Richmond dispatch. [volume] (Richmond, Va.) 1884-1903, 1902-11-27
manhattan DEAL,
LEASE TO THE 1vrER-nonoUaH
COMPANY orF1c1ALL1
ANNOUNCED.
RENTAL. 7PER CENT. ON STOCK
Increase of Capital for comp1etio.
of improvements.
THE LEASE PERIOD 800 YEARS.
statement. from Angus. Be1nons
and George r.ieou1d with Refers
ence to the Transaotion-Promp
and satisfactory SOLUTION of Rapid
Transit Problem of Metropolt. E1.
peoted as Result of the Deal.
Increase OF Capital for comp1etio.
of improvements.
THE LEASE PERIOD 300 YEARS.

NEW YORK, November 36.-The oc-
fetal announcement was made TO-DAY
that the Manhattan Elevated Railroad
Company would be leased to the Inter-
Borough Company. which is to operate
the subway now being built, to take et.
feet April I, 1908. The rental from April
I, 1903, to January 1. 1906. will be the
net earnings of the Manhattan Company,
not exceeding ,per cent. After Janus
ary 1, 1906, the rental viii be Z per
cent fiat. on Manhattan stock. guar
anteed by the Inter-Borough Company
The Manhattan Railway Company VIII
increase it's stock to $50, 100000. for tho
purpose of completing improvements. This
is an increase of about s7.Ooo.oO0.
The Manhattan stockholders will be-
given the new stock at par.
Provision is to be made in the Lease
of the ultimate Increase of S1anhattai
stock to the total amount Of sS0cio .oS.
The lease is to be for a perio1 OF 9S{
years.
Joint Announcements.
The official announcement made by tht
two companies says:
.The other details of the lease viii
be those customary adopted in similaf
cases.
THE lease will provide security satis-
factory to the Manhattan Company, for
the payment of the dividend rental.
'"The Board of Directors of both com.
panies, at their meetings. approved tho
general proposition, and have authorized
their officers to prepare. under the adj
1a,, 1Srh will hsryy
to be submitted to the board and to
meeting of the stockholders for ap-
prevail
Statement from Belmont.
August Belmont. of the Inter-Borcush
Company, made the following statement
this evening:
1.-THE directors of the Inter-Boroush
Rapid Transit Company have this day.
after previous long deliberation and in
vestigation. determined. Tor reasons which
appear to them important and controls
ing as affecting the interests not only
OF the stockholders of the company. but
of the city and Of the travelling public.
leased the Manhattan system Of elevated
roads, for period Of 999 years. on tho
terms given out this evening.
TT Is believed that this plan when
perfected will work out prompt and
satisfactory system of inter-borough tran
sit, both lessor and lessee being thereby
engaged in common effort 20 stimulate,
increase, and develop facilities for trans
portation, rather than-as would havs
been the case If the properties had re-
NAMED separate-being engaged largely
in the effort to divert traffic the one from
the other.
No Plans Interrupted.
''It is not intended by this arrange-
ment that any of the plans for the de.
velopment OF the Inter-Borough SYSTEM
shall be interrupted or departed from.
In the mean while, however, before the
extensions can be completed. the two
systems will work In harmony. Nor Is IL
intended to dispense with any additions
which ara desirable for the Manhattan
property. The proposed authorized, but
unissued. increase OF capital stock of
that company beyond the s553e0 600 up to
$50, ,000 o00. an important part Of the plan,
has been provided for to that end.
"It is impossible in any brief states
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