The Sun.
London, England, 1851-02-21 00:00:00

THE SUN, LONDON,

A
40,
SU.N OFFICE, Seven o'Clock.

LONDON AND NORTH-WESTERN
RAILWAY.—THIS DAY.)
The: usual half-yearly meeting of the proprietors of the
London ' and North-Western Railway was held to-day,
at the Euston-square Station ; Mr. G. C. Gwyn, M.P.,
Chairman of the Board of Directors, in the chair.
The advertisement convening the meeting having been
read by Mr. Charles Stewart, the secretary, and the minutes
of the previous meeting confirmed, the common seal of the
company was affixed to the register of proprietors.
The CHAaitar.AN then proceeded to address the meeting to
the following effect:—Gentleman, considering the vast
amount of business that we shall have to bring
before you to-day, I am thankful that I shall not have
occasion to delay you long, as it will not be my duty to
occupy any considerable portion of your time in the remarks
which I have to address to yeti.— (Hear.) The accounts are
in your hands, and I can scarcely doubt that on the whole
they present to your mind the same favourable aspect which
they have done to your executive body.—(Hear.) At the
same time I should have been glad if it had been in my
power to congratulate you upon an increase in our passenger
traffic ; but you will find in reference to the report and the
returns, that the same causes are acting upon the travelling
now that I alluded to on a former occasion—(Hear)—and
from that reason this branch of our traffic remains nearly
reationary.—(Hear.) But, gentlemen, with regard to the
goods traffic the increase has been remarkable, indicating
taereby a great increase in the consumption of the country,
and perhaps I may add also, an improvement in the general
Frorsperity of the great mass of the people.--(Hear, bear.)
,here is, however, another portion of your accounts,
gentlemen, to which I refer with still more satisfaction.
1 allude to the working expenses, and their small amount
when compared with the work done and with those of pre-
vious -half-years. (Hear, hear.) Now, gentlemen, no ex-
ecutive body can create traffic, but it is in their power to
take care that the working expenses are kept down
within a proper rate—(Hear, near)—and upon that
point I think we have a right to claim your approbation
on this occasion.—(clear, hear.) 'We have done a con-.
sideratae increase of work with inconsiderable increase in
tae working expenses, and I may further add'
that in-that increase is included the expense of maintaining
a much larger portion of working stock than we have
had to' keep •up in previews hat,`-year=.—(Hear, hear )
TheretOre upon those two points, gentlemen, 23 far as they go,
I claim your approbation.--(Hear, hear.) Now, gentlemen,
I have been charged with • being an advocate for the non-
closing of the capital account, and I think it necessary to
refer to thie to-day, beeanee'l sin aware that a circular has
been sent round' on that 'subject, in which my humble
name is made-very promirferia and which the charge is re-
peated, I totally-and entirely -deny the charge—(Cheers)—
for I arm's/ believe, gentlemen, that no large undertaking like
ours can be finally based en a tietn foundatien, or placed in a
proper posit:on, until the capital account has been closed.
B ut, gentlemen, it would be-useless, it would be deceptive,
of your directors, from time to time, came forward with
propeeitions for closing the capital eccoant, and then in the
fat:awing half-year came again to ask to re-open it.--( Hear,
hear. )' No, gentlemen, to a policy of that sort we are not
Fr-pared to bind ourselves.' ' On many very important heads
coa netted vri•le the main line we have closed the capital ac-
count, such as, for instaaae, hi the locomotive account, in
the carriage and stock account, and apse in that account we
preseete I to your notice on a former occasion, and which
is now periedicelly -submitted to the inspection of
your atelieers.—(Hear, hear.) So far then, gentlemen, we
hove cio,ed your capital account, and we entertain a conti-
den* tiope that in the course of a,fra mentla3- time we shall
be eseeled, eas' regard: the ninin line,. to carry, out
that pAncipti mach further.—(Hear, hear.) But, gen-
tiemee, I am sorry to state, , that. from te.o new compe-
tition. 'which is likely to - arise., through , the failure of
tee re =otiatiota with the Great Western •Campany, which I
alheleit to when I List bed the honour of addressing
'you
from this chide,- we shalleind iteneCeselary to call upon •you
I-r a further outlay in the tewii 'of Itirminehern.— (Wear,
hear. ) It ieeitit env intention to entee fully: itiththe ques-
t'-':.,e• tee tensenefer this rew- compaition. I regret-it—l
te!ee e • efie•et.i a --e( ilear.) The, ;evert itecl fe!ledee et' length
to -pia cieeeeef ia—(ill.te, hear.) I find na ' fault with the
lire. e Western. The wale- reee.trk I nieke is this, I regret
ex remely !.hat fruit -rho delay which oecereed, in the. com-
er-dna:mien ei Meta they- neztileio us or. the enleject, it did net
allow us to put before von at an ear:ler period the
oecessity, that. has., eriseu 'for a further. outlay in
the tewse ee iliiertiegheree-L(Hear; hear.) Oa the- other
baud we are (e,rtainly not prepared at tile"preSeril.
monient to clos our capital seceittit to the fill extent, be-
edtlee it is aeceeeery for theeccottelieltattoeeiinitctiVqopment
of our goods traffic that it should *till be kept oven.—
( liana' heir.) That traffic has increase:l' in such an
ex traordinsry ratio, that it would be folly in us to
pretend on this occasion to state that we might eventually
,eve to come forward and ask you to negestive.—(Hear. )
But I hope, gentleman, in the next half yea-, those of us who
etall then be here will find the directors asking fora vote on
tnis Point.—(Heer, bear.) As far as regards the main line
we hove near .y dereeweat. you asked of u3—we have fulfilled
the prornis•e yea' eeleei upon. us ttemake,to totally close the
capital :Account, cc nor as it was paaeible. to do so, and as an
evidence that we are still carryiug out that promise and in-
tention, we this half-year have ordered, as you will see by
the report, a considerable increase in our working stock,
whicie, we • have merged against revenue.—(Hear, bear.)
i mention that circuria•tance simply as affording an evidence
t hat we were steadily an-i bowijide carrying out your already
ex peeset aishcs, and I hope you will therefore not require
us tine s:wad that principle further until we tire really-in a
situation to do so.—( [dear, hear.) Now, gentlemen, yon
will see, by the accounts . that the directors mean
to propose' as increase in the dividend of the half-year.—
; Hest, hear,) I candidly confess that if I had been admi-
ni-terieg my even private affairs I should have not been in-
cetied co make an increased ! ayment out of the net receipts
eponthe oce,sion.—(Hear, hear.) I should have preferred
waitieg until thee. seen the effects of the competition cum-
log agailiet usebut knowing that we have had to deal with a
pr. ,priete re, betty placed in circumstances which would render
an increase or a decrease of dividend a matter of con.
sideraele importance to them, we do not think it
rieht on tale occasioe, to ask you to increase further that re-
serve-fund whica now, at two several meetings, you have
adopted.—(Hear.) Gentlemen, with reeard tithe probable
effect' of that competiti ea I feel considerable apprehension
in approaching the question to-day, in consequence of the
position in which that question stands, from a communica-
tien we hare received from other parties in the north of
England, who are now about to raise a competition against
us.— (Hear.) We had conceived that we should have been
ready by this time to state to you, as nearly as use possibly could,
toe result.; wi:ica might have arisen if the competition was
to be carried on the proposition submitted to the Great Western
Company of equal rates; but when we timed the principle
advocated that equal rates Would not answer their purpose,
but that there must be discriminating or differential rates,
which mast be so arranged as to draw to the longest and
most inconvenient route the traffic which otherwise be-
longed to the shorter and more convenient route, we at once
abandoned all hope of that sort. If, gentlemen, the scale
is to be fixed upon a principle like that, I am sure you
will agree with me that it would be vain fir us to attempt
to measure the amount of competition such an arrangement
might produce.—(Hear, hear.) But if this principle is
adopted in one quarter, the evident result will be that in
every other quarter a similar principle will be acted upon.
But, 'gentlemen, it may not be uninteresting for you to
know how far we are at present able to judge of the
effect. of the competition by comparing it with the
existing competition that is now offered against our traffic,
and whose effects-we are at this moment exposed to. Now we
have competition from three several points, namely, from the
Shrewsbury and Birmingham, the Great Northern,
Sind the North Staffordshire. With regard to the
Shrewsbury and Birmingham, it is impossible for
us accurately to measure the amount of injury which
that competitiOn wialathripg npon us—it is something no
one will deny ;but
t 4 ttittiorth Staffordshire we have the•
means of meaeurin ato a shilling-, because we account to
r
t hour for Th e ,tralt '4(ll,ara, hear.) New, I nun ioclined
te believe- that t:. xperlertee which the -North Stafford-
ehire -Company cohil3ss.themseires to, have had of the corn-
perition which arieee'ltn-their line, and- which experience I
tit ele tins beery felt on posstione,.of otberelinee, is not' very
They •-cetelidles , eonfees
en ca merging.— (Heat, hear.)
they br,vo.Leeli;:gri.;.evOu.6ly. disappointed- in the amount of
tratliewhich they-havu derived from their arrangement with
es in runeing to 3141.Cau:iLi*—(Hear, hear)—and you may
rest assured of Vale ;feet, gentlemen, that that is an error
which all those co par who are anxious for competition are
everyday falling rare. Tee's, see our large returns, and they
fancy those returna', are based upon our receipts from places_
like Liverpool, Manchster, and Leeds.—(l.lear.) The ex-
perience of the NOrth Staffordshire, as regards Manchester,
ie applicable to other towns; but it is not upon points
like theft that a large amount of property exists and arises.
We receive the large amount every week quoted to you
through the development, gentlemen, of traffic which comes
from one hundred and eighty-eight different stations.—
(Cheer=.) And it would astonish gentlemen to know the
comparatively small extent of traffic which towns like Liver-
pool. Manchester, and Leeds give us, and which is to be found
in that large ratio which you have before you.— (Hear.)
The North Staffordshire have lately at their public
meeting openly alluded to their disappointment, and
I might, perhaps, without any breach of confidence,
state to you the figures which we derive at this moment from
Liverpool, because, gentlemen, that is -one of the points
wherewe are about to be attacked.—(Hear.) Now we are
to be attacked in Liverpool ; the traffic is to be
taken by a circuitous route, by a break of gauge, and by
crossing the Mersey.—(Hear, hear.) I mention these facts
because I have no doubt gentlemen who have been accus-
tomed to the best route, and who propose to avail them-
selves of this competition, will find a considerable
drawback in the comfort and pleasure which they have ex-
perienced in the old route.(Hear, hear.) But, gentlemen,
let us give credit for full competition. We will sup-
I'"en
that
all these things are nothing, though going
count er
Y wiles out of the way, and baying to en-
the inconvenience of a break of gauge,
and the nuisance of crossing a river, is not to be overlooked
in these dayi a riold4y-orWell transit:—(Hear, hear.) • ,
hen, it is quite s-
a single
mernintimpossiblevat for any gentleman to suppose for
passengers who use an express
train will ever admit ()att."'
) ,n,e3yhe inconveniences to which I have alluded.—( Hear.
ie ee importance and who neynnoney
are men of business, to whom time i
far dispatch, and they
will not be disposed to:pa
( Hear, hear.) Deducting the''rn7t the inconvenience.— '
expness trains from
tile receipts, the whole rennnne. h
K: receiptse or the Liverpool
station, which is thought to be one ee b,
antiorn. em stages of the
line a third etthat
whole tr , ffic of this rail way,do not erne
, amno,/7tth ai.n. 1,4701.
give then the competing
wiwt will not get
more, and what does the division' come no
at does it
y:elcl on 227 miles of railway? Why, no
them do it, the
more than 492/.
ateh awe[ live and compete with that, let
can, out of that, to IL;
quite come.—(Hear, and laughtere) Let there
pay
their working expenses, if they
nothing about remuneration for the capital laid out ulnae
the line.—(ffear, hear.) It is a singular fact—a fact men_
tioned to me by our excellent manager -- that in taking out
the returns -per week—the passenger returns, Newell
amount "to • 2a,500/. —it is shown that of that
22,F00/. only -1,300/. was derived from any other
line beyond our own—a pretty conclusive evidence
that our I.B3.sttions it is that keep us alive.—(Hear, bear.)
These are the sources that keep us alive; and so long as we
have traffic from them we racy have competition here and
compettion there without tear of injury ; end you may
rest assured, gentl me that oar property is based
on a saorstaiotstaaa • e -n'
those v {iasiticestervue sigh their competition.--(Hear, 1'1" a and vex-meta.-in-point -meta. -in- point of fact, defy
I (la n')t.s*, however, - • to seek the
h ear. )
that we are not anxious
''-e:Tort'' °l' "r' l'iatheuitrle.,
this
is it for us to throw
dowe Abe. first, stone race of competition.
13u- WC.
, eve dwirs in this room advocated one prin-
aialta aselaaes are not pink CO e
we ace , rale:wed - with- partcom from that now because
,rule in
hear.)
Crimpeastisu .at • net -: ane .
nagernaesealet .:is ..: cent ex ion .. .enn . itnhe ' railway , 1 Ina;
oft t '.311",rd tbr' the btOilalitlaatu: eat .„hiLeheve oispmtehne
to a• galti —eaatrnshaataYa -"e."--fitti- -..ua.princibl is r og
nineti by the Great Northern Coinpaey.—(dear, 7-,-,--t.
.4. principle that will preserve our prosperity, and while

we adhere to it we have no cause to fear
the injuries I have already stated to you.—(Hear, hear.)
Gentlemen, you are called upon on this occasion to ;receive
from your committee their report upon an alteration in the
board of management. lam really anxious not to take up
your time unnecessarily, as the business we have to transact
is of importance, and the sooner we get on with it
the better, but it is, nevertheless, right that I should
here recall to your recollection that when the Amalgama-
tion Bill received the royal assent, the Legislature most
wisely allowed the existence of the several local committees
of management, and kept in office the directors
constituting those committees. I think it was a
wise arrangement that the line should be ma-
naged by committees of directors acting in different
localities, and one almost regrets that the Legislature did not
' allow that system to go on until, by the lapse of time, the old
committeemen would have ceased .to take an active
part in the business of i the company, and to continue
to give their services, but the Legislature determined
that we should take five years' trial, and aft that the future
arrangement should rest entirely with thirproprietors, as
well as the duty of fixing the number of the board. Now, it
is upon this occasion, gentlemen, that we have to consider the
report of a committee of proprietors, whom yon appointed on
a former period to look into the subject.—(Hear, hear.)
We entirely agree with the committee of proprietors in the
views which they express as to the number of directors
, necessary for the purpose of conducting the business of
the company.—(Hear, hear.) We do not believe,
from the experience we have had of the increased business
which almost every day presses upon us, that leas than thirty
directors can properly carry on the business. (Hear, hear.)
I should not be discharging my duty properly if I let this
occasion pass without bearing my testimony to the zeal and
ability which those gentlemen have devoted to your interest
who are now about to leave your service.—(Hear, hear.) I
have been connected with them now some twenty years, and
I do believe that during that time you could hardly have
found a body of men who could have devoted to your ser-
vice more time, energy, or activity, or shown more devotion
to your cause than they have done. But, gentlemen, many of
them have gone further than that even, for during the period
of the contests in which we have engaged, many of these
gentlemen endured pecuniary liabilities that were never
made known to you—many of them not only performed
the common duty that was expected of them,
but they did more for the sake of carrying on those contests,
they went so far beyond that, even, that I defy you to point
out to me a parallel in any other public body in this country.
—(Hear.) Many of them incurred liabilities during
the Birmingham and Oxford contest which really
I could not have asked of them; their zeal and energy in your
service went beyond anything that we had a right to ex-
pect of them, they paid money freely out of their private
purses for the sake of our cause, and in taking leave of them,
I must offer them my warmest ecknowledgments for
their able co-operation in Your behalf.—(Hear, hear.) One
of them is Mr. Lawrence; he is the oldest director we have,
and during the time I have had the honour of serving at this
board it has been a source of great gratification and plea-
sure to me to have such a colleague.—(Hear, hear.)
Gentlemen, I have on this occasion to , regret
the loss of a respected gentleman, whose decease
has occurred since we last met here, and who filled
the office of one of your auditors.—(Hear, hear.) Gentle-
men, there is no necessity for my detaining you further, bat I
should not have done justice to my own feelings, nor should
I have properly discharged my duty to you had I
not taken this opportunity of bearing my testimony
to the ability and activity which those gentlemen, who are
about to leave us, devoted to your service during the time
they acted at this board.—(Hear, hear.) It only remains
now for me to call upon the Secretary to read the report.
The SZCRETARY then read the report of the directors as
follows :---

" The half-yearly statement of account just issued, again
shows the gratifying result of a large addition to the traffic
receipts, with but a relatively small increase in the working
expenses. ' As compared with the corresponding half-year of
1849, the results are as follows :

Traffic receipts— 1849. 1850. Increase
Passengers, parcels, and •• .. £719,052 729,547 10,495
Merdiandlse,including cord and tattle.. 410,553 477,743 67,193

1,129,605 /A 07,290 77,655

War:C:lg 'el:penses .............. • 381,391 390,362 '8,97

Net increase of proat... • .
The peri-eentage of dishursements..to receipt's is, exclusive of
rates and taxes, .42.33 against 33.E9, in 1849 ; arid inclusiva
of those items, :36.6 agaiust 33.L0, in 1.949.- The ratio of
working expenses to receipts for the six months is satisfac-
-tory, considering that nearly the entire ir:...rease is from lwr-
chandise, and that the following additional Mileage has'been
worked, ' 1

" 1850.
Coventry and Nuneat0n..........., • • • • 10, opened Sept. 2.
Augby and Stamford—Rugby to Ilbrket Harbro'• .17M „ April 29.
Ditto--Market Ilarbro'to nockinghaM Castle • .1014 „ June 1.
Clifton Braach •.•• • • •• •• •••• • • .. •• 3y „ Feb. 2.

~,., . .

In all, 4l IA miles.
The extent of traffie during the ensuing summer, your di-
rectors anticipate, will be very large ;1 and haVing had under
consideration an estimate of the probable number of second
and third class passengers likely to visit the metropolis
during that period, they came to the conclusien that at least
150 additional carriages will be requisite; and accordingly
they have entered into contracts for that number. is be de-
livered prior to the tat May next, the cost of which, as well
as all similar expenditure not included in the estimates
already sanctioned by the proprietors, it is proposed to re-
imburse, out of the earnings of the five veers next en-
suing, as 'exemplified by the accounts" for therpast halt-year:
The East and West India Dock Railway, in which this
compauy are 'interested to the extent of 400,0001., was par-
tially opened for 'passenger traffic on the 26th September
last, and the remaining portion, forming a junction with
the main line of this company at Camden, was completed
and opened on the' 15th instant; the result, so far, has been
highly satisfactory, and exceeds, as to. the extent of the local
traffic, the expectations of the directors. The Rugby ' and
Leamington Branch will be opened on the Ist March next.
The Buckinghamshire lines are progreseing towards comple-
tion, and it is expected. that the directors of that company
will shortly be in a position to execute the lease of that un-
dertaking to this company, in conformity with the Act of.
Parliament. The traffic of the Chester and Holyhead Rail-
, way in which this company are deeply interested, is steadily
on the increase; and your directors hope that the improve-
ment will continue, and that the proprietors will ahortly receive
a return for their investment. It is also eatisfactory to observe
the rapidly improving position of the Lancaster and Carlisle.
The directors have much pleasure in s'ating that their rela-
tions with the Midland, Lancashire and Yorkshire, Man-
chester, Sheffield, and Lincolnshire, and East Lancashire
Railways, continue on the most satisfactory footing; all
parties have concurred in general arrangements for the
friendly interchange of traffic, and at such rates as may
securetto the proprietors a fair return on the Capital employed.
The'directors have also ,entered into friendly arrangements
with Ole Great Northern and other companies, connecting
Seotailad with England by the east and west
route... The differences of opinion which arose with the
North Staffordshire Company, as to the true interpreta-
tion of the agreement between the-two companies, have been
referrel to arbitration in a manner satisfactory to both par-
ties. Some delay was occasioned, by an 'bbjection, on the
part of the North Staffordshire Company, to leave the set-
tlement of the proposed deed of reference (as to certain dis-
puted-points) to the decision of a barrister of eminence. This
objection, however, having been withdrften, the deed of re-
ference was immediately settled; and.. to the entire satis-
faction of this company. This statement of ,facts
will be a sufficient answer to the misrepresen-
tation's which have been circulated by parties
connected with the Shrewsbury and Birmingham Company.
It is to be regretted that the hostile proceedings of the direc-
tors of the latter company are still continued, and in a spirit'
which precludes any hope of an immediate settlement with
that Board. The negotiations sought by your directors have
failed. It has from time to time been intimated to the pro-
prietors that negotiations were in progress with the
Great Western Company, and, as elated in the report
of the .22d February, 1850, your directors forwarded'
to that company, on the 30th January, in, the same
year, a proposal, having for its object the saving; by both
parties, of-unnecessary expenditure of capital, the avoidance
of mutually injurious competition, and the establishment of
permanent peace. ' Such being thd objecti„. of ' sitte direr ors,.
and the proposition submitted by then '14%1 Breen 'g ect
i
with due deliberation, and after frequent a satin - b oraf
conferences between Captain finish mild 'Mr.-Saunders,
on the phat of their respective companies,'. they • na-
turally; hoped 'for a favourable result; the more
so, as months passed without the rejection of ,their offer.
On the 4th May, being without. reply to the proposition sub-
mitted on the 30th January, application was made to the
Great. Western Company, by whom your. director, were
assured ' that nothing had occurred to alter the Views and
wishes of the board to 'come to some amicable arrangeMent.l
It was not, however, until the 12th September that the for-
mal reply of that board was received to the preposals atibmit-
ted to theni eight months before. Your directors were anxious
to meet, if possible, the expectations of the Great Western
board ; but some of the alterations proposed -by them being
in their judgment both undesirable and unnecessary, and
considering that the balance of advantage upon the general
scheme was already in favour of the Great Western Company,
they declined to bear the cost of the additional expenditure
involved by the altered plan of that board. Their reply
terminating the negotiation was received on the Bth of
November, and they published almost simultaneously,
notices seeking' Parliamentary powers to obtain compulsory
entrance into the stations and works constructed at the sole
risk of the proprietors of this company in Birmingham and
Leamington. ' The directore regret that these protracted
negotiations have not resulted in an agreeMent such as they
could recommend for the acceptance of 'their proprietors.
The Great Western Company having become, parties, in
conjunction with the Shrewsbury and Birmingham, and
Shrewsbury and Chester Companies, to measures which
could not but be regarded as a first step towards in-
jurious competition, your directors addressed a com-
mudication to the Great Western Company de-
precating 'such' a course, disclaiming the monopoly of
any traffic, and pressing upon their consideration the
propriety of adoisting equal rates between all points to which
the tw'd companies compete; leaving to the public the choice
of route; an arbitrator being appointed, with full power to
enforce the fulfilment of such arrangement. This communi-
cation, intended for the Great Western . Board; appears to
have been submitted. by, their Secretary to a 'Joint Traffic
Committee,' reprerntineg the Great Western; Shrewsbury'
and Birmingham, and Shrearebtiry aed Chester Companies-,
bo whom the proposal 'of equal rates has beed virtually
rejected ; for, in a counter proposal, that ' Committee re-
quire such 'discriminate rates rig • may secure to their
companies, according •to their views, would be a due
whatproportionof
traffic, a
see
king, 'in fact, to
,force it from its na-
proportion to the
et ui
rrcauli
tcoouusrns e by e
ss
ofathreedrouucttieo.nUonfdcehr athrgeseeicnircumetances, it only
remains for your directors to protect the interests ' thus at-
tacked : and they confidently trust to receive the Sanction and
support of the proprietors, in such measuers as may be neces-
sary for that purpose. The directors have to announce that
they have, in conjunction with the Midland Railway Company;
entered into a working • agreement with the Oxford; Wor-
cester, and Wolverhampton Board; the line will be imme-
diately completed by that company, and then worked
and managed in connection with the Buckinghamshire
Railway, by this company and by the Midland,
and with the prospect of advantage to all parties.
Application having been made to Parliament, by
private parties, for powers to construct a short line,
J 1 miles, to connect the South Western Railway with
the lines of this company near Willesden, it has been
agreed jointly to work the link, and to secure to the
prop rietors thereof, a certain minimum amount of traffic
over it. The formation- olthis junction cannot fail toprove
The liability of this in
a Phb
IF
ar
advantageous both e - .
private point of view.
(at a special meeting to be called for the purpose) to sanctionof
an ' arrangement (its conjunction with the Lancahirn '
i and Yorkshire, the Rut Lancashire and
,Midland
Railway Companies) for leasing a portion of the
tall s oa the' Leeds and Liverpool Canal, connecting I
Liverpool with Leeds; the object cf the agreement being to
i
that district, and to prevent that injurious
unite more intimately the interests of the four railway coin- I
panics occupying
competition ag to rates.; to which they have severally been
bjeparticulars. of .the arrangement will be exe
subjected,
to the The Proprietors . at- the . -siAmilf-itivtine.iibtiat;

to be held. The further arrangements proposed to be
entered into with the Chester and Holyhead Company. will
also be brought under the consideration of the same meeting.
The report of the committee appointed at the last half-
yearly meeting to consider as to the future management of
the affairs of the company, has been circulated amongst the
proprietors. The board concur in the opinion that the
number of directors should be increased to thirty,
and that the number to retire annually should be
six, as recommeded by the committee.- The la-
mented death of Mr. E. J. Mozley, one of the com-
pany's auditors, makes it fieCessiry- that the proprietors
should at the present meeting appoint another in his place.
The directors who retire, in conformity with the Act of
Amalgamation, are—Captain the Honourable S. T.
Carnegie, R.N., Lewin Wiley, Esq., and George Hall
Lawrence, Esq. The directors cannot close their report
without announcing to the proprietors the retirement of the
Deputy-Chairman, Charles Lawrence, Esq., successively
Chairman of the Liverpool and Manchester and Grand
Junction Railways, and, since the amalgamation, acting as
Deputy Chairman of this Company. In retiring from the
active duties of a railway director, Mr. Lawrence carries
with him the esteem and affection of his colleagues, with
some of whom he has been associated for the long period of
twenty-five years. The revenue of the past half-year has
been charged with dividend and interest upon the total capital
expended to the 31st December last, including 3,491,1061.
expended upon works not yet yielding revenue, as also with
the dividend payable to the proprietors of the Stour Valley
Railway. The only further charges to be anticipated are
the dividend to the shareholders in the Buckinghamshire
Railway, and the interest upon the unexpended portion of
the estimates sanctioned at the general meetings of 22d Feb.
and 16th Aug. last. The Bond debt has been further re-
duced, and the Debentures which expired during the half-
year have been renewed, or replaced, at the rate of 3%
per cent.
From the statement of the half.year's ac-

counts, it will be seen that the net proceeds
are £557,076 12 1

To which must be added the balance carried
forward from last account

£701,797 14 1
Less —Furthes allowance for renewal of rails,
and additions to the works, stock, and estate 23,098 17 3

showing a disposable balance of £678,698 16 10
The directors recommend a dividend of 2/. 15s. per cent. for
the six months, amountirg to 527,407/. 13s. 5d.; leaving a
balance of 151,2911. 3e. sd. to be carried to the next half-
year's account.
The report and half-yearly statement of the accounts were
unanimously adopted, and ordered to be printed and circu-
lated among the proprietors.
The CHAIRMAN then proposed that a dividend, as recom-
mended in the report, of 2/. 153. per cent. on the capital of
the company for the half-year, should be declared.
Mr. GASKELL said he had understood the chairman, in one
portion of his address, to state that if he had been acting on
his own judgment entirely, he would have preferred recom-
mending a smaller dividend.
Ttie CHAIRMAN begged to be allowed to pat the Hon.
Proprietor right. What he said was this—that if he had
been carrying on business on his own account - not using the
word judgment—he should have preferred a smaller
dividend.
Mr. GASKELL said, taking that as the explanation of the
chairmen, he entirely agreed with him, because he thought
the most wise and prudent course they could adopt was to
keep a large reserve fund in order to meet effectively the
competition wish which the company wee threatened.—
(Hear, hear.) He was exceedingly gratified to hear the
estimate which the chairman formed of that competition.
and looking at the isolated position of their neighbours in the
west—the Great Western, tor instance—by their peculiarity
of gauge, he was inclined to think that the competition in
that quarter would not be so serious or reckless as that
which they had already been subjected to by the proceedings
of other lines of the same gauge as their, own. They had
yet, however, to fear competition of a very reckless character,
occasioned by a great diminution of prices from the extension
of the Shrewsbury and Birmingham, and he thought
it would be advisable to keep sufficient money
in their strong box to enable them, to some ex-
tent, to :dispense for a while with remunerative prices,
and at the same time to continue to pay a dividend, for by
doing so he firmly believed they would render powerless
these who were anxious to subject them to unprincipled
competition —(Hear.) He felt it would neither be just nor
to thsir interest that the utmost profits earned should be
divided among the proprietors.—(Cries of " Hear.") It was
a matter of little or no consequence whether the profits were
immediately placed in the pockets of the proprietors or locked
up temporarily in the coffers of the company.—(Laughter.)
The only question was whether the meeting felt disposed
to carry out the views of the chairman, which lie
believed to be just and sound, and which if adopted would
leave the company in a sound position, ready to meet any
outward Attacks which might be made upon it.—(Hear.)
A SHAREHOLDER said he wished to say a few words with
respect to the surplus. He had no objection whatever to
144,0001. being laid aside, nor to having an accumulation
fund, but he had a question to ask both on his own behalf
and that of his brother proprietors with regard to the inten-
tions of the future board of directors. He knew he was
speaking to some who would soon be out of office, but, he
was also fully aware that the opinions of several talented
gentlemen who now presided over the company's' affairs would
have great influence and weight with the future directors.
The question he had to ask was this, was it the intention
of the future direction to allow the surplus to go on accumu-
lating indefinitely? He thought such a course would be in-
judicious on two grounds—first, because they would postpone
the immediate interests of the present proprietors, many of
whom had only a life interest in the company—(Cheers)—
and secondly, because his experience of public bodies led him
to this conclusion, that there could scarcely be a more dan-
gerous temptation placed in the way of directors than leaving
a large surplus in their hands.—(Cheers.) There were some
men, and he confessed himself to be one of them,
who had very great pleasure in spending their own
money, but there were others who, when they
had other people's money in their possession' had
an irresistible itching for spending it.-(Laughter.) He ad-
mitted the present directors were characterised by great
ability, energy, and honesty, and he hoped the future direc-
tors would be the same, but still he would scarcely expose
them to the temptation of having too much money, because
he believed it always led to extravagance.—(Cheers.)
The CHAIRMAN said he rose for the purpose of replying to
the questions which had been put to him by the Hon. Pro-
prietor, and before doing so he really must acknowledge the
justice of the remarks which fell from the first speaker.—
(Hear.) Asgeneral principles bethought no one could gainsay
them.—(Hear.) He hoped it would be borne in mind that
they were called upon to administer the affairs of a very
large proprietary, embracing every sort o' interest, and that
in considering a question of this sort, it was not only their
duty to consider the amount of the reserve fund and the ef-
fect produced by it, but also what the proprietors had a right
to expect when the company was in a state of prosperity.
And he might say, that on the present occasion there was a
unanimous feeling at the board that 51,f per cent. was the
'right dividend to offer to thenotice of the meeting.—(Cheers.)
He confessed he received the declaration of the Hon. Pro-
prietor who spoke first, as *ell as that of the Hon. Proprietor
who followed him, with the greatest satisfaction.—(Hear,
and cheers.) I like, in the first place, to hear an approval
cf the policy which the directors have already adopted, ex-
pressed in this meeting, and in the open way in which it had
been expressed, and I feel convinced, if the proprietors act on
the principles which have been announced, the property of
this concern will scon be'placed on a sound basis.—(Hear,
hear, and loud cheers.) With reference to the inquiry
of the proprietor who last spoke, he should be presumptuous
indeed if he ventured to answer a question which related to
the opinion of the whole gentlemen who might be elected to
the new board. All I can say is, that this principle
was put, forward and settled at two previous half-yearly
meetings, and I cannot, therefore, doubt that those
gentlemen who raised no objection then will not now be
advocates of the principle of which the Hon. Proprietor
speaks.—(Hear.) I think the point which the directors
ought to keep in view is not to increase this surplus fund
every half,year by a large amount, but to keep it up to one
figure, which would probably answer the expectation of the
Hon. Proprietor who spoke first—that is to say, to have a
reserve fund always in hand for the purpose of upholding
the credit of the company in all the situations in which it
may happen to be placed. The directors thought a reserve
fund of i 50,000/. was about the mark of the money, which
'they ought so to have in hand. He hoped, after the expres-
sion of opinion to-day, the proprietors would not consent to
the reserve fund being diminished below that amount.
Mr. Massarr said he entirely concurred in the views of
the directors, and for the reasons stated by their worthy
chairman, but at the same time he was quite ready to ac-
knowledge his firm belief that the property of this company
would be greatly enhanced by a large surplus capital or a
large accumulated reserve fund.---(Criess of "Nu.") He
was not for depriving the proprietors of a dividend, but he
thought the present season offered a favourable opportunity
for carrying into effect such a proposition; and when he
considered that the capital of the company was twenty-
nine millions he had no hesitation in saying that a
reserve fund of half a million would not be too much.—
(Hear, and cries of "No.") He believed it would place the
company in a much better position, and enable it to con-
tend against the interference. of other companies. There
would be no difficulty, he thought, in adding to the reserve
fund, for if they were not disappointed, and he saw no reason
why they should, the receipts would be immensely large this
season owing to the increase of traffic occasioned by the
great Exhibition. If any portion of these receipts could be
appropriated to the reserve fund, they might lay up a very
large sum in the present year. There could hardly
be two opinions among the directors that a good reserve'
fund would place the company on a more solid foundation.
He would be perfectly satisfied with 5 per sent. dividend him-
self; but for the reasons suggested by the chairman, he
thought it was wise and judicious to declare on the present
occasion a dividend of 5% per cent.
The CHaeftereet said he would, perhaps, be allowed to ob-
serve that he was not one of those who expected from the
Exhibition very considerable results—he should like to realize
them before he made any proposition for their disposal—
(Laughter)—but he felt confident of this, that if there were
a considerable increase of traffic, and, as a natural result,
increased expenditure and increased receipts, there would
follow.afterwards a sort of collapse.—(Hear, hear.) Much,
therefore, as he approved of the object of the Exhibition, he
thought there had been a great deal of exaggeration con-
nected with it.—(Hear, hear.)
In answer to a question from the Chairman, relative to the
Stour Valley line,
• The Csietamstar said that a considerable sum had been ex-
pended on this line during the last half-year, quite as much
as the 'directors thought they were justified in laying out.
It was expected that an arrangement would be speedily
effected with the Birmingham Street Commissioners which
would materially facilitate the opening of the line, but it
would certainty be ready within the limit laid down by the
Act of Parliament,

HENRY CXOSFIELD, Esq., of Liverpool, was then elected
auditor in the room of Mr. E. T. Mozely deceased, en the
motion of Mr. Foster, seconded by Mr. Jones.
The CHAIRMAN then proposed a resolution having the
effect of reducing the salaries of the auditors to 1001. per
annum each, with a free pass over the company's line.
After a few words from Mr. ParroN, one of the auditors,
in approbation of the resolution, it was agreed to unani.
mously,

The- CHMILMAN said the next business would be to elect
three directors in the place of those who this year retired
from office, in conformity:with the Act:of Amalgamation. The
directors retiring were Captain the Hon. S. T. Carnegie,
R.N., G. H. Lawrence, Esq., and Lewin Mozeley, Esq. He
should propose the re-election of the two first gentlemen ;
and, in the place of the last, he should propose that Thomas
Broth, Esq., be elected a director of the company.
The motion was agreed to unanimously.
A SHAREHOLDER wished to suggest that a list of the di-
rectors should be sent round to all the shareholders, as a
great many of them did not know who their directors were.
The CHAIRMAN said that the Hon Member would find
that this course had been recommended by the report of the
committee of proprietors, and could, no doubt, be adopted
'by the court of proprietors.
Mr. RUTSON, the chairman of the committee of proprie-
:tors appointed in August last, then proceeded to read the
report drawn up by that committee, and which has
`already appeared is our columns. The Honourable Gintlemau