The morning news. [volume] (Savannah, Ga.) 1887-1900, 1893-12-08
BONDED FOR S2O,OOO,OOO.
The S., F. & v. Railway Company TO
Consolidate It's Indebtedness.


A MORTGAGE to Secure That Issue Of
6Per Cent. Collaborating Bonds EX-
ecuted to the Central Trust Com
pany, of New York-Al the Old
Bonds to be Taken Up, and Other
Debts to be Paid Thareby-A 3d.
100000 Contingent Fund for the
Purchase or Consolidation Of Any
CONNECTING Road Which May be
Deemed Expedient by the Directors.
The Bonds to Nature in Fifty
Years.
The Savannah, Florida and Western
Railway Company has executed mort
gage TO the Central Trust Company,
Of New York covering its entire property
all railroad lines, equipments and every
thing. to secure an issue Of
$4,000. 600 consolidated first mort
gage, 3 per cent, gold-bearing bonds,
dated April 1898, when the direc-
tors at q meeting held here, decided to
have the bonds issued, and 70 fall due
April, 1913.
These bonds are to be issued for two
fold purpose: First, for consolidating the
Indebtedness Of the company, and second,
for creating a contingent fund for pur-
chasing any railroad or part of a ra ilroad
connecting with any Of the lines of the Sa-
vannah, Florida and Western railway
company that the directors may see fit to
purchase.
CONSOLIDATING THE INDEBTEDNESS.
A copy of the mortgage has been filed
IS /.
according to law. and Is a printed pam
phlet of 9 or 50 pages. It includes a com
plete statement OF all the properties of
the company, with those recently &C
CURED, and on which there is still a large
amount Of Indebtedness, and also a state
ment of all the Indebtedness of the com
panY.
The mortgage provides that the issueof
bonds shall not exceed $4,000 per mile of
the lines operated by the company. and
altogether shall not exceed $50, 900 900.
The bonds are 20 be placed in the hands
of the Central Trust Company. of New
York, as trustee.
The company has built new lines and
purchased new equipments. and has con-
solidated all its property under the Sa-
yannah, Florida and Western Railway
Company. The directors deem it neCes-
sary TO borrow money, at least, to the eX-
tent of $50, COS per mile on their lines at )
per cent, to be paid semi-annually. The
issue was decided on at a meeting of the
directors held IN Savannah lastApril.
Provisions OF THE MORTGAGE.
Of these bonds eco amounting to
So, 100000 are to be appropriated to taking
up the debts of the company as follows
The S6,5OO,O0O 6 per cent. gold bearing
bonds for which a deed Of trust was
made to the Metropolitan Trust Company,
Of New York, In April, 1854, and which
are due in 1884; 800 400 IS to be appropri-
ated to paying the indebtedness on the
Townsville and Monticello railroad, and
the remainder. 81, 900 600, to retiring the
bonds now dive Of the South Florida rail
road, on which the company put its in
dorsement when that road was acquired.
Construction and equipments come next
in order and 3,3l0 OfJhe bonds, amounting
TO S3,2lO.OCO, are appropriated to pay the
Indebtedness thereby created. This
covers new lines which have been built
recently by Mr.. Plant and new equip
ments purchased These bonds, or
rather the proceeds, are 10 be delivered
to the directors, and $500, 600 of them are
TO be delivered within four years from
date
Two million dollars OF the bonds are to
be delivered to the directors for better
Inents and improvements on the property
and for the acquisition of such other ad-
y
necessary. This disposes of $l5, 600, 900 of
the consolidated bonds.
TO EXTEND THE SYSTEM.
The remainder of the amount 81, O0O, 900
Is held as a kind of a contingent fund for
the purpose OF extending the system in
the event the directors desire to purchase
other property for that purpose.
This amount IS TO be used in case the
company shall deem it expedient or neces-
sary to purchase or consolidate with any
railroad or part OF railroad, which may
at any time connect with the Savannah,
Florida and Western railway or any of
its lines. If such acquired railroads are
free from encum brances the mortgage
provides that they may be bonded by the
company al not over $50, 900 per mile.
The mortgage is signed by President II
b. Plant, Of the company, and is witnessed
by Messrs. +. q. Erwin and Nj +. Plant
The latter provision of the mortgage
might seem to lead to the superstition that
the Savannah, Florida and Western is
making some provision to acquire the
Florida Central and Pcninsular if a de-