New-York tribune., 1892-01-03
RAILROAD INTERESTS.
TIE 81. JOSEPH AND GRAND ISLAND.
DETAILS OF THE AGREEMENT WITH THE UNION
P,CiFIC-WUAT Mr. BENEDICT SAY.

DETAILS OF THE AGREEMENT WITH THE UNION
P,CiEIC-wHAT Mr.. BENEDICT SAY.
The announcement in The Tribune Of Friday % the
selcment arranged between The trustee. of IN" Sc'"
mortgage income bond, Of the IT. Joseph ana "H'"u
Island Railroad ard the Union Pacific Railway was fo!
lowed by the appointment Yesterday Of w. r ROBINSON
ir. r. general manager Of the rst-namcd oai III pui
suanoe Of the agwement. To a Tribune reporter yes
ierlay James II. Benedict, one Of th" IT. Joseph
trustees said that he had recently resigned ms position
a, president OF the st Joseph and Crane Island WHICH
he had held for SIX years. in order 10 be more Hc 10
press the claims of the Junior securities Of MS ioaa
against the Union Pacific. Mr. Benedict said In ris
ton TO the settlement
An the securities of the 81. Joseph and Grand i'lad
and the Kansas and Omaha roads have been greatly
and unduly depressed. for the last year beraise Oh ca
on The part the holders that the management OF
the Union Pacific would not faithfully perform contract
obligations Of the company entered upon by the man
agcmcnt Immediately preceding the present one IT"
negotiations entered upon moro fully TO protect TIE
Interest of the security for which ! one of u"
trustees have removed all misgvingS which | may
have shared with others upon that point ionnd Inc
president and directors OF the Union Pacific not ohN
willing but anxious fully to cairy ont in bou splht
and letter the agceen with the St Joseph and Grand
Island road and departure from that ac-S'
ment were pointed ou 10 them they cordially united
with the Trustee, and agreed upon plan with them FOR
tie future Independent management of the property
which will prevent recurrence OF trouble lheii
action will gcly and permanently increase the ieVc
nues Of IN. IT. Joseph and Grand Island road and aNo
tlO,, of the Kansas CITY and omaha line
The new agreement provides that the st. Joseph
and Grand Island and the Kansas city ana omsl@
shall be operated : road under ln"epenhch'
management. W. =. Robinson. tr.. has been ap
pointed general manager Of the two roads with Icad
quarters at Il. Joseph. Mo-. but he may be removed
for cause bv the Union Pacific at any time TIL"
Offices that are deemed Necessary successfully 10
ope.nie the ysad by the president of the Union Pacific
and . majority Of the trustee, Of the ST. Joseph and
Grand Island income bondhoders snail be located at
& Joseph All net earnings of the II. Joseph
and tie Kansas Ciy and Omaha roads
are 10 be rcmitted monthly 10 the Union
Pacific Office in Boston, Any vacancy in the ONCE
Of general manager shall be filled by agreement be-
tween the president OF the Union Pacific and
majority Of 'hc 1t. Jo,eph's income bondhoderS'
trustees.
The Union Pacific agrees to pay So 600 20 meet
The coupons Of the St Joseph and Grand Island second
mortgage bonds falling due July l. so on the
assent 0f hc holders 10 the agreement between the
three companies. dated January l. 1857 for division
OF yrafc. II arranged tint tins triihc division
iali be such ~ enable the II. J,Sfph and Grand
Island 20 contribute more than $4,000 year to
thr interest the Kansas CITY ana Omaha hi>t
mortgage bOnds but II the latter road earns H. III
teres In fun tie surplus earnings OF the It. joseph
road are secured to it.
The agreement is To I've effective only upon Tho
assent Of the holders two-lhTS Of the ST Joseph
and Grand Island second mortgage bonds There },
little doubt that th, consent VIII readily be assured