The Charleston daily news. [volume] (Charleston, S.C.) 1865-1873, 1872-02-13

London, Cne preSlQent 1OuuQ GnaI uoI q oouo
had been exchanged, and no progress what
ever made beyond the "assents" already re-
ferred to, and the force OF those weakened by
time, change of ownership, and other circum.
stances not requiring further notice here. 1t
had become necessary that he should assume
active control of the negotiation and pro-
Ceedlngs In suchadirection as seemed most
promising of success. With the friendly and
valuable cooperation of Mr. Edward Horsey
Palmer, actual exchanges of bonds to the
amount of f235, 900 were accomplished in q
| few weeks. This sum, since increased to
s23s, 600, being considerably in excess of the
four-Hfths required to be exchanged before the
mortgage deed was vltallzed, there was no
further occasion for the presence of the presi-
dent in Engand. All the holders of any mag
nitude had exchanged-the residue held In
small amounts, and by numerous parties, was
only expected to be sent In slowly, perhaps to
no considerable extent until the January divi-
dend was called for. 1t is the impression Of
the president that the major portion OF the
ssoutstandIngs" will then be exchanged. He
knows only of single case of positive objec-
ton to our proposals, and does not believe
that In that Instance there Is the slightest
disposition to press, or OF an unfrlendly
character.
The amount OF new bonds to be given for
the old and interest, as the exchange stood In
October, was about ssO,00O; but as the ex-
changed bonds have not yet arrived, nor the
statements Of our London agents, with iull
particulars of later exchange, the accounts re.
main unchanged on the treasurer's books.
The board has already referred In this re.
port to the Influences exercised by unneces.
ssry and unwIse competition. Closely allied to-,
but much more potential, than this danger to
the earnings of our road, Is another, which
the board could no longer ignore, the joint
product of ambitious corporations and super
abundant capital. The rapid absorption and
consolidation of contiguous roads, aud their
unmIstakahls epproach to the acquisition of
our most important connections, left the board
no choice, however financially unprepared for
such a policy-not to act was to submit to a
eircumscription Of territory, so narrow as to
be unable to afford support for the road, and
to disastrous injury to the commercial inter-
ests of Charleston. They did not, therefore,
hesitate to adept the bolder, and, un-
der the circumstances, the wiser course.
They have purchased and acquired
q controlling interest in the Macon and
Augusta, and the Greenvllle and Columbia
Railroads. The former secures to us the great
benefit Of free and cheap approach to the
heart of prosperous and growing section Of
Georgia. The latter retains to our road and
chief city connection, whose loss would in
fllct Injury it would not be easy to estimate
now. These movements have eliclted such
general, prompt and cordial expressions of
appreciation throughout the State, that the
board feel little apprehension OF dlssatstac-
ton on the pert of the stockholders. AS the
arrangement in connection with the Green
vile Railroad was not completed until after
the lst January, the particulars of the trans-
actions do not appear In the accounts of the
year.
In the mater of the Southwestern Railroad
Bank, the board have to report that, in con-
formlty with the resolutions The stockhol-
ders, there have been paid over to the rail-
road company the following sums, which are
duly credited IN the treasurer's accounts to
the bank.
Sterling bonds and coupons. SIC, ,944 Al
Amount received in case OF bank ver-
sus Ryan. ........'.... l,S6f Va
Total. ............... sis, ,el1 4s
The board regret to report that during the
past year, their valued associate, b. b. De-
Leon, ESQ.,, under the influence wholly of
private and personal considerations, resigned
his seat.
Subsequently the vacancy was filed by the
election of Mr. W. L. Ellis, OF Macon, Georgia.
The board, under the Influence of considers-
tions suggested by the reduced business of
the road, the high cost at which alone large
floating debt can be carried in a market such
as ours, where money capital is 30 limited,
and to a great extent by the necessity too
plain to be mistaken, of using the means and
credit of the company in pursuance of bold
aud liberal policy, in meeting efforts to cir
cumscribe our own territory and divert our
business, concluded to postpone the further
declaration of dividends for the present.
They believe this measure to be in the direc-
ton of the greatest benefit to the stockhold-
ers' permanent Interest, and any considerable
decline in the value of the shares, without
question, temporary. An improving property,
an increasing income, and debt in process of
reduction, are the greatest guarantees OF
sound and solid values, which, sooner or later,
never fall to assert their claims to the notice
of capital. Our confidence in the future of the
road is mistaken.
We present to the stockholders the property
of the company in high condition-in condl.
tion equal to any 1t has known In its palmiest
days-Inferior to none In the Southern coun-
try. 1t has stood the severest tests which we
believe can be opposed to it, and we confident
" anticipate for 1t bright and prosperous
future. Respectfully,
W. ]. MAGRATH, President.
VIce-Prestdent's Report.
SOUTH CAROLINA RAILROAD,
YJCE-PRESIDENT's OFFICE.
CHARLESTON, January l, 1872.