National Republican. (Washington City (D.C.)) 1872-1888, 1876-04-14
GREAT BRITAIN.

LONDON, April IL, ST. m.-The Stock Exchange
to-day is quieter and hrmer, but inactive.
Tomorrow and Monday next will be complete
holidays in London, and Friday, Saturday and
Monday will be similarly observed in Liverpool.
A sharp gale prevailed this morning, attended
by rain and snow. The weather is cold. A dis
patch from Nottingham says that seven inches Of
snow has fallen there. In North Wales the
ground is covered to the depth Of nine inches. At
Sheffield the snow is nearly a foot deep, which is
the heaviest fall OF the winter. Vegetation is
suffering greatly. At Dublin foot Of snow fell
last night.
THE ENGLISH AND ERIE.
LONDON, April l3-Messrs. Fleming and Mil
Ter, the members Of the Dundee committee, who
were sent TO the United States TO investigate the
Erie railway, have submitted their report, in
present financial condition Of the Erie railroad
property, they say the essential conditions OF q
successful Reorganization are:
]. Effective control Of the management of the
road by the real owners-the bondholders.
2 The restoration Of the equilibrium between
debt and the minimum net earnings
3. A provision for narrow gauging the line.
The net floating debt is e 900.
Rod could be applied to paying of the floating
debt and narrow gauging the line there could,
with capable management, be no question as to
the eapabilty of the property to earn interest on
all its mortgage debt without the necessity for
foreclosure and assessment on the shares. These
results could be substantially aeeonPss 1, by
solidated mortgage for 1--WE years, the March
coupon being paid in cash, and Of all the coupons
Of the second consolidated mortgage. But the
bondholders would not consent to such an arrange
ment unless the stockholders voluntarily surren-
der majority Of stock to the trustees, receiving
negotiable certificates in exchange.
A draft Of an agreement has been prepared en-
bOdying these proposals. and will be submitted to
a meeting OF the stockholders and bondholders at
n q trug
the stock, the plan proposed would give the bond
holders all they could gain by foreclosure, they
erty to make the best they could out of ii. In
view, however, of the difficulty of securing this
action Of the bondh6lders, the doubts about
whether the cooperation Of the stockholders can
be- secured, and the necessity for an amicable set
Element with all claimants they think foreclosure
Is the soundest plan, and would doubtless be pre-
ferred by those shareholders who really care FOR
the welfare of their property.
Mr.. Jewett has frequently expressed the opin-
non i,b snar iOrseosure Is ulaIey ne
see no reason 70 doubt that the committees
scheme of organization by foreclosure may be sue
road in a thoroughly sound financial position.
The scheme referred to Is that published hereto
fore by the committee, Of which Sir Edward Wat.
kins was chairman and Messrs. Fleming and
Miller recommend its reissue with notifications,
and urge all interested to give It support saying,
suggesting that the committee proceed with vigor
in the direction Of foreclosure, at the same time
inviting the stock holders to signify their willing
ness to vest their shares in trustees as above meH
toned. Whenever enough Of them have done so
It will be right for to consult our constituents
as to the choice Of plant
The report is accompanied by letter from
President Jewett, bearing date Of New York,
March "a, and addressed TO Sir Edward w. Wat
kins, NJ. p. The extracts appended show the
general tenor Of the whole.
Messrs. Miller and Fleming will also bear with
them
PROPOSITION OR AGREEMENT
for the funding Of coupons and improvement Of
the property as adopted by them and committee
of the board of directors. have very stong hopes
that under the proposed arrangement the property
can be put In condition 90 as to render unneees-
sary any further sacrifice or delay on the part Of
the bond holders.
1t would be better If the bondhOlders would
consent to funding OF one or two years longer,
with the proviso, however, that the moment the
work upon the road had proceeded to q satisfac-
tory end, or the
EARNINGS OF THE CoNPANY
wouldjustify It, the interest should be promptly
resumed, without regard to the time for which
the funding was to be continued.
think It will be very safe to assume 2ooo, GOD
as the minimum Of an average net earning If
the road is once in condition TO compete, upon any
thing like equal terms, with its two great COM
petitOrs without material increase Of trafie, the
net earnings should be in excess Of the amount
named.
1t is indeed notifying to have the net earnings
of the company Tin the present condition Of its
property, and in view Of the circumstances under
which IT'S road has to be operated,) constantly
compared with the percentage Of net earnings Of
lines free from all the endorsements under
which IL has continually to labor. With your
knowledge and experience you can appreciate
and understand these difficulties, but to those not
familiar with railroad management and railroad
somewhat diffCrllt PNnlaln-