Wilmington journal. [volume] (Wilmington, N.C.) 1844-1895, 1871-09-15
NOrth Carolina Rail Road Lease
OFFICE n.

L.. \
To the Stockholders Of the ~ c. e. r. Co.,
GENTLEMEN The Directors of the
North C4rUIIua kail Road Company, on
We Sterday, leased to the Richmond &
Danviile Railroad Company the North
Carolina Railroad fJr thirty years, for SIX
AMI Que half per cent. on the capital stock
of the Company, or two hundred and six
ty thousand dollars per annum, payable
seml-annualIy. with the amplest guaran-
tees for the certain and prompt payment
of the rent. and the proper maintenance,
preservation and operation of the line.
Iaio course was thought by the Directors
not only proper, but under the circum-
stances necessary to save the stockholders
from grea. loss. This had become obvious
from many reasons. l will, only for the
present, state a few of them.
The Legislature of 1S69-'7O granted
charters to companies, empowering them
to build railroads parallel With our id
from Greensboro to Charlotte. One or
more Of these have passed into the hands
of the Richmond e Danvilie r. r. Co,
vino were preparing to use the franchise
if driven to that necessity by the contin-
ued refusal Of this company to make any
terms Of the C ymmon use of that part OF
thu line. Bills were offered in the last
Legislature 10 repeal or modify these
charters. The Legislature refused to in
erfere with them. La fact, the day of re
fusing or repeating charters for railroads
had passed. This is an age Of building
roads, not suppressing them. We must
recognize these indisputable facts. Thus
left to the confess with competing inter
ests, we have endeavored to make the
most OF the situation for your protection.
Il is now we'll understood that the CAPT
tai aud enterprise of the Pennsy lvania
Central Railroad have become largely in
,ereetei in the II. & d. II. r. Co., and
Imports lis we'll known Efforts to pass it's
line through to the Airline Road aud
other leading connections south of Char
otte. Backed by this new aud powerful
combipatioD, the +. & d. e. II Co. re-
neWed their Cff-rs for your line, rather
than uer the heavier and final contests
with yOu by the inv, fment of further
CAPT al IN parallel road, which once in
YES ed must forever remain our competi-
tor. TIL Air Line Railroad from Guar
!otte to A lanta, under the control of tie
r.. D. II, H., thus reinforced, is being
rapidly Completed. A m ,jority of the
stock Of the Charlotte, Columbia & Au
gusts Il. r. Co. has been recently bought
bv comblna ion Of the same Interests.
Having secured this key, a. soon as they
ssume control of that road, it would be in
| eugero aud freights, and thereby reduce
our incom9 below the possibility OF
regu ar avid nds. The X. q u.
aud Airline 2. r. Companies hav
log secured charters on either side
Of Us from Gre nsboro' to Charlotte,
they would have lmme iately commenced
| he col trucrion of Road from Gre ems
ooro' to Charlo' te to connect with the AR.
Line from Char otte to Atlanta. This,
Il
de troy our Road. Therefore. the lease
was i'm peratiYe nece ,sity. This Road
mas been and would have continued to be
he mere football of party, and your
lntere, is the prey of POLITICIANS. By the
c Intract we have made, a certain and reas
pnabe dividend is secured to the stock
holders. By leasing it your stock will
nave fix d value, aud will be worth twice
rs much rs you could have procured for il
aE any time up to the present. A great
Ghorougniare Will undoubtedly now be
orgauIzed through our State. Freight
vii be cheapene along its line, lmmigra-
Ion will be eIco iraged, your towns and
ties built M, aud many great and per-
manent advaut ges will flow from the IN.
PRODUCTION of tue large capital which Will
seek our State through the Influences con.
trolled by or identified wi the leesees
of this Road. Their power, purposes and
advantages Of situation referred to, we
GOULD neither ignore nor control. The
Question was, how best to meet them, 50
as to protec and secure your interests aud
those of the people of the State.
In the contract made, we have secure
terms and compensation which we believe
;a1r and reasonable, and we're the best that
could be Obtained under the circumstan-
ces. Wo did not believe this Company
could successfully cope with the powerful
and we'll directed capital that we had to
maet in the compe tition to be COM
menced or provided for, without serious
damage to our income for an ind fnite
period of time and we were convinced
therefore, that it was better for the inter
ests CT the stockholders, when another
overture was made for equitable arrange
ment, and before the opportunity had
been passed and lost, to make good bar
gain, certainly q safe bargain securing you
reasonable returns for your property,
rather than take the serious and certain
hazard of being greatly injured, if not IA
tally crushed out by power that we had re-
fused to treat otherwise than as an enemy
For the Directors
w. A. sMITH, President.