The daily morning Astorian. [volume] (Astoria, Oregon) 1883-1899, 1897-10-19
Statement From the Committee as to
Its Plaas.
ONLY POSSIBLE SOLUTION
Government Representatives Appointed
to Loot After It's Iatsrssts Have
Recommended 1t.

New YORK, October 1s.-The Union Pa
cinc reorganization committee has sub
mitted review Of les petition and condi-
lions surrounding reorganization under
It's chart. In respect to the terms Of the
decree Of foreclosure, the COMMITTEES
claims to have had no purpose whatever
and to have made no suggestions, except
in the cases OF two provisions, that re-
quiring the deposit TO be made five days
in advance Of the sale. and that extend
ing the time for the complete payment
Of the purchase over a period OF 50 days
after the confirmation OF the sale.
The provision for such an extended
time, the committee says. was desired
because Of the magnitude of the trans
action. and TO secure reasonable terms
Of paymment, consistent with suhc early
delivery Of the property as must AFFORD
basis for carrying the large financial en-
gagements involved.
The provisions Of the DEGREES fixing
five days in advance OF the date of sale
for the deposit of earnest was desired be-
cause for a period OF more than eight
months prior to the sale the committee
had upon deposit the sum Of COO TO
secure a guarantees bid and competing
bidders could act in a full knowledge
Of the committees plans and provisions
The statement reviews the work OF the
reorganization committee during the past
Two years, touhcing upon the subsidy
debt; the defeat OF the funding oln IN
congress in 1896 and the cause Of fore
closures.
The present conditions are reviewed as
folIows:
The present solution OF the business
relations Of the government to this prop
erty is the result Of a process by which
all less favorable solutions to the govern
ment have been eliminated. 1t is the only
solution open to the government under
existing legislation of congress. 1t is a
solution which received the approval Of
two administrations 1t was recon-
mended by both of the receivers who
were appointed for the purpose Of caring
for the interests Of the government and
was unanimously recommended as well
by the five directors who were appointed
to serve the interests of the government.
When the committee took charge of
the reorganization of the Union Pacific,
the first mortgage bonds having priority
to the lien of the government were
scarcely bringing par. the divisional
mortgage bonds were selling at heavy
discounts and but small comparative
value was attributed to the second mort
gage Of the government. Today the first
mortgage bonds are worth premium
and the government Is assured tnat IL
win realize s5O,N0OOO or more for its in
teres;
The security holders of the company are
satisfied. The government is satisfied
with this outcome. The enterprise Of the
government in promoting the construc-
tion of the road from financial and ma
terial standuonits, proves to have been
most profitable.
Under the conclusion of the matter
which now approaches, the pecuniary
and material results will have been
and secured, and the polit-
ical evils which have attended the prae-
tical relations of the government to this
property viii have been brought to an
end