New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1885-07-29
NEw-yoRK, WEST SHORE AND BUFFALO
RAIL WAY COMPANY:

BeinF convinced that the interests of the NewYork Cen
trail and Hudson River Railroad Company and Of the bond
holders OF the ScwYork West Shore Buffalo Railway
Company would be best promoted by the former
curing lease Of the railroad OF the latter company and work.
ing such railroad In harmony with its own system, we
opened negotiations to this result.
These negotiations have reached point at which We are
prepared TO lay the following before the bondholders
OF the West Shore Company order that each Of them
who may now 40 elect shall have equal opportunity TO share
with us the benefit Of hereinafter mentioned and
with the view also Of promoting unanmity and speedy
termination Of pendi difficulties.
The New-iork Central and Hudson River Railroad Com
pany has contract with us Ing upon
ganzaton OF tho New York. West shore and Buffalo Rail
way Company to tako possession of tho property OF the
organized under lease and the prin
cpa and interest OF the bonds hereinafter mentioned which
are to be secured by mortgage upon that property
The conditions Of the contract follows
FIRsTThat the securities to be issued by the reoganzed
Company shall be limited SIS boo 900
Four per cent Mortgage Bonds and. 10000, 900
Capital Stock the bonds to be dated January 1885, and to
mature at the expiration OF the lease in 476
default in payment Of interest for two consecutive
years.
sECoND-Thatof the Mortgage Bonds. $500 s2J 600, 900
Shall DO offered in exchange for the 50,00OOO0
First Mortgage Bonds of the Company with past due
atachedthais 10 Of the guaranteed
bonds for S., 900 OF tho old.
THIRD-That tho remaining $4,000 OO0 EXCEPT such
amount be M reorganization shall not be
issued except at the request OF the NewYok Central and
Hudson River Railroad Company provide for prior liens
necessary Terminals and such other property and for such
other purposes tho Directors OF the NewYorg Central and
Hudson River Railroad Company may time time think
for the security development and operation Of the
property leased.
FoURTH-That the capital stock the reorganzed
paDy shall be the NewYork Central and ud
River Railroad Company consideration for lite lease
and guarantee.
FIFTHThat the leased property shall DO delivered prior
10 Jan. /. 1886.
We therefore offer bondhoders OF tho
West Shore Company the opportunity avail themselves OF
agreement with the York Central and hudson River
Railroad Company upon the following conditions;
FIRsT1hat their bonds shall be deposited with with
agreement hereto attached duly executed by the de-
postors.
sECONDThat at least majority OF the whole Issue shall
be deposited.
Pending the deposit OF majority temporary receipts
will be given for the bonds After majority snail have
been secured temporary receipts will b exchanged for
engraved receipts negotiable in forms councrsgned by the
Union Trust Company whose custody the ponds will re-
main until required by the purposes VI reorgan
ration.
In a majority shall not DO secured and a rcorgan
perfected within the required under the contract
with Ncw.York Central and Hudson River Railroad
Company the bonds will returned free OF expense
surrender OF the receipts duly assigned
II ryht that should add that very large proportion
Of the bonds required already asend 70 the proposed
plan Upon receiving the OF majority amour, of
present West shore bonds immediate steps will be taken
which advised will prompt reorganization
and prevent further depreciation and waste OF the
property.
The right terminate time the privilege
of accepting the oaer hereby made.
DREXEL, MORGAN & co.