New-York tribune., 1874-07-09
JAMES McIENRY'S THEORIES.
HIS VIEW OF THE RELATIONS BETWEEN TIE ERIE
AND ATLANTIC AND GREAT WESTERN.


AND ATLANTIC AND GREAT WESTERN
James McHenry has issued the following cir
cuar to the Erie and Atlantic and Great Western con
stitueDcy:
To the Proprietors Of he Erie anf Atlantic and Grelt
Western Raiirqy: incOse copy oi thc IeIs oi i 'i
Atlantic and Great Western Railroad by me Erie lll'
way Company. More than lo)J Snaf 1 n I'm I'm
forwarded their proxies in support OF e 'edso, ' % 80
though no, generous, toward the Atlantic ana Grety
Western, which, for many years mas sunIeu N iIoi 10 40
dependence on the Erie Mf' th oigatons
OF the lease. Agreements with the Enc nave hreUIo
een treated as binding 9ny on IV Win geoSapca
position second to none Tor iralhc % simarpy
Ataniic ana Great Western alone OF az Sanr summary
situated nes. has not doubled or treped IL revenue,
during the last seven years Agreements were slgheu
IN December with Mr.. Watson for lease at 80 per
of receipts, but coupled win Ouer0ls a.
By accepting lower percentage and dividing prous III
working the Atlantic Company Is freed from the
liability OF raising further capital. Inc amount re
0uired for the gauge (5ay 6OOO Will De al
vanced by the Eue. The extensions nsSteu On oy mr. &I
Watson to Pittsburgh Chicago, & are aDandonou, p
a tho advantage expected from their construction VIII
yania Railroad Tie Cleveland, Columbus, Cincinnati
and ndlauapo. Railway Company has owned for scye-
raj years, conformity with the Ponn'Ylvanla R1lfOiu
a line from Iniiinapolis TO st. Louis Tho compile
ton OF the bridge over Mississippi River at st. Louis
promises 10 give vast development 20 the trllo OF
with the New-York Central and Lake shore Railways;
with which the Cleveland, Columbus, Cinclnnau ana
Indianapolis Railway Immediately connects. The same
law OF the State OF ONO which compels formal CON
frmaton OF the lease Of the Atlantic shareholders
secures a minimum rental equal 10 the net earnings Of
tho previous fiscal year. Tao balance to the credit OF
cncOme for the year ending sept 80 1873, after deduct
ing operating expenses from the total earnings. was
ss35951 III IS proposed that the rental shall DO re-
tted To trustees IN London for payment Of interest on
the leased lines bonds and mortgage bonds IN due p
orIties proposal Will shortly be made 20 guarantee
salts factory "a fixed dividend the shares OF the
United States ROingStock Company. Whie the affairs
the Eric Railway are beng officially Investigated II
may be lmpertinent TO make particular reference 10
them, but prOprietOr5 will be glad to learn that
when an officer Of the Enc recently announced that
he had systematically deceived the directors TO the
state Of the COmpdnys affairs, the Board engaged an
independent auditor Of great railway experience IN the
United States who confirms the correctness OF the state
ments OF revenue and expenditure published by Mr..
Watson. That the Erie Railway Company has "A gross
income OF four millions sterling per annum is great
and unquesoned fact Each proprietor FOR himself can
estimate how ample this is fOr its engagements Tho
amount OF proxies already placed at tho disposal Ol
Mcssrs Watson aud Barlow for the approaching election
gives assurance OF almost unanimous vote Tor the
Board selected. Mr Watson having lntuated his IN
tentiOn resign the Presidency, Col Thomas a ott
consented be nominated to the Board but his election
TO the Pennsylvania Railroad made it impossible for
him TO company with whose success he had been
SO long and hOnOraOly Identhcd. Mr. Hugh j. Jewett
has, Col Scotts suggestion. become candidate Tor
the vacancy. JAMES MCHENRY.