Martinsburg herald. [volume] (Martinsburg, W. Va.) 1881-1920, 1910-04-23
B. & 0. TO FLOAT
MANY MILLIONS
Will Seek About S25, 1000, 900 For
Needed Improvements.
AN EPOCH IN ITS HISTORY

AN Ii O\I Ht IT, w
company's officers Are Now in New
York Adjusting Details-President
Willard is Active in Work Of Road
and is ~Endeavoring to Put 1t in
Good Shape and Furnish Cars and
Motive Power Needed.
From The World of Thursday:
A new loan, between 500. 900 GOO and
$50. 900, 900, is being negotiated by the
oficials of the Baltimore and Ohio
Railroad Company.
1t will be in the nature of a 4 per
cent. convertible bond, which can be
turned into the stock of the company
at a specified price. AS the stock IS
on a 6 per cent. basis and the new
bonds will have only 4 per cent. in
terest. the basis of exchange will be
adjusted to the relative selling price
of each at the time it a be made.
These details are being worked out
by President Willard, Vice President
McNeal, the company's treasurer, and
the New York banking houses which
will do the financing.
Messrs. Willard and McNeal are
now in New York. presumably arrang-
ing the big financial deal. 1t is one
of the largest the company has made
in years, and shows its excellent
credit. It only recently made a loan
tor $4,000, 900.
President Wizards Activity.
An issue of such a large sum shows
the earnestness with which President
Willard has gone into the property,
He is letting no grass grow under his
feet. The future will find the Balti-
more and Ohio equipped with rolling
stock, with a high grade roadbed so
maintained as to enable it to take
care of all the business offering for
, wears to come. There is to be no
more complaints of lack of cars or
motive power, unsafe bridges or worn
out connections,
them. 1t is likely that the original
order of former President Murray will
be at once duplicated.
lit is also said that the company
has placed it's surplus earnings back
into property to an extent as to cause
some depletion in the treasury cash.
The dividend paid to stockholders
has been fully earned and they were
entitled to the disbursement, but the
actual cash, it is thought, might not
have been always available. This
new loan will therefore replenish the
treasury to the extent of its borrow
ings on this account.
1t has been a complaint recently
that the Baltimore and Ohio did not
wake. up to needs in time. During the
panic OF 1907 much of the rolling
stock was idle. piled on the sidlngs or
in the freight yards. Its continued
idleness for months gave a sense Of
security. 1t was not thought business
would develop quickly enough to put
all the cars in motion again at the
same time. But 1t did.
Coal Operators Demanded Cars.
Prosperity came with equal sudden
ness as the depression. 1t found the
responsiveness is the slogan Of the
new president. He is not afraid to
borrow and spend money in its accom-
plishment. In this policy he is back
ed by the directors, who have told
him to go ahead.
Since his i~ncumbency, SPresident
Willard has made a close study OF
THE road and its needs. He has dis
covered the defects, and in remedy
ing them RAPIDLY. Money seems to be
no object. His theory is that be viii
get 50 back for every dollar he spends
in improving conditions and popularlz
ing the property.
The new money will go into further
equipment; into rails and into bridge
and station construction; wherever
dollar is needed 1t will be- furnished
OF the new equipment fully $4,000.
600 viii go for new freight and pas
senger cars. Additional locomotives
viii take perhaps between 100000,
and $1,000. 900 more.
Cars and Plenty of Them.
When Mr.. Willard took charge o.
the road he was told that the com
pany had orders in for 10000 freight
ears and 200 locomotives.
do you think that is ~enough?" he
queried.
Z His manner indicated that he die
not think so. He now wants more
and has gone directly at work to ge'
Continued on page eight.