, 1905-12-11
GENERAL ELECTRIC COMPANY
WILL NOT ACCEPT BONDS
OF PURCHASER FOR ITS
SHARE OF THE PRICE.
Owns Less Than Twenty Per Cent of
Stock But Warns Old and New
Companies That 1t VIII Insist Up
on Cash for Its Share of Bonds
Former Manager Does Not Believe
Sale Will Be Interfered With.

1t now seems possible that the cleo
trio light matter, which has kept the
city in a turmoil for the past two years,
and which was supposed to have been
settled by the sale of the plant to w.
q. Sterne and his associates the first
of November, will break out afresh,
and the sale be annulled. At least the
possibility of such an event is looked
forward to by the officers of the two
companies.
When the Laramie Electric, Gas
Light and Fuel company decided to sell
to the Laramie Light INT Power COM
pany, the Sterne company, it agreed to
accept forty thousand dollars in the
bonds of the new company in lieu of
purchase price, the new company to
pay 6 per cent and provide a sinking
fund of $4,000 a year to redeem the
bonds. The sale was ratified by the
resident owners of stock. General
Manager Irving Hale of Denver, the
western representative of the General
Electric company, did not favor the
sale and voted against accepting the
terms offered by Mr.. Sterne. He then
said his company would not like the
matter, but the sale was made and the
property transferred.
Now the members Of the old COM
pany have received letters from s. q.
Mitchell of New York, vice president of
the Electric Bond and Share company
of Schenectady, the financial agent for
the General Electric company, in which
he informs Mr.. Symons and through
him the other members of the Laramie
Electric, Gas Light and Fuel company,
that it will not approve The sale of
the plant to the Laramie Light and
Power company or accept the bonds of
the latter company. Mr.. Mitchell en-
closes a copy of a letter sent at the
same time to Mr.. w. e. Sterne, the
manager of the new company, convey
ing the same sentiments. Mr.. Mitchell
says to Mr.. Symons in part:
1.-THE Electric Bond and Share COM
pany is unwilling to take the bonds of
the new company and l do not know
by what authority the trustees had,
without the consent of all the share
holders to exchange the ~company's
pany."
In the letter to Mr.. Sterne Mr.. Mitch
ell says:
I'VE hereby inform you that we are
the holders of $16,5O0 in par value of
the stock of the Laramie Electric, Gas
Light and Fuel company, never assent
ed to the trading off of the property of
that company for bonds of your COM
pany, and that We have objected and
still object to any such transaction be-
ing carried out"
Mr.. Sterne showed Mr.. Symons the
original of this letter, so that both
parties to the sale are informed of the
attitude of the Bond and Share COM
pany.
Asked as to the probable outcome of
the matter, Mr.. Symons said to a re-
porter for The Republican this morning
that he could not tell. He said he
thought the Schenectady company
would take steps to prevent the sale of
the plant, but as the sale had already
been made, and the property is now
in the hands of MI. Sterne's company,
he thought the line of action would be
a suit of custer against the Laramie
Light and Power company, with the
Laramie Electric, Gas Light m Fuel
company as a party defendant. The
New York concern will try to over
throw the sale and place the property
again in the hands of the old company.
It was the intention of the Laramie
Electric, Gas Light and Fuel company,
at its regular annual meeting in Janu'
airy, to close up the affairs of the cor
poration and go out of business. In
stead, according to the idea of Mr.. Sy'
mons. 1t will be necessary to elect OF
ficers and entrust them with the duty
of settling the matter definitely before
the corporation can be formally dis
solved.
81 am net sure whether we can force
the General Electric company, for tha'
is the real owner of the $16,500 OF the
stock of the company, to take the bond!
of he new company, Of unknown value
and uncertain standing, instead of cash
as the law provides, and presume thu
matter will be taken into court. d.
not believe the sale Of the plant will b'
interfered with, as the sale was mad