The state chronicle., 1893-04-14
THE RICHMOND TERMINAL.
DREXEL, MORGAN & CO., WILL
REORGANIZE THE SYSTEM.
Ihe Plan Has Been Perfected and VIII
point MOrgan's Approval is CabIed.

NEW loRA, April l3--lt has been
decided by Drexel, Morgan and Co.
to undertake the reorganization of
the Richmond Terminal system.
New YORK., April 13.-Regarding
the plan of reorganization of the
Richmond Terminal system by
Drexel, Morgan and Co., Samuel
Spencer who has charge of the mat
ter for the firm said: eve are not |
yet ready to make a statement as to |
the Richmond Terminal affairs and
know nothing of the publications
that we have made up programme
for reorganization
It is the understanding among
people having large interests in the
Richmond Terminal that the reor-
ganization plan has been practically
perfected and that it will be an
nounced when approval is received
by cable from J. Pierrepont Nor
gan. head of Drexel, Morgan and
Co., who is now in Europe. Various
/ issues of bonds Of roads in the Rich
, mond Terminal system will probably
, be scaled down in volume and-r re-
duced in interest with no sparing
hand. Actual money for present and
3 prospective needs of the system will
4 come from assessment on Richmond
8 Terminal common stock. Richmond
] Terminal stock will, it is expected,
f be changed into income bonds. The
r whole scheme for the rehabilitation
f of property, from all accounts will
r be Of a most radical character. The
J reorganization committee of the
t. Georgia Centra. announce that at q
K meeting Of the stockholders of the
If Southwestern Railroad Company.
$ held at Macon, yesterday, the plan
rs of reorganization was adopted by
g a vote of $685. against 1857.
ct A special meeting of the Board
J. of Directors of the Richmond Ter
sr minal Company was held this after
Id noon at the general Offices of tht
g. company, No, 50 Broadwsy. Thi
e. being the first meeting of the boar(
ae since February 4th, Wall street an
RI ticipated important development
al in the property as q result OF tn
A meeting. It was rumored tia
*. Drexel, Morgan & Co., after care
20 full investigation Of the property
he had decided to undertake the re
a organization of the company. Tn
d. rumor could not be verified. ". I
n Strog, W. P. Clyde, j. G. Maben an
ed several other gentlemen had an in
.or formal but protracted meeting i
re- the morning. Each refused to te
NJ the nature of the consultation.
gh In letter written in reply to
ne, letter of the Richmond Termini
to Company, the firm of Drexel, Mo
nd gan & Co., says: eve believe ths
ra- reorganization is practicable on
nd sound financial basis that will
he equitable and prove to the ultimat
led advantage of all security holder
nj We are prepared to act on your r
:ed quest and will be ready to announ'
ng an agreement and plan of reorgan
lu- zation and to form syndicate
he underwrite the same as soon as Il
>ne several classes of securities OF Il
ry- Terminal Company, viz, the six P
led cent bonds, the five per ce
the bonds, preferred stock and tt
led common stock shall, pursuant
your letter of Feb. 2, have been d
posted with US in amounts sui
cient to demonstrate that t
holders cf such securities general
,en- join in your desire that we sh'
ing undertake the work Of reorganiz
[ur- tion. It must be understood th
first we are given full authority to
ons; clude any of the securities of t
ity, Terminal Company SO deposited
mas the plan when announced, and tt
:, at each depositor, by his deposit, gi'
/, at such authority and his consent tt
all the terms and provisions of
plan together with assessments
deposited stock shall be disc
tionary with US.
aem- The firm will begin to rece
ture deposits of stock and bonds at tt
were Office on Monday giving temper
epre- receipts which will be exchani
clock later for reorganization certifes
20 to counters;gned by the Central II
Co., which will be the custodian
securities deposited under the p
On receipt of the foregoing le
the committee issued the follow
6 Re- To the holders of six per
this trust bonds, preferred stock
o the common stock of the Richmond
+ the West Point Terminal Railway
and Trust Company. Referring to
claim foregoing letter from Drezel,
lartin gan and Co, we hereby recomu
all holders of the above secur
to deposit the same with DIR
one on Morgan and Co., % Wall st
New York, and in no event
than May 1st, 1898, in order t
The sure them of your cooperation
ass;on enable them to proceed with th
,la;nts organization with the least pos
nbono delay. Such course is in our
r. her ion, essential for the protect
your interests"
(Signed) William P. Clyde,
F. Stone, Samuel Thomas, WI
~ ,,,+ R Gtroro Thcs n RYAN