The Sun.
London, England, 1850-08-09 00:00:00

t7titrti iElittton

SUN OFFICE, Seven o' Clock.

LONDON AND SOUTH-WESTERN
RAILWAY.—(THIS DAY.)
The usual h If-yearly general meeting of the pro-
prietors of the South-Western Railway was held this
afternoon, at the Nine Elms Station; Mr. Chaplin, M.P.,
chairman of the board of directors, in the chair.

The advertisement convening the meeting and the
minutes of the previous meeting haring been read, the,
common seal of the company was affixed to the register
of shareholders.

The SECRETARY (Mr. Wyndham Harding) then read
the report, which stbtitd that the net revenue for the
half year ending June 30th, 1850, amounted, after de-
ducting interest on loans, and all oth.r preferential
charges to £97.912 16 7

The surplus, from Dec. 31, 1849, to ... 3,083 17 3

The balance applicable to dividend, -
therefore, was ... ... £100,996 13 10
From which the directors recommended
that a dividEnd for the half-year, at
the rate of 3 per cent. per annum,
should be declared, amounting on
6,608,4811. 10. t, to ...
Leaving to be carried over to the next

-. 99,127 4 5

half-year ... ... ... ... £1,869 9 5
The general result was that the net revenue of the
company was better than in the corresponding half-year
of 1349, by 8,676/. This however arose in a great
measure from economy in the working expenses, fur the
gross revenue did not exceed by this amount that in
1349, notwithstanding that twenty-three more miles of
railway are now open for traffic. The saving in working
expenses this half-year as compared with the corre-
sponding period in 1849 was 8,7241.: the saving for the
last halt-year in 1549 compared with the corresponding
period in 1848 was 8,3541 The working • xpenses for
the year ending June 30, 1850, bad taus been reduced
by 17,0784 notwithstanding that the average mileage of
railway in work had been greater by upwards of twenty
miles. This result was in itself satisfactory, but that
the receipts of this railway during the last half-year,
should have increased so little, comparatively with
the same period in 1849, was a source of disappointment.
With regard to capital, the amount expended on the
original line, viz , 3.424/, principally consists of the out-
lay on the new engine sheds at Nine Dens and South-
-1 ampton, now completed; an addition to former premises,
and required for the protection of the additional stock
used on recently opened extensions. The amount ex-
pended under the head of plant, 8 938/, includes sums
spent in the construction of five eng nes, of twenty third-
class carriages, and of eighteen waggons for the
branch lines. These are altogether in addition to
the present stock, and after the five engines now
in course of construction are completed, all which may
hereafter be constructed, will be considered as in substi-
tution of those worn our, and b. charged to revenue, as
has always bi en the custom on this line in regard to ar-
ticles of carrying stock so substituted. The expendi-
ture under both these heads was provided for in the
estimates of liabilities, and of additional expenditure on
capital account presented in February last. These esti-
mates (including a sum of 117,4161., which it was stated
that the surplus property of the company, in heu4es, land,
and rai,s, would, as realised, cover) amounted to 640,850/.
There baa been expended in reduction of this during the
last half-year, 172.109 L In pursuance of the request
contained in the resolutions pared at the last general
meeting, the directors have conferred with the committee
of audit. appointed on the 28th November, 1849, on those
points referred to in the report Of that committee which
did not relate specially to the question of audit,--sume
of the suggestions made have been adopted, with or
without modifications, and among the alterations in the
bye-laws which will be submitted to the present meeting,
are some which are intended to give effset to such sup
gee lions. The stores' committee have reported that it
would be desirable that instead of insuring the property of
the company against fire at the public offices, at an annual
expence of 1.2001., a sum of 5001. per annum for three
years, and afterwards ot 6001. per annum, should be bad
1 aside to form a sum out ot Which losses by fire might be
met. The report of the committee which will be laid be-
-1 fore the me. tang will explain the reasons for recommend-
% ing this course, and a resolution upon it will be submitted
Ito the proprietors for their approval of the plan, if they see
fit to accord it. At the last half-yearly meeting. the three-
' ; tors reported that they trusted that an arrangement would
' I be concluded between the Bristol and Exeter and Exeter
and Crediton Companies, under which the Exeter and
I Crediton line might be brought into work. The direc-
t tors assented to the line being worked by the Bristol and
i Exeter Company on the broad gauge, at a rent of only
one-third of the gross receipts; the Bristol and Exeter
!Company thus retaining two-thirds of the whole receipts
on the branch, which would also act as a let der to their
I own line. This proposition was agreed to by both
1 boards; but it has not been carried into effi ct, owing to
a point having been raised by the Bristol and Exeter
Company. in the wording of the memorandum of agree-
! ment. Out of the annual sum of 3001. per annum, voted
j by the proprietors far benevolent purposes in connexion
with the establishment of the company, the directors stated
at. the la.t halt-yearly meeting that they had contributed
to the friendly soctey for the relief of men in sickeees,
at the rate of 150/. per annum. An institution, to in-
-1 a lending library and reading room, with lectures
and evening classes, has lately been organized by the
men, seed the directors consider that they will be act-
ing in accordance with the intentions of the proprietors
it they contribute from the balance in hand ot the bene-
volent fund 100/., for the purchase of books, and 30/, a
year towards the current expenses of the institution;
this, therefore, they propcee to do. The powers for con-
structing the extension to Londoc-bridge have expired.
The directors have accordingly given instructions fur the
sale of the properties purchased by the company for this
extension, in order that the proceeds may be applied to
the reduction of the capital expenditure."
The CHAIRMAN, in moving the adoption of the report,
said he heped the report would be found satisfactory.
As each succeeding half-year produced an improved state-
meut of the financial position ot the company, it watt
hardly necessary tor the Chairman to detain the pro-
prietors with any lengthened observations; but there
were one or two points which called for remark on this
occasion, as they appeared to have given rise to some
misapprehension out of doors. The first of these points
was the expenditure of money out of capital. and its
application to the purposes of the main line. That line
had now been in . operation some ten years, and it
was thought by some shareholders teat with
respect to it the capital account ought long
since to have been closed,—(Hear, hear.) It
should be remembered, however, that the original line
was only some 80 odd miles in length, involving the
use of some 40 engines, while now the length of line
extended toupwards of 240 miles, and the number of loco-
, motives in work had increased to 114. The money there-
' fore charged to capital this half year was not for works
required by the original line, but for buildings, stock,
and conveniences on the branches, and he could assure
the proprietors that so far as the orieinal line was con-
ceined, the capital account was virtually closed. The
next point which had caused some discussion on the
Stock Exchange was the London bridge Exten-
sion, sad the extent of property which the
directors had purchased, or undertaken to purchase, in
anticipation of that short line being eventually made.
Now it was said that they had purchased acme 10 000/.
worth of property near to London-bridge, but when that
property came to be re-sold, it would be found that very
little loss would result from that transaction. It had been
reported that the buildings which Alderman Humpbery
was erecting at London-bridge were being paid tor out
of the funds of this company. Now nothing could be
farther from the truth. Alderman Humphery had not
received one penny from the directors, nor, in fact, had
the directors expended a traction on the premises in ques-
tion.— (Hear, hear.) It would be remembered that at a
former meeting the liabilities were eetim sted at
640 850/. Siece then 172,109/. of that sum had been
1 ex! ended. These were the points which he had thought
necessary to lay before the meeting, and it
I only remained for him to trust that the explana-
I tion he ha 1 given would prove satisfactory.—(Hear,
. I hear.) At meetings like this it was usual fur the
i Chairman to shadow forth whet he considered would be
, the future prospects of the undertaking; but when he
remembered that they bad been working upwards of
twenty miles of additional line this halt year, be felt that
I
re,
out ei
all the poetry and imagination which formerly buoyed
abstainh 1 fromm .--(indulgingil ea
oanddo
ahilmauligPh.; a s
kier wPolu' lted ,lYthkenroeefok
eed ,
in prophecy ; indeed, it was now out of his power
so; but he thought he could safely say that they had
got over the worsr.—(Cries of " No, no.") Well, that
was his own opiuien, and as there was every reason to
believe that the working expenses, and the coat of main-
s tenance of way, were likely to be still tuither reduced, he
hoped the shareholders would continue to have con-
fidence in the diteetiou, and approve of their proceed-
iugs.—(Heas, hear.)
' L. MORLEY :seconded the motion for the adoption of
the report.
A PROPRIETOR wished to know in what portion this
company stood in reference to the seven miles of the
' Reading, Guileferd, and Reigate line.

The CHAIRMAN said the agreement with the South-
Eastern Compsny, by which they were to receive 35 per
cent. of the traffic passing over that seven miles, was not
yet completed. The money, thee e'ore, which the direc-
tors had received in reaps-ct of tlat line, still remained
in the hands a the bankers at Gruiblfutd, and no credit
bad been taken for it.

---
Mr. LOCKE said the explanation of thekhairman con-
vinced him of the danger of sending out accounts without
comment and remark. Accounts when they were sent
out without a repurt ought to be dissected, and each item
of expenditure charged to the particular branch or sta-
tion on which the expenditure had taken place. None
of the moneys charged to capital this half-year had been

SUN,

IiONDO

expended either on the original line or anything in the
shape of engineering works.
The CHAIRMAN said the ledger, which was open to
any shareholder, would afford such an explanation.
There the shareholders would find the expenditure of
each line or branch kept distinct and separate.
Mr. LOCKE insisted that that fact was an additional
reason any the accounts which were sent out should
be divided into distinct heads, and as the London and
North-Western and other companies followed that
C 'urse, he should move a resolution to the effect that
tee accounts be made up in the same way.—(Hear, hear.)
He should also move that an estimate of the value of the
land be made, and of the weight of the rails, chains,
&c., not yet used —(Hear, hear.)
The CHAIRMAN could see no objection to the adoption
of the course suggested by the Hon. Proprietor.
Mr. KAY, of Manchester, was ready to second Mr.
Locke's resolutions and point out that if the report were
sent round to the sharehelders with the accounts a good
deal of misapprehension and dismission would be obvi
ated. He wished to know how irwas that the directors
could recommend so large a dividend when the nett profit.
earned during the half-year had not yielded more
than 11 per cent.—(Hear, hear.) Now, he had one or
two suggestions to make to the directors. In the first
place, whet necessity was there for keeping up so large
a beard of directors? Why could it not be reduced by
at least one-third? The offices, too, of architect and
solicitor might be safely dispensed with, while the offices
of secretary and treasurer might be as safely filleel by
one and the same per.on.
Lord MORToN said; it would have been perfectly im-
possible to issue the present report with the accounts.
Thu accounts were not audited till the 30th of July, and
' therefore the directors had only seven or eight days to
prepare their report. B -sides, if they were to send cut
the report with the accounts he was very much afraid
that but a very few of the shareholders would attend the
taco ting.—(Heur.) •
Mr. Sergeant GASELEE did not think so. The Brigh-
ton Company, whoec line was the best managed in the
kingdom, printed their report; with the accounts, tied
yet they always had a very full attendance at their meet-
ing.—(Hear, bear.) The fact, however, was that the
report which they were now called upon to adopt con-
tamed nothing more than every one of them knew before
they entered the room.—(Hear.) He wished to know
who was to suffer the loss of the 2,0001., the
amount of one of their clerk's defalcations? The report
was so meagre and unsatisfactory that he could not
adopt it; and whatever the directors might say about the
vote of confidence which a packed meeting passed to
them, he still maintained that they were wholly incom-
petent to manage the affairs of this great concern.—
(Hear, hear.) life wished to know if the percentage to
be given to the officers was to be shared in by the di
rectors, and whether a preference bad been given to a
particular firm in reference to carting.—(Hear, hear.)
Mr. Hovel said the auditors had nothing to do with
fixing the amount of dividend, but the directors did not
determine the amount till after the auditors had sent in
their statements, including, of course, the balance carried
over last half-year. He agreed with Mr. Locke, that in
mepingup the capital account, each branch and line should
be kept distinct. With regard to the 172,0001. which had
been expended on capital account this hal'-year, the esti-
mate bad only been exceeded by 3,000/, and it the whole
of the 640,000/. of estimated liabilities were not exceeded
by more than ten per cent. the proprietors would have
no cause to complain. If the shareholders were di,posed to
appoint any one to act for them the auditors would satisfy
him that the accounts were satisfactorily cor-
rect, and that there had been no misappropriation
of either capital or revenue. He was convinced that the
more the shareholders looked into the account.; the
more they would be satisfied that they were strictly
correct.—(Hear, hear.)
Mr. PUNCHARD said the vote of confidence passed at
the last meeting was carried by the direceirs placing the
officer at the bottom of the room to put down those who
were opposed to the Board.
Lord MA,RLEY said there was not a word of truth in
that statement, and he therefore called upon Mr. Pun-
chard to withdraw it.—(Cheers.)
Mr. PUNCHARD declined to do so, and went on to de-
clare that the line could be worked by 25 per cent.
The working staff could be reduced a third
without affecting its efficiency. He moved fir a
return of the names and occupations of all
persons in the receipt of yearly and weekly salaries
from the company.—(oh, oh.)
No one, however, seconded the motion, and it conse-
quently fell to the ground.
The CHAIRMAN, in reply to further questions, stated
that no more money would bo expended upon the Lon-
don-bridge Exteelsion than what was imperatively neces-
sary. It was not the intention of the Board to decrease
their number. They had no longer a chief engineer,
while the architect had almost wurked himself out of
their service. Tee legal expenses of the half year
amounted to about 7001., and it was intended to appoint
a salaried law clerk.

Mr. BAKER said it was in the goods traffic that this
line suffered. While on every metropolitan line, except
the Blackwell, the goods traffic had increased, that on
this line had decreased, and so long as Mr. Chaplin
remained chairman this company would never prosper in
its goods traffic.—(Hear, h. ar.) He should be glad
to know the result of the cheap trains' sytem, and while
he asked for that information, he must express a hope
that before the Exhibition of 1851 the directors would
have satisfied themselves that it was successful, or dis•
continue it.—(Hear.)
The CHAIRMAN said the directors would be always
open to suggestions from the shareholders, upon points
connected with the management of the line.
Mr. PURCHARD— Will you receive a suggestion from
me, sir ?
The CHAIRMAN—I have already told you so per-
sonally.
Mr. PUN CHARD—WeII, I think I can make a sugges-
tion tha, will save yen 50,0001—(Roars of laughter.)
The CHAIRMAN explained, in reply to Mr. Baker,
that the line obtained all the goods traffic which the
districts through which it passed produced. The firm of
Chaplain and Horne had nothing to do with the goods
traffic; they had never been carriers on the line, and
were only agents for the receipt and collection of goods.
In the course of the autumn the directoora con-
templated calling the shareholders together to
d. cede what projected lines, which: had already
been sanctioned by the Legislature, should be abandoned
in the event of the Railways Abandonment Bill becom-
ing law.
Mr. SMITH and Lord MORLEY said the directors had
fully examined the agency question, and they were of
opinion that the agency could not be changcci with any
aivantige to the company.
Mr. UZIELLI, another director, in reply to a question,
stated that yesterday the company borrowed money at
31 per cent. The unpaid calls now due amounted to
abuUt 60 0001, hut the holders were perfectly solvent.
Mr. TITE asked when the contract on the Fareham
and Gosport line was likely to close. It involved an ex-
penditure of 27,0001 a year.
The CHAIRMAN said all the contracts for the mainte-
nance of way would close on the let of Dec. next.
The motion for the adoption of the report was agreed
to. The resolutions moved as amendments were pre-
viously withdrawn.
The dividend was then declared payable on the 26th
instant.
The other matters referred to in the report were then
disposed of. The forfeiture of the shares upon which
the ells were in arrear was postponed till a future
meeting.
Thanks were then voted to the chairman, and the
meeting, which was numerously attended and protracted
to a late hour, broke ups

THE LONDON GAZETTE.

(THIS EVENING.)

CROWN-OFFICE, AUG. 8.

MEMBERS RETURNED TO SERVE IN TRIS PRESENT PAR,
LIAMENT.

Borough of Dungannon.—Tne Hon. Thomas Knox,
commonly called Viscount Northland. who has accepted
the office of Steward of her Majesty's Chiltern Hundreds.
Borough or Lambeth.—William Williams, Esq., in the
room of Charles Pe arson, Esq., who has a :cepted the office
of Steward of her Majesty's Chiltern Hundreds.