be at a very
early period received by the original shareholders.
Developed and stimulated as the resources of the line
would be by the union with a more powerful interest,
many persons were sanguine enough to believe that they
would yield a larger gross traffic than the proportion
secured under the proposed arrangement, and the whole
of any such excess would belong to this company up
to the end of 1857, and after 1857, and up to 1859,
the whole up to 12,0001. per week and after 1859
the whole up to 13,0001. per week, would belong to
this company, any receipts beyond th6se sums being
divided, two-thirds to this company and one-third
to the London and North-Western. That such ex-
pectations were not utterly groundless was evident from
the rate at which the traffic had increased since the
opening of the whole of this company's lines. This
company having made large sacrifices in the spring of
this year to secure the co-operation of the Great
Northern Company, as far as they could co-Operate, the
working arrangements with that company had been of a
far more friendly character than previously ; but the
Great Northern Company had never made any proposi-
tion involving any fixed responsibility on their part, or
any binding protection to the proprietors of this com-
pany, and he had every reason to believe that the share-
holders of the Great Northern were averse to undertak-
ing any further fixed obligations whatever. Therefore,
the ally of this company became, of necessity, the Lon-
don and North-Western, and he sincerely hoped that
that company and the Midland would be able to see their
way to more intimate relations, as there was a large
amount of traffic which could only be developed by the
cordial union of the three undertakings. The advan-
tages of the proposed arrangement both to the travelling
and carrying public were obvious, because it would in-
crease the certainty of time, which is so necessary to
business travelling, by removing the present break of
communication at Manchester between the Sheffield line
and the Liverpool line; while the merchants and traders
on this company's line would be enabled to obtain
through rates and arrangements, not only over the whole
of the London and North-Western system—embracing
630 miles of railway, and as many more miles in its
alliances, but, through the influence of that company,
over the systems of almost every other, and the saving
of time and expenditure by a common working must
ultimately lead to the modification of any rates which
were, commercially speaking, too high. The alliance
of the London and North-Western must powerfully
assist in developing the resources of this company's
property, while it would strengthen it in negotiations
with other companies for division of traffic ; and,
as the policy of the concern might now be considerel
settled, the attention of the directors might safely be
given exclusively to its internal management, so as to
improve the credit of the undertaking and induce mo-
neyed men to set its proper value upon it. The proposed
arrangement with the Warrington and Stockport and
St. Helens's companies would afford an outlet for various
kinds of traffic over the Garston line, traversing a new
district which must become more and more important ;
and, as this company was to find locomotive power and
plant to work the line from Timperley to Garston, on
fair terms, an employment would be found for their sur-
plus stock, which would go far to protect them from any
loss that might accrue in the first years of the arrange-
ment, before the traffic was fully developed. He con-
cluded by moving the first resolution, approving the re-
port of the directors as to the proposed arrangement
with the London and North-Western Company, and
authorizing its conclusion.
Mr. TURNER seconded the resolution.

The CHAIRMAN explained, in reply to a question from
Mr. Williams, . that the London and North-Western
Company were merely to be allowed 50 per cent. for
working expenses on any amount which they might
pay to make up the sum guaranteed, when the traffic
happened to fall short of the guarantee.
Mr. E. WATKIN, the general manager, in answer to
questions from a shareholder, said that the total amount
of capital represented by the 61. shares was 1,035,0001.,
of which 776,2501. was called up. If those shares were
paid off by money raised at 4 per cent. on the 11th of
Oct., 1870, when they were redeemable at par, than, if
the whole amount of money was called up, the paying off
of theseshares would make a difference of 20,0701. a year,
or about one-half per cent. to the original shareholders.
If, on the other hand, any further sum was called up
it would make a difference of about 15,5001. a. year.
With respect to the debentures, the directors ob-
tained powers last session to capitalise them by the issue
of preference stock, to bear a dividend not exceeding 4
per cent. per annum ; and, as the amount of debentures
issued was 2,396,5001., at an average rate of 41 per
cent. there would be a saving of 18,0001. a year; or, if
they were capitalised at less than 4 per cent., the saving
would be in proportion. As regarded the working ex-
penses, this company were certainly not bound by the
proposed arrangement to work the traffic at any un-
reasonable per tentage, but only in such a way as was
fairly consistent with the interests of the proprietors.
The shareholders might rely on the principle that as the
traffic increased, the percentage of working expenses
must diminish. Many changes were being made in the
locomotive department, to secure greater economy as
well as efficiency. The increase of traffic this half-year
had so far averaged 9001.. per week, with a smaller num-
ber of engines in steam than at the correspoding period
of last year. (Cheers.)
Mr. ADA.NrswAITE moved, as an amendment, that
the meeting be adjourned until the preference share-
holders' committee had made their report.
Mr. WALKER seconded the amendment.

After some discussion the amendment was withdrawn,
and the original resolution carried with about half a
dozen dissentients.

Another resolution, approving of the principle of the
arrangement with the Warrington and Stockport and
St. Helen's Companies, was then carried, and the pro-
ceedings terminated with a vote of thanks to the chair-
man and the directors.