Morning journal and courier., 1889-09-17
THE CONSOLIDATED ROAD.

THE CONSOLIDATED ROAD. An Increase of s3, 100000 of the Cap
 ital stock voted-The Amount Suf-
 ncient to Pay O6 she Floating In-
 debsedness of the Company - The
 ComPany's Future POlicy-All Reas-
 Onable and Wise Improvements to be
 Made.
 The meeting of the stockholders of the Consolidated road yesterday was short, sharp and decisive. They voted to accep. the in crease of capital stock with will. Out of 95,s57 shares represented 95, 6s1 voted to &C., cept an increase of s,10O, ,oOe, which sum is sufficient to meet the floating note obligs- tions of the road. President Clark presided. Directors Robinson and Brainard of Hart- ford, Park of New York, Wheeler and Bishop of Bridgeport, and Trowbridge of this city were present; also Ex- Senator Bowers, At- torney George D. Watrous, Major Charles A. Brooks, J. 0. Cannon, ex- Representative Mallory, General E. s. Greeley, Hoadlsy B. Ives, vice-Presi- dent Reed, Francis B. Cooley, Hart ford; Dr. Hudson, Hartford; Samuel Bab- cock, Middlstown; Rowland Mather, Hart ford; Dr. Gurdon W. Russell, Hartford; Judge Elisha Johnson, Hartford; Attorney den, Hartford. Judge Pardse of the Supreme court bench, General Alfred H. Terry and Allen Maxey Miller.
 President Clark read an address setting forth the action the road had taken before the railroad commissioners (for an increase of capital stock) in accordance with the compa- ny's desire to be freed from debt and re- 1-~ E-~ IL At nature of interests or rentals. This action the stockholders had approved last Decem- Der. The application having been approved by the railroad commissioners, was made to the General Assembly and approved. Mir. Clark then stated the object of yesterdays meeting, which was the acceptance of the legislation granting the desired increase. A two thirds vote of the stockholders was need ed to ratify it.
 The resolution, President Clark continued, does not limit the company as to time in re- spect to the purchase or payment of it's own fund or floating debt or in making additions and improvements to its property, but for the exchange for shares or obligations of it's leased lines, action can only be taken during the present century, that is,up to and during the year 1889. There is, therefore, no need of hasty action in availing ourselves of its provision.
 As to the probable action of the company it is proper to indicate to you the purpose of your directors. Disregarding for the present the question of exchanging the shares of our stock for the stock and bonds of our leased lines, upon which the policy of the company has not been determined, it is probable that for the purpose of paying our debts an immediate offer of our own stock at par, to our own shareholders will be made. The floating 1 al, nf ba in ha Of which may be paid instantly amounts to sub stantislly three millions of dollars, and the directors propose to authorize the immediate issue of one share of new stock to the holder of five shares of present stock, upon the pay ment of one hundred dollars per share. Our capital now being $15, ,500, 900 this will place in the company's treasury pay these notes. It is proposed to offer these shares to the stockholders of record at the time of the dividend which has been de- clsred payable the first day of October, and blanks will be furnished upon which stock holders will be enabled to assign their rights to fractional shares, and these assignments when presented in multiples of five will en- title the persons named thereon to take the new stock on payment of ono hundred dol- lars share. Stockholders wishing to do so may remit to the treasury at any time in payment for this new stock, but without in- terest. The certificates of new stock will be issued the first day of October. The call for payment will be made for the first day of October;- but stockholders may have the whole of that month, not only in which to decide whether or not they will take their allotment, but also in which to pay for 1t. As this new stock will begin to participate in the January dividend, which will presumably begin to accrue from that day, they must pay interest from the first of October on delayed payments, at the rate of ten per cent. per annum.
 Director Henry 0. Robinson offered the necessary resolution for the taking of the action of appeal.
 At the request of MT. Abbey, of Enfield, dress as referred to the amount of new stock authorized to be sold. Mir. Abbey thought there were some who had not heard that DOT tion of the presidents statement on account of the locomotive puffng on the tracks be- low.
 "That noise," facetiou.ly observed the president, "is caused by the prosperity of the company" Everybody laughed.
 President Clark further remarked that the road continually desired to have the new stock bought by the present stockholders and at the directors meeting Saturday last every safeguard necessary was thrown around the interests of stockholders on the very point.
 Director Robinson followed in c brief ad- dress on the desirability of prompt payment of the new stock subscription. He said: "This subscription should all come in as soon ss possible. But there were 5000 stockholders and the directors had voted to give them all of this month and all of next in which to buy in the new stock. A stock holder might sell his fraction of share or he might purchase sufficient to even up his frao- tional share."
 Preeident Clark in answer to Mir. Mark hams inquiry said that . subscriber could sell his right to subscribe for the new stock if he chose to do so. There was no limit placed on him in that respect. "But." add cd MT. Clark, "we don't want to see any change in the shareholders of the road"
 Mir. Stanton of Clinton thought there were some stockholders present who wonld like to know something about the future policy of the management of the road in reference to the issue of new stock.
 In reply MT. Clark said that the road 6 management would be conservative. It was in very prosperous state. As to the future 1t could not be said now how fast or how far the improvements would be made. We can say, however, that there will be no letting down in the improvements pledged In the appeal to the legislature. There was, more- over, no desire on the part of the directors or management to cripple the road by any nasty or ill-considered act. New stations will be erected where needed and the other Improvements made. The management are guided by judiclous principles and will go ahead just as rapidly with these improve ments as the transitions in the times will ad- init. We believe in perpstuating the pros perity of this company. No decision has been reached as yet about any further issue of stock. The directors decided to double track portion of the Shore Line division The business on that division has had an un- precedented increase. As to the policy of abolishing the grade crossings in this State and of four-tracking the road, there will be no relaxation in that direction"
 "What will be the effect of purchasing the stock and the franchises of the leased linesl' inquired a venerable looking stockholder right in front of President Clark.
 Mir. Clark for reply indulged in an illustrs- hon. He cited the case of a company with $3,000, 900 capital. That company leased to another company with the understanding that the leased line should be paid annually a rental of per cent, making fixed charge of $120, 900 yearly that had to be paid to the leased corporation before a dividend could be declared by the company that held the lease. "By purchasing the stock and fran- ohisa of fhe laaaai 1ina continued Proai.