Delaware gazette and state journal. (Wilmington, Del.) 1883-1902, 1893-08-31
np R,cEs sc4rHJsG EpIsrLE.

LII ILbts AZ 49,
Reading bond Holder Isaac l.. kice
snealts some plain Words to the Chair
man of the Reading Committee--ihe
Railroads. Tremendous Decrease III
Business.
NEW York, Aug, 25.-The following
letter of Mr.. Isaac l.. Rice, representing
n number of the bond holders OF the
Reading Railroad Company to the chair,
man of the joint Reading general ana
income bond committee is made pubic
New YoRK, Aug. 90, 1898. Dear SIR
had hoped that the joint Reading com
mittee, at its meeting on the 10Th instant;
would take some decided stand as required
nv the grave crisis that confronts the Sc
cilrity bondholders. deeply regret. how
ever, that the policy which during the
past six months has resulted IN aosoiuteiy
nothing, appears to be still dominant.
Its continuance, coupled with the iact
that certain members OIL the So hili.se
are openly in close personal and business
relations with members of the present
management, naturally impairs the enect
tiveness of the committee.
The security holders whom | represent
share with mo decided views on the slt!ia-
ton. .They are clearly of the opinion
that the present management has grieV-
ously mismanaged the property, Recent
occurrences have fully confirmed the
views expressed by me month ago on the
subject. The frightful waste OF the as
sets of the company and the tremendous
decrease in its business foreshadow the eS,
tinguishlng of the junior securities and
heavy assessments and scaling down oil
| the seniors.
This catastrophe can be avoided only by
prompt and radical change in the manage
ment putting the property upon an inde'
pendent business basis.
The circular which | understand YOU
company is about to publish does not meet
the issue squarely, and by asking for repre-
| sentation ON the part of the management
| practically endorses, and, except for some
slight criticism expressed, seems TO be
| quite in harmony with it.
This is, in my opinion, no time fol
mincing matters. II the present manage
| ment be good, and capable of caring fo
the property, the mere fact that it commits
an occasional error is sufficient warran
for the existence or interference o
any committee, aud criticism or casua
suggestion Is not of sufficient ground tt
ask for general support of the securities.
If, however, the management is radi
cally wrong it appears to me that you
position should BIZ clearly and uncom
promisingly defined as against them. l
your committee desire change OF manage
ment it must be prepared to name the one
cannot but deem 1t useless to ask seCurit
holders to unite without telling them wha
they are to unite for.
The parties whom represent desir
definite action, and am, therefore com
PEELED reluctantly to withdraw my Sc
curities and those represented by me. Thi
is not done in any spirit of opposition
In fact, from what ! have said above,
, think you will see that regard the CON
, mittee's position as not being capable q
opposition. being practically neutral.
shall always be ready to cooperate wit
you in any definite plan for the rescue {
the property and trust that may sim
larly count on your cooperation to til
same end.
, Yours very truly. ISAAC l.. RICE.