The Memphis appeal. [volume] (Memphis, Tenn.) 1886-1890, 1889-03-30
THE MERGER EFFECTED.
THE ILLINOIS CENTRAL RAILROAD
COMPANY IN MEMPHIS TO STAY.
Three Meetings Held Yesterday, by
Which the Consolidation Was Ac-
complished-New Bonds.

The Illinois Central Railroad Company Is
In Memphis at last, to be dealt with direct
by shippers, the travelling public, or city
authorities.
Furthermore, the company and its inter
ests are here to stay, at least for a period
extending through the life Of the present
generation-say 400 years from 1882.
There were three meetings Of railroad men
held here yesterday TO effect this purpose,
and 1t was most eflectually accomplished.
II was a trio Of meetings similar TO those
held at Grenada, Miss, on the 9TH instant,
to cover the Mississippi end of the business,
and in response to regular and published
calls. They were all held in the Illinois
Central offices, under the Peabody.
The first was a meeting of Mississippi &
Tennessee Railroad directors. The only
point to be passed upon by them was TO
ratify the lease to a consolidation with the
Chicago, st. Louis & New Orleans Railway
Company, voted at the Grenada meetingj
This lease or consolidation was for a period
Of 1903 years, or TO the end Of the full period
for which the Chicago, 81. Louis & New Or
leans line is leased to the Illinois Central
Company. 1t was ratified almost unani-
mously. 1t may be proper TO give at this
point a brief history of this transaction,
over which the general public will rejoice.
TIL late Mississippi Il Tennessee Road was
In a very bad way. Its physical property
had steadily deteriorated, its bonds were
down TO almost nothing, and the company
had defaulted on interest. To make its at
fairs more gloomy, Il was paralleled from
this point by through lines on Southern
business, hence had nothing TO depend solid
ly upon but local business hence TO Gren-
ada. The stockholders themselves took the
initiative In negotiations for n consolidation
with the Chicago, st. Louis & New Orleans
Road. This line was leased TO the Illinois
Central Company, which made the CONSOLE
dntion really with the latter company.
The second meeting was by the Chicago,
ST. Louis & New Orleans Company, TO ac'
cept the consolidation and arrange the de,
tails Of same, which was soon done 20 the
satisfaction Of both parties.
The third meeting was by the consolidated
interests, and for the purpose Of putting tn,
financial affairs Of the Mississippi 4 Tcnnes
see Company In better shape. II was dc
cided to issue $1,000 900 OF bonds, bearing
per cent interest, 10 be sold at par, the I'LL
nois Central Company 10 guarantee interes
and principal on the issue. A decision OF
this point was also soon reached, and In thu
affirmative. The claim Is made, and baset
upon a simple mathematical problem, tina
the new issue Of bonds will very MATERIAL,
benefit the Mississippi q Tennessee Road
making IL possible for the road TO earn oper
ating expenses and keep lis head well up, SC
TO speak. 1t is proposed, with these new
bonds To take up the outstanding ones
about $1,000 900, which bear 8 per cent. In
tcrcst. At 4 per cent. the interest accoun
on the bonded indebtedness will be SOS. 90
per annum less than heretofore.
Under the new regime, an ArPEAL reporter
on a tour of inquiry, was given TO understan'
the Illinois Central proposes TO lay aside
surplus fund, from time 10 time, for tn
erection OF n union passenger depot. Tn
reporter inquired OF Vice-President an,
General Manager Hartman when this unioI
depot h likely b. materializc.
whenever your city authorities will dies
ignatc a site on which they would like u
have Il, aud give Ms n highway 20 Il paved II
hrst-class style" he answered.
But what have the city authorities TO d
with the selection Of a sitc2 is not that
matter exclusively for the railroad compa
nics7"
P'well, then, whenever the authorite
guarantee to give us a nrst-class highway I
IN, depot built IN the site we select"
fWilf President MADDEN please, for III
benefit Of a suffering and anxious pcopl,
stick a pin In this promiscg