The Stark County Democrat. [volume] (Canton, Ohio) 1833-1912, 1886-09-30
CLEVELAND q CANTON.
A Boston Stakeholder Frees, His Mind Of
the Subject.


A Boston stOckhOlder Frees, His Mind on
the Subject.
A Cleveland & Canton stockholdar
offers the following suggestions through
the Boston Herald. Cleveland & Canton
politics are getting interested again.
VIII you allow subscriber TO say a
word or two In relation to the Cleveland
q Canton Railroad Company? IamOne
OF It's unfortunate stockholders, and
have never received cent on nv in
vested money. The late statement of
President Blood, for the year ending
June 80, 1886. reports the road as "not
selt-snpD0rtiDg." Notwithstanding the
fact that while the road was in the re.
celver's hands 1t paid the operating ex-
penses' taxes, Insurance, and the stipu-
lated rentals on its borrowed equipment
and she terminal stock. The Obligs-
tiOns Ct the railroad company are as fol.
lows:
The Boston Equipment Company roll
Ths Boston Car Trust Association roll ''OO'"'0
Ane CLEVELAND Terminal Company. 100000
=, Total ACKNOWLEDGEMENTS. 100000
interest," as reported ed................y7 y79 600
Also 10 per cent II the Boston Equip
ment, due January 1886 ......... 4OO2O
And 20 per Cent. OF the BOstOn Car
Trust, due January l. 1885. .......... $4,000
Amounting to upward of $l55. 900.
which has been due over a year. The
road Is liable any moment to be placed
again 10 the receivers hands on account
OF this Indebtedness. The creditors
have certainly been remarkably Ienient
and patient, the Boston Equipment
NOmnQnU hnUinV
Voluntarily relinquished 40 per cent Of
the annual interest on rentals which
was originally guaranteed to them.
They undoubtedly could now legally
claim that their supplemental agree
ment," having been Unful6lled and
broken on the part of the railroad COM
pany, Is annulled, and their original
stipulation of 10 per cent interest Is
good against the railroad company.
They have been oVer-generOUs to US
| stockholders, and we are criminally
foolish II we drive them to extreme
| measures.
As something must be done In this
emergency, would not such an arrange
ment as that adopted by the Eastern
, Railroad company be devised? Eastern
stock, eight years ago, stood only at
81 % and $3 share; now 1t Ia $780,
They made an agreement that the
creditors should choose seven directors
and the stockholders two. The bonds
were then quoted at 80 per cent. dis.
count; they now bring 115. The main
features of the plan proposed for the
Cleveland & Canton, Is briefly stated, is
this: Let the terminal and equipment
interests act together as one Organiza-
tion, which should also include the cog
nOvit notes lately issued and used to re-
deem the road, and also the other cOgnO-
Wit notes that truly represent terminal
and other certificates which they have
actually replaced. This Organization
of creditors, representing some $1,000.
900, to elect annually four directors,
aud the stockholders to elect four; the
eight thus chosen to elect the ninth.
AS the net earnings for eight months
from January 1st to August 3lst, 1888,
are reported to be $62 $50, averaging
net income of $78. 1887 annually. che
stipulated interest on the $1,000,000 In.
de6tedness could be paid, and sinking
fund provided to eventually liQuidat8
the whole amount, and no further repu-
diatiOn mar our credit. &C