The Mankato free press., 1904-07-15
Minnesota Central Railway Company
Makes Straight Proposition.
Committee There Will at Once Try
to Raise the Amount.
Granite City Appears to Be Very En-.
thusiasiic Over Enterprise.
Contract For Construction in Hands
of An Eastern Firm.
From Wednesdays Daily.

From Wednesdays Daily.
The following is the proposition SUBJ
mitted to st. Cloud citizens by Presi-
dent Yarnell of the Minnesota Central
Railway company:
'st. Cloud, July 9, l9o4.-The Mime
sofa Central Railway company makes
the following proposition to the busi-
ness men and citizens of ST. Cloud
"The company proposes to construct
and equip a standard guage steam rail-
way from st. Cloud to Mankato, a dis
tance of ITO miles, offering with ad-
vantageous traffic relations at the lat
ter point, joint through rates and short
routes to Omaha, Kansas City, st. Louis
and Chicago, Independently of the twin
cities, and likewise offering access to
markets of southern and western Min
nesota and North and South Dakota, by
pro-rating with lines which the Mime
sofa Central interests.
''The charter granted this company by
the state of New Jersey, and its cer-
tifcate of domestication in the state
of Minnesota authorizes the construc-
tion of the company's line from Albert
Lea to Duluth, and this is the ultimate
purpose of the company.
ton of road from st. Cloud at which
point the company proposes to COM
menee construction, to Litchfeld, will
cost something over 100000, to provide
which the company has placed in trust
with the Commonwealth Title Insurance
and Trust company of Philadelphia, Pa,
100000 of its first mortgage 5 per cent
twenty year gold bonds, which are first
lien on all the company's property,
against which deposit of bonds the Trust
company issues 100000 of 51s per cent
collateral trust certificates dated June
lst, 1904, due June lst, 1907, interest
payable by coupon semi-annually, re-
deemable at the option of the company
on any interest period after June lst,
1905 at los.
"a construction contract has been
entered into between the railway COM
pany and the firm of Drake, Markee &
Co., of Philadelphia, Pa, for the con-
struction of the line from St Cloud to
Mankato, and the contractors are under
bond of $4,000 to turn over the road
to the railway company completed in
sections of ten miles, each free of liens,
which bond will be held by the trustee.
"The railway company desires the
banks, citizens and business interests of
st. Cloud to subscribe for $4,000, Of
these collateral trust certificates at SO
per cent of their face value, payment to
be made for same through one of your To-
cal banks to the Commonwealth Title
Insurance and Trust company of Phila-
,delphia, Pa, as follows: One third up
on completion of the line to Litchfeld,
including terminal facilities at st. Cloud.
and sufficient equipment to operate the
road in a thoroughly business-like man.
ner; one third when the road is complet-
ed to Gaylord, and the balance when the
road is completed to Mankato.
"The officers of tie railway company
consider the imrrense deposits of gran
ite at 81. Cloud to be the city's great
es. commercial resource, and will give
particv,rr attention to, its development
by offering the best possible facilities
for marketing the product of the quar-
rier in the southeast south and south
west"
Commenting upon the proposition The
st. Cloud Times said: "It was discuss
ed at some length oy the members pres
ent and several amendments were suS-
gested and agreed to, one of the ,ri'ci
pal ones being that the amour sub
scribed by ~ Cloud shoEld b. '"Id in:
one-:...a when the kne vas Constructed
70 iitchfeld; one third w:.ss. It reached
Gaylord; and the temA,umg third
when it was comp'r ~ 70 Siankato.
"The following. -,..uittee of bankers
was appoip'-d Is k-nk into the stand
ing of the c.'tn ary and the. gentlemen
composing D, and to make report at a
meeting or ."i,zens which is to be
called as s.,un as the committee is ready
to make report, said meeting to be held
in the city council rooms: 0. 81. Havill,
E. F. Moore and c. l.. Atwood"