The times. [volume] (Richmond, Va.) 1890-1903, 1895-02-07
IN RECEIVERS HANDS.
THAT rs NOW THE CONDITION OF
THE NORFOLK& WESTERN RI.
Jsdes Coz, Of the United states Circuit
Court Of Appeals. Has Appoiuted Y.
J. Khnbsli and Henry Fink,

Judge Con-, In the United States Circuit
Court OF Appeals. yesterday, on applica-
ton OF the Fidelity Trust and Safe De
posit Company. of Philadelphia. appointed
T.. J. Kimball and Henry Fink receivers
OF the Norfolk and Western Railroad
Company. In answer a statement IS hled
by the officers OF the company. admitting
all the facts and Joining In the petition Tor
the receiver.
1t Is stated IN the answer that the COM
pany's business was greatly depressed Ny
the panic. and that IL mad 10 borrow large
sums OF money 10 make necessary repairs;
that the company now has a noatihs
debt of more THAN a million do'iars' rep
resented by bills payable OF the rdiirodu
company and the Roanoke Machine
Works The company also owes us en-
pioyes about SEJvs. The answer tnch
goes on 10 say that as soon as 'he Coli-
pauy should default In It's oohgat'olS
creditors would become alarmed anu hu-
merous suits would be brought 10 pro
feet the interests OF all therefore IL JUN
ed In the prayer for receiver
NOT SURPRISE.
The appointment of receivers was NOV
altogether surprise to KIchmohd
bankers and brokers. There was ru-
mor IN New York last week which led
,bem 10 anticipate this action. The
preferred stock OF the Norfolk ana West
ern dropped about points on the re-
celyership. About TWO months ago Nor
foIk and Western preferred was senlny LOT
~ To-day Il sold down TO -.
The following statement was given out
a, the general Offices OF The company, IN
Philadelphia. this afternoon:
This action was taken under the au-
vice ana at tn" recommehuat Oh noIu
.rs and representatives Of very large
AMOUNTS Of securities Of the company, -
whom the company had submitted fun
statement OF its financial condition and
of the anticipated payments and receipts
for the ensuing year.
THE property of The company IS III
excellent condition. but owing 10 the
great depression in the coal and iron IN
dustries. and the unprecedentedly 10"
rates prevailing, the net earnings OF inc
ronnanv have. for the past TWO years.
been insufficient TO meet its fixed charges
and This has so seriously affected the
credit of the company that IT wa,
thought Impossible for it TO continue us
operations without some rcadJuslIneht Vi
its liabilities.
THE coNrAHY's AFFAIRS
"a fulI statement of the affairs OF the
comnanv will be issued I'm the course OF
a few days"
rho appointment of Mir kimbaii was
r.oues,cd nv the Fidelity lAsurdn c,
Trust and Safe DEPOSIT Company OF
PHILADELPHIA; the Girard Trust Company
nv representatives and holders OF Id's9
amounts Of securities OF the COMPANY
and By the board Of directors ana All.
,Ia OF
his successful administration as receiver
of the old Atlantic. Mississippi ana ONO
railroad. which was the prc1et estor OIL
Tho Norfolk and Western company. In
the interval Mr. Fink has also aCted
as receiver OF the East Tennessee
ginia and Georgia railroad ana inc
Memphis and Charleston railroad anu -
Thoroughly familiar with the prope u ana
the Industrial interests OF the seItioh
through which the road runs.
The news Of the appointment OF re-
ceiyers was received In financial circles
IN Philadelphia shortly before O'Clock
and. while such an announcement Oh inc
company's financial difficulties hdd not
been Immediately expected. ii cannot be
said 10 have created much surprise.
THE coMPANY's CREDIT.
For many months II has been well
known that the companys credit was ue-
,eriorating, and the steady depreciation
OF the Junior securities has pointed I'M
falteringly TO the one conclusioh-a re-
Ownership.
Norfolk and Western shares nave re-
Gently been quoted at the lowest prices
or record. the preferred stock selling be
low Ia and the common below T. Inc
CInch Valley division bonds nave aiso
declined considerably in price, ana me
New River division first mortgage per
cents have brought as low as 10 Never
fbdess. il had not been openly reported
that d receivership was imminent ana IN
some quarters II had been hoped that
the dificulties OF the company could be
tided over.
AT RoANoKT.
ROANOKE. VA. Feb. 6.-The Norfolk
and Western railroad officials at the gem
erai offices in this city were notihed this
afternoon of the appointment OF receivers
al Richmond, and that the road had beeh
turned over TO the receivers. Ihey were
instructed to proceed with the operations
az heretofore. and. while II IS not known
what was done. the opinion prevails
among the officials in this city tnat no
great changes viii be mace IN the opeiat-
ing force. ....-.
AS this city is the centre OF the system,
and the location of the general oinces ana
sbons of the road II IL largely dependent
upon the Norfolk and Western, and there
was much interest In the receiVershlp
manifested by the people here.
The result is by no means a surprise
ana there Is a general disposition to accept
IL cheerfuly. 1t IL not believed that any
Roanoke interest viii be seriously affected,
and that the result will ultimately be
beneficial, as II is we'll known that the
road would have to go through the usual
process OF reorganization.
The appointment OF T.. j. kimball and
Henry Fink az receivers OF the Norfolk
and Western railroad was well received.
A number of prominent business men were
interviewed to-day In reference TO the
change and they pronounce IL one that
will prove beneficial 10 the interests OF the
road and this section Nice-Prcsdent
Sands was also seen by The Times CORE
spondent, and he confirmed the fact that
the road had gone into the hands of re-
ceivers.