Wheeling Sunday register. [volume] (Wheeling, W. Va.) 1882-1934, 1892-07-10
LOCAL STOCKHOLDERS
GIVING THEIR ASSENT TO A NEW BASIS OF
SETTLEMENT,
By Which the Local Street Railways May Be
Rsjuysnatsd-Ths --latest Phases Of
the Situation.

The financial affairs of the street
railway Companies are still in some
what chaotic and uncertain condition,
and Just what the immediate future Is
going to bring forth is problem the
solution Of which is matter OF some
anxiety to a number OF local stock,
holders.
Certain 1t is that the present condi-
ton Of the corporations cannot long be
maintained, and something will have to
be done which will permit the recon-
struction Of the plant and the placing OF
the large interests involved upon pay
ing basis. The diff1culcy is in getting
the local stockholders to agree with
anything like unsnimity upon course
of procedure.
At Thursday afternoons session OF
the stockholders, proposition was sub
mitted from the foreign, capitalists
lately acquiring a controlling interest
in the Companies, to make an assess
ment of $3.50 per share OF stock, the
proceeds to be used to free the road
from It's floating deot, increase the
number of cars, and reconstruct the
entire motive power plant and so much
OF the line as needed 1t, and thus put
the corporation In position to
earn dividends and incidentally to
accommodate the public Of the city
and surrounding towns. Five days were
given the local stockholders to append
their signatures to this agreement, but
it didn't take over five hours to demon
strate that the plan was not feasible
one. Some of the stockholders were
not in a position to stand such large
assessment, others were holding stock
as trustees for estates, which could not
contribute il they wanted to, and one OF
the largest holders Of stock said most
emphatically that he would not agree to
the plan. This showed that the ar
rangement was not feasible one, and
Friday morning there was another
meeting to formulate some other basis
OF affording relief.
As q result of this second meeting,
the following circular was addressed to
the local stockholders:
''WHEELING, w. VA, July 8, 1892.
"Until Tuesday noon, July 18th,
stockholders in either The Wheeling or
Citizens Railway Companies can ar
range to dispose Of their stock at seven
ty cents on the par value by calling on
L. L. Stiiel, at the Office Of the Wheeling
Title and Trust Company, No. 1915
Market street.
THE probable failure of the plan
proposed at the meeting OF stockholders
Friday has induced the nonresident
stockholders to make the foregoing
proposition, which has been already
agreed to by holders of large blocks OF
stock. This offer positively expires at
above time, and If accepted with unan-
unity by that date will prevent action
of creditors now threatening proceed
ings and and great, II not total, loss
of stock"
This basis of sale-seventy per cent.
of face value of shares-was made, it is
said, because Mr.. Jacob Thomas, one OF
the largest resident stockholders, con-
trolling some 100 shares, expressed his
willingness to sell at that figure, and
gave the legal representatives OF the
new stockholders an option TO that eff
feet. As soon as the new terms were
made known to the stockholders, there
was much more satisfaction expressed
than had beer manifested with the first
proposition, and by yesterday afternoon
the holders of four hundred shares had
given options, with probability that
many more would do so by Tuesday
noon. The new proposition, aud the
affairs OF the Companies generally, were
the leading topics of discussion in bank
ing and business circles yesterday, while
among the general public there were
many expressions Of the hope that the
matter would speedily be put in such
shape as to give the public the accom-
modations they are entitled TO expect
under the franchises granted by the
city.
There are 1000 shares OF stock in
the two companies, Of which 920 shares
are held by Messrs. Jolly, Champion
and the other capitalists lately taking
hold of the management. With the
holders of 400 shares agreeing to the
proposition to buy their shares at
seventy, there remains but $50 shares
to be heard from. II the holders of
these shares do not sign the agreement
to sell by noon Tuesday, there Is every
reason to believe, according to those In
charge of the affairs of the Company,
that the creditors OF the Company, who
hold bonds TO the amount OF 100000
and q floating debt of Sos, 900 in addi-
ton, will step In and take control, re-
Suiting, they claim, in increased COM
plications, increased losses, and in
creased discomfort to the public, i'm
probable as this latter may appear in
the light Of the present situation.
The out-ei-town gentlemen now In
control of the road have already invest
ed S110 600 in it, as, in addition to the
purchase Of S92, 600 of stock at par they
also purchased the Martins Ferry line,
from thd west eud Of the new Back"
river bridge to Martins Ferry, paying
SIS, 900 therefor. To put the line in
proper condition and pay of the float
ing Indebtedness of SOS, 900, will require
they tell the local stockholders, the
best part of 100000 additional. This
will make the total amount of money In
the road about S6S7, 900, as follows:
Stock lately sold ana Martins Ferry
line. $1,000. sellO,UUO
Stock in hands OF local holders 1900
bonded indebtedness 10000
New cash required .......................3 000 0)
Total investment. .......... :. .I687o0l
1t is estimated that the franchise of
the companies is worth half million