New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1878-04-11
RAILROAD INTERESTS.
TIE BALTIMORE AND OHIO.

TIE BALTIMORE AND OHIO.
THE LEGISLATIVE COMPROMISE APPROVED BY THE
DIRECroRs-BACK DIVIDENDS TO De PAID on
THE STOCK OF THE WASHINGTON BRANCH-A
STOCK DIVIDEND on THE MAIN LINE.
BALTIMORE, April 10.-The regular monthly
meeting OF tho Directors Of the Baltimore and
Ohio Railroad Company held today President John
W. Carrot presiding The Commtte on Finance sub
mitted report and resolution that the Board OF Direct
Ors recommend to the stockholders OF the company the
acceptance of the act passed at the late session OF the
Legislature, providing for adjustment and final set
Element by agreement OF all pending controversy
and litigation between the company and the
State The report and resolution unani-
mousy adopted, and a general meeting OF the
stockholders to vote upon the proposition OF acceptance
was called, to be held at the office OF the company in
tins city, the 10Th day Of June next During the iti-
CATION between the State and the company, IN regard to
the gross receipts for passenger tax, the company
passed five semanuual dividends on the stock OF the
Washington branch Of the road, and n resolution was
adopted to-day that all the arrangements re-
qued to be perfected TO give the act of the Assembly
aforesaid full effect according TO it tenor there shall be
declared five scmannua dividends OF per cent on the
stock OF the Washington branch.
II was also resolved that dividend OF per cent be
declared the capital stock OF the main line for the
half year ended March 81 1879, payable the stock Of
the company and after the 18th Of May next at me
office of the treasurer, Camden Station, and that the
transfer books be closed the 18th OF April and re-
mai! closed until the 18th of May.
In connection with the recommendation OF the Finance
Committee declare the dividend in stock, Mr. Garrett
remarked that although during the present admnisra-
ton whichad continued fortwenty years, thedvidends
had been uniformly in cash-eyen during the great war
SIX eight, nine aud ten per cent per year; yet
the form proposed by the Committee was not at
ali In the history OF the Baltimore and Ohio Com
pany At various periods prior To 1888 when The com
pany needed money rather than sales or Its hOnds
securities il adopted the conservative plan OF using
portion Of its earnings by borrowing the sum rom IT'S
stockholders, and issuing therefor lis stock large
of the cost OF the road between Cumberland ana
the Ohio River was supplied under TINS system
In order 10 aid the Pittsburg and COnnellsville,
the Marietta and Cincinnati the NIrgDln Midland, and
To construct the Chicago the Baltimore Short Line, and
the Cincinnati and Baltimore Roads and other enter
prses Ocaed with its interests and Developments Inc
RptmOrc and Ohio Company created nOatug DEBT,
which the policy Of the company 10 hquidae rap
idly. The company large amounts or the
stocks and securities OF it, connecting lines,
for the purpose OF maintaining interest and
influence I'm regard To the policies and cOOpera-
tive relations OF those companies But large amounts
OF tho bonds of these companies now held can
properly be sold when sufficiently advantageous rates
be obtained for them. The company has pursued 30
conservative policy that Il has heretofore paid from its
and by payments In cash from iIs net earnings,
Sll G51 279 81 of mortgage Indebtedness, and the
annual earnings upon the present investments.
ts sinking funds and appropriations for the pay
mcut OF its mortgage Indebtedness amount at this
time to $Js2.0O0 annually. In pursuance OF
tins conservative policy, the committee has recon-
mondcd that portion OF the earnings realized within
the last six months viz: per cent being S1257GS be
used for the payment OF the floating debt, and
that stock he issued therefor. This dividend Will
be payable IN the common stock OF the company.
were SI.Is7,Il3 81, being $i4.il9 % more than for
She same month OF the preceding year.