The herald., 1894-09-22
A REQUEST FOR PROXIES.
The Coming Northern Pacific
Election.
President Ives Addresses the
Stockholders.
He Reviews the Work Of the Present
Directors.
The Business Of the Road Picking Up
Rap'diy-A sosthing Dsnuaoia-
zion of Henry Wizards
transactions.
By tie Assoc ciated Press.

By tie Asso ociated Press.
New Yol,K, Sept. 21.-President Bray
ton Ives today issued circular to the
stockheiders OF the Northern Pscifi O
Railroad company, asking for proxies for
the work OF the present directors and
setting forth the present outlook for the
road. Speaking of the masters report
on the petition for the removal OF Re.
ceiver Oakes, he takes issue with the
finding of fact. and says:
1t is confidently expected by your
board that suits for restitution will be
ordered by the court, and that much
larger sums than those found and
reached by the master, as having been
made with in the transactions named,
will ultimately be recovered from som g
of those who have hitherto betrayed
your interests.
the securities of the company are now
looking 10 that of reorganization.
Hitherto there has been little en-
couragement to make serious efforts in
this direction, owing to the enormous
| decrease in earning. This was not due
entirely to the prevailing business de-
preston. Serious washouts made
through travel impossible for o great
part OF June. and the strike practically
closed the road for the first half OF July.
In August, however, matters changed,
and the earnings for the month showed
an increase of $178,460 over August,
1893. Thus far this month the i'm
provement has been in the same ratio,
and there Ia reason to hope it
may continue. Nevertheless the ee-
rioGs decrease Of earnings during the
year has affected materially and
for the worse, the position OF the stock
holders. Although itis probable that
MAKE easG b02df fgrs or he 1881 eslea SS t.
ing to their priority, stockholders can
assume that they will have to bear pro.
portionate burdens in order to preserve
their holdings. There is no doubt, how
ever, that plan Of reorganization can
and will be proposed which will give
them an equal consideration for any
sacrifices and contributions they may be
asked TO make.
But they must understand that none
OF the committees thus far formed are
working in their interests, while one of
them-that which is known as the
Adams mmittee, is avowedly and eg-
gressively hostile to them.
There is ono phase OF the present
struggle which is so grotesque in it's in.
| justice and Inconsistency that it should
be called specially to the attention of
, the stockholders. The Adams commit
tee, under date of July 81, 1894, made
the following extraordinary public an
nouncement: "We agree with the Ger.
man bondholders who published March
80, 1884 in Berlin and Frankfort, the
statement that the present situation OF
the Northern Pacific railroad has been
brought about through the mismanage.
ment OF the shareholders, and the bond
holders have to take the protection of
their interests in hand Themselves
Il is manifest that the stock and not
the bonds have caet the vote electng the
various boards OF this company eince its
organization, as is usual in all COM
panies, but it is notorious, and to none
better known than the German bond
holders OF all classes, that Mr.. Wizards
main reliance for support and influence
was upon foreign connections, through
which he was able to place vast amounts
OF securities AND manipulate enormo us
sums. Mr.. Willard, as their representa-
the company's councils, which enabled
him to control the elections prior to 1884
when the company collapsed and his
failure caused his retirement for several
years. In 1857 he returned to New
York again as the representative
OF the Deutsche bank. gradually SO.
cured the control of our property and
began second career of ruinous man
agement. for which his former connec-
tons now repndste him. We do not
impugn the motives of the foreign bond.
holders and their principles. but they
have twice made serious blunders in
their support OF the old Northern Pacific
management, and instead of their hos.
tility your board considers itself WORTHY
OF thslr active support. The indeien.
elble accusation that it 10 your fault and
that you nust therefore share the bur-
den OF their changed position toward
Mr.. Willard, and trust to their eelec-
tinns n this corntry from the ranks of
the old management to rehabilitate
your property. seems not only es-
pecially unjust to the stock
holders, but against the best in
terests OF an early reorganization, which
can be brought about only through har.
mony and united action. and which the
directors have sought in vain thus far to
effect
That there may be no misunderstand-
ing as to the attitude OF your directorr.
for the future as well as in the past. il
should be known that they are, as they
have been at ali times, ready and anxious
to cooperate with all, whether bond
holders or stock kholders, whose oblect has
been. or may be, to promote the welfare
OF the entire property.
(Signed) BRAYToN ives,
President.