The evening telegraph. [volume] (Philadelphia [Pa.]) 1864-1918, 1867-04-30
THE PENNSYLVANIA RAILROAD.

CONCERT HALI--THE PROPOSED INCREASE OF
$3O, 100000 IN THE CoNPANY's CAPITAL, ETC.
This morning, at 10 o'clock, a meeting of the
stockholders of the. Pennsylvania Railroad
Company was held in Concert Hail. and was
largely attended by the parties interested. The
meeting was held ia accordance with q resolu-
tion passed at the regular monthly meeting Of
the Company in February last and was for the
purpose of taking action upon the act of AS
seInbly, approved March %, 1897, entitled "An
act to repeal an act entitled "A further supple
ment to the act Incorporating the Pe9nsylvania
-capStai stock and 10 borrow MONEY approved
the twenty-firs day of March, A, d. one thou
sand eight hundred and sixty-six; and also to
authorize the Pennsylvania Railroad Company
by this st to increase Its capital stock, to issue
bonds AID to secure the same by mortgage"
approved the twenty-second day OF March,
A proposition was also to be submitted for
the action of the stockholders increasing there
under the capital stock of this Company by
100000 shares, and the issue OF the same from
time to time by the Board of Directors, and the
proposed exercise of the said Board of Directors
of the powers granted by the said act of issuing
bonds and securing the same by mortgages for
the purposes in the said act mentioned, and
within the limits therein prescribed.
The meeting was called to order by the Hon.
Norton McAlIchuel, who stated that this meet
il g was being held in pursuance of a resolution
adopted at the annual meeting of the stock
holders, which required that a committee be
appointed to make certain investigations. He
had been empowered to appoint that commit,
Mir. Edmund Smith, the Secretary, then read
the minutes of the last annual meeting.
Mr.. McMichael then called upon Colonel
James Page. the Chairman of the committee
raised at the last meeting, for its report.
Colonel Page stated there were two reports,
majority and minority. he being the minority.
The majority report was IN the hands or some
one of the committee.
The Majority Report.
The mejority report was then read by Mr..
Israel II. Johnson. 1t showed that the Com
mittee had met the President, and a Committee
OF the Directors, upon the day appointed by the
latter, and every facility was extended for the
fullest investigation The subjects referred to
were treated OF follows:-
l. The system of discrimination.
q Free passes.
8. Private freight expresses.
T. Report of the Board of Directors
8. Expediency OF Issuing more stock, and of
on the first point, the report stated that the
Company had no such system, and no discrimi-
nation had been made between parties ship
ping freight under the same circumstances
The Committee recognize the fact that equal
rates are most productive to themselves and
satisfactory to the public.
In regard to free passes. it is universal
custom to issue them to some extent; but when
carried beyond proper limits, it is unjust. The
granting of these to all members of the Legis-
dency and ought to be abolished. With this view,
a resolution was passed by the Directors limit
ing the issue of passes to cases of charity and
those required by the interests of the company.
In regard to private freight expresses, there
are none upon this road, but there are fast
freight lines-two owned by incorporated COM
nanits and running to and from Western States
These are run also over about 900 miles of other
roads and the effect is to bring over said roads
TO the Pennsylvania Central much freight
which would not otherwise be obtained. They
have, therefore, been positively beneficial.
The Committee found that the officers and
employees of the road were interested in these
private express lines to very limited extent,
while neither the President Vice President nor
any of the directors are interested pecuniarily
at all: and that by giving six months notice,
they may at any time terminate the contracts.
In regard to the expediency of issuing stock,
and borrowing more money, subcommittee
of three carefully Investigated the financial
condition of the Company, wnlle another SUD
original leases but their investigations, dis
closed nothing in any way atVarlance Win the
last annual report of the directors. .o..u
The value of the rolling stock is much greater
than the amount standing to the debit of equip
ment of road in the last annual report: We
have never discovered case OF over-estlmate
Of nroperty but rather the reverse. The system
of accounts is perfect and accurate:
In conclusion, the Committee referred to the
extended trips which they had made over the
various branches of the road, for the purposes
Of their Investigation. and are more convinced
that the policy of the managers has for It's
object the increase OF the commerce Of our our city,
direct interests of the stockholders
But unless ample pecuntary means are pro-
vided.this policy cannot be successfully carried
ont Believing that such means, If provided,
will be so used as to conduce 10 the public good
the Committee recommended to the share
BOARD of Directors and the adoption of the reso.
lutions appended thereto. The report was
signed DY Israel ID, JOnnsOu' henry w IuSOT
John @. Davis, Alan Wood, William P. Cresson
and Charles Wheeler.
The Minority Report.
The minority report submitted by Colone
Page was very lengthy. This report stated thai
The committee was raised for the purpose o
examining into and reporting upon the eXpe
diency of Issuing additional stock and borrow
ing money, the operation and working of tht
system of discrimination and free passes, anC
priyate freight expresses, ana to what exten
the officers and employees are interested in thu
latter and the effects of all these upon the earn
ings OF the road and the interests of the stock
holders The committee, although ordered OIL
Hn1 Until i0'T the 9th OF March. Five o
those selected refused 10 serve rive rive @ neV
sented. 1t was not until twenty-one gentle
men were notified and heard from that Com
mittee was obtained. on the zoth Oh MaIca aic
the Committee was organized, and but twenty
seven days were lett for the discharge OF thel
duties. TO decide upon the OK xpedtency orrcy,,, II,
issuipg additional stock. and porroWln
more money, was not possible within tue TIM
given, None OF the absolutely necessary an
important preliminary steps Were Could takS. sa
Nothipp as to the condition OF the roat
as he did not accept the invitation
travel over It with the 5emSlhaeF t pi the eiS
Leagues had pleasant time or IT, Inc repo
of 1his Committee is only to the 3lst or ID
cember, 1866, the same period covered py I'll u
State debt are the same in both; but In that
the uditor-General there Is no report OF NOR
1aees aud gTound-reD U.s. amounting tosi1O :lSIS
Riils payable in annual reporu tor 1850 az
xii lBO08, while that to the Auditor for IL
lives the floating debt, as per last report, S9oi
SsO.OO In the report for Po65. the cost OF Toi
c0mplete is put at S3l, 800 3836O; in the Audito
Ganerais report for the same year, 81, 1888, ,6lO+
II are report for 1866 the cost of the road cor
piete is put at $50 996 4O8 81 to the e.O5 Audito @
General that cost Is put at 81, ,439SZ Ihe
SS'Snsana ncies are difficult to understand.