The morning news. [volume] (Savannah, Ga.) 1887-1900, 1893-01-22
MR.. CONFER ON THE PLAN.
THE SUCCESS OF THE REORGANI-
zATION SCHEME CERTAIN.

conner
Some Points Which Have Excited
Inquiry-The Richmond and Danville
Opposition Not Likely to ssve ANY
Effect on the Plan.
President and Receiver Conner Of the
Central railroad returned yesterday morn
ing from New York, where he has been for
the last several days engaged upon matters
connected with the Centraps plan Of reor-
Ranization, which was gwen TO the public
last week.
Mr. Conner was kept busy all of yesterday
receiving callers and d'Jcussing with them
the plan of reorganization. He was seen in
the afternoon at his Office by a MORNING
NEWS reporter. Mr.. Conner was evidently
in more pleasant state of mind than be has
been for several weeks. He expressed the
greatest confidence in the success Of the
plan.
81 have not the slightest doubt OF its sue
cess" be said.
Printed copies Of the plan Of reorganiza-
tion were furnished by Mr.. Conner during
the day 20 those requesting them. The plan
contains nothing more than was given In
the MORNING NEWS.
A SUPPLEMENTARY REPORT.
MIR. Conner said that probably a supple
mentary report will be issued later explain
ing fully all the details OF the plan and Civ
ing information on every point which is
likely to be required by all interested.
1t will be some time yet, MIR. Conner
said, before the Mercantile Trust
Company will be ready 70
receive deposits The certificates
which will be issued to depositors will have
to be engraved AS it is intended to list them
upon the New York Stock Exchange, and
precautions will have TO be taken to pre-
vent their being counterfeited.
1.-The plan of reorganization was hurried
through with" said Mr.. Conner, $50 that
the security holders might be informed as
soon as possible of what they would get
under the plan. An agreement will
be entered into between the Mer-
camille Trust Company and the reorgan-
ization committee and the depositors,
specifying the manner and conditions upon
which deposits are 20 be made. There will
either be included in this agreement or ap-
pended TO It. as a supplement, full explana-
tion of all the details Of the plan of reor-
ganiZation aud all the information as to
the various securities which Is likely to be
required by the depositors.n
Mr.. CoMER's OPINION.
Mr.. Conner was asked his opinion Of the
plan and how he regarded 1t. He referred
to the following statement made in the
plan: The committee has carefully cOusid-
cred with the receiN er and with the board
of directors of the Central company the
several interests of the security holders Of
the Central company and Of the allied lines,
and it is the unanimous opinion Of the COM
mittee. of the receiver and of the board
that all interests have received equitable
and fair consideration"
his, Mr. Conner said, expressed his
opinion in a nutshell. The junior security
holders, be said, he thought lad been very
fairly dealt with.
Mr.. Conner said that in making the ap-
portionment of the new securities 10 the
present various securities these ideas had
been kept in view, the present value of the
particular property in question, the pro-
spective value Of the property aud the earn
Ing capacity of the road. The income being
received by the holders of the stocks and
bonds OF each road was considered, of course.
THE APPoBTIoNMENT.
The Savannah and Western property,
for instance, being less profitable to the
company than other properties, was given a
less proportion in the superintendent. The
Augusta and Savannah and the South
western, being considered valuable proper
Rome and Columbus and the
Macon and Northern railroads, not being
particularly profitable or valuable, were
not given any Rpportionment at all , but
Mr.. Conner said some OF the 81, 900, 600 of
bonds left in the treasury may be used in
making arrangements with the bondhold-
ers Of those roads.
Mr.. Conner was asked il the amount of
bonds and stock reserved for the purposes
al nj mi nd hos
excessive.
he replied that as the report made up BY
Supt. Wadley and published with the re-
ceiver's report some months ago called for
several million dollars of betterments. he
did not think there had been a single dollar
reserved that could not be profitably used.
1.-The reorganization will Undoubtedly be
expensive" he added. "Reorganizations
always are"
SECURITY HOLDERS SATISFIED.
Mr. Conner said he thought the plan would
be very fsvorably received by the security
holders, and be had no doubt deposits Of
stocks and securities would be readily made
as soon as the trust company announced its
readiness TO receive them.
IL sufficient securities of any particular
branch OF the system we're not received, he
said, TO warrant including that particular
line In the reorganization IL would be left
out, and the reorganization would proceed
without it.
Mr.. Conner was asked II the guarantee
fund required to make the reorganization
success had been secured.
II have assurances from men of unques-
tioned financial strength and who have in
terested themselves in this matter he re-
Piled, that the guarantee fund will be
forthcoming in sufficient amount to insure
the success of the plan. The only opposition
have heard of has been from the Rich
mond Terminal people, and their opposition,
am inclined to think, will have a favor
able effect rather than otherwise 10 the finan-
cial world.
TWELVE MILLIONS SECURED.
''About S12 ,00O, 900 has been secured. The
Equitable Lie Insurance Company and
other prominent concerns previously men,
tioned VIII be among the Ruarantors.
huhn, Loeb d Co., one of the greatest
banking houses In the country, have taken
hold OF the movement with great vigor.
MIR. Jacob Schif OF this firm has taken a
very active interest in the plan aud is desir-
Gus OF carrying it to success"
Mr. Conner said be did not think Mr..
Oakman's letter TO Mr.. Schiff, published
yesterday morning. will be very likely 10
deter the firm from the course it has under>
taken or TO make the firm any more
friendly to the Richmond Terminal
IL all the security holders, Mr. Conner
said, or the great majority of them, wore
70 deposit their securities for exchange there
would be no need OF the GUARANTEES fund.
and the guarRRtors would not be required 10
produce the money subscribed by them.