The Savannah morning news., 1902-11-27
ON 999-YEAR LEASE
THE NEW YORK ELEVATED GOES
TO THE SUBWAY.
TERMS OF LEASE ANNOUNCED
ELEVATED SEEMS TO HAVE MADE
A GOOD TRADE.


ings Will Go as Rental-Thereafter
the Rental Will BE Per Cent. ON
the Elevated StOoiS-EIevated VIII
Increase It's stock, which VIII
Go to Present Stockholders at Par.
Statements by August Belmont
and George Gould.
New York, Nov 26.-The official an
nouncement was made to-day that the
Manhattan Elevated Railway Company
will be leased to the er-Borough
Company, which is to operate the sub
way now being built, to take effect
April 1, 1903.
The rental from April l. 1908, to JAM
1. 1906, will be the net earnings of the
Manhattan company, not exceeding
per cent. After Jan. 1, 1906, the rental
will be Z per cent. fiat on Manhattan
stock, guaranteed by the Inter Borough
Company. The Manhattan Railway
Company will increase its stock to 1885,
10000 for the purpose of completing
improvements. This is an increase of
about 81 100000 The Manhattan
stockholders will be given the new
stock at par.
Provision is to be made in the lease
for the ultimate increase of Manhat-
tan stock to the total amount of $780,
000 900. The lease is to be for a period
of 999 years.
OhlciaI Announcement.
The official announcement made by
the two companies says:
1.-The other details of the lease will
be those customarily adopted in SINH
lar cases.
1.-THE lessee will provide security sat-
isfactory to the Manhattan company
for the payment of the dividend
rental
1.-The board of directors of both COM
panies, at their meetings, approved of
the general proposition, and have au-
thorized their officers to prepare, I'M.
der the advice of counsel, a lease
which will have to be submitted to
the board and to a meeting of the
stockholders for approval"
August Belmont of the Inter-Borough
Company made the following state
ment this afternoon:
1.-The directors of the Borough
Rapid Transit Company have this day,
after previous long elaboration and
investigation, determined for reasons
which appear to them important and
not only of the stockholders of the
company, but of the city and of the
travelling public, to lease the Man
haitian system of elevated roads for a
period of 999 years on the terms given
out this afternoon.
VIII Mean Developments.
at is believed that this plan, when
perfected, will work out a prompt and
satisfactory system of inter borough
transit, both lessor and lessee being
thereby engaged in common effort
to stimulate, increase and develop IA
cilities for transportation rather than
AS would have been the case If the
properties had remained separate-be-
ing engaged largely in the effort to d.
vert traffic the one from the other.
1T 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 meanwhile, however, before the
extensions can be completed, the two
systems will work in harmony Nor Is
it intended to dispense with any ad-
ditions which are desirable for the
Manhattan property. The proposed
authorized, but unissued, increase OF
capital stock of that company beyond
the $55 200, coo up to 100000, 900, an inn
portant part of the plan, has been pro-
vided for to that end.
lis for Posterity.
All .u..pao t., ~ t.,oe s+a+a-
II 10 iin ii'.n 80, 49,, o5',anta
nlenI, u sl .O IL oeti s.,t o,1 co. Iaese
, Willcii- as IAe iid 49, raaiod %
nave PlosleHseu W 1i'l sadNt,s.9
tnose VINO WIN pe 80 ~ az % -, .,ai.eS
WIN the IIalias eiiie aS,, - on se"ot
SYSTEM put .,a.. 70
renee u pupilC ~ en- e,,. 800
however, IN coHllils W Inc cohciuSioh