Pittsburg dispatch. [volume] (Pittsburg [Pa.]) 1880-1923, 1891-03-11
PENNSYLVANIA PLANS
stockholders of the Big Corporation
in Annual Session.
THE LINES WEST OF PITTSBURG.
What Relations They Now Hold to the
Great Parent Company.
MIR. ROBERTS MAKES AN EXPLANATION

PHILADELPHIA, March 10.-Tbe annual
meeting of the stockholders of the Pennsyl-
vania Railroad Company was held to-day
in Musical Fund Hall, and was
we'll attended. Congressman Rich
ard Vaux was chosen Chairman
of the meeting. The forty-fourth annual re-
| port of the president and board of directors,
which was published several days ago, was
presented and was turned over page by page
in order to give TO whomsoever desired, in
formation regarding any particular portion
of the report.
When the page showing profit of the
United Railways of New Jersey was reached,
William E. Lockwood arose and congratu-
lated the officers of the company, stating that
it was the first time the United Railroads OF
New Jersey have ever shown a net profit.
The Pennsylvania Company.
In regard to the Pennsylvania Company,
Mr.. Lockwood asked General Solicitor
Scott: ''If we increase the Pennsylvania
Company's guarantee to S37, 000, 600 is that
guarantee a claim in advance of the claims
of the stockholders? In other words, would
that claim have to be paid off before the
stockholders got any divldends?"
Assuming" said Mr.. Scott, 1.-THE state
ment of Mr.. Lockw to be true that the
Pennsylvania Railroad has made any such
guarantees the principle is always universal
that the debts of a corporation have always to
be paid first before the stockholders get any,
thing out of the profits"
For the information of the stockholders
said President George b. Roberts, Il will eX-
Dlaln the relation between the Pennsylvania
Railroad Company and the Pennsylvania Com
pany. The Pennsylvania Railroad has not
guaranteed one penny of the securities
Of that reorganized company. There
Is no obligation connected with it,
amount of its securities, which we hope viii
become profitable by the reorganization OF the
property. The Pennsylvania Company is really
bureau of the Pennsylvania Railroad organi-
zatlon Tor the purpose of enabling an executive
department to be maintained at Pittsburg to
take the management of those lines
Western Lines Investment.
"a number of securities of the different roads
in the reorganizations were transferred to the
Pennsylvania Company, for which the
Pennsylvania Company paid to the
Pennsylvania Railroad its entire capital
stock of s2OOO0,0OO. Having started
with this stock. the Pennsylvania Railroad
thap COMPANY my, took hold Of the lines and improved
$40, 600 and about s25. .0OO.O OOo of bonds.
for which they have investments in
aavsDes Mss'srn lines their very mUeh
The Pennsylvania Railroad Company is abso-
Lutte owner of the entire corporation. and
merely makes use of the PENNSYLVANIA Com
pany to manage its lines west of Pittsburg, and
has been enabled to greatly increase its profit |
and loss account
A resolution to approve the annual report |
and to express the thanks of the stockholders |
to the officers for the faithful and efficient |
management OF the company offices was |
as was also one for the appointment |
by the Chairman of the meeting of a committee |
"a fn ripl-or forl to
voted for at the next annual election be held |
On MarchA The meeting then adjourned.