The Portland daily press. [volume] (Portland, Me.) 1862-1921, 1893-08-19
FINANCIAL.
The Union Pacific
Railway Company.
EXECUTIVE Department.
Boston, Aug. ., 1888.
To the Holders of s Per Cent. Bonds
secured by the Sinking Fund
Mortgage of the Union Pacific
Railroad Co., of December1S, 1873:

The bonds secured by the mortgage above referr-
to become due on Sept 1, next. On JAN l, 1885,
there were outstanding bonds to the amount O.
s5,17e, 900. At the same time there were IN tne
hands of the Union Trust Company of New YORK,
the Trustee under the mortgage, uninvested balan-
ces applicable to the redemption OF SAID ponos
amounting to 1904 6e512. During the period from
January first to September first of the current year.
it is estimated that further remittances, derived
from the sales of land payments on bills receaple,
etc.. will be made to the Trustee to the amount oi
about 100000 1t is believed therefore, that at tne
maturty of the loan the Trustees will have in hand
about 81 4o4 ~ for application to such part OF
the debt as may be held by persons who may then
wish to receive payment The application OF tnese
sums will reduce the debt to 80, III 1874 So.
Against this balance of Indebtedness the Railway
eomnany holds notes or contracts made by former
purchasers of lands secured by the lands in respect
of which they were made which, however, are only
released by the Trustee receipt by it OF the 1ui
amount of the consideration, the amount OF wnlch
on September 1st, next, making due allowance lof
collections to be made in the interval will approx
mate So 1863 9oo18. In addition to the LANDS under
contract the Trustee will also hold the unsold lands
the estimated value of which is S3,079,0oo. Ihls
estimated value is very conservative, being much
less than the appraised and selling value. The
value of the security,-contracts and unsod lands
So 44S 49, exceeds the estimated balance of the
Indebtedness (s3771, 334.8S) by the sum OF
So, ST., 567.3O.
The lands referred to represent the usold portion
| of those granted to the Union Pacific Railroad
| Company to which the Union Pacific Railway COM
pany the by consolidation, and are free
from any lien or other encumbrance excepting only
| debt of SS00o the balance of the original land
| grant mortgage bonds SELL outstanding.
| No allowance has been made in the foregoing
statement for the possible failure of purchasers to
| complete the payments provided for in their con-
tracts 1t is believed, however that not more than
| 100000 in amount will ultimately be defauited.
But even if default be made, the lands under con-
tract will again become subject to sale and VIII
1 exceed in value the sums due upon them.
lands and to lands already Sold but still under con-
tract, lis vested in the mortgage trustees me pro.
trustee and are applied as in the Trust !ndenture
provided to the purchase and ne a 0a o.
t nona eopany Treasury Meanwhile the taxes
the unsold lands the expenses OF advertising or mar
bend have sab been paid pursuant to the terms t
| continue to be paid by the Railway Company unaer
| the extension agreement.
Holders of the bonds asserting TO the
i proposition to extend are requested 20 I'M
mediately send their bonds to the Union
/ Trust Co., No 80 Broadway, New York, or
| to its agent at the office of the Union
/ Pacific Railway Co., No 81 Ames Building,
| Boston, Mass, for the purpose OF having
| the bonds stamped and to enable the
1 company to affix to coupon bonds the new
| coupon sheets. The Trust Company VIII
| issue its receipts for all bonds thus deposit
/ ted and will hold said bonds until such a
| number thereof have been deposited Or
| their extension guaranteed, as Will enable
| it to announce that the total amount OF
/ bonds has been provided for. When the
| registered. bonds shall have. been stamped,
| the interest thereon will be RENTED to the
registered owners, as has heretofore been
| the practice
| To enable the company to complete its
| arrangements and to affix to the extended
| holders of such asserting bonds are re-
| quested to present them as soon as possible.
| The September interest on bonds present.
1 ed for extension will be paid on the
| presentation of such bonds for debosit.
| THE TIME FOR EXTENSION OF
| BONDS UNDER THIS OFFER Is LIMIT
| ED TO SEPT. LIST, AND THE AMOUNT
| THAT CAN BE EXTENDED is LIMITED
| TO &3.SOO,OOO.