The New York herald., 1876-01-03

necessary give explanatory examples Of the meaning
Of the term.
has been one OF the principal features Of the year
auctuaing from SsH 33H 37S 3oH 45zs a
82, from the beginning Of the year the middle OF
May The price declined rather slowly from about 81 2
TO SO, when copy OF the companys re i
port for the year ending April 80 1873 /
was privately shown few Of the
select well selected friends. under strict in
junction OF secrecy. This report purported TO show
that the company had sunk in years business
81, 100000 OF course Of the "chosen"
had any friends whom they would give
away good thing this, but nevertheless it
became quite fashionable to sell Pacific Mail short
on the ''sy" and say nothing about IT, The price
dropped TO 81 s. and for time remained quite
steady at % 80 but Monday the 2lst of June,
the game developed by sudden rise from SO to
81 r. quickly followed in the succeeding days by
further advance 70 ~, at which latter figure it
seems that the last OF those who had acted
upon confidential Information 81 =, walked up 70 the
Captains olace ana settled The 'shorts" all being
closed up, and wanting to buy steamships, the
price gradually declined to ss and then TO 33 Between
SO and "a there again accumulated large short interest
which it was desirable "bag;' but this time outside
help was solicited, and so company" reports
issued ana published in the daily papers at seventy
five cents per line These being ''too attcnuated,"
however either frighten the shorts gull" the
public resort again had to the private exhibition
reports Of the companys condition. which said
to be $50 good that the public would not believe them
Il published" This induced a long buying the part
OF few operators always ready for point backed
by life preserver in the shape Of put and again
tho price advanced to 4s closing at decline Of 4
per cent
PACIFIC TELEGRAPH
early in the year destined to drive the Western
Union out OF existence dc the told true
and its price advanced to 299, between which and %
considerable unloading accomplished by the aid Of
puts placed where they would do the most good The
stock having been all distributed the supports are
taken away and drifts back to where it started from
lying upon the market, like dismantled ship upon
the Have any of those who had the point at 27
learned thereby lesson?
declined in January 795S 7O7S step by step with
the advance Of its rival noticed above but rallied again
to so 4. in April From this point it steadily went down
to Il Z the Goth OF May Some Of our readers will
not be likely forget the points they received at this
time Of a certain decline so the future how
boldly proclaimed at the uptown hotels "Dec-
oration holiday SOth May, their disappointment
Monday, June 1st. that after selling down only x
per cent slta It rapidly advanced to 773s Later on
in July and August, when the price ranging
victmized by the "sure so point" might be
closely following an equally sure from the
sources that the stock would sell at 95 and anxously
urging all their particular friends to get some before it
too late. Apparently they did get it, for s47s was
its highest price which it has steadily declined to
7lss; closing the year with rally to 749S, 5>6 per
cent lower than at the same time in 1874
WABASH.
During the year two railroads whose stocks have
Ga. -
have deiauItcd in the payment Of and passed
INTO the hands OF receivers To the fall Of these
the Erie and the Toledo and Wabash raroads-would
be interesting and instructive but space will not
admit lengthy history. Suffice it to say OF Wabash
that years of struggle to raise money wherewiih
TO pay its interest on the outstanding debt by still
further increasing the same, either by the
sale or hypothecation OF bonds, it finally
had to succumb 70 total loss OF credit 1,
The prices OF both the stocks named have had som
important speculative during the year. but
iu The the realities perfectly apparent in
these two cases have than outweighed the inn
acnary Influences OF 'Gouldsm."
LAKE SHORE STOCK
become the principal speculative stock and taken
place formerly held by Erie with all that class of
uneasy traders who always looking aftor the umbe
one-elghth After having paid dividends since
August, 1873 the company declared one of 3l4 per
cent pay able February 1875 Of the earnings for
the last six months or 1874 Al the this dividend
was declared the cash Of the company,
as per its report to December 81, 1874, stood as
foilows:-
Cash on hand. ST. 40s COS
Unc9lectcd nss...................... 53S,3o0
Total ,94l, ,9o5
December liabilities, payrols &C.. sss9,225
Interest due January |, 1873. ....... 2s',slT
"A "a og
Balance ............................ $7s4 iSs
$40, 400, 900 ................-.......... L6Oi6ol
Deficiency. s823 473
subsequently a suit was brought against the
piny and an Injunction granted restraining the com
pany from the payment Of any dividend until Il had
PROVIDED $1,000 900 alleged be due to the sinking
fund on account OF its consolidated mortgage bonds
the sum named being $3.50 900 per for four
years up 10 July 1874 The company forestalled the
iudgmcn, OF the Court by paying into the sinking fund
s4se0oO in bonds Of the Cleveland Panesyile and
Ashabua Railroad and s5ll, 900 in cash. on a hearing
and an affidavit recitng these the injunction
dissolved and the dividend paid. But by the fore
gong statement there a dchclency Of ss2s 473 be-
fore the payment Of s5ll,OO0 INTO the sinking
fund follows that by this payment the deficiency was
increased 20 $l,334. 473 that OF the money
and uncolected earnings hand December
81 1874 there was less than $500 900 availa-
bic toward the dividend requiring Sl,6O7 COL.
The stock after closing the old year at so opened at
sOl aud declined in January TO 727S, from which It
rallied on the dssolving Of the injunction TO 1914.
From this time into May played between 725s and 7J
apparently being strongly supported at the former
pr.ce but finally in getting away from this figure it
quickly sold down to 57si. Ia June the price again
rallied 10 IS on the settlement Of the railroad war.
on the appearance OF the semannua report however,
admitting tnat the result Of months business
a surplus OF only s51, 900 It steadily declined after
some hesitation at 81 a 90 to 5l& in september Here
II became heavily oversod, and October was easily