Morning journal and courier., 1880-01-15
The Consolidated Road.

Annual Meeting of the StOclzhoIders-
 Election of Directors Approval of
 fhe Pooling Contract with the Air
 Line ROads
 The stockholders of the New York, New Haven and Hartford Railroad Company held their annual meeting in Loomis' Temple of Music yesterday morning at Il o'clock. Presi- dent George H. Watrous presided. The call for the meeting was read by B. H. Trow- bridge. The report of the directors, which had been previously printed in pamphlet form and mailed to the stockholders, was ac- cepted without reading.
 Mir. Watrous' said he supposed the first thing in order was the balloting for directors. Hon. Henry o. Robinson, of Hartford sug- gested that as one of the objects of the meet ing was to vote upon the ratification of the traffic contract with the Boston and New York Air Line road, time could be saved by voting for the directors and either for or against the contract upon the same ballots. motion to this effect was adopted, and President Wat rous proceeded to read the contract between the New York, New Haven and Hartford Rail- road Company, and the Boston and New York Air Line Company, which went into offect last March. It provides that the joint earn ings of the two roads be divided at the rate of 94 per cent. for the New York, New Haven and Hartford, and six per cent. for the Air Line, until October l, 1880; for five years subsequently, to that time the rates of division shall be determined by arbitration, and at the end of periods of five years thereafter either company may secure 8 new rate of divi- { sion by applying for another arbitra- tion. In case either company secures, by purchase or lease, possession of any other roads, the earnings thsrefrom shall not be in- cluded In the gross earnings from which the division is made. The use of the tracks and wharves of the New York, New Haven and Hartford road are guaranteed to the Air Line road together with the use of two rooms in ! the passenger depot. These rooms, however, must be given up in case the New York, New Haven and Hartford shall require their use or desire to rent them. In case of the failure of either road to appoint arbitrators when re- quired by the other, the Chief Justice of the Supreme Court is to be appealed to and he is to make the necessary appointment. The contract also provides that the rates charged | by either road for freight, etc., shall be fixed | by mutual agreement, and for the sale by one road to the other of railroad materials and supplies not in use by the road which sells the | same, at market rates.
 Hon. Henry 0. Robinson said that as the \ contract was expressed in technical language, II it would be desirable that some one explain t clearly the object of it and the causes which ! led the directors to make it.
 | MT. Watrous suggested that Hon. Wn. D. Bishop would be gladly heard by the stock
 holders and could give the desired explana- ton.
 Ex-President Bishop said that the motives ! could be easily explained. The Consolidated ! road between New York and New Haven is \ the only line covering the business between
 these points. From New Haven three lines extend to Boston. This multiplicity of lines
 eastward had the effect of compelling all lines
 to do what business they could get at small
 competing rates and at unremunerative prices.
 Several meetings were held with the Air Line
 directors. After much negotiation it was l deemed expedient for both companies to form a partnership, each sharing the gross receipts
 in just proportion. The contract makes the
 companies partners on the basis of the ther
 receipts of the two roads. The income an6
 revenue of both roads are consolidated ano
 each gets what it did before the contract But
 in consideration of possible changes it was de | cided to continue the division only to October
 1880, when arbitration shall be had for five ! years; and every five years there shall be an | other arbitration. The workings of the com
 panies so far have been harmonious and the
 contract is likely to work for the pecuniarJ
 advantage of both.
 | E. 0. Robinson and George W. Curtis were
 In answer to the inquiries of stockholder
 MT. Watrous stated that the Air Line Compa- ny, at the last annual meeting held in June
 last, had approved the contract and it only ! renamed TOT the BGOckAOlQerS Of thlS Compa
 ny to approve it for 1t to become regularly ir | effect.
 'If a new road came in, would the Ali,
 Line become one with it p asked stock | holder.
 MT. Watrous said that if there should be ' another road between New Haven and New \ York, and it should want the Air Line for ar
 eastern connection, the new road would I come under the same arrangement to wit
 that the rates would be the same as now \ charged in connection with the Consolidated
 road. The Consolidated road would have to be
 consulted about rates, and he didn't see how
 the Air Line could become unit in interest
 with new road competing with the Consol
 dated road.
 At the request of MT. Goodwin, of Easi
 Hartford, MT. Trowbridge read section 26 ol
 the railroad law, which provided that no rail
 road lease could be enforced without 6 two
 third vote of the stock of both companies and
 unless copies of the lease had been mailed tc
 every stockholder before the meeting Also
 section 5 of the same law providing that the
 stockholders may prohibit officers of the com
 pany from voting on proxies. MT. Goodwin
 explained that the matter befo1e the meeting
 was upon 8 contract and not a lease, but he
 thought the matter pretty much the same
 thing He moved the matter be postponed fol
 one month.
 The motion of MT. Goodwin was not seo-
 onded.
 The election of directors resulted as fol lows: