The news & observer. [volume] (Raleigh, N.C.) 1894-current, 1900-04-18

the same time we purchased the entire
interest to which the Produce Exchange
Trust Company has subscribed a year or
so ago in the Seaboard Air Line and the
Florida Central syndicates and these syn
dicates certificates have already been
the Continental Trust Company of Balti-
more for conversion into the Greater Sea-
turned into the Continental Trust Com
pany of Baltimore for conversion into the
Greater Seahoard Air line syndicate GER
tificates.
Our new securities have been issued
en- a conservative basis. The actual ag
gregate earnings Of the several properties
composing the new Seaboard system for
the II months ending March 1st 1900, eX-
ceed So, 450,0 coo net earnings, after the pay
ment of operating expenses and taxes,
exceed $4,000 600, and the fixed charges on
the system for the same period, includ
ing interest on all outstanding bonds and
rentals, amount approximately to 81, $780,,
900, leaving net surplus for the twelve
months over and above interest charges
Of $1,000 900. Interest charges on the en-
tire amount of new per cent. bonds
which are to be issued under the plan
of consolidation will amount to only about
SEQ, 600 1t is thus seen that without maxi
ing any allowance for the two or three
hundred miles of new road which are to
be opened for business in the next few
days, and without making allowance for
the increased earnings and reduced ex
penses which will naturally follow the
linking together into enc compact system
of the eighteen heretofore disjoined rail
roads comprising it; that the earnings
of ba
to take care CT the interest on all the
new bonds to be issued, and yet have a
margin of half a million dollars, or suffi-
cient to pay per cent: on the entire
amount Of new preferred stock to be is
sued under the plan of consolidation.
1.-The Seaboard Air Line railway is the
only road operating it's own lines from
Richmond and Baltimore to Jacksonville
and Tampa and it's route is materially
shorter than any combination of other
lines which can be formed. The saving
in distance, fer example, between Wash
ington and Tampa by the Seaboard Air
Line as compared with the route by the
Southern railway and the Plant System
is about one hundred miles. The direct
ness of its lines and its excellent physi-
cal condition give it advantage over it's
demonstrated when the new connecting
links are put into operation.
Vice President and General Manager st.
john is especially happy today and has
nothing but congratulations for President
Williams and his associates for the sue
cessful termination of their financial eff
forts which have brought about the prac-
teal consolidation of the lines now en-
braced in the Greater Seaboard system.
The filing and recording Of the mortgage
covering the various lines Incorporated
may be regarded as completing the mat
ter and the Seaboard Air Line railway for
the many reasons enumerated in Presi-
dent Williams statement will present to
the public a railroad system that it VII
be impossible to duplicate in it's short
mileage to all CT the principal cities in
| the six Southern States through which it
will pass while to the investor it can but
prove most profitable in view of the ia It
| that its capitalization in bends and stocks
will be SO much less than that Of any
other Southern line,
The people living on its line will re-
| ioce over this successful contamination
| of this consolidation which they have so
| long wished for, as it assures them a
| competing line so necessary to their every
interest. 1t means very much to the en-
! tire people Of the South