The morning news. [volume] (Savannah, Ga.) 1887-1900, 1893-12-27
NAY MAKE A DEAL YET.
The Street Railway Consolidation
Scheme Not Yet Abandoned.

Scheme Not Yet Abandoned.
The Electric Railway People Still Fig
uring on the Absorption Of the City
and Suburban and Coast Line Prop
erties-The Proposition to Mr.. Par
sons-Where the Hitch oeourred-A
Meeting Of Electric Railway Stock
holders To morrow.
The scheme looking to the absorption Of
the City and Suburban railway by the
Electric Railway Company, by which all
the street car lines and outside connect
ing lines will be under one management,
has not yet been abandoned.
There appears to be only one difficulty
in the way, that is, Mr.. George Parsons,
who owns very nearly all of the stock in
the City and Suburban. and all of the
stocks and bonds of the old Coast Line
railroad, known as the Savannah, Thur
derbolt and Isle of Hope railway, has a
large personal claim on the former COM
pany for money advanced in equipping its
lines for operation by electricity, and for
money advanced for other purposes, and
he doesn't like TO see so much good cash,
or what was cash year or so ago, funded
in bonds, the amount of which is some
thing prodigious.
On the other hand, the would-be pur-
chasers do not like the idea of shoulder
ing these debts and also the S25O,O00
worth of per cent. bonds which cover
the City and Suburban railway. The
bonds are held by strong parties, who
have heretofore refused to accept any
compromise, and insist upon the coupons
being paid according to agreement.
THE ELECTRIC CoMPANY's PROPOSITION.
The Electric Railway Company wants
Mr.. Parsons railroads, but is not a cash
buyer. 1t is reported that the proposition
made by the Electric Railway Company
is somewhat in this shape; That company
TO pay 500, 900 in new joint bonds for the
entire properties, the bondholders sur
rendering their present holdings and TAX
ing new per cent. bond in payment,
and Mr. Parsons also surrendering his
stock and accepting payment for what is
due him for the electric equipment and
money loaned the same for bonds in
stocks and bonds of the new company.
This would make the bonded indebted
ness of the Electric Railway Company
81 100000.
The Electric Railway Company was to
increase its stock from 100000 to $1,000
600, of which amount Mr.. Parsons was to
receive $3.50. 900, and the remainder was
pany, In all, Mr.. Parsons was to receive
100000 for his holdings, $3.50, 600 in bonds
and $l50,000 in stock, which covered all of
his interests, including the amount due for
electrical equipment. Mr.. Parsons also
stipulated that the real estate holdings of
the City and Suburban and Coast Line
Railways should be sold with
to be covered into the treasury Of
the company and bonds to be issued to
him for such an amount as should be
received for the land.
WHERE THE HITCH IS.
This is the point, it is said, upon which
the hitch occurred and which resulted in
the failure of the deal. Some of the di-
rectors of the Electric Railway Company
were in favor of accepting Mr.. Parsons
proposition, but the majority opposed it,
holding that the issue of bonds and stocks
agreed upon was ample pay for the prop
critics without the additional stipulation
as to the real estate. The latter is va
rlOuSly estimated to be worth anywhere
from $780, 900 to 100000.
While the deal has been officially de-
clared off, Mr.. Parsons and the Electric
railway people are still upon very friendly
terms, and negotiations will probably be
resumed later.
The scheme under consideration is
something beyond the usual magnitude
of ordinary tinanciering in Savannah, but
it has been favorably received by some of
the holders of Z per cent. bonds of the
City and Suburban railway, who have
heretofore demanded prompt payment of
their coupons.
AFTER THE OUTSIDE STOCK.
There is a small block Of City and
Suburban railway stock held by out
siders, and within the last few days an
effort has been made by some parties, who
are supposed to be friendly to the Electric
Railway Company, to buy 1t. The control
of that stock would give the outsiders
the opportunity to investigate the affairs
of the City and Suburban. railway and
possibly get some hold which would be
advantageous in carrying out the plans
for consolidation.
1t is also said upon good authority that
1t is more likely that it is Mr.. Parsons,
who is seeking TO buy the forty-fve
shares of outstanding stock in order to do
away with what might prove trouble
some minority when he decides to make a
deal.
The amended charter of the Electric
Railway Company, allowing the incor-
poration of the Savannah Street Railway
has been received. A meeting of the
stockholders of the consolidated company
will be held tomorrow. and a new board
of directors elected. Mr. L. w. Wrenne,
of Nashville, one of the largest stock
holders of the company, is expected to ar
rive to-day. He is slated for one of the
directors, and there will probably be one
other director from Nashville