Richmond dispatch. [volume] (Richmond, Va.) 1884-1903, 1888-02-05

cHgsApTAKE AID OHIO REoRGAHIZA-
riog sCHxnE DEVELOPING
n. z. ingalls, will be General Manageable
will also sopstintend the Finishing
Of the Great southside Railroad.

A New York special to the Cincinnati
Commercial Gd-otto Gays: The appoint
ment of President ingalls,, Of the Gin
cinnati indianapolis st. Louis, and
Chicago, as general manager OF the
Chesapeake and Ohio, which is now con
ceded as coming event. will be only
the first step in what will be very
| thorough and comprehensive reorganl-
zation of that road. This company
has never yet met its full-fXed
charges, and President Huntington
| does not mean TO have any
halfway work about the reorganization
/ this time. His connection with this en-
terplise has beenmore expensive to him
self than to any one else. He was obligcd
| TO undertake it's management to protect
advances which he had made to the COM
pany through Fisk " Hatch, who had
| financiered it. He was its heaviest Gre
ditor when it went into bankruptcy in
1873, carrying Fisk & Hatch with it, and
since then he has spent great deal OF
time, attention, and money in vain en-
deavor to pull ii through to solvency. He
said to-day:
81 was never fully satisfied that the
reorganization plan adopted IN 1873
would be successful. 1t did not seem 10
me possible that The business Of the road
could be developed fast enough TO meet
the rapid increase in the fixed charges
provided for still have been hoping
every year that it would como out. but it
has steadily disappointed me-" Mr.
/ Huntington wants TO he relieved OF the
burden he has been carrying so long.
He was dragged into the Cbesa-
peake and Ohio against his will. He adj
vanced money to risk I; Hatch, who
were financiering the road, and when
they went down with the company in
the year 1888 be was compelled to step
in and protect his own property. Ever
since then it has been n steady uphill
fight, and instead OF getting bacl, bis
money he has been compelled TO put in
more and more. The growth and de-
velopment OF the line has required oil
its earnings, and more, to keep up the
pace.
REORGANIZATION.
The process OF reorganization will ne
cessarily be slow, and there is no chance
of the receiyerShip being terminated tins
year, unless very unusual rapidlty OF cor
poraie action is obtained. It is under
stood that the reorganization viii be
based upon the formation Of one COM
pany to acquire the ownership OF the
Chesapeake and Ohio railway, of the ter
minal property at Newport News, the
new line from Huntington to Cincinnati,
and the Ohio-riyer bridge The owner
ship Of these last two links, upon which
no securities have been issued, VIII ma
torially aid in formulating a plan by
which securities can be issued free from
any prior liens. To do full justice to all
parties in interest will undoubtedly re-
quire most careful consideration, such as
it has mad for several weeks. but as there
is entire unanimity Of opinion as to the
ACCESSIBILITY and necessity Of accomplish
ing the object TO be obtained and inte-
rests which might otherwise be conflict
ing are so concentrated it is believed
that very short time will elapsc before
a comprehensive scheme can be pre-
eented which will obtain the support Of
nearly all the holders OF the securities
which must be taken care Of.
President ingalls, has no intention
whatever of deserving the big -Four,
and it is distinctly understood that his
services in the general management OF
the company, and the completion of the
missing link between Cincinnati and the
seaboard will not be at the expense OF
the company which be hos so successfully
brought ont of insolvency. Onthe other
hand, in protecting the interests Of the
many security-hOlders of the Chesapeake
and Ohio he isdirectly benetiting his own
road, which, by virtue Of his position
On this line, secures controlling voice in
the management of a new trunk-line
from Chicago to the Atlantic coast, one
which can successfully compete with any
now in existence for the foreign trade.
and will afford the Ohio river territory
below Cincinnati the shortest and most
economical road to the coast.
LATER OF SUCCESS BRIGHT.
The plan for the reorganization of the
Chesapeake and Ohio and its Huntingdon
Cincinnati extension is now practically
agreed upon and the documents are i'll
the hands of the printer. AT meeting
tomorrow of the parties interested the
papers will 10 read and discussed. They
may not and probably will not be pre-
pared 10 sign the agreements imme-
diately, but the prospect is bright for
successful conclusion of this big deal at
no remote period. Cincinnati will then
have ut her door, without cost, new
trunk line as important and valuable to
her, and practically MS much her own, as
the Great Southern railroad, for which
SO many millions were expended.
Mr.. F.. II. ingalls, expects to start for
home tomorrow evening. He has not
yet had the presidency of the new road
formally offered to him, but there is no
reason to doubt that he will assume con
troll at the proper time. Mr.. G. p.
Huntington will Of course be the
largest owner, and he retains a separate
control Of the Elizabethtown, Lexington
and Big Sandy and Chesapeake, Ohio
and Southwestern. 1t is understood that
the parties associated with Drexel, Nor
gan - W. III lil-h tultl liiSt ulO DB Ntl ~
Co. Brown Brothers, and Morton, Bliss
IL Co.
PUSHING CHESAPEAKE AND OHIO PLANS.
The New York TriJUae of Yesterday
says: The reorganization Of the Chesa-
peake and Ohio railroad is making good
progress. A syndicate to facilitate the
reorganization has been formed by
Drexel, Morgan & Co., Speyer d CO.,
Brown Brothers & Co., and Morton, Bliss
Il Co. The plan involves consolidation
into one system of the Chesapeake and
Ohio, the terminal properties at New
port News, the new lire from Hunting
ton to Cincinnati, and the bridge over
the Ohio river. The new line will be
40 miles long, and no securities have
been issued upon it. Work is being
vigorously pushed and will cost over
Sc, 900 per mile. The maximum grade
will be thirteen feet to the mile, less than
half of that on its most important COM
petitor. and there will be substantially
no curves. Viaducts carry the road over