The morning news. [volume] (Savannah, Ga.) 1887-1900, 1893-07-12
FOR SIXTY DAYS.
The CentTal'S Floating Debt is Taken
Care Of.


Care Of.
It VIII be Carried by the Same Par
ties During That Period When it is
Hoped the Money Market WIN
be in a Condition to Warrant the
Formation of Some plan Of Reor-
ganization New York Capitalists
Would Not Undertake it at Present.
Why the Hollins Plan Failed.
S. b. Adams. Esq, attorney for the
Central railroad is back from New York
where he went with Receiver Conner and
the other members of the directors com
uittee to make arrangements with regard
to carrang the floating debt and to see
what could be done towards reorganiza-
ton.
Mr. Conner did not return with Mr..
Adams. but remained in New York to at
tend a meeting of the Southern Railway
and Steamship Association, which took
place on Monday and yesterday. He viii
return some time this week.
Mr.. Adams said yesterday that ar
rangemeuts had been made for having
LLG ilbdIiIE utBt ttlI ltil ~ lllC otl4lAl par
ties who are now carrying it, and that
an extension for sixty days was practi-
cally agreed upon between the committee
and those who are carrying the debt.
AT the end of that time or between
now and then. said Mr. Adams. lit is
hoped that the money market will be in
such d condition that reorganization can
take more shape. Otherwise
some arrangements for the debt
would be made until such
time came Arrangements have prac-
tically been made for go days extern
sion, but it will be necessary TO get an
order Of court in order to perfect the de-
tails of the arrangement
TALKING FOR HARMONY.
Mr.. Adams said that the committee
talked to all parties in New York who
are interested in the Central railroad and
that they made an earnest effort to get
them all together The committee con
suited with representatives full of vari-
Gus interests upon the line of Justice
jackson decision to see if they could not
harmonic matters. and made an effort in
general to eliminate everything calculated
TO bring about disCOrd, 50 that some
plan might be gotten up that would be
acceptable to all parties.
While the committee accomplished one
of the objects for which they went to
New York, namely the arrangement of
the foating debt, they could not do any
thing definite with regard to the rcor-
ganization of the property on account of
the stringent condition of the money mar
ket
Mr. Conner stated to all parties con-
cerned that it was his desire to take care
of all interests, and II is hoped that the
personal interviews which the committee
had with representatives of each of these
ipfpvpCre has hro1Igbf "a hgfrf a hnffArs Ct a "a
Vi feeling.
MONEY TOO SCARCE TO REoRGANIzE.
No capitalist in New York could or
would figure on plan at the present
time, on account of the scarcity of money
everywhere in the country. This must
be looked for after the stringency is re-
ieved.
In the meantime the different interests
will consider the matter and as soon as
she money market permits will figure on
come plan, which will be submitted TO all
bhe security holders.
The Terminal people were of course
seen by the committee. They will, of
course, suggest some plan which will
have in view the interests of the
stockholders, as that company is inter
ested only in the stock. The above which
Is the substance of a conversation with
Mr. Adams, gives a good idea of what
was done by the committee in New York,
ana what the situation there is.
There seems to be no doubt that the
Terminal people will urge some plan that
will protect their interests, and such n
plan must, OF course, protect the interests
of the junior security-holders. as the
junior securities come above the stock
In this case it is limited strongly. and
there is little doubt that the Drexel-
Morgan Company would undertake the re
organization.
WHY TIE HOLLINs PLAN FAILED.
In speaking of the work of the commit
tee in New York and the fact that it is
impossible at present to make any salts
factory arrangements for reorganization
a prominent attorney said yesterday:
There were only two reasons why the
Hollins plan failed. First, Justice Jack
sons decision, which would have strength
encd the plan, endorsing it as he did. came
too late TO do any good He saw after he
had given the plan study that it was a
good one for all the interests concerned
and if he had rendered that decision in
Atlanta, when the hearing came up there,
verify believe that the plan would have
been solid to-day.
second, the depressing and stringent
condition Of the money market was large
~ responsible for the disruption of the
scheme. Unless thCre is a change soon
reorganization may now meet with some
difficulties
DREXEL & MORGAN MAY UNDERTAKE IT.
my idea is that the work VIII be taken
up by some strong financial house when it
is taken up at all possibly Droxel Il Nor
gan, who succeeded in recognizing the
property of the Richmond Terminal with
the utmost ease, and that they will levy
small assessments on the stock
and also on the bonds in or
der to get portion of the money necessary
TO carry a plan through IL was my idea
that a million and half or two million
in cash should have been raised in this
way, and it would no doubt have gone a
long ways towards unfolding the plan
which has now fallen through"
Whatever is true it seems evident that
IN the present condition of the money
market, nothing can be done towards reor.
ganizatiOn Better times must be awaited
and when they come, the plan that recog-
nizes the stock and junior securities win
be the one that meets with the greatest
favor.
A Mona