Pittsburg dispatch. [volume] (Pittsburg [Pa.]) 1880-1923, 1891-01-30
MANUAL MEETING MADE LIVELY
Light Thrown on the Problem of Fuel for
Pittsburg's Industries by the Re-
port of President Chambers.
AN INVESTIGATION is TO BE MADE
Of chsrgts E.fsetng on the Directors and Auditing
Committee.

Oulluln5 yesterday aver HoOny opeueu up ds
tame as lodge meeting in August, but ere
the stockholders had taken their leave one
could easily have imagined himself in the
Senate chamber during a heated debate.
As wind-uD to the meeting :: reso luton
was adopted taking excep tions to the report
OF the auditing commit ee of 1889, and pro-
viding for the appointment OF a committee
10 investigate the purchase Of SS3, 700 So
worth of the company's own bonds by
the Board of Directors, and the giving
of $4,000 as gratuity to Director
w. L. Schmertz. The resolution also en-
powered the committee to bring suit in
equity against the Board OF Directors if the
Proceedings are found illegal.
There were several other matters brought
up which added to the interest. After the
opening preliminaries had been gone
through with President j. A. Chamb ers
read the annual report of the President and
directors TO the stockholders, embodying a
statement of the business of the company
for 1890, land also the financial statement
for January 1, 1891.
Information on the Gas Problem.
The appendix to the report, signed by
President j. A. Chambers, will give some
idea of the company's business, as well as
some information on the natural gas prob
lem. 1t reads as follows:
You will observe that our gross receipts
for the year 1890 were about S5S, 900 less
than for the year 1889, and yet, notwith-
standing this, our net receipts for the past
year were about $780, 900 more than for the
year previous. This result is due to our de-
creased expenses, which were about $780,,
600 less than for 1889. We have paid S1Gj.-
600 to our stockholders in dividends, and
reduced our Indebtedness S23S, 0OO
The unexpected decrease in gross re-
ceipts was because of the insufficient supply
of gas, on account of the diminution of
pressure in the old gas fields from which the
main source of supply is received, and be-
cause of the failure to realize the expecta-
tions which early developments seemed to
justify from the Bellevernon field. The
wells put down in that field, when gauged,
recorded a rock pressure greater than that OF
Murrysville or Grapeville, and volume
equal to either, and it was the general
opinion of gas experts that one of the
greatest. IL not the greatest ncIu
vet developed, had been discovered, and
that there was enough gas stored here to re-
place any diminution from the old sources,
and give US greater total supply than ever
heiore; but contrary 10 all precedent and
after the laying of large lines to this field
by the Philadelphia Company and another
company. composed of Oliver Brothers s.
Phillips and other Southside manufactur-
ers, the pressure of the wells showed fall
ing of, and has been a great disappointment.
to both companies, and the amount of gas
received therefrom is a very small portion
OF the present supply
Prospects for Gas in the Future.
"Our future prospects depend largely
upon the future supply OF natural gas, and
while the pressure has been decreasing, it is
no less the fact that as the pressure grows
less it diminishes less rapidly, and as mat
ter of fact, no one can, with any degree of
certainty, fortell how long it is going to
last, aud while it may be only for short
time. as some predict, there is a probability
that we will have it for domestic purposes
and the great bulk of the smaller manufact-
urers and consumers, yielding profitable re-
turns for many years to come"
President Chambers was barely through
reading his report before the stockholders
began firing questions at him, wanting explana-
tinns Of some of the figures in the statement of
expenses and earnings for the year 1890 and
regarding other matters.
j. b. McCabe created a little sensation bJ
wanting to know what the CHARTERS Company
had received out of the sale of the Westing
house building, and on being answered
nothing" wanted to know the reason. He
| said that the CHARTERS Company was en-
| titled to - per cent of s35O.0O0 of the
money the building was sold for, and he wanted
| to know how il was that il is not forthcoming.
President Chambers assisted by Treasurer F.
J. Tener, explained that when the contract
| with the Philadelphia Company WAS entered
! into Sl5o, 00U had already been expended on the
building. When the Charters company made
| the Philadelphia Company agreement, the
| former company became entitled to and re-
| ceived its share of the income from the build
ing
| not receive our share of the monev?" asked
| Mr.. McCabe. The building cost $500 0O0 and
We furnished our share of s3500C0 of that sum-"
Everything Reported All Right
Mr.. Chambers replied that the committee ap-
! pointed to look up such matters had investi-
gated the point raised 10y Mr.. McCabe, and had
found that everything was all right.
| who's attending to such things for us. any
wayT' demanded number of stockholders in
| chorus.
| The next sensational question fired at Mr..
Chambers was how the CuartIers company was
| secured in its proportion of the ownership of
the new gas line. 1t was explained that the
| line was built an expense basis, a certain
| amount being put in the accounts quarterly
credited TO expenses.
! We'll. when the end comes, who'll own the
| line?" was asked.
"Why the Philadelphia company, suppose" ;"
| spoke'up a director
| Where do come imp
'Oh, our agreement is for 999 years." spoke
| uD a s;ocknolGer, land we get our share of the
| earnings OF the line"
Another director immediately proceeded to
kick vigorously against the agreement between
| the Philadelphia Company and the Allegheny
1 Heating Company, saving that the Phila-
| delphia Company was giving the heating com.
| pany its gas too cheap.
The final big kick, however, was when R. NJ.
| Snodgrass read a resolution providing for a
| committee of seven to investigate the charge
| that SI5U was given w. E. Schmcrtz illegally
| as gratuity "for alleged service, without law
| and precedent"
The resolution also asked that the committee
| make inquiry regarding the purchase by The
directors of $50. 700 50 worth of bonds as stated
| by the Auditing Committee of 1852 and pro-
| chase Illegal, suit in equity should be brought
| against the directors FOR the difference of The
| market value of the bonds and the price for
! which they were bought.
! Mr.. Snodgrass offered the resolution as
| motion. Mr. Chambers refused to entertain it,
! and Mr.. Snodgrass took appeal from the
decision of the Chair.
| The Chairs Decision Not Sustained.
Mr.. Snodgrass' appeal was sustained, when
]. NJ. Bailey offered an amendment to the rcso
luton. providing that the committee should in
1 yestigate the matter and report to called
| meeting of the stockholders.
| The resolution as amended was passed, and
| he r