New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1885-08-20
- wALLsr.. NEw.YoRR yuiy 70 lssa
TO THE FIRST MORTGAGE BoNpHoLDERs OF
THE
NETWORK, WEST SHORE AND BUFFALO
RAILWAY COMPANY:

c,ng convinced that the interests of the NvwYok Coz
tra and Hudson River Railroad Company and Of the bond
holders Of the New-York West Shore and Buffalo Raiwsa
Company would promoted by the former company
curing lease Of the railroad Of the latter and work.
ing such railroad In harmony with its system, We
opened negotiations to secure this result
These negotiations reached point 1t which We
prepared the following proposal before the bondhoder
Of the West Shore Company order that each ono OF them
who may elect shall have equal opportunity TO shar
with tho benefit Of hereinafter mentioned and
with the view also of promoting unanimity and speedy
termination Of pcrdin difficulties
The New.York Central and Hudson River Railroad Com
pany has executed contract With agreein upon reo
sanisatou Of the NewYork West shore and Buffalo Rain
Company to take possession Of the property Of tho TO
organized COMPANY under lease and 10 the print
cpa Of the bonds hereinafter mentioned which
ars TO be secured By mortgage upon that property.
The conditions Of the contract follows;
FIRSTThst the securities ~ be issued BY the reorgAnseQ
Company shall be limited Recommendations 0O9
Four per cent Mortgage Bonda 10000 0Oq
Capital Stock tho bonds TO be dated January 1885 and
the expiration of ths lease say IN ats yesr %
upon default payment Of interest for two consecutive
years
sECoND-Thatof the Mortgage Bonds .e25 900, coo
Shall be offered exchange for the 5O0O0,o00
Fret Mortgage Bonds Of the Company with due
coupons asohedthat TO $1,000 Of the new guaranteed
BONDS for $4,000 Of the old.
THIRD-That the remaining s25.oo0.oeo. except such
may for reorganization shall not b
except request Of the Central and
terminals and such other property and for such
purposes OF the NewYorE Central and
Hudson River Railroad Company from time Ia time think
necessary security development and operation Of thu
property leased
FoURTH-That capital tho recognized CON-
pany shall be surrendered the EewYork Central and Hud
Railroad Company consideration for its ssssi
and guarantee.
PITTH-Thst tho leased property shall DO delivered pos
TO Jan. !, 1885.
offer mortgage bondholders Of
Shore Company tho opportunity avail themselves 81
agreement with Central and Hudson Rves
Railroad Company upon the following conditions,
FIRsT-Thst their shall be deposited with vita
the agreement hereto attached duly executed BIZ the de-
posisorsL
sECoND-That majority Of the whole issue shaI
be deposited
Pending deposit Of such majority temporary roceipts
will be given for the bonda After majority sDali have
secured temporary receipts viii be exchanged foF
engraved receipts negotiable In form, countersned By the
Union Trust Company In whose custody the ponds VIII re-
until required by for the purposes Of reorEan-
ration
In case . majority shall secured and reorr.ns
perfected within the required under tho contracs
with the New-York Central and Hudson River Railroad
Company bonds Will DO returned free Of upon
surrender of the receipts duly assigned.
right should aid that very large proporton
required already assensed TO the proposed
plan Upon receiving OF majority in amount Of
present bonds immediate steps viii be taken
which we advised will prompt reorganization
and prevent further depreciation and waste Of the
property
The right Is reserved any time the privileges
OF accepting the offer hereby male.