The Portland daily press. [volume] (Portland, Me.) 1862-1921, 1892-03-30
REPORT OF
Examining Committee,
Lombard Investment Co.


To the Stockholders and Investors of the Lona-
bard Investment Co.:
The undersigned, at the request OF many OF
the larger stockholders, and the managing
officers of your Company, have recently visited
Kansas City and given an extended and careful
examination to the affairs of that corporation
in their important detail and now submit:
First: That every facility that could be de-
sired to accomplish this result was most cordial
ly granted by the officers and employees OF the
Company.
Second: That the various departments into
which the Companys business is divided were
found to be under the care of experienced and
faithful managers, whose system OF accounts
was found to be admirable.
Third: The value of the farms in which the
Company is interested could not, of course, be
estimated by personal visit thereto, but we nave
maze special efforts to arrive at just estimate
of the real value of this property, realizing that
it is one of the most important questions lor US
to consider. For greater clearneSs, Drlef men,
ton is made of the methods pursued ana actual
facts obtained by which conclusions were
| reached.
It was found that those having charge OF the
Real Estate Department have kept very careiui
record of all items OF cost OF each plece o. P
erty. From reports OF examiners SEM 70 99 r..
at the farms, from actual offers made, ana n
other ways, price was fixed at which we esti-
mated its present value, Taking these values ,,es
sales, it was clearly shown that the amounts Tnits
realized exceeded the price at which the Com
pany estimated the property in its assets; a+
proved to us, very satisfactory result, 122
sales We're taken, covering an the tleas
over given period, and after charging tne mes.
| properties with all attorneys fees, court cost,
| DELINQUENT interest and interest on sums mus
| advanced the amount realized showed SUD-
stantial profit. :. IS
fers were received and sales made, and tnese n
| yariably showed that the price at when Ine
| Company carried its land and which never eA-
| ceeded the cost, were conservative.
| Fourth. AS confirming what has been sala
respecting the value at which the Company
carries its real estate In its assets, the follow
ing will be especially gratifying Every ple tce
! of property in Kansas City. belonging to tne
| Company, with a single trifing exception was
examined value was placed on same Win Tue
aid OF careful and disinterested expert, supple
| mented by independent appraisalS Dy promll.-
nent and Well-informed citizens, with the result
of showing that the aggregate value thus hxed
pany in its statement Of assets. Since said
! examination, actual offers have been mace ior
| some of this property thigher prices tnan those
| at which they were appraised.
| With these facts thus clearly established, and
with the abundant evidence produce 20 snow
that the value OF real estate, especlaiiy la an
lands, are. constantly approaching, tne con- i
| clusion is that real estate of the Company Will
eventually prove source of profit.
| FIFTH: We have also given care I'll afternoon
state that while in the depressed condition OF
| the past the company has been compelled to take
considerable real estate, the tide IS now turned
and it is reasonable to except that 1t VIII sell tne
| property it now holds much faster THAN II VIII
acquire additional real estate. This is plainly
evidenced from the fact that during the last
month 900 of mortgages in foreclosure
were either, paid off or settled by al al, DELINQUENT
interest and costs being paid III full, tnus rem
stating the montgage. This Is at least couple ia
| month of last year. :
Siath: All the personal property including
the eompanys statement sa o. Q, F ta Isl d an
estimated value placed on the same. A careful
| analysis of the earning power OF the several Sc
eurites and an earnest eort 70 dane tae Gd
eral corporations, were made in each case.
of 't The Company were carefully examined by
| competent auditor (Mr. E. G. Lucas Auditor
/ of the Central Vermont Railroad sysrem for
| MANY yearS), their statements verified, and the
possession Of every certificate Of property be-
longing to the Company proved by actual In
| pectiOn
| perty, in order that we might place a conserva-
| tive valuation upon the same. we have taken
some of the items appearing in the Company
total difference being S2o5,7so.2o (say about
| 3 1-8 per cent. of the total sum-, which amount
we recommend the Directors TO charge out Of
! future earnings But inasmuch as there would
still be a surplus of $113, 917.49 even if these
reductions were now made, we cannot forbear
| to express our confidence in the value OF the
| COmpany'S stock and Its guarantee.
In conclusion, as the result of our observa-
tons, we are satisfied that there is decided inn
provement in the value OF Western Real Es-
| favorable, as attested by the general concensus
of opinion, which should inspire confidence in
the future of the company and its securities
| EDWARD F. MORRIS MonsOn, Mass.
CHAs. P. PERoT, Philadelphia Pa.
VIM. MCGEoRGE, JR., Philadelphia, Pa.
FRANK B. EVANS, Philadelphia Pa
| mills d3t