The Salt Lake tribune. [volume] (Salt Lake City, Utah) 1890-current, 1907-06-16
Union Pacific Increased Its
Capital Stock by S100,000,-
600 Saturday.
JUDGE CORNISH VOTED
STOCK AT MEETING HERE
Over Two Million Shares of
Stock Voted by One Man
by Proxy.

AT the downtown Office cf the
Union Pacific Railroad company, cor.
ner of Second South and Main streets,
a meeting of the stockholders of that
corporation was held Saturday at
which the common capital stock was
increased by Sl00,000000, Only half
a dozen railroad officials were present
at the meeting and the vote, represent.
ing over 100000 shares of stock, was
done by one man. Judge W. D. Cor
nlsh. yicc-president of the road. Judge
Cornish held proxies representing that
amount of stock and thus by his in.
dividuai act he called to the aid OF his
company sum sufficient TO finance "a
small empire. The actual voting oc-
cupied but minute or two, although
the polls remained open for two hours,
this in accordance with the bylaws
Of the company.
Those present Mt the meeting were:
Judge ID, D. Cornish, Alex Mllfar, sec-
retary Of the company; ". H.. Ban
croft, vice-president and general man.
ager of the Oregon Short Line; Z. l..
for the Union Pacific; Fred Knicker-
booker, secretary to Mr., Bancroft, and
II. B. Taylor, secretary to Judge Cor
nish
When the polls closed about 2:30,
Secretary Taylor issued the following
memorandum 'Notes cast today IN
favor of resolutions authorizing iu-
crease of common capital stock by
500, 100000. preferred. 642,927; com
mon, ,550,Sss; total voting 2.l93,3t5
shares, out Of total of 29s0,000 shares.
In voting to increase tbe capital
stock by TINT amount the stockholders
increased the capitalization of the road
\ to almost S400, ,000,0 600. the capital stock
, prior to the meeting being in the neigh
I borhood of $296,000,0O0 The capital
I is increased by the stockholders au-
| thoriZlng an amendment to the articles
I of incorporation 10 that effect, and
/ when the proposed amendment is filed
with the Secretary of State on Mon,
/ day the State viii net the handsome
sum of $4,000 as Il filing fee.
| Purpose of Bond Issue.
\ story was sent from New York by
wire to some newspapers late Friday
night 10 the effect that the Union Pa.
cihc company intended issuing deben.
lures instead of bonds, and that an in.
junction might be secured against the
| issuance of bonds. No injunction was
in evidence Saturday and when Alex
Millar, secretary, was asked concern.
ing the story about the issue Of deben.
lures lie answered that he knew moth
I Ing anont Such proposal.
\ dcbenture, it may he explained. IS
an instrument similar 10 a bond but
provision has to be made for its re.
payment out of some special fund or
source of income while this does NOT
apply TO bonds as regularly issued.
When asked to what purpose the pro.
ceeds Of thc stock would he devoted,
Mr.. Millar stated ''Dhc bonds will
be issued 10 the stockholders and the
stock VIII he held until such time as
the bondhoiders sec it to their best ad.
vantage to convert IL into bonds That
IS what IS meant by convertible bonds,
The whole amount of S75.O00,O 900 OF
bonds will not be issued at present,
oulv that amount necessary for inme-
dratc use, which ! believe is in the
neighborhood of 100000, although
! nm not certain rs to the figures. These
viii be issued 10 pay of obligations
incurred for Investment betterIasals
and equipment.
Circular 70 Stockholders,
The following is 4 part of tie circu-
lar issued to the stockholders explaua-
tory of the bond issue by Fred V S.
Crosby treasurer Of the Union Pacific
company, New York;
Pursuant 10 resolution Of the
hoard of directors. adopted Nav o,
1907, and subject 10 the approval OF
II
special meeting has been called To con
ycne June 10. 1907. the privilege will
-" given the holders of the preferred
stock and common stock of the com
panY to subscribe upon the terms and
conditions hereinafter stated ON or be
fore july 10. 1907. for an amount of
the convertible bonds, hereinafter de-
scribed. equal 90 twenty fve per cent,
of their respective holdings of lhe stock
Of the company rs registered on its
books NJ 3 clock p. m. on MAY 90.
1907. The bonds referred to will bo
twenty year four per cent, Convertible
gold bonds OF the company. Of an an.
thori2cd issue not exceeding $4,000.
900. The bonds will he convertible at
the option Of the holder at any TINA
after issue and prior To July !. 1917,
into paid-up shares ot the common
stock Of the railroad company AT S}15
per share. The entire issue, but not
any part thereof may he called for
redemption by tho company ON July
|. 1912, or on any semi annual inter
"st day thereafter, on ninety days no.
tice nj n premium Of 2'7 per cent and
accrued interest. but If so called during
the conversion period. may be con.
verted MP Ia thirty days prior 10 the
date named in any notice for redemp-
tion. Adjustment Of accrued interest
aud current dividend viii be made a5
tho time Of conversion.
''The bonds win be payable on July
L. 1927, and will bear interest from
July ]. 1907. at the rate Of four per
cent per annum, PAYABLE January |
and July /. Both principal and inter
est will be payable III gold coin of the
United States Of or equal TO the present
standard of weight and fneness, Sath
out reduction for any tax or Tres
which the railroad company may be
Continued on Page Two.