The sun. [volume] (New York [N.Y.]) 1833-1916, 1899-02-26
ztnanstat.
CHICAGO. January 81, 1904
To the Stockholders Of the
Chicago { Alton R.R. Co.:

Hetornnp 20 n circular or this date by Mr.. John j..
Mitchell NJ Chicago. We beg Lave 20 say
We believe. Notwithstanding the general advance
In value of railway sharss. that the price offered,
namely, 5000 per share for each share OF the pre-
ferred and &1T5 per share, for each share of tho com.
mon, is q fair price for the stock. and that IL IL for
the interest OF the stockholders Of the Chicago y
Alton Railroad Company to deposit their stock
under tho agreement referred to. We. therefore,
recommend the acceptance by stockholders OF the
proposition made therein,
We have had under consideration for over tive
months the question OF the purchase Of the stock Of
the Chicago & Alton Railroad Company.
Upon the request of the President, the Executive
Committee took UP the pending negotiations, and
the sgreement now submitted to you was approved
by them.
The Chicago & Alton Railroad is without con.
nections either East or West subordinate TO its own
corporate control. At important points, increNa-
ing competition already existing and threatened,
with the general tendency 70 decreased rates Of
transportation, and TO increased rates Of taxation.
make II more and moro din ,nlt for the road to
continue the earnings OF the past. These facts,
in our opinion, constitute conditions affecting the
future Of the property which will exist and be felt,
Notwithstanding the bonded indebtedness Of the
company shall be refunded. In addition. the com.
pany will, in our opinion, be obliged to expend
large sum for track elevation i'll Chicago, and for the
purpose of putting tho road and its a,purtenances
in coalition. in competition with other lines, to
economically DO the business wniCh snail DC NH rcd
to II.
FOR THESE AND OTHER REASONS WE
VIII. FOR OURSELVES ACCEPT 'THE
SAID PROPOSITION AND FORTHWITH
DEPOSIT DUR OWN STOCK WITH THE
UNITED STATES TRUST COMPANY OF
NEW YORK, THE AGREEMENT.
The purchasers Of the stock of the Company arc
gentlemen connected with important railway in.
tcres's. This fact viii enable them to use the rail.
way of :he Chicago and Alton Railroad Conn
pnny, IL acquired by them, IA a virtual extension
OF their own systems. and will furnish 1t with .
large amount Of through trafac, which otherwise 1t
might not obtain. This furnishes explanation OF the
desire of the gentlemen named to acquire, IL posi-.
bic. thu stock OF the Alton Company. Very respect
fr!iy.
NORRIS X. JEsuP,
Ohm A.. STEWART,
JOHN ]. MITCHELL. 81. Louis.
MARSHALL FIELD,
ALBERT A. PRAGUE
A. c. BARTLETT,
CHAS. Il. C~AAPPELL.
Directors.
made to purchase at
$500 EACH SHARE OF THE PRE-
FERRED STOCK, and at
S17B EACH SHARE OF THE COMMON
STOCK,
of the Chicago and Alton Railroad,
which offer. by the unanimous order
of tho Board of Directors. was COM
municated to tho Stockholders. Rtten-
ton Is called to tho fact that
THE TIME FOR ACCEPTANCE OF
THE TERMS OFFERED WILL
EXPIRE ON MARCH 1ST.
Asserting Shareholders should, therefore.
promptly deposit their Stock With the
United States Trust Company of New York.
from which circulars setting forth the con-
ditions of the offer in detail may he OH
tanned upon application.
JoHN j. MITCHELL.
Chicago, February 18th, 1899.