The evening herald. [volume] (Shenandoah, Pa.) 1891-1966, 1893-06-05

Subscriptions have been obtained, in con
sideration of a commission of 8 per cent,
from financial institutions and others to take
all Of the bonds not taken by the creditors
and stockholders of the company.
The making Of such an issue is conditioned
upon
(a) The agreement of tho Lohigh Valley
Railroad Company to reduce the minimum
fixed rental to a sum sufficient to pay an an.
nual dividend of per cent on its capital
stock.
(b) The agreement Of the holders Of over
40 per cent, of the general mortgage bonds to
sell their registered interest or coupons as
they shall mature, beginning with that Of
July /, 1893, and including that of January
/, 1898 to the Pennsyl Vania Company for in
surances on lives and granting annulties
trustee, to be held as security for
an issue of coupon trust certificates,
together with the interest and coupons
purchased with the option to the bond.
holders TO take such certificates at par, In
case the earnings of the company applicable
thereto shall not be sufficient to enable it to
pay said interest and coupons at maturity
The said certificates shall be redeemabc at
l05 per cent. of their par value and accrued
interest, and i'm case the Railroad Com
pany shall, in any year, have net earn
ings after the payment Of the coupons and
interest on said bonds, maturing in that year,
sufficient in the judgment of the Board Of
Managers for that purpose, the railroad com
pany shall and will appropriate the same to
the purchase Of the sad certificates at the
best prices obtainable, or to their redemption
at l05 per cent Of their par value and nc
crued interest the said certificates to be
drawn by lot under the supervision of the
trustee, and when so drawn said certificates
and an equal amount of coupons shall be
cancelled.
In consideration of commission of two
and half per cent, payable in ten semi.
annual installments, a subscription has been
made up to take all the coupon trust certid
Gates at par not taken by tho bondholders.
(c) The agreement of the holders of the
bonds Of the Philadelphia, Reading and New
England Railroad Company guaranteed by
the Philadelphia and Reading Railroad Com
pany) to accept payment of the registered
interest and coupons as they mature (be-
ginning with that of May, 1888 for three
and a half years in the 8 per cent mortgage
bonds of the said company, at par the earn
ings of the road TO be expended upon the
property; or an agreement to rotake the
property and release and indemnify the
Reading Company from and against its
guaranty.
(d) The agreement of the holders of the
bonds of the Gettysburg and Harrisburg
Railroad Company, the Gettysburg and Har
risburg Railway Company, and of the South
Mountain Railway and Mining Company
guaranteed by the Philadelphia and Reading
Railroad Company, to fund their coupons as
they mature, beginning with Oct 1, 1893, for
five years. in the per cent thirty year
bonds of the Gettysburg and Harrisburg
Railway Company, at par or an agreement tC
retake the property and release and in
demnify the Reading Company from and
against its guaranty.
! (e) The agreement of the holders of the
bonds of the Lancaster and Reading Narrow
Guage Railroad Company to extend the same
from July /, 1893, for twenty-five years at 4
per cent, or an agreement to rctake the
property and release and indemnify the
Reading Company from and against lis
guaranty.
| (f) The agreement of the holders of the
bonds of the Philadelphia and Frankford
Railroad Company to provide the funds tC
complete that railroad upon terms to be here
after arranged.
(g.) The stockholders of the Philadelphia
and Reading Railroad Company, or sixty pei
cent thereof, to agree to transfer their shares
to Joseph S. Harris, Elisha p. Wilbur
Thomas Mexican, and two Others to he here
after named by the Board of Managers
Trustees, to be held by them for seven year
| from July 1st 1893, in trust to elect from
year to year, according to their best iudg
ment, president and board of managers anC
to exercise the control thereby given over tn,
affairs of the company in such manner as t,
best promote the interest of the creditors anC
stockholders of the company, and in particu
lar to prevent the incurring of any nev
obligations which shall be beyond the abilit,
of the company to meet as they become du
and payable.
1t Is necessary that the stockholders an,
holders of the general mortgage bonds an,
the bonds of the ahiliated companies name,
in the plan should give their assent to tn
plan of readiustment and become parties {,
the several agreements in which they ar
respectively Interested on or before tn
said twenty-iilst day of June, 1898, AM
UNLESS, IN THE JUDGMENT OF TIL
BOARD,THE ASSENT OF THE REQUISITE
NUMBER OF CREDITORS AND STOCK
HOLDERS SHALL HAVE BEEN RE
CEIVED by THAT DAY, THE SYNDICATE
SUBSCRIPTIONS WILL BE RELEASEI
AND THE PLAN ABANDONED.
The assets of the holders of more than 9
per cent of the general mortgage bonds an,
90 per cent. of the capital stock is indis
pensable.
Copies of the agreements to he signed b,
the holders of the general mortgage bond
by the stockholders will be found at the Ofiic
of the company, No. 227 South Fourth stree
Philadelphia, the Farmers Loan and Trus
Company, New York, and DashwOOd House
Old Broad street, London, and of the othe
agreements at the Philadelphia office.
In case the requisite number should Civ
their assent and the plan be declared opera
tive, a call will then be issued for the pre-
sentation of the bonds to be stamped i'm aC
cordadce with the several agreements, and ia
the transfer of the shares TO be exchange
for paper certificates of interest," and sui
scripliOns o the S30,OO0OOO per cent col
lateral trust funding loan will be receive
from the creditors and stockholders of Tn
company, at the offices of the company il
Philadelphia, New York and London, fron
the 22nd to the Both day Of June, 1893, bot
inclusive.
Instalments of the subscription price vii
be payable as follows
Ten per cent. on July l. 1893;
Twenty-Five per cent. on August 10Th, 1885,
Thirty per cent. on September 18th, 1893;
Thirty per cent, on November lst, 1893
Negotiable receipts convertible into th
bonds upon the payment of the final install
; ment will be issued, and interest will be nd
justed TO the date of the bonds.
By order Of the Board of Managers,
JOSEPH S. HARRIS, President
May 81 1893.