Goldsboro weekly argus. [volume] (Goldsboro, N.C.) 1885-1909, 1903-09-10
Raleigh News and Observer.

The Atlantic and North Carolina
Railroad is not to be leased.
This was the conclusion of the
Council Of State yesterday morning
after reviewing the matter.
In conference with the Council of
State, OF which there was present
Governor Aycock, Secretary of State
Grimes, Treasurer Lacy, Auditor
Dixon and Superintendent of Public
Instruction Joyner, were the direc-
tors On the part Of the State, Messrs.
@. NJ. Busbee, Raleigh; w. H.
Smith, Goldsboro; L. Harvey, Kins-
ton; j. G. Parker, divers; James A.
Bryan, Newbern; r. w. Taylor,
Morehead City, and Daniel B..
Hooker, Bayboro.
The proposition for the lease of
the road, which was considered,
came from Mr.. Walter w. Mills. of
Raleigh, and Mr.. H. L. Finlayson,
CT Goldsboro, who, it is understood,
were representing themselves and
others who would form a railroad
company to take charge of the road
If leased to them. Their proposition
was as follows:
Raleigh, N. G. Aug. l, 1903.
Gov. Charles B. Aycock, Raleigh,
N. G.
Dear Strive will be much
pleased to lease the A. 6 N. c.. Ry.,
and make you the following propo-
sition for a flfty-year lease:
We will take over all the assets of
the company, all the floating debts,
which includes interest on bonded
debt but does not include the bond
ed oebt, for an average annual rent
a. o. per cent to be paid semi-an-
nualIy, on the following graduated
scale, for all stock issued:
Ona per cent per annum for first
FIVE years.
One and one-half per cent per an
mum for second five years up to ten
years.
Two per cent per annum for the
thirty years up to forty years.
Two and one-half per cent per an
mum Tor Eve years up 10 forty-fve
years.
Three per cent per annum for five
years W to fifty years. =
In addition to the above we will
deposit bonds, subject to your ap-
proEal, as collateral security for two
years rental in advance perpetually
until the expiration of the lease.
We viii agree to build an addi-
tional railroad, not less, than fifty
miles long, from some point on the
A. q n. c. BY. west of Kinston, n.
O., within Eve years.
To guarantee the building of the
fifty miles of railroad within five
years we will give bond, subject to
your approval, to the amount of one
hundred thousand dollars ($1OO,-
OCW.
We will agree to turn the road,
aud al its assets, over,.at the end of
the lease, in as good condition as it
was when we received it.
We also agree to give as good SER
vice on the road during the lease as
is given at the time we get it. /
While we are signing this propo-
sition individually, the property
will be leased direct to the Railroad
Company. However, there is no OBJ
lection to personal endorsement.
Very respectfully, yours,
W. w. MILLS,
H. L. FINLAYsoN.
The proposition to make the per-
centage a graduated one was changed
and the offer was made of a fiat rate
of two per cent per year for the n
tire fifty years.
After a conference about the mat
ter with the directors, the majority
of whom advised against the lease,
and a full consideration of the propo-
sition the Council of State declined
to lease the road.
During the meeting it was stated
that the gross earnings of the road