New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1895-12-19
financial.
TO the Holders of
PHILADELPHIA AND READING
RAILROAD COMPANY'S
General Mortgage Bonds.
First, Second. and Third Pref
erence Income Bonds,
Deferred Income Bonds.
ILL
and OF receipts
Of Central Trust
Company OF
New-York therefor.


NEW YORK. PHILADELPHIA AND LONDON.
December &C. 1899
Pursuant TO the announcement Of Messrs Frederic =
oIco,t Adrian I,elln Jr r. Kennedy Tod Henry Bulge
Thomas Denny George n. Earle Jr.. Sidney +. Tyier
Samuel r. Shlpey, and Richard Y. Cook. commune
plan has prepared for the reorganization OF e run
adepha and Reading System This plan has our cor'''
approval and. pursuant arrangement with the 'o
mttee we have undertaken act Managers 10 carry
It into effect.
Unless the acceptance plan shall be 80 genera d"
in the opinion Managers obvste the necessity Oh
foreclosure. the properties Of the existing Reanhs ~
panies will sold companies VIII De "s"
zed under the laws Of Pennsylvania. and the s'oc ~
securities Of these companies will he vested III
new company. formed to be formed under 'he ""' "
Pennsylvania OF some other State.
In our opinion difficulty In the way d
reorganization by foreclosure and the plan has oeeh pre-
pared the assumption that foreclosure VIII p'o' w
necessary
To carry out the plan the following securities Will be
created:
I. General Mortgage 1OO-Year per cent?
Gold Bonds for St1f.OOO.OOO
The mortgage will further provide for the issue u
desirable. additional bonds secured THEREBY 'o
exceeding s21 OOoooo) to rect the outstanding rn'aue
pha Reading Terminal Bonds and Philadelphia ana
Reading Bonds which case these BONDS
property thereby will be brought under me
mortgage additional security therefor.
Suitable arrangements will be made for sinking funi
/
,s successor TO be retire General Mortgage
Bonds. but compulsory redemption o, the new bo"o'
be made prior to their aturty.
The new mortgage WILL subject only to the bonds for
reservation made be based upon properties or
Of all lines Of railroad owned By the mia
delphia and Reading Railroad Co, 327 miles
Various leasehold lines. $50 miles. more or less
All the property Coal and Iron Company. or the
securities thereof representing nearly 10000 acres OF coa
and timber land
Il will the benefit Of equipment valued at
about slOO0OoOO subject 10 about s'3OoOoo or
which be acquired under the
plan. and also the marine equipment Of the Company
viii further have first lien upon a majority or
or the capital stock Of various properties essential
system. Of which IS covered by the pres
General Mortgage. The securities thus 70 be pedsed
year OF $3.50 OO0 OF which 600
actually by the Philadelphia and Reading
Railroad Company tho Of dividends. the remain
der being retained for beterments and working capital
The mortgage Will thus have the security OF vast
OF valuable property In addition to that AFFORDED
by the present General Mortgage.
2. Non-cumuIntive - First Preferred stock
for S2SOOO.OOO.
3. NOn-cumuIativc ~ Second Preferred
Stock for S42.OOOOOO.
4. Common stock for $7O,OOO.OOO.
Provision win made that. any time after tivi-
dends the Of per cent per snnum shall have
been paid for successive years on the First Pre-
ferred stock the Company may convert the Second
Preferred Stock par. one-half into First Preferred
one-haf into Common Stock. and the amounts
OF may be increased in conformity.
Will be made that the stock OF the Com
pany held by voting Trustees for five years and
thereafter until the First Preferred Stock shall have
received per cash dividend per for two
although the Trustees deliver the
stock earlier The Voting Trustees WILL in the
meanwhile. beneficial interest
| usual.
! OF the bonds
S4i.5jO 600 Will be used for undsturbed bonds
100000 sold to Syndicate
$ooO0rO0O are construction additional equip
ment. etc, under carefully guarded re-
strictions. 81. 500 600 10 be used in
| any year. These bonds will be used
/ only in such additionally to
the mortgage.
basis OF exchange Of existing securities follows