The sun. [volume] (New York [N.Y.]) 1833-1916, 1894-10-27
SoRrHERx PAcIrrc IN rUSDs.
The Ass-s Cs~-it,se Hss P-r.ss..4 An
&c e. Rseetvers' Certsa~.e...


sr the Rseetvsrs' Cerua~.e-s.
The receivers Of the Northern Pasinc Railroad
Company. through the Chairman of their
Finance Committee. Mr.. Rouse have success
fully negotiated the sale Of 81 500 600 receive
ers' certificates TO the General REORGANIZATION
Committee represented By Mr.. Edward ID.
Adams Chairman, upon terms better than any
heretofore offered. All bids presented at Mil
wsukee on Monday were rejected. This insures
the retirement next "wednesday Of the certin-
Gates temporarily carried by the Ives party. The
marked improvement in the earnings Of the
company, together with the sale Of the GER
tihcstes, insures the payment Of the interest due
Jan. on the s43.9e3,O0 FIRST mortgage bond.
of the company, and provides for all the present
needs Of the receivership.
This result confirms the position taken BY the
receivers and the Reorganization Committee q
few weeks ago. when they presented to the
court n complete financial plan, which was tenn
porsrily interfered with by the Ives party. At
that time Mr.. Brsyton Ives, IS President of the
company. objected 10 the consummation of the
receivers plan upon the following statement
contained in his sworn answer and sfildavit.:
That loans on time can now be obtained in
cent per annum, that such securities a. the GER
tidcates can be promptly negotisted without
should be paid in any event"
In view Of the protsststious Of the Ives party
portunity was given Il by the Court to m MAKE
good Its Offers. Notwithstanding the opposition
Of the Second and Third MORTGAGE Committees,
granted the application of the receivers and
authorized the issue of the entire 81, 900 Of
them. The receivers at once made 's1 public pull IL
offering of the certificates. The only bid made
hereby bid and offer r to take $500. 900 Of IN.
hrst S2.5OO.OOO OF the certificates to be issued
II sS p w,f s9us
mission OF ~ per cent. be paid. and provided
further that II any greater commission be al
allowed to myself.
"BRAYToN IyEs, for himself and associates
The total collapse OF the ives party in their
financial claims led Mr.. Cromwell. counsel to
tho receivers, TO protest to the Court against
giving their financial pret.nsions further con.
sideration. and the Court rendered q decision
In which Judge jenkins said, after reciting the
Under the circumstances the Court had rea-
son TO believe when those receivers certificates
out any opposition on the part of Mr.. Ives or
the Northern Pacific Company-that they would
you'd t TO o. hs.e
certificates at very much less rate than had been
az Iess, h tne ADAMS Jpn MN t has Is
within ten days OF the maturing Of the extended
time, the only proposition on the part Of Mr..
for 500. 900 Of those certificates at the rate
Of IL per cent bankers commission, but at the
highest rate which anybody may bid for them.
do not think. in view OF all that has transpired.
that this Court should be made q sort OF receiv-
ing Board to receive bids now and again in re-
gard to the financial operations of the receivers
when that duty Is lodged with them and they
are clothed with the power and with the re-
sponsibility of taking care of the finances OF
this great corporation"
The Ives party having signally failed in its ef-
renewed negotiations with the General Reor-
ganiZation Committee. with the result stated
above. The committee has purchased 81. $780,
600 OF the certificates at per cent. interest and
~ per cent. commission for three years. which
Is equal to q little less than 6la per cent per
mum. The original offer Of the Reorganization
Committee was per cent. commission. The
committee Is prepared to take the remaining
81 SOC, 900 Of the certificates at the same rate
whenever the receivers need to sell them.