Evening star. [volume] (Washington, D.C.) 1854-1972, 1897-04-22
PASSED THE DIVIDEND
The Baltimore and Ohio Road's Stockholders
Disappointed.
Two Reasons Gfven-The Building of
New Tracks-ROad Now in
Good Condition.


is believed the first also since the Baltimore
and Ohio railroad was opened for travel
between Washington and Baltimore, the d.
rectors of the company yesterday, as has
heretofore been the case at the April meet
ing, failed to declare the usual per cent
dividend for the six months ending April 80.
The event has caused much talk in finan-
ctal circles. Two reasons have been adj
vanced for it-one that there was not a
quorum at the meeting, and the other that
dividend had not been earned.
The directors who assembled at the board
room In the Central building in Baltimore
were given a statement which, 1t was I'M
derstood. was prepared by the proper fnan-
cial officers of the road which showed THAT
the Washington branch, as the line between
this city and Baltimore is called, and which,
as stated, has paid a semi-annual: dividend
of per cent for long term of years, had
not earned a sufficient sum to pay the diyi-
dend, which ordinarily would be paid May ].
No action was taken on the subject Ind
those present adjourned to meet tomorrow
at the same place, when 1t Is expected the
subject will be discussed 1t is understood
that the most probable reason for the fall
ure is the fact that very large and extraor-
binary expenditures were made in reiaying
the line from Washington to the Relay, a
distance of thirty-one miles.
The work that has been done has re-
suited in bringing the road up to the high
est physical standard, and it is believed by
the receivers that no further expenditures
in that direction will be needed for many
years. The new rails laid were substituted
for those that had been in use for nearly
twenty years, and this action of the re-
ceivers was an imperative necessity, in
order to properly handle the business of
the road. The cost Of these improvements
was about $4,000. about $500 more than
would be needed to pay the haR-yearly
dividend. The business of the Washington
branch has, it is stated, not only kept up
to the figures attained for a long series of
years, but the net results during the last
six months show an increase of about
$4,000. Taking these facts into considera
ton, the receivers believe, 1t Is stated, that
If the dividend is passed tomorrow the pay
ment will be resumed at the expiration of
the six months ending October 30 next.
OF the capital stock of the Washington
branch the state of Maryland owns $780,
600. which for number of years has been
among the productive assets Of the treas
ury, yielding annually the sum of $55, 600
The Baltimore and Ohio company owns
81, o2S,OOO of the remainder, which 1t has
pledged as part of the security Of the con-
solidated mortgage of 1887. Individuals
own the balance of ST., O0e.
Since the receivership. but few meetings
have teen held. as the property IL In the
baEds of receivers; who practically look .af-
ter al duties usually handled by the drec-
tors when the company was in a solvent
condition. While yesterday was the day on
which the regular monthly meeting would
have been held, owing to the present state
of the property the directors are only calleo
together when something Of special import
ance is to be considered.
Receivers Cowen and Murray filed ip this
United States circuit court yesterday their
reports of receipts and disbursements DUR
ing. the month of February last. The re-
ports show the following: -
Observation-Disclosures in general treasury ac-
count, February 1, $223,t8l 81; traffic re-
ceipts. s., 227 ,S13.55; miscellaneous receipts,
$685.. 1851. Total, s., SO4, $40. 49,.
Disbursements-Trafilc payments, $40
62619: miscellaneous payments, - O02 .e99.97.
ruary %, $S7l. 214.2L -
Receivers certificates--Series No. 1, bal
ance on hand February 1, $345, 727.22; ex-
pended during month. $122vi32.36; balance
February %, 222994Sa
Series No. 2-Balarce February 1, $266 43;
266. 2; expended during month, 9S;
balance February IS. $89.67650.s
Series No. 3, Pfttsburg and Connellsyille-
Balance February 1. $:H6 100; expended dur
ing month, $8.218.44: balance February Is.
$568 sol &c..
February l, 500 1890; expended during
month, rs, ee7.T balance February %,
Judge Morris Of the United States court
at Baltimore yesterday authorized Receiv-
ers Cowen and Murray to executA renew
ais and extensions Of the floating indebt-
edness OF the company existing prior to
the receivershtp. In their petition to the
court asking this permission the receivers
stated that 1t would be impossible to pay
these obligations as they mature out of
the receipts OF the road Large amounts
been negotiated and discounted. and will
go to protest unless renewed or extended