The Sun.
London, England, 1849-07-26 00:00:00

sions, that the directors feel confident that by a steady
pursuance of this policy the traffic will in the course of
time be considerably increased.
" The total expenses of the half-year amount to
91,9071.
" The directors feel considerable confidence that the
progressive increase of the traffic will continue, and that
it will not be attended by a corresponding increase in the
amount of ordinary working expenses. It is evident, how-
ever, as stated in their last report, that with a closed capital
account a progressive increase must be anticipated in the
cost of renewing and replacing worn-out materials and
stock. Having given the subject their most anxious
consideration, they have arrived at the conclusion that it
would be advisable, in addition to meeting all charges
whatever out of revenue, to set aside a sum annually, in
order to form such a reserve fund as may give stability
to the property, and obviate injurious fluctuations in
future dividends. The whole of this reserve ought to
be taken out of the second and more productive half-
year, and the directors consider that 15,0001. will be a
proper sum to set aside for the present year, which they
will accordingly recommend to the proprietors at the
next half-yearly meeting.
" In order to put every proprietor fully in possession
of the reasons which hsve guided the directors in arriving
at a conclusion of so much importance affecting their pro-
perty, they have thought it the best course to place in
their hands a private report, from the Chairman to the
board, in which the question is fully gone into, and
which contains detailed information in regard to the
actual condition of the working stock and works. In
doing so, the directors are actuated by the feeling that
the most unreserved publicity, in regard to the affairs of
the company, is desirable for its interests.
" A proposal has been made by the Direct Portsmouth
Railway Company to this company, to enter into a
traffic arrangement for working a portion of their line,
of nearly four mile) in length, from Epsom to Leather-
head, and an agreement for this purpose entered into
by the two boards, subject to the sanction of their re-
spective proprietors. This agreement has been con-
firmed by a general meeting of the Portsmouth Com-
pany, and it is now submitted to the proprietors
for their approval. Contracts having been entered into
by the Direct Portsmouth Company for the purchase
of the whole of the land, and construction of the works,
the practical result in figures of this arrangement is
ascertained within a very slight margin, and may be
stated as follows:—The London, Brighton, and South
Coast Railway Company will pay 3,0001. a year (with an
option of commuting for 50,0001.) for the line in question,
forming an extension of nearly four miles of their present
Epsom line.
" As this can be worked at a comparatively slight ad-
ditional expense (certainly not exceeding 1,0001. a year)
by the same engines, carriages, &c., as now work to
Epsom, the question of profit or loss in the arrangement
to this company resolves itself into this—whether the
traffic from beyond Epsom carried over these four miles,
and over the eighteen miles of existing railway from
Epsom to London, will produce a gross amount of
4,000/. ; or if Parliament should sanction the proposed
commutation into a principal sum of 3,2504 a year?
"The directors are satisfied that the traffic thus
brought to the line, to and from the districts of Leather-
head, Mickleham, Box-hill, and Dorking, or saved from
being diverted from it by the Reading; Guildford, and
Reigate Railway, will exceed this amount; and that the
extension in question will be profitable in itself ; while,
in other respects, it will confer important advantages on
the company.
" They have, therefore, although very averse to any-
thing involving even an appearance of enlarging the
engagements or liabilities of the company, not thought
themselves justified in letting an opportunity escape of
concluding an arrangement so manifestly advantageous;
and they strongly recommend the proprietors to give it
their sanction.

" Circumstances have rendered impossible the continu-
ance of the provisional arrangement, under which the
chairman has devoted a great portion of his time to the
affairs of the company in the capacity of managing
director, in consideration of which the board appro-
priated to him one-half of their allowance up to this
time, the alternative has arisen of losing the benefit of
his services altogether, or retaining them on a perma-
nent footing by affording some adequate remuneration
for the time and labour bestowed. The chairman has
left the matter in the hands of the directors, with the
expression of a wish that they would look at it simply
as a matter of business, and adopt whatever course they
thought most conducive for the interest of the company.
Having done so, they have arrived unanimously at the
conclusion that it is greatly for the company's advantage
to make such an arrangement as will enable them to
retain the services of the chairman as managing direc-
tor. Having now had practical experience for the last
twelve months, of the benefits resulting from the con-
stant and judicious superintendence of the company's
affairs by a man of talent and integrity, they are more
than ever satisfied that this is the only sound footing on
which a concern of such magnitude can be satisfactorily
managed. They accordingly recommend the proprietors
to increase the sum voted for direction by 7001. a-year,
appropriating 1,5001. as a remuneration to the chairman
and managing director, and 8001. for the other members
of the board. The total expense of management and
direction will still be less than it has been, while the
advantages resulting from the arrangement are so obvious
that they do not think it necessary to enlarge upon them."
The CHAIRMAN, in moving its adoption, observed that
at • the last meeting he held out a hope to the pro-
prietors that, with proper management, the traffic
of the line might be so increased as to greatly augment
the profits. That increase, he was happy to say, had
taken place, and although they had to divide this half-
year upon an enlarged capital, he was glad to tell the
shareholders that the dividend would be at least 2s. 6d.
per share more than was paid last half-year. The
steam-boats had not been so productive, but still the
traffic derived from them was anything but insignificant.
The shareholders would perceive from the report that
some progress was being made towards closing the
capital account.—(Hear, hear.) He was in a position to
inform the shareholders now that that "consummation
so devoutly to be wished" would ere long be brought
about.—(Hear, hear.) At all events, however, the limit
of 7,200,000/. fixed tor future expenditure would not be
exceeded, and the proprietors might rest assured that
none of their money would be spent but what was abso-
lutely necessary for the purposes of the line.—(Hear.)
After a short discussion, the report was adopted, and
its recommendation agreed to.
A dividend of 14s. 6d. per share was then declared,
and thanks having been voted to the Chairman, the
meeting terminated.

STATE OF TRADE.
(From the Manchester Guardian.)

MANCHESTER, TUESDAY.—We have had an inanimate
market, both in yarns and goods, and the aggregate
business of the day has been very limited in extent; yet
prices are firmly maintained in cnrrent articles generally,
while in some few, especially in some of the lower counts
of yarns, a hardening tendency is still apparent. In
goods suitable for the East, prices are sustained by the
largeness of existing contracts. It is evident, however, that
there is not now the same disposition among the merchants
to give out orders that there was a short time ago. This
change, which we have before noticed, has been increas-
ingly perceptible during the last few days, and more espe-
cially so to day. The heavy shipments now on the way
out, and the purchases yet to be completed by manufac-
turers, together with the want of margin betwixt the
prices demanded here, and those attainable at Calcutta
and Bombay, are quite sufficient to cause parties
to wait for commercial advices by the overland
mail before engaging in further operations. Printing
cloths continue in good request at full rates. Long
cloths, T's, as well as stout domestics and fustains, are
still exceedingly depressed; while domestics and fustians
of light fabric, suitable for exportation, remain compa-
ratively in a much better state. In yarns the operations
on continental account have been restricted within nar•
row limits; so far as they have gone, however, the prices
paid have reached the extreme limits of last week. For
India there has been no demand. Spinners for home
manufacture have again found ready sale for their
produce, realising at least the full prices of Friday.
The great addition which has for some time back been
making to the weaving power of the district is manifestly
producing an effect (as we stated on Satnrday) upon the
relation between the demand for, and the supply of, such
yarns as are suitable for the lighter descriptions of goods,
in the making of which the new looms are employed.
ROCHDALE, MONDAY.--We have had a very fair busi-
ness doing today in flannels at something like former
prices. The wool dealers complain of the limited demand
there is for the raw material, but this may be partly ac-
counted for from the higher prices asked, which the
manufacturers appear unwilling to give, except they
are compelled to buy. One of the oldest flannel buyers
in the Rochdale market, Mr. George Pilkington, of
Haslingden, was interred on Friday last. His sudden
death has been the topic of general conversation in the
market to-day. He had been a constant and regular
attender as a flannel buyer at the Rochdale market for
more than forty-one years. He and the late Mr. Adam
Livesey, of Manchester, were two of the most extensive
buyers in the Blackwater market. Mr. Pilkington also
carried on an extensive business as a bill broker. _

MACCLESFIELD, TUESDAY.—Since the termination of
the public silk sale, which commenced on the 11th inst.,
and up to the present time, very little activity has been
evinced by the silk trade generally, though the present
is the time when the manufacturers should be fast pre-
paring their stock of goods suitable for the autumn
trade. This may be mainly attributed to the indecision
of the London buyers as to what colours and styles of
goods are likely to prevail this season. Italian raw and
foreign thrown silk generally have materially advanced
in price within the present and during the past
month, caused wholly by failure in the silk crop of
those parts. At the present, the throwsters are
rather slack of work; but there is every reason to
anticipate a revival shortly, as there are fair grounds
to hope that not only will the French manufacturers be
enabled to consume the whole of their home produc-
tion of thrown silk, but also that they may become
purchasers to a large extent in the English thrown silk
market; for one fact is very certain, that, whether an
average quantity of goods for the season be made here or
not, the general markets perceive no lack in supply
equal to any demand which may spring up. In the
manufacturing department there is not any improve-
ment. The weavers of Messrs. Wardle and Corns turned
out about prices yesterday, as well as those of several
other small manufacturers.

HUDDERSFIELD, TUESDAY.—A fair amount of busi-
ness has been done to-day and during
_the week. The
principal demand is for dark goods adapted for the
forthcoming season. Not much has been done in vest-
ings. The price of wool has improved equal to the ad-
vance at the London sales.
HALIFAX, SATURDAY.—The quantity of goods which
have changed hands in the Piece Hall to-day has not
been so great as on the last three or four Saturdays, on
account of the extreme lowness of the stocks of some
descriptions, more particularly lastings, the demand for
which exceeds the supply, the manufacturers being un-