The Valley Virginian. [volume] (Staunton, Va.) 1865-1895, 1877-01-04
THE VALLEY RAILROAD.

THE VALLEY RAILROAD.
MEETING OF STOCKHOLDERS --sHENAN-
| DoAII VALLEYS EID--pRoPoSAL TO COM
PLETE THE ROAD TO SALEM A TEN
DAYS LEASE FOR NOTHING.
The Stockholders of the Valley Railroad
met in the Company's office, in this city, on
last Thursday, the 10Th, at II o'clock, NJ.
j. W. Abby was called to the chair ant
Mr.. a. Madison appointed Secretary. The
Committee on Credentials reported the fol
lowing proxies: Baltimore City, lily. Duvall
B. & O. r. R., Richard Norris, jr.; Lexing.
ton and Rockbridge, W. A. Anderson; City
OF Staunton, Messrs. Evans, Witt anl
Burke, and number OF individual stock.
holders.
/ President Pendleton explained that the
meeting had been called to hear the report
OF the Directory, to whom had been referre i
the propositions made at the last meeting
by the Shenandoah Valley and the Nationa
Security Iron and Coal improvement
Co. In lieu Of that report the Directory sub
mitted the proceedings of the meetings of
proposition OF the Shenandoah Valley Road
was rejected. That proposition was for a
continuance OF the lease of the road from
Harrsonburg to Staunton at $4,000 per
month with the privilege Of the permanent
lease of the road at any time upon rs good
terms us ar. offered by any other company.
The temporary lease to terminate upon thir-
ty days notice being given by Mr.. Mines to
the President of the Valley Road. The
Board did not believe this proposition to be
OF any advantage to the Company, and
deemed the present lease preferable, as the
new proposition would leave the Valley road
at the mercy OF Mr.. Mines, who reserved to
! himself the right to annul the contract upon
| thirty days notice, whilst he did not accord
to the Valley Company the same preroga-
1 tive.
4 The proposition Of the n. 5. I. c. & /. Co.
had been withdrawn as it was not accept
able without some modification, and Mr.
Blair did not feel himself at liberty to make
such modification without the consent of the
Stockholders of his Company, which could
not be obtained for some little time
A PROPOSITION TO COMPLETE THE ROAD.
Messrs. Mason, Shanahan & Co., the we'll
known railroad contractors, submitted q pro-
position to complete the road to Salem for
all of tie County bonds and $l,7O0,0OO in
first mortgage bonds. Messrs. Anderson,
Dusall, Norris and Burke were appointed
committee to consider the proposition, and
| after short retirement reported adversely
to it, as it would require the issue of So, OO0,-
| 200 lst mortgage bonds to pay for the build
Ing and equipment of the road Under this
offer. The report of the committee was
adopted.
PROPOSITION FROM S. V. r. R. co.
| President Pendleton then presented pro-
position from VIM. Mines, ir., President OF
the Shenandoah Valley Road, to operate the
| completed line, as now, for $4,000 per
month, upon condition that the Valley Com
pany would bind itself to grant to the S. V.
Il. r., upon thirty days notice, lease for
fifteen years at $4,000 per annum, the S. v.
Il. X. to lease the road as completed, in ten
mile sections, at the same rate. This propo-
sition was declined and COL Hartman offered
RESOLUTION,
which was acceptable to Col. Boyce, the
representative of the s. V. r. r., proposing
to continue the lease of the road at 50 900
per month, and reserving to the S. V. R.R.
the right to terminate the lease upon thirty
days notice, but deprlYirg the Valley Com
pany of like privilege, unless better bid
was offered. In case other and better bids
were offered the S. V. Co. should have the
option of taking the road at the best bid.
LONG DISCUSSION
ensued between Mr.. Fly. Duyall and Col.
| Boyce. Mr.. Duvall neld that to accept the
| proposition would be tantamount to selling
| the road for 81, 900 per month. No bona .tde
bidder would be willing to submit bid,
knowing that another party had the right to
take the road at his bid. and throw him ON
altogether. II the Valley Co. desired to
take the road into its own hands it could not
do it. The Valley Co. was the sole owner
OF the road; it was out Of debt, and if it
should desire to equip and run the road it
self this proposition. if accepted, would place
| it beyond its power and the road beyond
its control.
| In reply Col. Boycc stated that it was a
known fact that the S. V. r. r. had oper-
ated the road for the past months at a loss,
and il the fifteen-year lease was not granted
them, they did not wish to continue. So
far as the Valley Co. equipping and opera
ting the road, that had been tried once and
the result. as was well known, Was anything
but satisfactory, and so far as granting an
option not being a business-like transaction,
it was something which occurred nearly
every day in the renting Of houses.
The vote on the proposition was taken and
resulted in its rejection.
AN ADJUSTMENT.
Mr.. Anderson, of Rockbridse, then offer
ed 4 resolution which was adopted, instruct
ing the Board of Directors to renew the
monthly lease of the road to the s. ": Co.
or some other parties, upon terms as favor
able as it is now operated, or failing in this
to equip the road aud run it themselves. In
case the monthly lease is effected, the les
sees shall have preference over all other par
ties who may desire longer lease, upon
their offering as good terms as the other,
and providing further that the Valley Com
pany, when it chooses, shall terminate the
lease, upon proper notice, but shall give the
leasing party connecting facilities equal to
those given any other company. The reso-
luton was unanimously adopted.
MORE STOCK
A resolution offered by Mr.. Burke was
adopted, providing for the re. opening of the
subscription books and the issue OF 81, $780,
600 additional stock.
THE DIRECTORY MEETING.
Upon the adjournment of the Stockhold-
ers' meeting, the directory met, the follow
ing members being present: President PEN
dleton; Directors, Re. Norris, jr., Hy. Du-
vail, VIM. Allen and Gen, Jno Echols