The morning news. [volume] (Savannah, Ga.) 1887-1900, 1896-10-14
THE LEASE TO BE PROTECTED.
STATUS OF THE GEORGIA RAIL
ROAD CASE DISCUSSED.


Directors of the Central of Georgia
Decide That All the Security-HOld-
ers VIII BE Allowed to Deposit
Their Securities and Receive New
Ones Up to Jan. 1.-The stOckhOld-
ers' Meeting Postponed to Nov. 10.
The Tybee Railroad Lease Rnti-
fied-The Directors Present.
At the annual meeting Of the directors
of the Central railroad in this city yester-
day it was decided that all securities Of
the old company, which we're not deposited
under the plan Of reorganization in ex-
change for new securities, be accepted
in exchange for these new securities
up to Jan. l.
This means a great deal to some Of the
junior security holders of the Central
Railroad and Banking Company who fail
ed to deposit their securities under the
plan Of reorganization. The new COM
pany, Of course, has a perfect right to
refuse to accept these securities but
after a full consideration Of the matter
It was decided to give all an opportunity
to come in, and the time was extended
up TO Jan. l. 1897
There are still quite a number of debent-
ures and shares of common stock on the
outside but, according to the resolution
passed by the board of directors. they
win be permitted to participate, and will
be given in exchange the same sort of
securities as We're given to those holders
Of similar securities who came into the
reorganization plan at the time 1t was
put out.
The board, for the most part, was oc-
cupied with routine matters that have
come up since It's last meeting 1t was
decided to postpone the meeting of the
stockholders until Nov TO- and no changes
will be made in the board Of directors
until that time. AS stated in the Morn
ing News, there are three temporary d.
rectors, elected under the temporary or
ganization of the company, whose places
will probably be filled by the election of
permanent directors at that time. Mr..
I'd Workman was made secretary of the
board.
President H. M Conner read the annual
report of the company. This, however,
is not ready to be given out for publication
at present. 1t is well known, though,
that the Central has made good showing
for the year. Besides paying all fixed
charges due it declared on Sept. / a div
idend of IL per cent. on the 100000 first
preference income bonds for the eight
months. This is considered remarkable
showing in view of the fact that it was
not expected that during the first year the
Central would pay interest on any Of the
income bonds. The report will probably
not be ready for publication for several
days.
Another matter considered was the lease
of the Tybee railroad for the winter
months to Mr.. J. J. McDonough, which
was made some weeks ago by President
Conner. The arrangement made was con-
sidered satisfactory in every respect and
was ratified and confirmed.
President Conner made a statement to
the board with reference to the status of
the Georgia railroad lease, a subject which
has recently excited more interest than
any other in connection with the Central
railroads affairs for the reason that many
believe that the Louisville and Nashville
railroad has scooped the entire lease by
the payment of the whole rental at a time
when the Central was unable to pay its
share promptly. II may be said, however,
that there is much doubt whether the
Central has lost any part of its interest
in the lease.
You may rest assured" said a prom
inent member of the board, that there
is no one connected with the Central of
Georgia Railway Company who is at all
worried over the status of the Georgia
o
otherwise, which could have been taken
to protect the interest Of the Central Rail-
road and Banking Company of Georgia
in the Georgia railroad lease which has
not already been taken. ! am satisfied
that the whole matter will be settled amic-
ably and satisfactorily to all parties at
interest, and that there will be no un-
friendly litigation over the matter between
1.-The Louisville and Nashville and the Cen
tral railroad"
This indicates clearly that the Central
has by no means given up its share in the
lease of the Georgia railroad, and that
every effort is going to be made to secure
e. friendly adjustment of the matter be-
tween 1t and the Louisville and Nashville
The directors seem to have no doubt that
this arrangement will be brought about
This was practically all there was of
interest at the meeting of the board, its
first annual meeting. The directors pres
ent were Messrs. George J. Mills. A. r.
Lawton, Joseph Hull and A. Vetsburg of
this city; S. r. Jacques and j. F. Hanson
of Macon Patrick Walsh Of Augusta
Evan p. Howell of Atlanta, G. NJ will
Jams of Columbus and U. B. Harold of
Americas.