Savannah morning news. [volume] (Savannah) 1868-1887, 1886-12-04
THE FIGHT FOR CENTRAL
GEN. ALEXANDER STATES His
PARTY'S POSITION.


What He says About the Present
Management of the Road.
Gen. Alexander, i'll the following ques-
tions and answers, states his party's po-
sition in the contest that is being carried
on for the control Of the Central railroad
"Whst do you regard as the Issue be-
tween yourself and Capt. Raoul"
81 will endeavor to state the issue SO
briefly that no one can forget it, with
such detail that no one can fail TO CON-
prehend it, and with such illustration OF
notorious facts that no one can deny 1t.
But wish 10 preface what have to say
with the assurance that do not desire TO
question in any manner or degree the per-
sonal character or integrity OF any men,
Der Of the present management. AS see
them they are between the horns OF some
rather sharp dilemmas, but the horn
which will impale them will be only that
OF a mistaken conception OF their obliga-
lions and duties, and failure to appre-
ciate the value of the property iutrusted
to their management as trustees for the
stockholders.
''The issue then briefly is this--or rather
1t was this until a few days ago. Now
an additional issue is raised OF which L
will speak later. The issue was at the
first OF this contest: Shall Central rail-
road stock be slaughtered any longer?
HAS THE STOCK BEEN SLAUGHTERED
HAS it been slaughteredw
"No one can now be found, think, 10
deny it. The facts are 100 notorious.
When the present management started
the contest which gave them possession
four years ago the stock was at Ill. 1t at
once declined and with their success tell
below par. 1t continued 70 decline until 1t
sold below So. Part Of this decline was
doubtless due to the financial troubles Of
May, 1884, but 1t had fallen to 80 before
that. All good stocks began TO re-
cover rapidly from the general de-
cline in the summer of 1885, but Central
remained behind ard hung about 10. 1t
was then and because Of that. and that
only, that the present movement for q
change of management originated and
began to take shape, and no man can sue
cessfully dispute 1t. Had the stock been
selling at near its real value everybody
would have been satisfied and the present
management would nave been left in
peace"
AFFAIR PRICE FOR THE STOCK.
''But is it fair to call 10 q slaughter
price for Central railroad stockp
''If any one disputes it now let him read
the recent letter in the SAVANNAH NEWS
of Mr. Conner, one of the two prominent di-
rectors who. without disparagement of the
other ten. are generally believed to be
most entirely In the intimacy and con-
tdence OF the President. Mr.. Conner now
seems to think 120 to be low price for 1t.
But ,there has been no great event to
change the intrinsic value of tots proper
ty, and II it is worth 100 now, 10 or even
par was a slaughter price six months ago.
"BUt was the present board responsible
for the low price OF six months agoW
"In that is the glst OF the whole matter.
| might be content TO say simply that a
general who commands an army 10 re-
sponsible for his results. But l go fur
Their and point to acts both of omission
and of commission which caused the de-
preston.
THE PRESIDENTS REPORTS.
"Tbe Presidents report for 1885 was a
most depressing document to stock
holder. The railroads acquired and good
bargains made In Carolina Of which Mr.
Conner now speaks so favOrably were not
referred to directly or indirectly. Stock
holders were left In utter ignorance of the
very existence OF important contracts,
already completed and in process OF ex-
ecutiOD. Even yet their details have
never been furnished. Vague assurances
are now given that they are advantageous,
but whether they will double the value OF
Central railroad stock or whether they H.
volve any risks which may dimiDisn it no
one knows certainly.
at is impossible to go into the details
OF what strong points of the system were
suppressed or lightly touched upon and
what weak ones exaggerated, but Its
tenor as whole was very discouraging
and its effect on the stock very marked.
THE MONTHLY EARNINGS.
Next, the policy of keeping secret the
monthly earnings has had an injurious
effect upon the value of the stock for
years and has cost stockholders hundreds
and thousands of dollars during the last
few months. The earnings have increased
so greatly that the semi-annual dividend
has suddenly been doub ed, but no one
saw those earnings gradually accumu.
late, or read the promise which they
held of better things In the future, but
the directors and those 10 whom they
might reveal them.
But most effective, perhaps. of all the
things which kept the stock down were
both public statements and private ad-
vices given by members of the board upon
all sides. know personally OF advice to
sell stock II il ever sees so, and of the
second prominent director above referred
to advising bank not TO lend over 20 or
u
Therefore, say the stock was slaugh-
tered, and the President and directors
slaughtered it-not in malice, but in
whatever else any one chooses to call it.
And the issue is that ii is not 10 be
slaughtered any more, neither in malice
nor in the other thing.
NEW ISSUE.
"And now second issue has arisen.
Some OF the stockholders Directing to
being slaughtered, began to kick-other-
wise they began TO organize, to call in
trends TO take the places Of those who ad
been slaughtered. and prepare for an or
ganiZed movement to put in manage
ment which would save them all alive.
But in order to make this movement eff
fective a majority OF the scattered stock
holders must ind each other in order 10
act together.
'''rhey can only do this by getting access
to the list OF stockholders, and they ask
the President and board for it. This has
been refused, and thus tho second Issue
has arisen between Capt. Raoul and my
self. ] represent what / may call the
kickers against slaughter. Capt. RaouPs
board boldly prociaims now that they will
tie US. This second issue we must try
first In the courts, and when that is
decided in our favor there,
as 1t Is instinctively IN the head
and heart of every fair-mInded
man or woman, we will try it before
the stockholders, and let them decide