New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1894-03-02
ING CAPACITY,


ING CAPACITY.
The modified plan Of reorganization OF me i'c"-
mond and West Point Terminal Railway and Ware
hous" Company and Its subordinate companies, IN
Guiding the Richmond ana Danvine and the East
Tennessee VIRGINIA and Georgia Railway systems,
was made public yesterday 10y {. Ii. ''S'rr' 81
prcxel Morgan d CO., chairman of the Hc'rEA"i"'-
tion Committee. Wall Street received the pnpIVl-
ton with ratification as tae issue of the pan was
interpreted as Indicating an improved lha:cMi APP
petite The new plan emphasizes the great f1t'iAs
or IN earnings in he last eight months. ana SHOWS
that oven after a revival In business earnings c""-
not safely he expected for some time TO return 10
tie irIr.s ~ e year ago. on Whch me original
plan was based To bridge The pre9rnt nv
ncut-s ~ providing for the additional debt when
has accumuiateI. AMI also to provide to certain
extent for the future until earnings improve the
committee In the main. requires the surrender ot
au back interest and all coupons for year OF
two % come on many OF the new securities going 10
properties (which cannot make good the arrears OF
income alre,Jy accrued" The whole theory Of
changes is based upon this temporary relief ana ii
Is worked out without any Partially.
The modified plan embraces about four thousand
SIX hundred miles. and the securities Outstanding
after reorganization are estimated at >'l"""V
bonds SiSN4cG) preferred stock. and N21r'''J COM
mon stock The fixed charges are sca'"a down 10
$4lO0C1 IN 1891. and $4,000 in 1870 hrI"di,er
earnings to the preferred stock. The assessments
are changed 10 SO on Richmond Terminal STOCK
ana s. ~ on East Tennessee, Virginia ana Georgia
common stock. but the original assessment on
East Tennessee. first and second preferred Stoch ~
left unchanged. The committee gives bonds TOR ono
quarter OF the new assessment and preferred STOCK
for three-Quarters. The underwriting 9FhIlCtl,
Guarantees the necessary cash GlQ5jO,nO over and
above the assessments - provide for ne" con
strlction and improvements. All stockhoid"TS VINO
have not already deposited their stock are TuIri
out absolutely
considering that $4,000 additional debt has ben
accumulated the Reorganization Commute, mas
changed the plan as 10 make X Dear IlKH,y
on all interests. and popular fcatu?" Will De
hat Of making the burden on he hichmOnd Ter
mlnal and East Tennessee much lighter. The hrsi
caN for assessments under the new pan IS Tor
Il IS per share on Richmond Terminal ana 81 - on
East Tennessee common, 81 - on second Pr"i"frci
and rs cents on first preferred. payable March ~
;Th. committee announces its intention to push INC
rADrqoniZItion vigorously to . close. The Richmond
Terminal Is practically wound up. ana all IT, assets
= re owned BY the committee. 4 decree ~ iOreclo-
sure for the Richmond ana Danviilc Is expected IN
n few, DAYS and a decree for the East Tenn"ssee IS
in course Of preparation. \ charter extremely 10
oral i'm its terms already been secured Tor me
new company. Ample funds are provided ior
,,,rcha ding additional equipment AMI other I'M
n~oVemenfs which viii largely add 70 earnings. rs
Vel as dlnuse large amount OF money Throughout