Daily globe. [volume] (St. Paul, Minn.) 1878-1884, 1879-10-06

during the entire year, and with the numerous
heet of steamers and sailing vessels on the
great lakes during the season of navigation.
This contract also secures to the Northern
Pacific road, on. equitable TERMS the trans
portation of the business of Manitoba, and of
the northerly valley of the Red river, passing
via the st. Paul. Minneapolis & Manitoba rail.
way to and from the lakes.
| CAssELToN BRANCH. &&
The rapid settlement and cultivation of lands
in the Red River valley, within the limits of
the Northern Pacific land grant, present such a
necessity for the construction of lateral
branch railroad that your directors have
| deemed it expedient for this company to oc-
cupy the ground before other and rival inter-
! ests (who have already commenced surveys for
that purpose, seeking to divert the products
of those lands to other channels of transporta-
| tion), should gain possession. We have &C
| cordingly caused a branch road to be located
| northerly from Casselton, twenty miles west
of the Red River, and the grading and ties for
| thirty miles to be put under contract for COM
pletion in time to move the crop of next sen
son. 1t is intended to lay the track
| with iron rails, selected from those
now being replaced by steel between Brainerd
and Fargo. The surface of the country trayers-
ed by this line being almost level, the amount
! of grading and bridging is extremely light, and
putting the rails in at their market value the
estimated cost of this branch ready for opera
| ton is only about five thousand dollars per
mile.
1t is considered that this branch can be con-
| structed. equipped and operated by the COM
pany under its charter, as a spur of the main
| line running into the granted lands expedient
and advantageous for the interests of the COM
pany, necessary to furnish transportation for
| the products of the lands, and as part of the
Northern Pacific railroad. But by an act of
the legislature of Dakota, passed at the last
\ anasOO the cOrnnanv ia authorized up6ar -,
present organization, to build such branch
| upon the adoption by the directors of a resolu-
| ton designating the proposed route, and filing
| certified copy of such resolution, under the
| seal of the company, in the Office of the secre-
| tary of the Territory. Or, a company may be
| ritory to construct the road, when it can be
| leased to this company, If desirable. It will
be for the stockholders now to signify which
of these methods shall be adopted.
CAPITAL STOCK. 5...~
The capital stock of the nompany is fixed by
the plan of reorganization, as it is by the
charter, at $l00,0O0,O0O, divided into one mil
lion shares, of 800 each.
Under the plan of reorganization it is sub
divided into preferred stock, $4,000 shares
1851, 100000 and common stock, 100000 shares
(s49, 000,00O).
The preferred stock is receivable ut par for
uA4O COuPouy AAAOS CcsSu VI Vuo MISSOuE1 river.
in the State of Minnesota and in the Territory
| of Dakota. Such conversion ia the extinguish-
ment of the stock.
There have been so received and extinguished
to date little over $4,000 shares, leaving of
preferred stock now issued and to be issued,
owns, as part of it's assets. $4,000 shares,
whereof 20, 600 shares have been appropriated
for the construction of the Missouri division,
and $4,000 shares for the construction of the
Pend dOreille division, leaving about 46, 900
| shares of the preferred stock in the treasury
as an asset to be used for the best interest and
advantage of the company.
OF the 49O, 900 shares of the common stock.
there were entitled to be issued 299, 526 shares
and which are nearly all issued. The remain
ing $50, 474 shares of the common stock are to
be issued, according to the plan of reorganiza-
ton, to the numerous owners of the old pro-
prietary interests, as the road progresses.
The preferred stock is entitled to dividends,
non-accumulative, not exceeding eight per
cent. per annum, as the net earnings of each
year may suffice to pay, and before any divi-
dends shall be paid on the common stock
When and during the time the net earnings
shall be sufficient to pay eight per cent. divi-
dends on both the preferred and common stock
| issued, the surplus is to be divided on both
alike, according to the number of shares issued
to each.
The net earnings are defined by the plan of
reorganization to be- "such earnings of the
| said railroad as shall remain after paying all
expenses of operating the said railroad and
carrying on its business, including all taxes
and assessments and payments on incum-
brances, and including the interest and sink
ing fund on the first mortgage bonds, the ex-
peases of repairing or replacing the said rail-
road, its appurtenances, equipments or other
property, that the same shall be in high
condition, and of providing such additional
equipment as the said company shall deem
necessary for the business of said railroad.
EXPRESS BUSINESS. SLEEPING CARS, ETC.
In July last your directors resolved that from
and after the first day of January, 1880, the
company shall itself do the express business on
it's lines, and that all "sleeping'' and so-called
''parlor cars" regularly run on the lines of
road operated by the company, shall be owned,
controlled and managed by it; and that no
special or privileged freight line or lines shall
any line of railroad controlled by this COM
pany.
The directors have also had under considera-
ton the question of elevators on or along the
line of the road, and how the great and con-
stantly increasing crops of grain to be trans
ported by the company, are to be handled for
the best interests of the farmer and of the
road. There is a necessity, becoming more and
more imperative every year, for greater facili-
ties for handling wheat to be transported to
market, and these must be provided before the
crop of 1880 is harvested.
CONGRESSIONAL LEGISLATION AND RIGHTS UNDER
THE CHARTER.
For five successive years your directors have
applied to Congress-, at each of its sessions, to
extend the time to complete and construct the
road, under the company's charter. Their sue
cess was only partial at any session, by reason
of the press Of business. In the last session of
the forty-ffth Congress-, on March I'd, 1879,
motion was made in the House to suspend the
rules. and take from the Speakers table for
amendment and passage the extension bill
which had passed the Senate. The ses-
sion was SO near its end, the bill could not
be reached in the ordinary course of business.
The motion for a suspension of the rules, re-
quiring a two-thirds vote, was lost though 1873
voted IN its favor to 104 against.
The time named in the charter of the COM
pany, amended, for the completion of the
entire road is July 4th, 1S79-and it is only af-
ter the company shall have been in default for
upwards of one year after that date (Sec. 9 of
charter), that Congress can interfere, and do
''any and all acts and things which may be
needed for the speedy completion of such
road" In addition to this, until Congress
shall interfere by affirmative hostile legisla-
ton, the company loses no rights by any lapse
of time. The executive department of the
government has expressly recognized this posi-
ton. The object of securing the passage Of
an act extending the time of construction a
definite period, is to remove any apprehension
of hostile legislation, and make capital feel Sc
cure in going on with the work., Though the
bill for the extension has hitherto failed, it
has always had a majority in its favor in both
houses of Congress, and it would seem incredi-
BILE, while the work is vigorously prosecuted,
that when Congress might interfere, (that is,
after July 4th, 1880, any bill looking to a for
fixture of the rights of the company could find
favor.