Pittsburg dispatch. [volume] (Pittsburg [Pa.]) 1880-1923, 1890-06-28
ESPECIAL TELKaRAM TO THE DISPATCH,


NEW YORK, June 27.-Arrangementl
have been completed for the sale to an En-
glish syndicate of the John Roach ship
yards in this city and at Chester, the price
agreed upon being S4. 600 900. The transfer
will be made in few weeks, and then En-.
gland will go into the business of building
our ships in this country, at perhaps great.
er profit than she now gets for building them
in her own ship yards.
The purchase will be made in the mann sr
which has proved so popular with English
investors. A stock company has been formed
in London under the name of Roach's Ship
Building and Engineering Company, Lin.
tied. Its common stock is 81, 500, 900, its
per cent preferred stock, 81, 800, 600, and it
issues 81, ,500,0 900 of 6 per cent bonds.
ALL TAKEN IN ENGLAND.
According to the terms of sale, part pay
ment may be made at the option of the
directors in common stock. None of the
stock is to be placed in this country, and all
of it has been taken up by private subscrip-
tions in England. The property secured
includes the plant at Chester and the Nor
gan Iron Works in this city.
In connection with the sale, some highly
interesting Information is made public re-
garding the profits earned by John Roach in
his business. A well-known firm of Lon
don auditors has been examining the books
of the concern from 1872 to date, and it re-
ports that Mr.. Roach's profits Tor the ten
years ending in February, 1885, were 81, 216,-
S37, or an average of S421 ,6S3 year. Re-
gardIng the years 1885 and 1886, when Mr..
Roach and the Government were in hot dis
pute, the directors of the new company say
that they have thought it fair to exclude
those years rom the estimate.
The work done during the subsequent
years to date are reported to have been:
1887, SS29, 716; 1885, 81, ,203, ,367; 1885, 81 701,-
3S4 The estimated profit on the last year. s
business is placed at 1927 1922. On the basis
of present earnings the purchasers expect to
pay IL per cent on the common stock.
THE AMERICAN MANAGERS.
The Board of Management of the new
corporation in the United States will con-
sist OF John B. Roach. President of the
Chester Works; George E. Weed, President
of the Morgan Iron Works; Henry Steers,
President OF the Eleventh Ward Bank and
member of the Naval Advising Board, and
William Rowland, of New York. Chas. D.
Freeman & Co., financial representatives of
the new corporation at Wall street, said
that the securities of the company were not
to be issued publicly in London until to-
day, but that all the stock had been pre-
viously taken in advance. Freeman & Co.
have 5000, 900 OF the bonds, which they have
been privately offering to their customers.
This is their circular:
We inclose herewith the preliminary pros
pectus of Roach's Ship Building and Engineer
ing Company Lin, showing the basis of the
contemplated issue of the debentures and
stock of the new organization. The allotment
f4O,0o0 (s2O0,000) of the debentures Those of
our friends who desire to invest their money at
6per cent cannot have better opportunity.
The issue will probably be advertised in Lon
don on Saturday, the 2Sth. before which time
we Will accept subscriptions for debentures at
par. CHARLES D. FREEMAN & Co.