New-York tribune., 1909-07-02
LACKAW ANNA'S MELON
JUTCIER THAN EXPECTED.
Declares 50 Per Cent Cash ard 15
Per Cent Stock, Di0idend,

The board of managers Of the Delaware. Lacka-
wanna &, Western Railroad Company has pre-
sented TO the stockholders melon even larger
and finer than had been expected, consisting of d
special cash dividend of 80 per cent and stock
dividend of Is per cent. OF the - per cent dlvi-
dend, one-haf or p per cent of the capital stock
Of $27 10000 is to be paid in cash on July 20 to
stockholders Of record on July l, and the option is
given them take the other p per cent also in
cash it in subscribing for stock of the
newly incorporated Delaware. Lackavanna &
Western Coal COMPANY on the basis of one share
of stock OF the company. which has so'Spo'p
capital stock. one-tourth the amount of the STOCK
of the railroad company. for four shares of stock
held by them \ special meeting of the stock
holders will be held July 20. for the purpose OF
ratifying the action of the managers.
The capital stock of the Lackawanna has tor
years stood at s26 100000 Two subsidiary roads,
however. the Bangor & Portland and the hanover
e. Newport have recently been merged with the
Lackawanna. their capital stocks Of S7lo"" ana
500 600 respectively having been exchanged sIiaie
for share for Lackawanna stock. orlhsllS INC
Capitalization Of the latter up to S2i9'"h me
Lackawanna also has recently paid off $5o6''oC" OF
outstanding bonds used in the construction OF t.le
railroad and the ayers have decldeo 20 mar
a corresponding increase in the capltal S'ocA, ~
stock dividend Of Is per cent. which Is ldSd do-e VI
August 70 stockholders of record on july 10 reg
rAean+e +hAse additions on the basis OF "c" 1oI
the old stock the value Of the Il per cent STUN
dividend figures out little more than 81 share
or about SO points Lackawanna oeng i'd'l
stock par value $50
The decision of the board TO sell all ol us Coai
itbin the State Of Pennsylvania 70 another coiil-
many conforms to the decree of the Supreme IouI'
in the so-caed commodity case. which mace sucii
action necessary The proposed contract OF Sale
nroz-ides that the buver shall purchase all OF the
coal If the railroad company in transit and stored
a. various points ar its actual market value ana
the future entire output coal of the railroad com
many, IN the basis of the e5 per cent contracts.
Under the terms Of such form of contract the ran
road coopanv sells its coal at the mines for b per
cent of the market value of such coal AZ the tline
Of sale. as determined by the New York tdewater
nrice The buver IN addition to paving this price
for the coal assumes all transportation charges
from the mines
The directors of the Delaware, LackaN anna ana
Western Coal Company are George F. Baker IL
Percy r Pvne ID James A Stillman, William n.
Truesdale Edward z Loonnts. George h GafdlheF
and Henry r Taylor The officers are PreSl-
dent = E Loomfs who Is vice-president OF the
Delaware Iackawanna &, Western Railroad Com
many in charge Of the coal department. vice
president Daniel f. Russell; secretary and treas
r,rer 7 7 ! Owens The directors have instructed
the officers to execute contract for the purchase
of the coal Of the railroad company on the basis
stated. and this contract. II IS understood Will oe-
come operative on August L
Lackawanna stock rose yesterday to $50 equalhns
the high record made on April p and closed al go,
4 net gain for the dav Of % points. The conpanys
profit and loss surplus at the close Of the last
fiscal wear amounted to S3i 63s ee6 that with the
cash dividend of about $4,000 deducted 1t viii
sttn he very large