New-York tribune., 1910-06-22
lIIDNRE0RGANzAT!0N
.astiouaI Company Plans to
r..teet Its Bondh0Iders.
[.ss MANY UPSTATE LINES
arc for Extensions and
s.o,noents Said to Require
Increase Of Capital.

,sa 70 requests Of many holders
Tsss-vear 4 per cent collateral trust
+,a International Traction Com
y . I. Fryer. Thomas De Witt
.s rs Cass Ledyard. Thomas E
- charles Steele have consented
% s' committee TO protect the inter
ne bondholders- J. p Morgan &
- s.I as depositary and Philbin.
" Nenken & Griscom and Francis,
-, S.s.sor are the counsel
s's ''s,n - company. a New Jersey Ger
= - .r,s2ali the stock Of the dn-
riuo- Railway Company, which is tie
o.. - for the collateral trust gold
-be traction company. The rail-
g y - owns and operates railway
Buffalo and its vicinity. The
.,-nanv has issued all Of the
--ssr the collateral trust indenture
~ S,~ extensions and betterments Of
-. and there remain unissued
- bands reserved exclusively for
p.,.,-ion or retirement OF underlying
''--..,,,e5 by liens on the property of
saTsr company. Many of these under
s,-.+,ans mature in the near future
~ cannot be provided for by the
--,;st bonds of the traction COM
-si,b have a limited market and are
I, much below par
,.-.sse- OF Capital Required.
This situation and TO provide :
. tho extensions and betterments
- nv the growth OF the localities
b -he International traction sys-
= -o,Bi-ed in the immediate future
i ,,blic authorities. a reorganization
z,erces Of the system has become
sEzy.
-.-onased that the committee, in case
-ssbls foreclosure proceedings which
.low default in payment of the July
m The collateral trust bonds, shall
- he nledgad stocks Of the railway
- n the foreclosure sale and or
rex railroad con'nany, owning and
-.,r some other railroad line. which
---s- shall acquire first the stock and
~ rhysical properties Of the railway
- subject 10 its prior mortgages.
,7-2a-y is to execute a first lien re
az mortgage. 10 bear interest at 3 per
wear and 10 mature not earlier than
ns
Direct Lien as Security.
4 7change for bonds deposited under
!. -ls1 the derositing collateral trust
a5e-s. al their option. shall receive
ne 8 per cent refunding bonds of
-.r company to the amount Of so per
4 4 tie par Of such deposited bonds,
4 s,crued interest in full in cash. or
70 The amount Of 70 per cent of the !
such deposited bonds, and also ae-
interest in fuIl. The committee says:
s ultimately, in place OF such bonds /
4 !s7ositiHg bondholders would receive |
hsris Welding as much interest on the /
E-snt- and which should command q I
r market value. the security being a |
Hsa on the physical property Of the /
sE.iunal traction system. instead of a |
Ezl lisn on stock. or else, should they
z Ha 70 accept the new bonds, they
nske sale Of their present bonds at |
Els On the dollar. sum in excess of
rssut market price. : j
osns Many Electric Roads.
Ee-nationai Traction Company was
)1' CT January 1e. 1899. under the
Rev Jersey, with SIS. o00, 900 capital, I
-1g Of El399S9os common and 100000
fsnt cumulative preferred stock. all
II is Outstanding. The company zac=
zxl the electric railways scennecting-ll
mes Of Buffalo Niagara Fails Lock-
1 korth Tonawanda and Tonawanda,
Y with all the street railway Sys-
4 al Of these cities It also owns :
! aigrie railway connecting the Villages /
4l.F and Lancaster with Bufaie, the
1lsn Electric Railway. which It has
slsf With the American system by
sglisiiiol Of the steel arch bridge at
p Falls and the suspension bridge
eVeenston and Lewiston. and the
, easatal stock of the Electric City
q ln--JanUary. 1907, il organized
---~NA--I ~ nan . u D0liG q ]
conhect with q proposed new bridge
ne Niagara River.
-oflsry, le52. the International Rail-
-'1saTy was Incorporated as a con-
--'A q the companies whose shares
'3s'lolsiy been held by the traction
-:- The capital Of the railway COM
saS originally S10,I25,5eo. which was
'-eh'iy incI easeG to 81, ,O00.00, of
f''s2l9'5.- al of which is owned by
-.-oh company, has been issued.
o1oers ef the International Traction
are; Thomas Penney. president;
Ni'sen, flce-president, and j. w
~ secretary. The directors INCLUDE
s-s.-l. s-il Cpyier.- who are members - of
.--ls So committee, and @. Louis
O the New York Stock Ex-
y - OF z Erar A-a-a (,n,-tIar,dr g Co