New-York tribune., 1903-03-04
TO SPEND s36,oeO,OOO.
Centfapea from arst page.

st Duluth. and sundry improvements at shops; all
at an estimated cost Of S4S.961.
Duluth and iron RanEe Railroad sts70a-sundry
improvements TO shops: bridges and Ene OF road
ut an estimated cost OF Hg7.0e9
Chicago Lake Shore and Eastern Railway. $500
soS addi'i9"ai steel cars at an estimated cost Of
Pittsburg Steamship Company seosoOe-The in
and the alteration and Improvement Of ieet; ali
~ &n estimated cost OF $oOS.eOO
Pittsburg and Conneaut Dock Company $1,000
Hne improvement of unloading machines. at an
estimated cost OF $4,000
,, The total Of Of al these items aggrcgates Some
shese expenditures are completed there viii be
edded to the total capacity OF the various sub
a7Oo;oso tons. Of all products: that under normal
sreSsed and improves capacity viii be about 5000
poe year AMI that there viii be saving in manu-:
something nke SO 10000 year added to the profits
x the several subsidiary companies.
BOND CONVERSION PLAN.
Concerning the bond conversion plan Judge
Gary says:
'The plan provides for the issuance OF $780,
100000 of bonds $20oOO0OOO Of which are to be
exchanged for 500. 1000 of preferred stock.
The stock thus retired is entitled to cumulative
dividends Of per cent per aEnum, which repre-
eents an cutgo of $4,000 900 year The $780,
100000 OF bonds to be issued bear 3 per cent in
Herest. which represents outgo OF $12,5O0,OO0
q year. There is, therefore. a net saving OF
S1-JUNsSVV year, pluS the earning capacity OI
100000
The circular to holders Of the preferred stock
3s issued by J. P. Morgan & Co.. acting for the
Omitted States Steel Corporation, under their
agreement of April /. 1902 with the corporation.
The circular offers to each holder of preferred
stock. OF record Of March 16, for the period of
sixty days from that date the opportunity
60 subscribe at par for the ten-sixty year
per cent sinking fund gold bonds OF
tho corporation. not exceeding in the aggre-
gate $2oaoO0OO0. nor exceeding in the
cent Of the par amount OF the preferred
stock standing in his name at the closing OF the
books on March 16: these subscriptions being
further offered to each such shareholder the
opportunity TO make an additional subscription
payable IN cash, for bonds of this issue, at par
and accrued interest to an even ainounL ap-
soroxinateiy equal to 10 per cent of his holdings
Of preferred stock on March 16-these subscrip-
tions aggregating $J0OO0O00
The bonds are to bear interest from April I,
1903. The principal will be payable in sixty
years. but the bonds will be redeemable at the
pleasure OF the corporation at any time after
the expiration Of ten years from the GATE tneIeoI
AT I1O and accrued interest. In case less than
the whole issue is redeemed at any one time
She bonds to be redeemed are to be designateo
nv lot. and the coupon bonds are to be re-
deemed first An annual sinking fund of S1,O1o,-
ono is to be provided for the redemption OF the
bonds The coupon bonds are to be e1change-
able at any time for registered oonds' aho M tne
registered bonds when presented in even
ernounts Of 81 900 are TO be exchangeable Tor
coupon bonds
Under the said bonds and the instrument
securing the same" the circular adds, no &C
1icu or proceeding either at law or in equity can
ne Instituted or maintained for the enforcement
or collection Of interest OF the oonds, OF ior
maturing the principal thereof by reason or
default bv the Steel Company in the payment OF
any instalment of interest. until after sucn oe-
fsult IN the payment Of such tnStalnent snaIl
have lasted for the period OF two years con-