The Portland daily press., 1875-10-11

and carefully. We all desire to get our JUST
debts, and not to make money out OF the mis-
fortunes of the road, and if those lwno nave Sc
curity by mortgage can aid those VINO, equaily
meritorious with themselves, nave iurnls .Ll
money and supplies for the road without other
security than its promise, they are pound as
honorable men 10 do SO, provided they do not
by SO doing diminish their security 10 pro-
vide against this, We propose that the net earn
inps. for the time that bond holders are asked
to forego the full payment OF interest, be ap-
piled to the improvement of the railway, and
consequently the security of the bond-holders.
Should the bondhOlders not consent to this,and
should they obtain possession of the railway
property, they must necessarily do precisely the
same thing namely, forego the payment Of
their coupons, and leave the earnings to be ap'
piled to the repairs and improvement of the
road, and while not improving their own condi'
ton, thus deprive the holders of the floating
debt of all possibility of obtaining their honest
dues, except to the extent that they are able to
do so by compelling payment from friends who
have impoverished themselves in order that this
enterprise, in which they have so deep an inter
est may be successful.
We believe that in the six years asked for, we
can not only put the road in good condition. but
SO far develOpe The business and increase the
earnings of the road as to make it certain that
it is capable of taking care of all its indebted
ness. To this end, we recommend such changes
in the management as will secure the most e.
that much may be done to greatly increase the
business and earnings of the road, even IN the
present depressed condition of all kinds OF
business while with return CT prosperity we
have confidence that the sangu;ne expectations
of the original promoters of this enterprise
may be fully realized.
The board of directors elected at the last an
nual meeting, was chosen with the express I'M
Outstanding that in case the arrange ments pro-
posed by us are carried out andlthe creditors be-
the of the c0 000 shares of stock.
then the present board shall place their resig-
nations in your hands, so that board may be
elected, chosen in the interests of the creditors,
and who shall cooperate with you for the i'm
provement of the property and the protection
of those to whom it rightfully beloHgs, viz:
the creditors and bondholders.
For the purpose of carrying out our plans,
we make to the holders of the floating debt of
the company the proposition appended marked
/, and to the bondholders the proposition
marked 2, for their consideration and accept
ance, and we ask your adoption of the resolu-
tions set forth in our agreement with the In
ternational Railway Construction and Trans
portation Company, as appended hereto and
marked 3.
The following are the resolutions referred to-
which are signed by the representatives of the
creditors, of the 1. r. G. & T. Co., and the
trustees of the same:
ResolUed, That If the International Railway Con.
structon and Transportation Company will: convey
to three five trustees Of whom may be selected
by the said l. R. c. and I. Co., and the others by the
creditors hereinafter named, holding the floating
debt of the Consolidated European and North Amer
lean Railway Company twenty thousand shares Of
the capital stock OF said last mentioned corporation
which is to be held, used and voted by said trustees
for the benefit of such holders of said floating debt
as shall agree to accept said stock under the terms
of this resolution, for term not exceeding four
years; said trustees to execute agreement in writ
ing to reconvey said stock to said International Rail-
way Company and Transportation Company, at the
noiUQf of mia
fore that time said Consolidated European g. North
American Railway Company shall have paid, OF pro-
vded for the payment of certain debts Of said Inter-
national Railway Construction & Transportation
Company, amounting to about sixty-0ne thousand
dollars and interest thereon which debts or abili-
ties have been assumed by said Consolidated Euro
pean g North American Railway Company; and be
it further
RESOLVED That said Consolidated European s.
North American Railway Company. under the man.
agement of the stock conveyed, shall be author
lied to pay said sxtyone thousand dollars and inter-
debts except such as it is necessary to pay to pre-
vent sacrifice or loss of property. And, if said
sixty7ene thousand dollars shall be paid or 50 pro
Construction and Transportation Company, at the
expiration of said period or at any time prior thereto
then said twenty thousand shares of stock shall be-
come and be the absolute property of said creditor
and shall be conveyed by said trustees to them sew
orally in P5oPoron to Their espeetye claims against
Railway Co.
And the creditors aforesaid promise to use their
said sixty-one thousand dollars in similar manner
to the other floating debts.
The following are the propositions referred to
above:
PROPOSITION l. The committee propose to the
holders of the floating debt: To accept the stock,
the terms of the resolutions which herewith sub
mitted and have been agreed upon by the represent
atives Of the International Construction Transpor
tation Company, and, through the agency Of the
trustees therein mentioned who to be elected
therein set forth) to take possession of the Conso
dated European s. North American Railway and
the Bangor q Piscataquis Railroad and them
devotng the net earnings thereof for the first three
years. wholly to the payment of such interest on the
funded debt as is not extended the repairs and i'm
provement Of the roads and their rolling stock an6
the payment Of such debts as is necessary to preyen
ance Of the net earnings if any, may be devoted to
the payment of interest on the floating debt, but moi
to exceed the rate Of interest per annum paid on The
funded debt until the payment of the full interest OF
the latter shall have been resumed; and to extent
the payment Of the principal of the floating debt fol
PRoPosITIoN II. The committee propose to tn
holders of the Funded Debt to fund one-half of tn
interest accruiDg within the next six years. upon the
condition that the net earnings of the roads during
that PERIOD shall be devoted to the purposes set for
in the proposition to the holders of the Floating
Debt, and also to the general Strengthening of the
securities and the improvement OF the value of the
roads, during said first three years, and that for thu
Daance OF the term, such amount of the net earn.
ings, as shall be necessary, shall be applied to the
keeping of the roads and rolling stock in good condi
tlon. Every alternate interest coupon falling due
within six years. to be deposited with trustee anG
the bond holders to receive from the company in ex
change for said coupons certificates of Indebtedness
payable in seven years with semannual interest the
coupons to be held in trust Until after the payment
Of the principal and interest of such certificates
indebtedness after which time they are to be can
ceied by said trustee, and surrendered to the com
pany; but in case of the non-payment of any inter
est or the principal of said certificates, when thu
same is due and payment demanded, Of the breacl
OF any of the conditions of the extension said cou
pons are to be returned to the original owners witt
all their rights to proceed against the company un
impaired upon the surrender of the certificates of in
debtedness issued therefor and to attach to tn
bonds IN case OF any foreclosure Of the mortgage b.
which they are secured.