Vermont watchman and State journal. [volume] (Montpelier, Vt.) 1836-1883, 1851-08-21

densbureh and Montreal arising from the facility of cross
ing Rouses Point and full equipment of and
gines, render my opinion, and in that of those who
are better able to judge not improbable that the result of
this year will be the Should such be the case the fol-
lowing would be the result
The first six months yielded 1913 623
Doubling this for the second six is s5472l6I
Notwithstanding the great of the Ferry
at Rouse's Point which is discontinued
owing to the oheapneSs OF fuel and 9TH
causes, the expense of running during
the past year has been but about IS per
cent and would be for the six months, on
the above supposition, 2O7 953
Leaving net for months 1899 293
Deduct for rent Vt & Canada r. r.. 10000
Interest on $4,000 at per cent 26 400 Go 400
Leaving to be divided s272S33
The great questions of interest therefore, for the share
holders, areWhat is the debt How is be provided
The notes payable, the 3Olh of June
amounted to SS1I52Q75I
Assets applicable to their payment as by cs-
innate of the Committee of Finance, at
present market value Of Stocks, 50,jl3, So
Leaving balance of S263. $50 FOL
On the first of July 1852, Bonds become due,
amounting 60lOO0O0I
Leaving the amount to be provided for dur
ing this financial year SS67 $50 POI
considerable part of these of a nature to
be prohtably realized once and my opinion they
had better be reserved to meet the bonds that fall due in
bent exnguishing the debt upon which are paying
high rates of interest. This imperative duty While
the work unfinished this, from matter of necessity
could be justified but 1t can be no longer. But what
is the best mode of doing it 1t is impossible to neqoti-
ate such loan abroad, home without submitting to
sacrifices that no shareholder would submit his odi-
nary busneSS-and yet there certainty, that when the
road has been for few years operation loan of
two millions, property worth seven could be negotia-
ted on favorable terms How then shall obtain the
money for that time, as at once 10 realize income
from property 1t be done by the shareholders
themselves After great reflection, recommend that there
be issued Bonds payable in three years from the first of
October 1851, such will induce the shareholders
take them, and that they be called upon to take an amount
in some degree corresponding with the amount of their
shares
And what is the inducement?
Surprising that the of shares takes Bond for
100 dollars at go he receives about per cent per annn
on his investment for three years and addition he
nsures dividend of SIX per cent per antm on
his stock at % or 80 dollars on hs ten shares and the
in proportion.
Rates of interest the present moment high but by
this arrangement the shareholders receive instead of pay it
This, If carried out, aud paid in nstaments, would free
the Corporation from floating debt fast its obligations
fall due, and its position would be as follows
Funded Debt.
Bonds of the issue, payable in 1854 10
interest between July and October,
and all contingencies say 100000
Bonds Of 1885, issued to pay int shareholders 27 99G
1l77o96
Can it be doubted but that property costing at least
seven mllonS, with debt OF than heen hundred
sand, loan at moderate interest be negotiated at
some time within three years
As there would be floating debt the receipts would be
divided among the shareholders which the former cst-
mate would be as follows
Income from July LIST, to JAN LIST, S5l7,2l6f
Running expenses, 2O7, 1913
Leaving balance of S339,293
From this deduct of Vt. & Can r
II. months 10000
Interest on Bonds 26460
ntereStn neNyiS 2 1of from, nct
to Jan. 10000 ST 400
52S33
Deduct dividend for six months at the rate
OF per cent. per on stock at 80
-loOOoO shares, 100000
Leaving fund of s1O2 s32 /
Should such be the result of the next six months the
stock the first of January be worth as am nvest
ment and IN the market, fifty dollars share
The rate OF interest such a sale may be considered
high But in times like the present. better to meet
the loss 1t be one once than pay equal or great
er amount repeated renewals But the shareholder
who takes his proportion. there loss. He lends to the
corporation, instead of borrowing through it, receives
high rate OF interest his money and regular dividends
into the bargain.
Assuming that dividend will be declared until The
debt is paid the proposition To the stockholders collee
lively would in fact be-Will you lend million of dollars
at per cent If you receive bonus of two millions
IN the real and marketable value of your property? Or nj
addressed to individual stockholders the question would be
wal you advance dollars per cent If you can have
twenty for doing iii