The times. [volume] (Richmond, Va.) 1890-1903, 1901-11-14
Authorized Capital of New Corpora
tioE is Five MiIIions.
MAKES CONTROL PERMANENT. 4 !: !.
Nsw Arrangement secarcs Management OF
lie seaboard Air Lie System 10 A:sssrs.
Williams, hliadeuaori sni Their
Assoc;aics-Terms Upol wiIish
the New Securities VIA
De ISSUED.

fsnccials D;snatch 10 The Times }

Special Dispatch TO The Ilmes
z BALTIMORE, MD, N;ov. 13.--zThe newly
chartered Seabca:d Company, incorpo-
rated yesterday at Trenton, n j., is
formed to acquire control OF the seaooard
Al: Line Railway from the dominant in
.terests in this property. For this purpose
the new company will, it is Understood.
secure the stocks owned by ohm r. VIII
liams e. Sons ant. the Richmond Safe De-
pcsit and Trust Company of Richmond
Va; J. W. Middendorf s Co., the Cont
mental 1rus, Company. William y: Mar
burg, and Townsend. Scott & CO., Of Bal
tiniore;; C. Sidney Shepard, ct Ncw
Haven, n. Y; William f. Cochran, Of
Yonkers, n. Y; Pemberto1, McAdoo &
Co., and Ladenburg, Thalman & CO., OF
New York city.
SWEEPING PRIVILEGES.
The new company is chartere>- with
sweeping privileges, including the right to
buhd and operate railroad lines, steam
ship lines, telephone and telegraph lines,
and to deal i'll bonds and mortgages. The
authorized capital of the c0uupany IS
$o,Cc0OGD. The present plan contemplates
the Issuance of $250,OO0 of capital 1t is
proposed to acquire go 000 shares OF the
common and preferred stocks Of the Sea-
.
issue of the two classes of 4Su.0GOs shares.
There is now outstanding about $4,000
COO ofethe preferred stock and $50 600, 600
of the common stock.
In the new; company. will be vested abb
sn!ute control OF the Seaboard system.
i he interests who turn over their stocks
to 1t will be the controlling spirits, Itsis
learned that the basis of exchange pro-
VlGes for the issuance OF. 4 per Ecerlt sde-
bentures bonds CT two cIasses-for Sea-
board preferred stock class "A {sa;IlIashe
gwen and for Seaboar6t common, stock
class b. will be issued. In both instances
the exchange is par for par.
Stockholders Will also receive stoclSgin
TIE company. 1t is stated that the SEA-
BOARD Company Will only lssuet2, 500 shares
oi stock of the par value of SlOO a share.
tor every 100 shares of Seaboard stock
of either issue one share ofsos,ocl1 in
the new company will be given in addi-
ton to the deDentuce bonds Another
proposition mentioned is for 250O00 shares
OF the par value of 81. In the latter case
the exchange for Seaboard Railway
stocks would be share for share
MANY ADVANTAGES.
are are a number of advantages com
ing from the formation of the company.
It.centralizes the control Of the Sea-
board Air Line system and makes it
either a majority or a large minority
interest in the property. This perma-
rently establishes it's independence in the
hands of. Messrs. Williams. Middendort
and their associates. To the interests
who have SO successfully builded this
system it affords. q means to secure Sc
curities for a portion Of their investment
that they can dispose of without part
ing with any portion Of their control OF
the property.
Local interests in the Seaboard ,.Air
Line Railway to-day refused to discuss
the new company. ]. W. Middendorf re
ferred all inquircrs to President Will
lians.
President John Shelton Williams Of the
Seahoard Air Line, was too llnwel to be
seen last night, but when The Times Bal
tiinore special was shown to him at his
home, f,he said it contained all the facts
he could give out. He added that he had
no further statement to make. The Sea
board securities are largely held in Ricll-
mond, and several Influential and wealthy
men of this city are members Of the
Board of Directors.
Inc charter of the Seaboart: Company
vas obtained in New Jersey Tuesday by
Charles McH. Howard, of Baltimore;
Robert c. Marorey. and *. E. McLarcn,
of jersey City.