Savannah morning news. [volume] (Savannah) 1868-1887, 1886-12-14
THE CENTRAL CONTEST
Some Views on the Past and Preso
Management with AlIusIons
"Poetical Justice"

vi tue contest for control =.
the central railroad, the writer. Uboj.
small stockholder, in no way coproos.e
with the present board. or with tho gu
ing syndicate, has watched the %spF
win curiosity not unmiXed win sitsle
tude. ''N eollel.
Conceding that the present mana.
iheht mas not been perfect, agreeIng ite,
In the very last step taken bv them 'u .s
lelusal OF the list OF Stockholders 81.
entirely uncOnnected with good ~ Yep
management of the road-Ihev N. u DAD
acted unwisely and possibly beyond Law, uaEs
powers, he cannot discover wbosst
me Alexander syndicate has sboru
ltseli TO be better fitted TO meSanu
the road or more deserving tho axe
hdence OF stockholders. On the cor.S von'
II ought TO be perfectly obyjOUs IN @
holder OF tue securities OF the road os!
Festments,as distinguished from .sfvo,.It,
that the wouldbe directors are in6ni,s,.
worse than the present board with aye.y
iault conceded; and that the traits d.!
prayed by zen. Alexander in the mast
ana now, by him and mis- friends nom ~
fallibly TO financial ruin of the road On "a,
TO the Wlplng out OF the stock in the naa.
future. 'Ae Heat
1t Is certain that the issue OF cert;e
cafes OF Indebtedness OF the road was
part OF his policy, and was laryeIv a.
trlOutaole TO him. 10 one has ever heera
Oh DIS repentance as to that sin or of his
regret Tor the issue. In fact, be defeods
II down to this time. Now such a fro.
clal operation was never before copdnctsd
Dy men VINO wished stock 10 remain an
investment security, or by anyone sIsa
than wreckers. Either the road was
doing well or it was not. II doJnr wall
Enrnll1E Nd 49,
dends should have either gone into not.
terments or been applied to the existing
dept. II rot doing well, there was M
honesty IN the dividend not earned In
neither event was there any proprietv in
doubling the debt.
And what awful stuff was talked sbou,
poetlcal justice to the stockholders WHOSE
dividends had been kept back. AS if moor
Mrs. A, OF savannah. whose stock mad
been sold At 40 for bread, would receive
poetical Justice by certificate that the
ROAD owed $40 of debt to Gen. B., of Wall
street, who had purchased her stock.
POetical Justice to stockholders, VIVA.
lie and cheat the name was! And how
the Southwestern Railroad people on,
jOyed the ''Justice" to the tune OF St.6OO,
600 of debt to them, to whom not one dol.
lar was due, and Of SOC, 0O0 interest per
annum, not one dollar of which wss
justly theirs.
am not Informed that Gen. Alexander
used the words ''poetical Justice" but il
is certain that he approved the absurd
act, as " ell rs the succeeding ATTEMPT To
distribute more "pOetical justice" in the
shape of income bonds of the Ocean
steamship Company.
Until lew months ago the debenture
business presented fruits familiar to us
O u I lraf nF tkps t,4o
upon the road in hard times, and witt
railroad commissioners on the Gui viys
tor any elimmer of thriving earnings
upon which to use their knives, produced
a low state of net earnings and small
dividends. And now the person who was
more responsible than any other for that
stale of things, and the depressed condi-
ton OF The STOCK, appeals for the conf-
dence Of the Old fashioned stockholders,
VINO want in Central something they can
abide by.
He states broadly that the directors ara
responsible for that depressed condition.
The fact is that whatever may be the &C.
tual value OF Central property, its earning
power had been so seriously impaired by
competition and Commission control that
it barely escaped deficit for some time
escaping only by the m0ney-maSing
power OF the ships that he would have
loaded with bonds. 1t is more than likely
that individual directors took rather a
despOEdent view OF the situation,
and moderated the recuperative forces
of good road in good year.
But it must be clear to all men who un-
derstand stOcEs and money, that the blue
views of th0L9 gentlemen, taking no prac-
tical share, could never have seriously
affected the market price of the stock.
On the other hand il partAIO that
the present price to which Gen. Alexan-
der points with sort Of pride, Is the
direct result OF purchases for control,
and not from fine realization OF the
benefits expected from his management
AS they are now situated bis followers
are forced TO pay almost any price or lose
the premiums already laid out by them
In speaking of the present price 40
not assert that the stock is not intrln'
sically worth muc0 more than the low
tigul es of last spring. There is no DOUBT
that the property has greatly improved 10
actual value in q snort time; that the ini'
prOvement is necessarily due to the pres
ent management; and that The policy pur,
sued by them concerning the feeders VI
the road, and which now makes us Value'
lust as 1t made the value of the BaItlDoie
and Ohio railroad, to which he refers,
diametrlcally opposed TO the views "
Gen. Alexander. Whoever heard OF inc
great Baltimore and OHIO stocking us
branches, putting income bonds upon
them, or poetical justice deuentures,
And vet it's stock is worth 40, ana u mas
made u great city. 49,,
The result Of it all is that Gen. Alex
ander offers to the stockholders Dal'
agement which, II anything can DC ga'H
cred from his past, means
A policy of increasing debt when times
are flush.
A policy OF large divisions, based nov
on paying power, but on p0etlcal justice.
4 policy which must OF necessly
produce large divisions at once 10 lls
followers TO enable them to recoup Uu0
prices laid out for the control.
A policy OF division OF money, II mauei
If not made, Oloe Tor it, but dtvtde au!'
how. .,,ho
A policy of burdening the feeders Oh 'n'
road TO produce the spoils OF war. -.
A policy Oflayirg the company bare totuo
knife Of the Stale authorlties, VINO na Jaw
ALWAYS used the debenture argument SUI"
cessiuly.
A policy Of speedy ard final ruin 49,,
His followers answer this by saying tna'
it makes no difference when The MONEY
comes If every one gets bis share now;
That il the speculators' argument anu
they are to be found IN his train ana "
his side. But the conservative stocEDolu.
ers prefer reasonable dividends, lVns
lie TO The sock, and transmission OF
m tbe,r children. MEMORY
a Rare Opportunity,
'rhn Tina for unloading has arrived anu