The New York herald., 1850-05-22

u Il
clear dividend, after paying taxes, &c.
The following comparative table shows the receipts
and expenditures the Georgia Railroad fer the years
ending March 81, 1910, and 1850.
1870 1850
Receipts ........ s5S2014 SO ........ S026 807 o,
Expenditures 195,7s2 SS 22S2Sl %
Net profits .... Ssso,2S1 II l....... S3ss625 oS
Prom the profits Of the year. two dividends Of 50 so
each per share, been declared amounting in the
aggregate to 2s900o and s1056oG transferred TO the
reserve fund
The specula.ions in or tyo Of the fancy stocks
have continued throughout tho pas. two three
weeks with undated intensity. The feeling has
rather extended itself than otherwise notice
more activity in a number of securities hitherto
elected and apparently eless This state Of things
has been stimulated by the expected loads gold dust
from California, but the most immediate Of the
increased activity on the Stock Exchange may bs
traced directly to the successful operations in tho
securities IF the Erie Railroad Company which
commenced nearly four months ago, and which, for
bold and reckless daring have had parallel in Wall
street for many years The managers of this company
have led these transactions in person They daily
Change, and on the corners Of the streets,
dealing the cards and presiding the game With
all the Of welskled tasticians in dnersns
kind Of traffic.
The msnsgcrs Of the Erie Railroad Company have
placed the amongst the most dubious corpora
tions Of the Stock Exchange. Under the present d.
reetion, 1t can no longer lay claim to any other posi-
tion than that which, in former years distinguished
the Morris Canal the harlem Railroad, and host Of
other equally Objectionable corporations They have
thought proper to lose sight of everything but their
own private speculstions; and, in order 10 secure
successful result to those have rosorted every expe
dent that human ingenuity could devise 70 advance
the market value Of the securities. All other ques
tons have given wsy to that one, and 1t would be we'll
for the community to consider for moment how
the account stands between themselves and this i'm
maculate company.
The upward movement In the market value OF,
the Erie second mortgage bonds commenced, after.
a system of depression had been carried ON for
weeks, by clique OF spccuiatcrs connected with
the company, and prices had appreciated from 81
to SIS per cent. That being tho lovcst point IL sp-
peared possible to press them the company ssiEed
opportunity to make sale Of nearly 81 100000 at 30
per cent, or, rather, the company had borrowed
money Of the clique OF speculators or fnansicrs
connected with IL, on q hyposhecation Of 81 600
600, at so per cent, and they seized the opportu-
nifty to elose the loan and take the bonds In pay
ment when the market had touched as they supposed
the lowest pcnt The stock fell OF on the same day
to sos 81. by pulling with rkin and shrewdne. the
wires behind the scenes BY circulating the mog ex-
travsgant and highly colored statements of 'earn-
inss, in form at once deceptive and improper By
keeping out Of sight anything calculated TO weaken
public confidence, and Issuing statements calculated
TO increase and strens then It, they have managed to
sell tho bonds at an advance OF nearly twenty pcr
cent, thus apparently dividing from the pockets os
the public. nearly 100000 clear The stock has been
carried up s24 per share and the community ere still
invited 10 invest their money while the managers know
that thus far dividend has been made from the
earnings and cannot be after the 1st July ISL un
I'll the income certificates ofst least s3soooOo are paid
when the stock selling at GO per cent one dlrsc
tor Il said owned about 5000 shares The advance
since IL equal to pro6t Of 100000 This 10 pretty
fair business, aud gives him a capital to work on In
sustaining the market This all very well 90 long a.
It lasts, but settling day must eome, aud then we
submit whether the community viii not be the suffer-
II the advance In this stock solely upon its
own merits-if 1t was likely. even II there was a
remote possibility Of its being pcrmaaentf the ssoe
worth vhat Il is now selling for and its earnings
equal TO fair dividend its market value the com,
muniiy would suffer nothing BY the rapid appreciation
but rs the improvement 10 entirely speculative and
is bsses wholly upon the ability or discrimination OF
clique Of spcculstors TO carry IT, there must be ruin
reaction, and those who are induced TO rureha.~
at present price. will fear find foarfl vacuum In
their pockets. II forced hereafter TO rcanIs No mar
In his for a moment believe that IN. stock
many years II is not the bank for tn. widow or the
orphan, or the moderate of business. to invest
their money in People Of slender mean. should noe
be encouraged 20 ontrus. their all In any enterprise
which only be tested By time, aud which !. labor
ing under many doubts and uncertainties.
The managers Of any of our public work. cannot bs
justified in awaiting themseivc. Of their oesa posi-
ticn, TO excite speculation In any particular stock
and nfste prices 20 much beyond lie actual value
fl..a -
sure TO ruin majority Of those drawn into the move
ment We krew Of inaivluals connected with the
management of our railroad companies, whose whole
time s employed in tanning the aae Of speeuatlons
instead Of looking with aud attention 20 the eco
nonics s5minissratbn Of the compapy's affairs 40
h not day ras'o, but that the ofess Of these sor-
psnies be.et those desrous Of floating along ON
the speculative raf with thoss who are AT the helm;
and there a. well n the street. every sEort 10 made
20 keep NJ the steam
NOW good solid thing sound substantial sock--
aoes not require such this and no able
eooiiy 70 reflect, can, for moment doubt but that all
this must end In disgracc to those engaged in initiating
the butbles, and in rus to those who have invested
all their means in these unproductive stocks at high
prices
Wall street Is literally flooded with railroad s.curi-
ties with half dozen classes Of bonds. and as many
kinds Of stock; FIRST second third aud fourth mort
gsge bonds; certificate bonds; divid,nd bonds; in
come certificates; preferred, deferred consolidated
and last Of all the old stock upon the basis Of which
all the other elassc. built The old stock crmsta-
capital and the credit cf the company and has 10 stand
the brunt q all disasters Holders OF every other cln
Of security get their interest dividend before ~
holders Of the old stock get the first cents and vie
there many classes Of securities piled upon IN
old stock it is not al all surprising that n reauirs
such an extraordinary speculative movement carr
up prices and 10 sustain them or at all strange tbs
spectators in them lose much money The "a
that all these securities worth par or can be ev
sns'sinsd At present prices, is absurd II 7. snsir