New-York tribune., 1908-04-12
n & H. MORTGAGE LOAN
Road SEEKS $50, 900 900.
Stockholders Meeting Called to Au-
tkOrize 4ction on MM IL.

-, realsuare & Hudson company has sent no
"a SIS stockholders OF special meeting TO
u y Iii on May Il. the same day as the annual
~ 80 At which they will be asked to authorize
"--qszs upon some all or the companys
80 and franchises to secure issue OF
go 600 Of its gold bonds. The proposed bonds
f's' :. r-a- interest not to exceed per cent.
80, for ct least thirty-hve years and may be
:. srbsect to redemption at los within linz
stsd tire
= sssooo00 OF the proposed issue will be re-
H Hs 70 protect en- equal amount OF first mort
= bonds now outstanding and that any pres
ts ,ssue Of the bonds will be limited to 10000
- 7he remainder OF the $50. 100000 which the
...tsolders viii be asked TO authorize is TO be
- ouly from tine TO time as required By the
,orpanys needs ana as autnorlzeo by the PUBIC
c.-,-i,e Commission.
--4. last annual report OF the company showed
- = had q floating debt OF sIo754950 This
l,7 he taken up out OF the s2o.000,oo0 issue. the
saT,nce. of which. an officer OF the company said
'.s+sr5ay. will be used TO fund floating indebted
- ~ subsidiary companies and provide from
= oao 600 10 s. 900 600 for contemplated improve
..sn+s Ohcers OF the company said that II was
80 early yet 10 say what arrangements would
- made for 6isposing Of the issue If author
.ze5 They stated. however. that they thought the
horss could be sold at par. = was assumed in
Val Street that the issue would be underwritten
hv q
-,s First National Bank would be prominent fac
,,-s The circular TO the stockholders says in
part;
The board OF managers OF the company deems il
vjse 70 func the company indebtedness for eX-
ns1dltu-es which have been made TO develop the
SScrDsnys property IL order 10 meet the growth
ri ifs business both in its coal and railroad de-
ne--renIs and the consequent necessity OF in
r-ss sed facilities. Expenditures have also been re-
orj-e6 II 80 increasing the company's reserve Of
s1thrscits coal lands as 10 justify the company
hi stimulating an increase OF its output and ena-
b-g II 70 beCIe- supply the territory served by it
Further expenditures have been made in the ac-
cusriOI Of railroads IL Canada, which, when COM
-iere6 will connect the COmpauy's lines with
Montreal and Quebec, and in extending these rail-
roads II order 10 complete such connections Still
further expenditures have been incurred in COM
company few years ago. with the approval Of
Ire stockholders OF acquiring electric lines Of rail-
wsv 10 furnish complement TO the service pro-
vJded Or steam railroads. so 10 afford the
Res, service possible for the patrons Of the re-
spective companies and on the most economical
besis OF operating cost The details OF these i'm
agreements ani acquisitions and the cost there
Of 1916 and 1907.
To considerable extent the expenditures be-
fore mentioned have been hitherto carried by loans
obtzt1ez through subsidiary companies well as
hy advances 70 such companies. tt now becomes
necessary. however. that the company should it
the necessary funding operations. the managers
have satisfied themselves that these be best
arranged AT 2 low interest charge through an Issue
~ the CCEpaCy.S mortgage bonds thus giving the
stockholders The advantages consequent upon A
diminuut0n of the txed charges OF the company.