Savannah morning news. [volume] (Savannah) 1868-1887, 1881-06-02
THE BIGGEST PLUM YET.
IMPORTANT ACTION OF THE
CENTRAL DIRECTORS.

Intense Excitement I'm the Market
Fat Dividends for the Central and
Southwestern Railroads-The Port
Royal Controlled by the Lessees of
she Georgia.
The intense excitement which has pre-
vailed In this city the past week subsidized
yesterday on the announcement of the ac-
tion of the meeting Of the Directors of the
Central Railroad, which was held in the
morning. All uncertainty is now quieted,
and It may be assumed that operations
will settle down to q hard pan basis. The
foreshadowing of the probable action of the
directors in the MORNING NBws Of Wednes-
proved pretty correct, land were clearly
shown not to be exaggerated.
While the directors were IN session the
hVeliest excitement prevailed among brok-
ers, spectators and the business communi-
ty generally, and the adjournment of the
meeting was awaited with feverish anxiety.
At last their patience was rewarded and
the report that the meeting was over caused
a general gathering of the anxious ones in
the vicinity Of the bank, and as the direc-
tors made their appearance they were eager
ly accosted. In few seconds the news
was circulated that dividend Of 4 per cent.
and 40 per cent. scrip had been declared.
On the strength Of this announcement we
hear there was a sale of four hundred shares
to one party in the city at $50, which of
course included the dividend and scrip.
The most important work of the meeting
having been discussed the previous day, the
attention Of the directors was given to the
consideration of the amount of dividend to
be declared. We understand that several
were in favor of a Az per cent. cash divi-
deDd and so per cent. scrip, but the action
giving per cent. dividend and 40 per cent.
scrip to the Central, and 81 per cent divi-
dend and 30 per cent. scrip to the South
western was made unanimous.
The directors, we understand, were actu-
ated in this course by the following rea-
sons: The Central Railroad during the wears
between 1872 and 1881, fell short 81 per
cent. of paying to the stockholders the
regular per cent. dividend, the money
earned being applied to the purchase of
property and improvement OF the road and
its equipments, and new acquisitions. There
is new good and remuneratiVe property In
the possession of the company, and the
amount TO be paid out to them in GER
ti6cates is simply reimbarsing the money
then withheld.
This matter is further explained in the
preamble and resolutions, which were unani-
mously adopted. and a copy OF which We
give below:
WHEREAS, The great depression In all
business throughout the country from the
year 1873 to 1877 caused so large falling
of in the receipts of the Central Railroad
and Banking Company of Georgia as to rem
der Ii necessary to withhold for the time all
dividends from the stockholders, In order to
lquidste outstanding indebtedness and to
make such betterments as a revival OF busE
ness would certainly demand: and,
Whereas, Renewed prosperity and strict
economy In the management of the COM
psny's affairs, and the use of profits with
held, have added these betterments, con-
eisting of many miles OF connecting roads
built and purchased, the substitution of
steel for iron rails, the purchase of many
engines and cars, the establishment of eff
cient lines of steamships to Northern ports,
with the requisite wharves. sheds, cotton
presses and warehouses, which have added
much to the value of the company's prop
erty, by enlarging It's working capacity and
~ giving increased facilities to the public,
as well as much economy IN the execution
Of all business connected with the road; and
Whereas, The stockholders have had
nothing to represent their dividends and
income, thus withheld and appropriated;
therefore, be IL
Resolved, That certificates of Indebtedness
be issued, bearing date July 1st, 1881, to the
holders of stock this day of the Central
Railroad and Banking Company, at the rate
OF $40 per share, and to the holders
Of stock of the Southwestern Rail-
road at the rate of $50 per share,
the said certificates TO be payable in the
currency of the United States, at such time
as may be determined on by the Board of
Directors Of this company, but no certif
Gates shall be called IN for payment until
July, 1891. Interest at the rate of six per
cent. per annum shall be paid On the certif-
Gates of Indebtedness on the first day of
January and July Of each year ultil the date
fixed for their redemption, a i notice Of
such intention to pay shall frs bs published
IN one or more of the public gazettes in Ss-
vannah. Georgia, three months In advance
of date fixed for such payment.
RESOLVED, That the certificates OF indebted
ness shall be for $1C0 aud the multfples
thereof, and when any number of shares
shall produce a fraction, that the fraction
be paid in cash, or II the stakeholder de-
sires he shall have the privilege of adding
to the fraction 4 sum Of money sufficient to
make 800 and receive certificate therefor.
Resolved, That the certificate of indebted
ness shall pass only by transfer on the books
OF the company and that the cashier have
prepared the necessary books, and that the
transfer books be closed during the months
Of June and December each year to prepare
for the payment Of interest due thereon.
THE PORT ROYAL ROAD.
The report which has been in circulation
for several days that the Port Royal Road
had been leased by Col. Wsdley, is not
exactly correct. The lessees of the Georgia
Railroad, who are Col. WadleY and Col.
Alexander, representing the Central
and Louisville and Nashville roads, have
been purchasing the bonds of the Port
Royal Road, and have acquired sufficient to
give them the control of that line, which
will be run In the interest OF the grand
combination. This road is considered an
important link In the system, and hence
was secured.
THE STOCK MARKET.
The market, as was natural under the
circumstances, opened feverish at the clos
ing quotations of the previous day, Cen
trail 10 bid, III asked. Sales were made
during the morning as high as us, and
after the announcement Of the divi-
dend there was one sale at $50.
The market closed with Central at 126 bid
127 asked, ex dividend. There were sales
of Southwestern at 14S, but the close was
100 bid 122 asked, ex-dividend. Georgia
was firm and in good demand, closing at
$50 bid Isl asked. Augusta and Savannah
123 bid 124 asked, ex dividend. Memphis
and Charleston so bid So asked.