Worcester daily spy. [volume] (Worcester [Mass.]) 1850-1888, 1871-11-03

SPECIAL MEETING Of THE BosToN AND Al
BASY RAILROAD CoRPoRATIoN.-At a special
meeting of the above named corporation, held
At their passenger station in Boston, Yesterday,
to act upon the subject of authorizing an issue
Of bonds TO meet the needs of the corporation,
the president, Chester W. Chaplin. Esq, in be-
half of the directors, submitted the following adj
dress to the stockholders:
GentlemeR-We have called you together to
consult upon the best means of raising funds to
meet the large OUTLAWS rendered necessary by
the increasing demands of our business The
experience Of each year is demonstrating to us
that the amount of business which we are 10 do
is dependent to large extent upon the facilities
which we afford for its transaction. 1t is equal
~ apparent that these facilities can only be in
creased by very liberal expenditures OF money
in permanent Improvements and additions to our
property.
Under the laws of our state, which have al
ways prevailed up to the present time and
which we had reason to believe had settled the
policy ofleglslatOn in regard to this subject we
should have had no question as to the proper
course for us TO pursue at this time.
The action Of the last legislature, however,
by depriviug the owners of railroad property
OF the right 10 assess themselves at the par value
Of their stock for the improvement and develop
ment OF their property, has made it necessary
lOl W. " lil4ulIt WHAT OIHeF Ilch0S are WlLDlu
our reach for raising the necessary funds. We
mud that under the existing laws Of the COM
monwealth two ways are now open for us. First
ny SAFE OF our stock at public auction, and
second, by an issue Of bonds
If ii was entirely clear that the first method
VIZ, the sale OF stock ut auction, was the wisest
it would not have been necessary to ask for
further action of the stockholders as the board
of directors are already authorized by yOur
votes to make such issue OF stock as they may
deem eXpedIent.
The number of shares of stock which we
might issue is dependent upon certain con.
ditons, which it is not possible for us TO comply
with at present, and we should soon fail to raise
from this source sufficient supply of funds TO
carry on our work OF improvement: besides
an issue of stock TO so large an amount as will
be soon required in the manner now provided by
law could not fail of deprecatng to consider
able extent the market value OF our shares.
The directors have felt some hesitation in
adopting a policy which would lead to such a
result The law authorizing an issue of bonds
requires the action of the stockholders in order
to egalize such issue. Under this law we are
authorized to issue twenty year bonds to the
amount OF the capital stock paid in at rate ofin-
terest not to exceed seven per cent. We shall
| require within short time to meet expenditures
now mourning for permanent improvements
aoout o-,Oou,oOU, and for the prosecution of
| other large works in contemplation as the WOr.
cestcr union depot, the depot and bridge at
| opringneld, and further depot accommodations
| at boston, and new engine house. shOps and
| yard room at Albany, we shall need LARGE adj
| ditional sums Of money
In the present condition of the money market
it has been thought that bond running at any
thing less than per cent would not be taken at
its par value, aud the directors at their mcetinv
held yesterday, voted 10 recommend TO the stock,
holders an issue of Z per cent twenty wears
bonds to the amount of five millions Of dollars
This action Of the board was taken upon the
assumption that as between the two methods of
raising money now within our reach, viz by
a sale of stock at public auction, or by an issue
Of bonds, the latter was the one you would be
likely to approve. If you think otherwise, how
ever, aud think ii would be better TO make an
Issue OF stock, TO be sold as provided by law,
rather than make new Bonded debt, and thus
create a lien against the property prior to your
| own, the directors are ready to carry out your
! views. 1t is TO consider these two propositions
and determine what, in view of the crcum-
stances OF the case, is the wsest course for us to
| pursue, mat we have called you together, and
| 'hs hatter Is now in your hands.
nj Cnapin stated further, that the gross re-
| celpts OIL the corporation last year amounted 10
| elgnt millions Of dollars; that they had added
| Two new locomotives 10 the rolling stock since
tbe ufsi OF october, and would soon add four
uio l' lnere was he said, great necessity for
addltOnall Storage accommodations not loss
| than 5000 tons Of freight being now in tbe cars
waiting for shipment, and there were no vessels
| to take il away. Increased connexions with
/ western roads had introduced a new business
viz, the transportation Of grain, ,557 200 bu 81
| els of which were carried bv the road last vear
Mr.. Geo o. Croker Of New Bedford offered
the following resolution:
| Voted, that the directors be authorized to Is.