New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1898-06-23
o AND o. REORGANIZATION
NC OF THE COMMITTEE APPROVED
ny LEADING FINANCIERS.

fArNS''
,,x1zTcATIoN OF THE WHOLE FUNDED
DEBT PROVIDED FOR ny THE
CREATION OF LIEN AND FIRST
MORTGAGE BONDS
-, announcement was made Yesterday Of
-, for the reorganization of the baltimore
H n,io Railroad Company. which has been pre-
' INA Nv the Reorga nizaton Committee. composed
,o,,s FITZGERALD. August Belmont. Edward r.
80, Henry Bulge Eugene Delanc. William
S ard Hov'land Davis The management OF the
.orsanzation has been p'acef N me Vh"'Se o'
.r G Co and Kuhn. Loeb & Co. Of New York
s,over Brothers Of London. The council e
-. eoreanlyation managers arc Seward. Guthrie
s,..,A ard Evarts. Choote & Beaman. ~ New
- and Freshhelds & Williams Of London All
,.d.orv committee. composed Of Louis fiz-
.o,d Edward r. Bacon. Henry Budsc ma WIFI
Read has been selected to cooperate with
10 r.orca nza;ion managers. with Ni'ham C. "ul'
49, as counsel ard Alv.n ". Krech as secretary
w. oo,or,i.toos and managers mentioned strongly
.o-rend the acceptance Of the plan. and IL also
o.,v.s the approval ~ =. ?. Morgan Co
p.ow, Rroa & co. Barring. Magonn & co. and
,..,r,,lve & CO.. Of New-York. and Morsan e
- Rrown Shiplcv & Co and Barring Bros 4 90
Limited % London
rba Mercantile Trust Company OF New ork
I'M act as depositary under the plan. and the Lon
san and Westminster Bank. Limited. will act as
,.s agent fo- receiving deposits in Lordon All
.,,8s-e Of bonds and stocks affected by the plan
,ov deposit their securities with the dNpositares
- ard after June 80 next Reorganization certh-
Gates will be issued for deposited securities and il
!, oronosed 10 have these certificates promptly
u,,ed on the New-York and London Stock Eek
obenses a strong syndicate has been formed &c
r,dervrlte the plan and to furnish the cash re
,,,-e5 for the re )rganization. The plan has been
formulated with view to reduce fixed charges tc
. limit felv within the net earning capacity Of
the reorganized company. to provide adequate CAPT
raj FOR present and future requirements. TO pay of
the floating debt and make provision for eXlsiinf
,ar-trus, obligations 10 preserve the integrity OF
the system as far the same can be economically
end sdvantageously accomplished. and "a provide
,uch control Of the reorganized company as shall
secure satisfactory future management Of the
property ,or,,s 81 ,,o MAJ, of rsorrap,za,ior
provide for the payment o. the floating debt and
FOR the unfcation Of the whole funded debt OF the
system. The following new securities are 10 10
created 100000 3l9 per cent pror i'm bonds or
trst mortgage bonds on tho principal divisions and
branches also second mortgage on the railway
sN 49, Oh preferred stock and s35 100000 common
stock The present second preferred and common
amount OF pTeicrre1 STOCK VIII ne tIN'i.. ~
present first preferred pays an assessment Of g
FOR which preferred stock Will be given After The
completion Of he reorganization the iNed SharScs
including the taxes will amount 10 about Sc 30 600
The net earnings for the year ended juno 50. 1885
partly estimated. amount to s7e17.7&' This show:
practically { per cent on the preferred stock
An ample reserve Is provided for future capital re
ouirements 4 syndicate has been formed which
viii agree TO underwrite the assessments on the
stock and provide over 100000 cash 10 meet al
cash requirements under the plan \ voting ;ruS
will have the management OF the property for five
wears Complete details Of the plan are published
elsewhere in this issue.