Morning journal and courier., 1881-05-02
PENNSYLVANIA RAILROAD
 COMPANY.
Coupon or Registered, free fron
 National and State Taxes.

NaCIOnaI dUU SUdGt ldAeSs
 The Pennsylvania Company is 8 corporation char tered in 1870 the purpose of operating, managing and developing the railways west of Pttsburg con- trolled by the Pennsylvania Railroad Company.
 To provide for the requirement of additional property and the further development of the Penn sylvania Railroad Company's system, the Pennsylva mia Company has decided to create First Mortgage to secure Bonds the amount of 000 of which present issue forms part bearing interest at the rate of Az per cent. per annun, payable January l July 1, the principal maturing in 1921, snd both principal and interest payable Gold in the city of New York; free from National and State Taxes.
 The Bonds issued in denominations of S1 ,0o0 each and EVERY BOND HAS ENDORSED THEREON THE ABSOLUTE GUARANTEE OF THE PIE NNSYL- WANNA RAILROAD COMPANY FOR PRINCIPAL AND INTEREST.
 The total authorized issue is further secured by mortgage a first charge upon
 1st leases for 999 years held by the Pennsylva mia Company oi the Pittsburg, Fort Wayne and Chi cago the Cleveland, Pittsburg and the Erie and the Pittsburg Railways. THESE LEASES ALONE have for twelve years from their date to December 3l 1880. yielded yearly net profit to the Pena- sylvania Company exceeding million dollars, which sum is than double the entire annual in erest the Bonds at present to be issued
 2d The companys valuable real estate in the cities of Pittsburg Aleghany and Chicago, and stocks and bonds in its treasury to the par value of about S24 being mainly securities of lines forming part of the Pennsylvania system.
 The company further agrees the performance of which agreement is likewise guaranteed by the Penn sylvania Railroad Company to purchase in every year in which bonds of this issue are offered at a price not above par, bonds equal to cent on the then outstanding issue of said bonds and the annual interest upon such bonds shall have been before that time purchased, with said fund-a provision which should at all times protect the price of the bonds against any material decline below the issue price.
 The Pennsylvania Company has no other debts ex- cept g 9O 900 in debentures secured by deposit of $4 600 of the Pittsburg Fort Wayne and Chicago Railway stock (part of the securities enumerated above and its bonded debt cannot under the law be increased beyond the amount of it's full paid capital stock which at present is s20,0OO.OOo, exclusively owned by the Pennsylvania Ra lroad Company.
 The railways operated directly indirectly by the Pennsylvania Company comprise system of 3,S64 miles, and the NET EARNINGS Of that company for the year 1ssO after the payment of all fixed charges amounted to-. $3 o71 ,396 s5 Those of the Pennsylvania Railroad Com
 pany on it's lines east of Pittsburg after
 payment of all fixed charges, to..... 765s, ,569 O1 WHILE ONLY 1,1Oe, 900 will be required to meet the interest and sinking fund, WHEN THE WHOLE OF THE s2O O.OOo, 900 BONDS ARE ISSUED
 Provision has been made to have Coupon Bonds reg istered in the owners when desired, and also for their conversion absolute Registered Bonds interest payable to the registered owner only. WILLIAM THAw, Vice President Pennsylvania Company. e. B. ROBERTS, President Pennsylvania Railroad Company.