The Salt Lake herald. [volume] (Salt Lake City [Utah]) 1870-1909, 1895-04-11

New York, April 1o.-The board. OF
directors of the Atchison. Topeka &
Santa Fe company met today and is
sued the following circular letter TO
The stockholders Of the company:
when your directors were elected
they found your company bankrupt,
its property in the hands of receivers.
its defaulted interest amounting to
many millions Of dollars. its floating
debt more than $4,000. 600; its repairs
renewals ard improvements not up 10
date and its business badly democrat
lied. In addition TO this the re-orgaIflza-
ton committee had long been con-
sidering the problem of REORGANIZATION
and had already advanced anu WITH
drawn one PLAN BY the time your
directors had acquired a full KNOW
ledge Of the conditions and require
1nentS of your company the orlglnai
Reorganization committees. desiring
perfect unity of action, had arranged
for a committee known as the joint
executive reorganization committee
and this committee had taken up the
task of making a plan where the first
committees had left it off. A plan has
finally been formulated and announced.
During the time through which the
joint re-org anization committee has
directors have given unceaSinS atten-
ton TO it and have left nothing I'M
done to insure on the part of the COM
mittee a knowledge and consideration
Of all possible and pertinent facts and
opinions relating to a proper recogni-
ton of the shareholders. In every
feasible way the views of your direc-
tors and individual shareholders and
their friends have been brought to the
attention of the committee. What has
been communicated to it, has also been
communicated so far as was proper
TO many Independent parties Of great
financial strength whose interest in the
property has been repeatedly and
earne tly appealed to or solicited. No
new interest seemed willing to under
take so great a task as the one pre-
scented. The joint executive re-organi-
cation committee, therefore has been
alone in the field so far as relates to
the actual PRONUNCIATION of a plan.
The reduction of the assessment from
SO per share in the stock, the amount
fixed by the first committee to $40, Civ
ing the preferred stock for this assess
ment, and the reduction of the fixed
charges so as to insure to the stock
what seems to be an absolute i'm
snunity from the danger of foreclosure
IN the future, are provisions in line
with our appeals for fair treatment to
shareholders. Though the charges
ahead of the present stock are some
what increased, the property and its
possibilities are bettered and the net
result is undoubtedly a great gain over
existing conditions.
In completion of the plan, it was
underwritten by Messrs. Barring Bros.
& Co, of London, and other strong
foreign and American bankers who
should be able to estimate correctly
the probable future of the shares,
These underwriters have assumed the
liability of paying the assessment and
taking the stock. 1t is evident they
would not have done this but for the
belief that the stock would have its
present value or a higher one The
outlook is, therefore. that tn general
mortgage bOndholders will deposit
thelr bonds, the plan be effective and
an entire reorganization of the system
De speedily accomplished
In view of these considerations wa
approve the plan, recommend that the
stock be deposited and the assessment
PAID and the reorganization be facili
tated III every possible way (Signed
WILLIAM L. BULLE.
JAMES A. BLAIR.
EDWIN BERWIND,
r. P. CHENEY, JR.,
II. r. DUVAL.
THOMAS p. FOWLER.
CHARLES r. GLEED
SAMUEL P. LAWRENCE.
John a. MCALL.
GEORGE r. NICKERSON,
THOMAS A OSBORNE.
FRANK K STURGIS''