The evening telegraph. [volume] (Philadelphia [Pa.]) 1864-1918, 1866-03-19
The Atlantic Cable.

FoRMATIoN. OF A NEW COMPANY TO CARRY OUT THE
sCHEME-CAPITAL THREE MILLIONS OF DOLLARS.
City Arhcle London Daily Ae1cs, March 6.
The project of the Atlantic Telegraph Com
pany is once more brought Toward, but in new
1Orm.
1t win be remembered that the original capital
of the old company consisted OF shares OF $1,000
each, which were mostly subscribed ior, in a
liberal spirit, by our merchant princes. After
the first failures came an issue OF eight per cent
preference shares, and this, IN its turn, was fol-
lowed after the failure of the expedition in July
last, by another issue OF twelve per cent. pre-
ference capital.
The directors were advised however that
their act gave them no power to make this latter
issue, and it became obvious that the best plan
would be TO form new company. Accordingly
Messrs. j. S. Morgan 90. have notified tha5
they are prepared to receive subscriptions tor
shares in the "Anelo-AmerICan Telegraph Com
pany (Limited),n whose capital Is liked at
t6OU,000 in sixty thousand shares of fl0 each.
The arrangements tor the prosecution OF this
great international undertaking are fully de-
scribed IN the prospectus.
The promoters express confidence that the re.
neWed effort will be attended with success. more
especially as the whole length OF 1912 nautical
miles of cable laid from the Great Eastern in
complete TO Newfoundland, continues perfect,
as is also the 1910 miles OF cable remaining on
board the Great Eastern The new company is
to provide 1900 miles OF new cable, and to work
the undertaking, during the agreement, on
behalf of the old company The whole project
il, OF course, speculation; should it succeed,
and the line be laid and work properly the
agreement provides that the receipts in each
year are 10 be applied as iollows:-
Flrst-In paying TO this company one hundred
and twenty-five thousand pounds per annum.
Second-ln paving seYentY-twO thousand pounds per
annum representing eight per cent. on the Atlantic
Company's existing preference stock, aud four per
cent ON their ordinary stock to the Atlantic ree-
graph Company, And thnd-Ihe entire balance of
each years receipts is TO divided between this
company and the Atlantic Te egraph Company in
equal shares but no deficiency Ia respect TO the
above annual payments III any year Is to be car
ried forward 10 another ear
With reference TO the arrangement with the
Telegraph Construction and Maintenance Com
pany the prospectus states as under:-
1he Telegraph CONSTRUCTION and Maintenance
Company VIII manufacture the new caoe, and un.
dertake the actual execution OF the work contracted
for by this Company, above stated tup to the
opening of the Atanuc Telegraph lines Tor public
to be provided by the Atlantic telegraph Com pauy
under their agreement with this Company, OF
tlSI,l4O in ordinary shares OF the Atlantic Tele.
graph Company, payable by in-talments extending
over fourteen Onths, tho cable Of last year
is successfully completed, aud continues in working
order during that period
There is, in addition, salvage clause, de.
scribed as under and the pU!port OF which IS
that in case of failure onethrd OF the capital Is
to be saved to the sbarehOlders;-
In the possible contingency OF the new cable not
being successfully laid, $500 600 only viii be paid To
the Telegraph Construction and Maintenance Com
panyl ana TINS company will in that event be en-.
lit ed 20 the value of al the unused and recovered
cable (subieet 20 the payment of certain specified
ehaIges lnefeonR ana II is estimated that TINS
return 20 the shareholders OF this company OF al
least one-third OF their paid-up capital.
It is scarcely necessary to remark that all the
directors are highly respectable. The first name
on the list is that OF Mr. George Peabody.