The Portland daily press., 1884-11-24

The circular OF the Boston & Maine directors
indofsing the proposed Lease of the Eastern
rogd is as follows:
To the Stockholders of the Boston & Maine Rail-
road: On the 10Th of March, 1888, your directors
agreed upon lease of the Eastern railroad for the
term of 30 years, and called a special meeting of
the stockholders for the 2Sth of March, 1888. 10
ratify the same. At that time circular was ad-
dressed you by the directors giving their
for their action in the matter. AT that meeting,
AZ BOB votes were cast in favor of the lease and
953 against it: The lease was made to take effect
when duly authorized by the laws Of New Hamp-
shire. Such authority was obtained at the last
session OF the Legislature of that state. Meantime,
on May 1888 one Of the trustees appointed under
the mortgage of the Eastern Railroad Company pre-
sented TO the supreme judicial court of Massachu-
setts bill in equity, praying the court to epjon
that company from executing the lease substantial
ly on the ground that it did not provile for the
sinking fund established under that mortgage,
for the benefit OF ths holders of the certificates of
indebtedness secured by it. The case was not
finally decided until the Sd of the month when the
court rendered its opinion, affirming the lease in
every particular except the fifth clause which
they considered inconsistent with the rights Of the
bondholders, and on that clause only granted an
Injunction. The clause was Of no benefit to our
stockholders, and your directors feeling that the
same existed at the present time in favor of
the lease of that company as existed in March,
1855 have agreed with the directors of the Eastern
Railroad Company for the lease substantially the
same as that passed upon by the court, with the
ception of the 9th clause and some slight changes in
the phraseology, which, It was thought, would
parties. AS the fifth clause was thought by the
stockholders of ths Eastern railroad to be of much
value to them. concession has been granted them
in the division of the net earnings of the joint
roads, after deducting the per cent. our stock,
which we are to retain to our company before pay
ing any part of them. This concession we think,
is practically unmportant to the interests of this
road they believe the results will be the
this company in the one case as in the other. Your
directors are of the opinion that the terms and
ditions Of the proposed lease safe and that in
no case it result otherwise than for your benefit
thGU fhaF Qak 70 fEa Lane
tiated by them by your votes at the special meeting
to be held at Lawrence at 1880 o'clock on Tuesday
Dec. 2, 1884.
BY order of the board
JAMEs R.sNIcHoLs,l
AMOS Paul,
VIM. s. STEVENS, ic...4.
JOSEPH s. KICKER, 004A'i''s''
N. j. BRADLEE,
GEO. G. LORD,
Boston, Nov. 10, 1884.
The Boston Herald says: The COMMITTEE,
obeying the "order of the board" in issuing
the above circular, contains all except three Of
the directors, the others being ex-President
Nathaniel G. White John Felt and N. w.
Farwell. AS the last named is known to favor
the lease, 1t follows that Messrs White and
Osgood are the members who antagonizs the
measure. Mr.. Osgood has expressed the
grounds of his opposition over his own name.
Mr.. White is understood to particularly object
to dating back the lease more than year Ito
Oct. 1, 1889, and TO agreeing to assume
AoS P"AoloillbioS tOE Improvement OuJlayS ana
other affairs of which no scheduls has been
furnished, and to the alteration in the old
lease which gives the 100000 Eastern sinking
fund item a certain precedence over Maine
stock. Both Mr.. White and Mr.. Osgood are
believed to entertain the view that the
original lease, except as to date and the OBJ
jectionable 9th section, should have been ad-
hered to by the Boston & Maine directors, and
that the Eastern directors, having once as
sented to 1t, would have done so again, and
will do 80 now, II the shareholders rejected
the lease as modified On the other hand, a
large majority of the Maine directors, both in
numbers and holdings, is satisfied with the
concessions made to the Eastern directors, and
thinks its action will be 30 sustained by the
shareholders. Street opinion seems to be on
the side Of the majority.