New-York tribune., 1909-11-04
FOR STOCK ISSUE
Hearing on Central Applica-
ton for S44 ,G58, 900,

Albany, Nov. 2.-The Public Service Com
mission, I'd District, gave a hearing to-day
upon the application of the New York Gem
tral & Hudson River Railroad Company
for authority to issue additional capital
stock 10 the amount OF 1850 shares CT
the par value of 500 each. OF the pro-
ceeds of the sale of this stock II IS pro-
posed 10 pay the three year per cent
gold notes, amounting 10 s25 coo, which
become due on February l. 1910, the re-
mainder 20 be applied toward the improve
ments which have been or are now being
made by the company.
Vice President Albert H. Harris and
George W. Kittredge. chief engineer ap-
peared In support of the application. The
schedule shows that the company proposes
70 spend, between September l, 1909. and
December 81 1910. for new equipment the
following amounts: Locomotives. S.162, =
80; passenger equipment, s1,sss,soo: freight
equipment. $3.50, io1 and marine equip
ment, s439, 500.
Among the expenditures or the company
for construction and improvement charge
able 10 capital. subsequent TO September
l. 1909, are SlS32o, 400 in connection with the
electrifcation of the lines ana station i'm
provements IN New York City and vicin-
fly. The total of the expenditures listed
under this head amount to sc9, i6o,ilo.
The stockholders on april 10, 1905, voted
to increase the companys capital stock
from $l50,o00C0o to $3.50, coo 0po. With the
stock for which the consent Of the COM
mission Is asked the total amount of out
standing capital stock will be 1923, 10000.
The commission reserved decision.
The announcement that the New York
Central had made application TO the Public
Service Commission of tie I'd District TO
issue additional stock did not cause much
surprise in Wall Street, as it has been eS-
pected that tho road would soon do some
new financing The bankers OF the road,
J. =. Morgan s. Co, would not give
any details yesterday regarding the new
financing, but It is thought probable in well
informed quarters that the stock will be
offered to stockholders at par.
The amount OF New York Central stock
at present outstanding amounts to I7s,-
$50 900. the amount Of the proposed issue,
therefore, represents % per cent Of the out
standing stock. This means that tho stock
holders, provided the additional issue IS
authorized. will have the privilege of sun
scribing TO the new stock in the proportion
of one share for each four shares now held.
The proceeds OF the sale Of the new
stock. If authorized. remaining after re-
tiring the company's s25.o00o 900 notes, 1T
was learned officially, will be used for the
following purposes:
Eight million dollars for equipment,
curve elimination, signal improvement and
grade revision on the lines Of the system
east of Buffalo. six million dollars for
electrifying the Harlem Division TO North
White Plains, four-tracking the Hudson
River Division between New York and
Albany and eectrifying the line between
Highbridgs and Croton, and for two
tracking the Rome, WatertoTn { Ogdens-
burg and Pennsylvania divisions. One
million dollars will be used fer additions
TO shops, and the remainder will so to-
ward completing the Improvements on the
Grand Central Station in this city.
All OF this takes no account Of the s25.-
1000 Of new equipment recently ordered
by the New York Central, and in order 70
provide for this the road Will have TO do
some further financing. This will prob
ably take the form Of equipment trust or
short term notes, but it is not believed
that II will be undertaken in the innr1edi-
ate future
The board OF directors ef the New York
Central met yesterday. but only bare
quorum was present, many Of the mem
bers being absent at ths funeral of John
s. Kennedy, and il was officially stated
that no business Of public interest was
transacted