The daily dispatch. [volume] (Richmond [Va.]) 1850-1884, 1854-01-16
LOCAL MATTERS.


meeting of the Stockholders of this Company
was held on Thursday night last, pursuant to cali
OF the board OF Public Works. for the purpose OF
considering the question whether it is advisable to
offer the said Companys work to the State at such
price as may be agreed upon BY the State and the
Stockholders or OF converting the debt due by
said Company to the State, into stock of the Com
pany, At such price as may be agreed upon by the
parties aforesaid"
When the fact was made known that a quorum,
was present, the Chairman (Mr. q. A. Myers) an
pounced that the meeting was prepared to proceed
To business.
Col THOMAS IL ELLIS the President of the Com
pany, then arose, and in loud and distinct tone
addressed the Stockholders thus:
Gentlemen This meeting has been convened in
pursuance of an order adopted by the Board of
Public Works on the seventh day of December
last. The substance of the order we have given
above)
Two distinct questions, it will be perceived, are
indicated in the order: First whether it Is advisable
to sell the Company's works TO the State; and Sc
cond, whether is proper to convert the debt due
by the Company to the State into stock of the Com
pany, at such price as may be agreed upon by the
parties?
Both of these important questions have been re-
peatedly considered and acted upon by the stock
holders in general meeting. They were first intro.
daced at the annual meeting in December. 1912 =
On that occasion, they were referred to special
committee, who reported that It was not expedient
then to take further action upon the sub ect At the
next annual meeting, the proposition that the State
should take the Improvement and complete it as
State work, was referred to the general committee
OF thirteen who III effect reported upon it adversely
The same proposition was carefully considered by
the first President of the Company, who presented
elaborate and able argument against it in his sup
plement to the eleventh annual report 1t was
brough. before the stockholders, at their called
meeting in April of the last year, when, after de-
bate, it was postponed for further consideration At
the annual meeting in October last it more fully
discussed, and then rejected the proxies of the
State declining to vote.
Ia respect to the second question: en- stock hold.
ers at their meeting in December, 1916, adopted
a resolution asking The Legislature. b releasG6
Company from the debt due by it to the State. dnd
from the obligation to pay the guaranteed bonds,
upon CONDITION that the Company would complete
the canal to Buchanan and the Improvement of
the Kanawha river from its mouth to Charles
town; the debt thus assumed to be converted 20,
stock of the Company. The subject was Accord
ingiy presented to the Legislature by select com.
nittee of stockholders appointed for that purpose
At the annual meeting in November, 1876, reso.
luton was reported unanimously, that application
be made to the General Assembly to convert the
debt due from the Company to the Commonwealth,
aud also the debt of the Company due by bonds of
which the Commonwealth was guarantor, into
stock OF the Company at par. on terms which might
be just between the Commonwealth and other
stockholders. This also was presented to the Leg.
islature by the memorial of select committee Of
the stockholders. At an adjourned meeting in
February, 1e47. the proposition that the State
should suspend its lien, to enable the Company to
raise upon It's own credit the money necessary to
construct railroad from Lynchburg to Guyau-
dotte, was referred to a committee, who reported
unanimously that ineXpGdient at that time to
present to the Legislature any plan departing from
the one adopted at the preceding general meeting
At the annual meeting in November, 1851, the
stockholders by resolution assented to nlodifca-
ton OF the charter, by which 1t CONTEMPLATED
that the general assembly should fund the bond
debts of the Company and assume the payment
thereof on the part of the State. My immediate
predecessor in Office, in four successive annual
ports, presented with clearness and force the dis.
advantages resulting from the policy which had
been forced upon the company, of constructing a
great part otits improvement with borrowed capi-
tai. aud he suggested the conversion OF the debt
into stock one of the plans of reiiet which met
his appreciation.
In view of the familiarity ofthe stockholders with
the questions submitted by the Board of Public
Works, and of the circumstances under which this
meeting has been called, deem it becoming in me
to abstain from any elaborate discussion of those
questions. But cannot refrain from expressing in
the most unqualified manner my own conviction of
the impolicy of the proposed sale. f
deem itpeculiarly impoliiic at this time, on the
part OF the Company because its revenues, which
have hitherto proven inadequate, have now reached
apoint by steady and sure increase, when the
Company will be enabled to pay its interest, meet
Its current expenses and in short time have
balance for division among the Stockholders The
work has advanced into the Valley, from which we
are already receiving accessons OF produce and
minerals to an extent which may be considered as
realizing the sanguine anticipations of its friends
Besides which public opinion in reference to the
value of the improvements is daily strengthening
and increasing. ttts
II is impolitic. because the State has determined
at the cost of millions of dollars, to construct the
Covington and Ohio rrilroad, and is pressing that
important work onward with commendable en-
ercy, which, when connected with our water line
as 1t must be, viii give direct intercourse with
the Ohio, opening to US the vast resources of the
n 80 .1r
desired connection through the centre OF our State
1t is impolitic, because the great improvement of
the Southwest, the Virginia and Tennessee railroad
is rapidly stretching its arms to the South to en-
brace a trade in productions and minerals that will
exceed the briehtest hopes of its projectors and
uniting with our line, must bestow upon 1t heavy
portion Of its Invaluable contributions increasing
the prospect to Us ofspeedy remuneration for the
capital invested
Because, when the great lines of the State which
are now being urged to completion. shall be finish
ed there will be new life and ererey Infused into
all the business of the State-agriculture will be
stimulated to Improvement manufactures will tn
crease new aud rich mines will be opened. and
enlarged tonnage to us be the consequence of excl
ted industry and increased wealth.
Because, with such prospects and under such
circumstances, the stock OF the Company must be
speedily enhanced In value far beyond any price
that could be reasonably expected to be offered by
the State. or that ought now to be accepted by the
stockholders.
because, a large majority oil the private and cor.
poraie stockholders have paid par value for their
Stock aud have received yet no return and it is
notjust thatth should be subjected to 30 heavy
loss by those. many OF whom have purchased
stock at its deprecated and nominal value.
Because il Is due TO the early friends of the work
not to strip the Company OF the credit Of its com.
pleteness even up TO Coviugton, and OF the credit
Of that great rise in the stock which will evidently
accrue from ca rying the canal TO the terminus OF
the railways at that point.
Because, even If the stockholders desire to real.
izethe value oi their properly. by a SALE it would
be wiser to wait till the work Is completed to Cow
ington, when lis value will be better established
Because. great doubt, TO say the least 10 enter
tanned about the power OF majority of the stock
holders to compel minority part with their pri
vate stock in the company in favor OF one of the
corporators.
Because, the sale of the private stock would de-
pfive the company of that element Of vigilance 10
the administration of its afiairs which private in
terest alone can ensure hnen1i
Becsuse, the company Is one welding necrssaff
ROD mfr in flatxU atf-