Sunbury American. [volume] (Sunbury, Pa.) 1848-1879, 1855-06-02

latter division could reach standard OF
profit, though il certainly would to one Of
great usefulness to the surrounding country.
No part of the intermediate space, it is
feared, could find sufficient business to pay
expenses, without both on Eastern and Wes-
tern outlet
Tho aggregate cost OF compile
ting the Easton Division, and
the resources of the company
are $3154,OG0
Deductions to be madc I,1O3,OOO
2,051 ,0G0
After making other necessary de-
ductions will leave an actual bal
ance of Sill ,S37
Expending the above balance for running
stock, this estimate would give the Company
I6 miles OF completed, furnished and produc-
tive road, free of debt, costing, with the stock,
about $3,000,000. In this estimate for fu-
ture operations, We have reserved the earn
ings of the completed part of the road, to
meet contingencies, as we also have small
amouns OF subscriptions, recently made, on
the line, to erect depots, &c. We have made
no allowance for discounts on the bonds to be
received, because the contract under which
the larger share of this work is to be execu-
ted provides for q reduction to the extent OF
II per cent, for cash payment.
The policy most acceptable to the Board
would be to construct the road free of debt |;
but that would be fruitless attempt. The
strongest of our railroad corporations have
been forced TO resort to mortgages as means
of raising capital, and this Company can do
no better
A mortgage of so per cent. on tho cost of
iIo oil ,f tho Uiy
the Company capital of Sl,S00,000 to be
used in the farther prosecution of the work.
This fund the Board would propose to ap-
ply as follows: Eleven hundred thousand dol
lars, together with the remainder Of the
Crane subscription, 0,000-(should it be
deemed polite, upon q more full eXamina-
ton of the character of the work, to insist
upon the performance Of the whole contract
by which it was assumed )-towards the grad
ing and bridging from the Tangascootack
creek westward, which, at S25,000 per mile,
price exceeding the cost under the present
contract would do the grading for distance
Of "A miles.
To the western Division, from Warren to
Erie, 62 miles, they would assign the balance
Of the mortgage, say 100000; also 100000,
additional subscriptions recently made by the
city of Erie, and the subscription Of the coun-
ties of Warren and Erie, in all 100000, not
included in the general aggregate Of subscrip-
tions as heretofore given, making total OF
81, 100000. This sum it is estimated, would
make the grading and bridging on that divi-
sion. Indeed. the Board, a few days since,
received proposition from large number
of the most wealthy and enterprising citizens
of Erie and Warren counties, proposing to
take the subscriptions, individual and munl-
cipal, peculiarly to that end of the route with
100000 in addition, and obligated to raise
the balance of the capital necessary to do the
bridging and grading between the foregoing
points.
The assignment suggested by the Board is
far more liberal towards that division of the
work.
The realization Of the picture we have pre-
sentcd, would leave the Company with &c
miles of completed and operating road-l3t
miles graded and bridged-and 81 miles, ex
tending from Trout Run to Warren, unbro
ken. But here we must come to full stop
! Without additional capital, we can go no far
! ther. If we are asked why we would make
so much grading without putting down more
rails, our answer is, that VIC fear the worl
could not pay without an Eastern and West
ern outlet and for the further reason tha
when the grading shall have been made al
the way through, we believe it will give tn,
Company sufficient credit to get the iron an,
put down the superstructure.
The remaining lifty-seven miles present eX
ccedingly heavy work, and would cost on tn,
present location up Trout Run, for grading
and tunnclling, about $2,800,000.
TO meet this demand, we propose to re
up subscriptions to what might be termed
'consumation stock" The stock so subscri
bed having, Of course, no preference over tn,
original and no peculiar characteristics bu
the conditions of the subscription TO be, tha
no part of it should be claimed or payable un
til an amount shall have been bona fda sub
scribed by responsible parties, sufficient t.
make the grading, tunneling and bridging OF
the connecting link, agreeably to the estimat'
of the Engineer, the validity of the subscrip
lion TO be first sanctioned by majority o
the stock so subscribed at meeting to b,
called for that purpose. The proposition
may seem novel, but cannot be claimed as or
| iginal. II was suggested by the assurance
which we meet daily in monetary and bust
ness circles, of assistance for the enterprise
so soon as its consumation within reasona
bic period, can be made obvious.
This class of capitalists and business me-
would see in the proposition guarantee tha
they would not he called upon to pay withou
accomplishing the end in view. And thos
only who have had some experience in mat
tiers of this kind know what large propoi
ton Of the men Of means stand prepared t
strike the last blow in work of this charaC
ter, who could not be induced to give frs
nor any intermediate one. The enterprise
manirestly in favor with all who are intelligen
on railroad subjects but many liberal an
enterprsing citizens have taken but little in
terest in the work, because they could moi
with reasonable certainty, anticipate the pc
riod of its completion. Our object is to at
ford TO such an opportunity Of contributin
to the great achievement without hazard.
A change in the location between Sinna
mahoning and Warren would not derang
this scheme in the least. Indeed, ii; is cor
templated to make further examinations be
tween those points, and the hope is cherish
ed that route less expensive may be disco,
cred. Nor would we be understood as say
ing that the work should be accomplshe
strictly in the order in which we have place
it, as to time. 1t will not be necessary {
delay the remaindeTof the work until the frs
= division shall have been completed but th
} divisions can be made to move together S
soon as the prospects of the Company wa
rant. In view of this plan, the work aboy
J Farrandsville, which was commenced lal
December, has been suspended, except O
such sections as have been more than ha
graded.
} The original subscribers will not fail to SC
1 -, al. 1,,a IL A. IL. A