The Portland daily press., 1898-07-05
GLORIOUS INDEED.


|
support of this city We're equal to the situa-
| oioh. words of cheer and encouragement
| loo came from the other end of the line.
90 the work went on until fifty years ago
To-Day when the first fruition of faith and
nope was enjoyed, and the existence of the
| fahfoao became an accomplished fact.
But the end was not yet. 1t was then be-
| lieved that the whole expense would not
exceed $4,000, 900. But as the work went on
it became apparent that the cost would be
much larger; and while it now seems an
arduous undertaking to provide the Sc, OCO, 900
under the circumstances, what shall we say
of the ability and efficiency that provided
for nearly double that amount?
No doubt the directors were aided by the
successive openings of portions of the road
The opening to Yarmouth was followed in
the fourth of D ecember, 1s4s, by its opening
to Danvi.le Junction, q - miles from Port
land; to Mechanic Falls SO miles, February
4, 1s49; to oxford, 45 miles, in October fol-
lowing; and to South Paris, ii miles, Janu-
AIRY l. 1850.
| 4 At the annual meeting in 1SA9, nothing
had been done above Paris; during the
| year, the pressure in the money market had
been very great; the collections from stock
| OSNAA
loans had been Indispensable; and the city
| of Portland had been called upon for a loan
of its scrip to the amount of $500, 900 out of
the $1,000, 900 authorized but the dir ectors
had been unanimously of the opinion, that
the ultimate success of the enterprise re-
CURED the CONF lstion of the road to South
Paris in spite of the difficulties of raising
money in the limited market during the
| nTOpraGS n vOt.lr RIIf 10
Paris was, in their view, quite another mat
ter The boundary line was distant NOR
than one hundred miles. There was no in
| tervening point to which the road could be
extended with the means in hand, and be
equally productive with that portion be-
tween Portland and South Paris; further
expenditures and increased loans would
de press the market value of the stock; con-
sequently new subscriptions could not be ex-
pected. On the other hand, the earnings of
the railroad would be sufficient to inspire
general confidence in the whole enterprise,
The directolswere decidedly of the opinion
that the corporation would be strengthened
| by delay and, therefore, that sacrifices
should not be made. The fate of the enter
prise was thus trembling in the balance.
But soon after this annual meeting, a COM
mittee from the St. Lawrence and. Atlantic
Railroad company proposed to have the
whole of the unfinished road on each side of
the boundary line put under contract at
| once, and have the whole road from Mon
| treal to Portland completed and ready for
business at the earliest. practicable moment
After much elaboration, mutual engage
ment to this effect was made; contract
was accordingly executed for the construc-
ton of the road Except certain items) at
| $26, 200 mile, payable one-half in cash, one
quarter in the bonds of the company and
| the other quarter in its stock at par. The
| excepted items would cost at least $4,000
mile more, making the cost between South
Paris and the boundary more than $4,000.
600, of which $1,65O,Ooo must be paid In cash.
| These contracts were made upon the
| faith of a further loan of its credit by Port
land to the amount of $50, 900 1.-THE city coun-
Gil had already authorized the mayor to ap-
ply to the legislature for the necessary au-
thority.; it was then stated that the city
wonld not be again called upon.
At the annual meeting in 1850, the road had
been completed to South Paris and the con-
| tractors were busily at work beyond; but
with the promised aid of our city, the avail
able resources were only $685. Ou to new con-
tracts amounting to $1,65O,OOo. Authority
had been obtained from the legislature to
increase the capital stock to $4,OO0,0OO But
the stock could not be sold. 1t was, there
fore, determined to issue bonds, secured by
mortgage subject to that to the city of Port
land. to the amount of $1,000, 900 of which
300, 900 would be due to the contractors. But
these bonds could not be sold save at ruin
GUS sacrifice and the result was that our city
loaned another $1,000 of scrip taking as
security an equal amount of these bonds.
The company was thus made able to pay
the contractors promptly who, on their
part, were able to have the road opened to
Bethel G8 miles from Portland in March,
1851, N H., 81 miles, July %, 1851; to North
cumberland (Groveton l22 miles, July r.,
1852; and to the Canada line, 149 miles, in
February 1858. The road on the Canad a
side was in a nearly, but not quite, equal
state of completeness. But the rails, that
connected not only two railroads but two
nations, were soon laid and the whole line
| from Portland to Montreal opened for BUSH
) ness July IL, 1858.
!, AS the railroad was app reaching compile
, ton, the directors fonud the company
staggering under large floating debt; and
again our city came to the rescue with a
further loan of $35O,ooo of its scrip. But only
a portion of it was issued, and what was is
! sued. was returned and cancelled.
And let me say in passing that the dilect
| consequences predicted by the croakers of
] that day by re of the city's issuing this
scrip, have never TRANSFERRED. The whole
, 1000, 600 has long since been retired without
the loss to the city, of a single cent.
The completion of the railroad was almost
Immediately followed by an event of the
highest Importance to all interested in it.
On August 3, 1858, the railroad with all its
belongings was leased to the Grand Trunk
Railway company of Canada for the term Of
nine hundred and ninety years, and
thus became part of the immense system
of that corporation. The railway company,
by the terms of the lease assumed all the
debts and liabilities of the railroad com
pany and agreed to pay, during the term of
the lease, semi-annual dividends of three
dollars share upon the stock.
In consequence, bonds of the company
were issued to the amount of the floating
49,.