Delaware gazette and state journal. (Wilmington, Del.) 1883-1902, 1899-05-25

The two new Baltimore & Ohio rail
road mortgages provided for in the re-
organization plan, and under which all
aggregate of $40, 900, 600 bonds may be
issued, were left for record in the
record Office of the Superior Court, in
Baltimore, yesterday. The mortgages
are known, respectively, as the prior
lien mortgage and the first mortgage.
Under the prior lien mortgage the
trustee is the Mercantile Trust Com
pany of New York. The total author
lied issue of bonds is $40, 600, 600.
These bonds are to bear BE per cent
interest in gold from July LIST, 1898,
and are to be payable in gold in 1923.
OF the total authorized issue IS, 600, 600
is not to be issued until after January
LIST. 1902 and then not exceeding
81 600, 600 year, for the enlargement,
betterment or extension Of the proper
ties covered. The present issue is
limited to $4,000 900, of which
$50. o73, 900 is to DO used toward the
retirement of existing bonds, $4,000, 600
for purchase by the reorganization
syndicate and s926,9lo for contin-
gencies aud surplus to go to the new
company. This mortgage is first lien
on the main line and branches, the
Parkersburg Branch and Pittsburg
Division, and also all the equipment,
now valued at about 100000
The trustees under the first mortgage
are the United States Trust Company
of New York and John A. Stewart.
This mortgage provides for per cent
gold bonds, due July 1st, 1913, but
subject to call, in whole or in part,
after July LIST, 1923, at los. These
bonds will bear interest from July LIST,
1898, and are secured by first lien on
the Philadelphia, Chicago and Akron
Divisions, and branches, the Fair
mont, Morgantown and Pittsburg rail,
road. the Baltimore and Ohio Terminal
property and the Baltimore Belt rail.
road when acquired by the new com.
pany. There will also be lien upon
the main line and other property sub.
iect to the prior lien mortgage. The
total issue under the first mortgage is
in no case to exceed sl65, 900, 900. Oh
this amount $50, 600, 900 ia to be used
to retire the prior lien bonds in 1925
1927, 900, 900 for enlargement, bettermen
or extension Of the properties covered
by the two new mortgages, not ex
ceeding 81. 100000 year for the frs
four years and not exceeding $1,000, 00I
year thereafter; $1,000, 900 as re
serve for the new company ant
Sc. 00o,0 to retire Baltimore Bel
, Line first mortgage fives.
, This leaves balance of $50, 900, 90
J to which the present issue is limited
! or this amount S36, 3Si, $50 is to b
used toward the retirement of existin
bonds, $40, 450, 600 for purchase by tn
reorganization syndicate and 81, l65, Az
! for contingencies. and surplus to 60 t
0 the new company.
( Internal revenue tax stamps value
q at 100000 we're affixed to the tw
g mortgages. Tho first lien mortgage re
r quired $50 stamps of $50 each. bein
: for the full issue Of sT5. 600, 600. Ther
. we're $50 stamps of $50 each on the fir!
. mortgage for the proportion of th
+ bonds under that mortgage that wi
+ be issued in the near future. If til
d first mortgage had also been stampe
h to cover the total authorized issue
y s165, 100000 tax stamps valued 1
i Sl2O, 900 would have been required f
It the two mortgages.