New-York tribune., 1874-05-07
ON 'CHANGE.

STOCK AND RAllJROAD
A SLIGHT REACTION IN wALL-sT.-THE LAKE SHORE
REPoRT-CoNFERENCE OF ATLANTIC AND GREAT
WESTERN AND ERIE REPREsENTATIvEs-CoNDI-
TONS OF THE LEASE.
Although the unsettled feeling noted in yes
terdays TRIBUNE prevailed in Wast yesterday there
was slight reaction, and prices higher at the open
ing OF than at the close Of the previous day.
There has been no special reason for the advance !
| perhaps the "bears" resting yesterday; per-
haps they were "bulls" for the day In order
10 get fresh lines Of shorts" perhaps, as q
few "bulls" claimed. outsiders" have entered the
street and arc carrying off all the owpriced stocks
The Lake Shore Railroad election at Cleveland at
tracted some attention but up to $50 no report Of
the result had reached Wallst 1t is expected that
with few changes tho present Board OF Directors VIII
be retained The following s synopsis OF the annual
report OF the Company as submitted by Commodore
Vanderbilt:
operated LIZA miles. earning SGs4 mile az against
in 1872 OGl miles, earning slG6s2 per mile During inc
$50 cars of various classes at OF slg6,;01 The
Company supplied with an abundance OF motive
and 9sis freightcars. Nearly one-haif OF tue entire
rolling stock is only two years old The eatal stock .,
is against s249I 900 in 1872 THIS increase
IL being acertaned that tho issue OF 10000
wholly inadequate to meet the present
necessities OF the road for construction ana
nd
purposes, for the retirement OF the SOO0o bonds
None OF these bonds were Issued IN 1873; they are
per cent bonds, both registered and coupon IN
interest payable June / and Dec l. The security Is
second mort gage (rst MORTGAGE being s25WOOOD upon
road and equipment which earned IN 1870 more 30 Id'i
$40 OOOOO Ii is exoeced that tue issue OF si2OOOO 0t
these bonds will retire the 100000 "bonds OF lo5?
and extingIsh the floating debt Tho balance OF the
sirction and equipment Will increase the earning
capacity Of the road and will not be used except ID case
TIE earnings for 1873 were i945O9 2e the operating
expenses were t3,7i6O9s a. After dedueting interest
ON bonds leases and dividend on guaranteed stock-ln
all s. G5i 56O 5there is left s30335O l5, out OF which
dividend Of 97sO4O, or per cent was pau aug A. 1872
which however, not declared, ow ing TO the emoar
rassed condition OF the Company ny reason Vi na q
equipment durng 1873 and previous years, iI lne
ment in 1873 was S34es59 81 Had this been provided
for by sales bonds The February dividend coud nave
hccn SAFELY declared During 1873 there charged to
expenses for Of substituting steel for iron
rails Ss7s9U9 Ts large excess OF steel ralls aiu III
isa over line amount laid In 1872 9 mcs) accounts for
.. of the per cent in operating expenses Inc
general baaucesheet shows TO the credt oi income ac
count Sl,42e675 "A.
circles unusual activity was manifested At the ONCE
of s. L. NJ Barlow, William-st caucus OF the prin
cpa officials OF both roads was held President "stson
appearing for Erie, and committee OF directors repre-
seutipg the Atlantic and Great WESTERN whe o. J." m
Barlow acted general arbitrator Late IN the aieef
| after the meeting udu ~ "N~
officially stated that the object OF the meeting was 10
devise an equitable scheme for the leasing OF the At
lanic aud Great Western Railroad by the Erie From
the statements OF those present at the caucus 1t was
learned that Eric had agreed TO lease the Atlantic ana
Great Western at percentage OF its gross earnlngs,
without any guaranee-a proposition assented TO by
the Atlantic and Great Western directors Mr. Watson
thought that the working expenses OF the Atlantic ana
Great Western would equal 10 per cent OF It's earn
nps and he thought that tho Erie coun not
afford 10 pay more than 80 per cent over TO the Aahuc
and Great Western proprletors Mr.. Mclienry, now
ever thought that the cost OF running the Atah'o
and Great Western would amount TO only G5 per cent OF
its gross earnings therefore the Erie should pay 80
per cent 10 the Atlantic and Great Western people, ~
| WAS upon this difference OF five per cent tha'
| the discussion had been based, and several
| visits had been made to Mr. Barlow's ONCE
nv the Atlantic and Great Western people, and severai
by the Erie directors. The difference OF five per cent
would amount to between 100000 and 100000 annually
II WAS not intended to lease the Cleveland, Columbus,
| Cincinnati and Indianapolis Railroad with the Atlantic
and Great Western but would be operated as An nde'
| pendent connection.
No result OF the negotiations has yet been reached
hut il is expecting that the conflicting interests VIII DC
| harmonized to-day.
| Both the State Treasurer and Controller OF south
Carolina are In this city for the purpose OF conferng
with bondhoders regard to exchange OF Old ponds
for ones according OF the late Legislature oil
| that State.