The daily morning journal and courier., 1907-10-31

nent, which called for $lS,U0OuUO year.
 In connection with the same sub ject he stated that that equipment was necessary to solve the car demur- rage problem upon the road by sub stituting new rolling stock for the for eign rolling stock now upon the road. He had found the road confronted with the necessity of raising money to meet new problems in the transporta- ton and in the extension of business, and the only way of meeting them was by the new funds. His policy he de- scribed not as one of expansion but of concentration. He denied the &C., curacy of MT. Bulkeley's statement, that in 1904 the interest account of the road was but s19O,0O0.
 Figures Inaccurate.
 Senator Bulkeley stated that his figures were based upon the report of the company of the railroad com mission.
 MT. Mellen again asserted their in- accuracy, stating that the most cur sorry examination of the finances of the company would show their in l correctness and that the interest ac- count was in fact very much larger
 MT. Mellen then reviewed at length the position and policy of the com pany. In the course of his remarks he said that his own stock stood him in at $175 share or more and that a large portion of his estate was in vested in the corporation. If misfor- tune came to the company it would come to him also.
 He admitted that in the acquisition of the Connecticut Railway and Light ing company and the Rhode Island system of trolley roads that a large volume of water had been absorbed but the measure was protective, espe- cfally as regarded the Rhode Island trolley system, which had been acquired in order to control the entrance into Providence of the interurban long dis tance system. Many times he said, the l corporation must purchase other prop critics because they had a nuisance" value. They might cause some direct loss, but they prevented a far greater loss than if in the hands of others. In the case of the Boston & Maine 1t was simply a question whether the New Haven road took it or saw it transferred to the possession of a rival interest, the New NOTh Cenlfat, ana as to the proper aspects of the question he left it to the public experience with the Boston & Albany Referring to the purchase of steamboats, he outlined also the protective policy there, and stated that as a result of it the. com pany could well afford the results achieved as compared with those ac- complished by MT. Morse.
 Report Accepted.
 Senator Bulkeley next inquired as to certain increases of stock and how far the powers of the board of directors extended in the matter. A somewhat long discussion followed between Sem ator Bulkeley and MT. Mellen, at the end of which the latter explained that the directors had power to issue stock held in the treasury in exchange, but had no power of issue over new stock except by authority of the stockholders. As the stock issued under such condi- tions, he explained. that in every in- stance it had been given for genuine value received
 The report was accepted and approv- ed by vote of 556,667 in its favor At first there were reported as against it 5,177 shares. Senator Bulkeley ex- plained that the minority shares had been incorrectly reported as against the proposition, as he simply desired not to vote them at all.
 Directors Elected.
 John G. Parker, secretary of the company; Edward D. Robbins, attorney of the company and Augustus s. May treasurer, were chosen directors, to fill three places on the board which had been left untitled when three gentlemen representing the Boston & Maine road had declined to serve. The other twen- ty-two members of the board were re- elected.
 Special Meeting. A special stockholders meetinr was called to order, the call being read Senator Bulkeley asked for an explana- tion of the various charter amendments proposed. In connection with the pro. posed increase of stock, a stockholdei asked President Mellen whether or not , the matter of it's issue at $125 share or at a lower price was still an oper one.
 President Mellen replied that he re. garded the question as still undecll. ed. that he himself favored the issue of the stock at Sl00 a share but If is sued at that price it would be necessa, , ry to change both the number of shares that would be obtained at the issue O St25 a share. That sum being called for by the proposed expenditures par tieularly those for rolling stock.
 J. F. Morgan after stating that ht . had favored the issue at $t25 share and that he would take up hls new f stock at that price called attention tt the fact that if occasion arose for is | suing it at $100 a share the director, would need authority from the stock I holders for the increased number 0
 shares required. He therefore movet
 to substitute for the 354,G95 shares fix
 ed in the original call 431 ,219 shares a the ratio of l to 3. The motion wa
 put in that form and was adopted by a stock vote of 559,S39 to o.