The Wheeling daily intelligencer. [volume] (Wheeling, W. Va.) 1865-1903, 1898-12-21
THERAILRoADs.

Ssle must take place at Toledo on the
CrpmlseR Of the company, and will be
Conducted by H. p. Carleton, who was
SDpolnted special. master for the piir-
nose, says the Toledo Blade. The sale
NAV occur at any time after four
weeks advertising IN New York. Toledo
and Cleveland papers. The reorBan-
izatIon committee 10 given the right to
dx the date Of the sale so long as Il
does not extend the time longer than
three months.
The foreclosure sale made under the
Consolidated mortgage bonds according
10 the plans Of the reorga nization COM
Tnittee. The practical result Of this Will
be to wipe out the Consolidated mort
gage, amounting to $1,600,0 900. This Will
reduce the hxed charges OF the proper
~ $4,000 per annufll. Under the reor-
ganIzatIon, the interest charges OF the
property will only be $S06,20O, which, 1t
is thought. will put the new company
on sound financial basis.
Three classes Of securities will be left
undlsturbed by the sale. They are:
First mortgage, Lake Erie division, 8
per cent gold bonds, which cover the
part Of the road extending from Lake
Erie to Bowerston, amounting to $780,
600; Wheeling division, per cent
bonds, which cover the road from Bow
erston to Wheeling, and are also Sec
ond lien on the Lake Erie division
amounting to 81 100000 extension and
Improvement, 5 per cent bonds which
are first lien on the steubenville and
BellaIre extension and are also q gem
eral mortgage on the entire property,
amounting to $1.e2A,0OO.
According to the decree, the proceeds
Of the sale shall be applled-hrst, to the
payment Of all court and special master
charges and attorneys and receivers
fees; second, to the discharge of all re-
ceiyers' certificates issued. amounting
to about 100000. II there are any
funds after these obligations are dis
charged, the interest on the consoli-
dated bonds and then the principal
shall be paid.
The case came up before Judge Taft
on the consolidated cause OF the Metro
politan Financial and Industrial COM
pany, and the Central Trust company,
against the Wheeling q Lake Erie
Railway company.
The w. & L. 3. was thrown Into the
hands Of Its present receivers, Robert
Bllckensderfer and Myron T. Herrick,
on January Is, 1897, and by the ordln-
airy processes OF law, they will not be
discharged much before that date in
1899. The Generalization of the coal
traffic, in connection with the general
depression Of the business OF the coun-
try. made It necessary for the security
holders TO apply to the court for assist
ance. The January interest had been
taken care of and It appeared as II the
company would be able to pull through,
when some holders of claims for ma
terial began to-press the company for
payment. This stampeded the COM
panys creditors, and brought about
the receIVership.
In an attempt to tide over the depres-
sion the management was compelled to
use money that should have been spent
in keeping up the property, IN paying
fixed charges, The result was that
when the road was examined by S. N.
FELTON,, as an expert for the court, he
found It in depiorabfe condition. He
is quoted as saying: AT one time
there was good roadbed here, but 1t
has been worn out some time ago"
The equipment Of the road was also
in the same condition. The manage
ment had not been able to run Its
shops, and hundreds OF cars were
standing on the repair tracks.
Now the Wheellng'B condition IS
equal to any north and south road en-
tering Toledo. The receivers have
spent over q cold million in improve
ments. Wooden bridges have been re-
placed by steel and masonry structures
Of the most modern style. One of the
greatest improvements of this nature Is
the new bridge across the Maumee at
Toledo. The bridge IS the strongest
and the best equipped that spans the
river. Besides tifty-fve miles Of new
ballast. the receivers have filled in
some Of the largest trestle works on the
line, and put in several hundred thou-
sand ties along the road: a NUMBER OF
important Industrial sidingB have been
nut in, Including a mile extension at the
Ohio river.
The equipment Of the road was never
up to a higher standard. The COM
pany's shops have been operated on full
time with large force Of men building
new cars and rebuilding old ones. Be
sides the work done at the Ironville
shops, 1000 cars have been rebuilt at
foreign shops. So much work has been
done on the passenger equipment that
It is now as good as new.
With all OF these improvements ana
the reduction OF fixed charges, the new
company will take charge OF the prop
erty under very encouraging circum-
stances. The change will be OF mater.
ial benefit to the business interests OF
Toledo. It will put the Wheeling IN po-
sitlon to carry coal to this city at low
rates. which means much to the man
ufacturers, Of Toledo.
AS to the Offices OF the new conn
pauy this question has not been
reached According to the plans, the
reorganization committee Is empowered
to select the board OF directors for the
new company. Even the security mold
ers' wishes are not to be considered IN