New-York tribune., 1908-11-26
sfEKS BIG BOND ISSUE
ERIE 14SKS $50, 900. 900.
7-,He Public Serricc Commission of
improvement Plans.

.-..-~ Nov 2S-In 3ts application 20 the Public
r-~-ice Commission. q District. to-day. for au-
A--r 70 issue $4,000 ooao OF per cent collateral
- bends 10 not more than twenty years
= Erie Railroad Company. through its representa-
ss .o6 the commission OF its plans for improve
- n terminals car and engine shops. eliI1ina-
- r grade crossings additional tracks and sid
- sn5 stations and other facilities along its
-t-ss TIE co-amissic: reserved decision
r. company purposes by this issue TO provide
a. The re9un6fng II its short time notes issued
H. is s. ee3 e0 collateral ir6enture. under the
,r-bo-tts obtained from the commission on April 3
,S- ana for reTunding other obligations, and also
-. the completion and construction of various TN
,-ouer1ents and additions now under way OF con-
,r1pls-e6 for the near future.
IN sts schedule the company says . intends 70
-x,s7d $3.50 So g for immediate improvements,
z,lNSe8 IN the next two years and S.es7-sf7 for
syuiurueut- For reduction Of grades between
Nszburz Junction an Jersey City s5.so9oo9 viii
be required and S-5OaoO0 for similar improve
rnsn- from Cuba 10 Salamanca
Il was said that when this was accomplished
--tb the two cut-ors-the Erie & Jersey Railroad
.pa the Genesee River Rairoad-in full operation.
TIE company would be ahIe TO operate SOLID trains
.5-rout reduction OF tonnage from Salamanca to
Jersey CITY
.-e7-Ss 2 15rowneII. vice-presldent and general
ousel for the rzilroad said Il had expended In the
las Eve years sls.eoec9 which had not been cap
fialized-
Of .he x15oeooeo note issue which It is proposed
10 refund by this bond issue S0-5eo.oe has been
Issued or underwrit1en-
n re last five years the company has spent for
rs snd locomotives over SSa0o0.oo0 upon which
--1st obligations were issued amounting 10 over
- an aa and there remains unpaid about N6oo9OoO.
-bs estimated value OF this equipment over rs
,--,sid csl-Eal5oEs zt present fs S1o,ooo.ooo-
re- company has expended SO $4,000 In improving
90. ,.--s and grades and shortening its'rzllroad- It
= ,7eo a5rz-ced ss.eo0.aO0 70 the Erie e Jersey
-5-r-,ss and S-eaoeS0 TO the Genesee River Rail
- s,s bss received notes OF those companies
-, -sve been sold and guaranteed By the Erie
z-d vi1 mature = Slo
=, -,-,-iere tze work o. these cut-offs and the
,--+,r scuu Of grades It VIII be necessary 70 ez-
- :. ar sse II rhe near future. The company
-lz-s . ooz-plete this work and put IN operation
s-s -sv lines 10 reduce It's operating cost and IL
s-esse is capacity for handling business
Y Fsrahsn assistant ts President Underwood,
sn5 i 2. BlauveIt- controller, testified as 70 me
condition Of the Erie lines. the EoTk under way
the amounts paid and the comPany's hopes for the
fUru-e-
tl- A7-n the commission authorized tie Erie 10
sue s156DOa0 Per cent notes. OF which Sl2oso24D
as outstanding and which nature II April 81
The-e were maturing On April s, Il vii be reuleEl-
aerA5 s. 10000 short notes, which I1s com
pa-y was 81 q less 70 fnd means for taking up
TIE difficulty was solved by the purchase y E Il
Ha-riulzn vho thereby became dominant factor
Il ths roa6's s1ars Of & 600 O. the new issue
and hts offer te redeem In cash such Of ths ma
rar1-g notes as the holders 6ld not desire 10 ex-
change fer notes.
Ey-acs1s aeads5 by NJ. Hartman and J P
korrz1 & Co ua6erv-ots 81 additional SS.oOoooo OF
he notes a. par, and large further amount
~zs transferred 70 !. P Morgan Co. subsequent
y II consideration o. their purchase at par for
ozzh of coupons the p-1or Hen and general lien
honas q the COMPANY through which operation the
rusE vas enabled TO 6evola TO the completion OF
sur-cvels1cs & substantial which otherwise
wozE have had 70 De ds5u-Sed interest payment