New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1894-01-04

financial.

with. invite all holders OF the above bond.
to deposit with with the least possible delay
The Second Consolidated Bonds must the December
s03 coupon. the o. which will be allowed for In
cash at time Of delivery Of the new bonds
The company. In Its circular makes reference 10 the
unusual conditions OF the mortgage securing the
''secoad Consolidated bonds Not only the bond
holders powcrlcss to begin foreclosure proceedings until
SIX SUCCESSIVE coupons In default. but. even 1.
such default should be allowed the remedies
under the mortgage uncertain that opinion
foreclosure would be impracticable II possible ALL
could only be- accomplished after almost endless delay
Our with the Erie Company provides that the
proposed mortgage shall be satisfactory to us IN all
its provisions and do not hesitate say that be-
the REIMBURSEMENT offered by the Erie Company will
clearly for Of the Toned bond
holders only because VIII for them under
advice Of COUNSEL the advantages Of a carefully pre-
pared mortgage. with fun rights Of foreclosure
81 any default. but also Of moderate
Int essential provision which It will make for the
pcrati~c needs Of the Company for legitimate construc
ton and equipment purposes in the future \ lack Of
such provision the direct Of the disasters which
overlook the Erie Company In 1851 and 1893
both Of which occasions III, Second Consolidated Mort
gage Bondholicrs have had to bear the burden OF the
calamity.
In yew therefore. OF the position in which the Second
Consolidated Mortgage ondhoders have found themselves
IN" past and find themselves again to-day have not
hosntcd To- approve plan which for simple concession
Of per cent In the rate d interest provides by ex
change AMI purchase bond which, In our judgment. Is
n'rlnsicaly and commercially reliable ami valu
able investment than they now hold.
The scheme which ~ recommend has been agreed
upon only after proracted negotiations and has already
the and Endorsement Of large American and
European holders Of the bonds affected.
Under the discretionary power vested In by the Erie
Company prepared declare the plln opera
tive and 10 MA In the details OF Its execution as
"A ma urity In Of n" bonds affected by and
called for shall be deposited with us under is terms
Negotiable receipts Will be Issued by for all deposits
Application will be made 70 have same listed on Stock
Es 'hanEe.
II is understood nnl agreed between us anl each de-
posor condition upon which his bonds nre r"ceired
tina, tn deposit constitutes acceptance Of the pro
posed scheme In ts entirety.
Subscr the bonds - be paid to Ms whom
ever we are ready 70 deliver them ~ which due notice
viii b. given 10y publication.
4 form ~ slcer of deposit anil subscription. which
mus, accompany each deposit, may be- obtained at our
Office.
We reserve the right declare tic plan abandoned as
a whole and in oycnt bonds OF the class
anl Opposite" without charge - drposois. upon
surrender o. receipt.
We further the right - terminal" AZ any time
pul without notice the privilege of dcposug hereunder.
IN closing wish - recommend and urge prompt
action uron par, = h1lers 81 the securities affected
tbs reorganization II successfully completed. K Will
IN our opinion result i taking the property ont - the
uIs 81 fhc avoid possible disruption Of
s-a'cr credit this without present
- feed charges AMI give - IL" security hDI"s
t1nl IN which t"ir Fights are protected and dcfens!be