New-York tribune., 1912-01-17
APPROVE INTER-NET. LOAN
Stockholders Ratify Directors
Agreement with Bankers.
BOARD VACANCIES FILLED
cbonts's Income Account Shows
Deficit of S1S2, S2,801-Traction
Situation Changes.

pobert l. jerks, Charles B. Ludlow and
n Leon Pepperman We're elected directors
:, the Interborough- Metropolitan Company
~ All long existing vacancies on the board
:, the annual meeting of the stockholders
- .he company, held at No. 165 Broadway
sssterday. The other retiring directors
we're reelected.
The stockholders ratified the action Of
aha directors in entering into an agreement
9TH Hallgarten q Co. for a loan not to
.vceed 100000 for two years at per
ant 10 finance the assessment Of S12 80
: share on the company's holdings of Met
,onoutan Street Railway stock, as provid-
ed under the terms Of the reorganization
,ian Of the latter corporation. The stock
holders also approved a resolution to
change the date of the annual meeting
from the third Tuesday in January TO the
third Tuesday in September.
Theodore p. Shonts, president Of the com
many. in his remarks TO the stockholders
said that owing 10 the reorganization and
,aIe of the Metropolitan Street Railway on
Deeember o It had been impossible for the
holding company, the electromagnetic let
ropolitan, to prepare an intelligent balance
sheet for the year ended December 81, and
instead he submitted an income account for
the fiscal year ended June 80. This showed
a deficit Of SlS2,SOl, compared with a sur
plus Of $500 in the preceding year.
Mr.. Shonts said that il was the opinion
Of the companys management that the
New York City Railways, the successor OF
the Metropolitan Railway system, would be
able 10 earn about Sl,sOoOOO net during the
first year Of its operation. He added that
be expected there would be considerable
Increase in traffic on the surface lines,
particularly short-haul traffic, on account
Of the congestion in other transportation
lines Of the city, due to delay in rapid tran
sit construction.
As an indication of how the traction
situation was changing every day, MI.
shonts pointed out that there were now
3Os stockholders who did not get in under
the reorganization terms Of the Metropoh-
tan Street Railway, asking TO be allowed
10 participate and pay their N2 90 assess
ment They may be permitted 10 do So he
said, but added that matters such as these
made II utterly impossible for the Inter
borough Metropolitan TO straishten out It's
now stood, Mr.. Shonts said the INTERIOR
ough- Metropolitan company would own
about sl5.4O0.U0 Of the 900 authorized
stock Of the Nsw York Railways Company
Speaking of the change in the fiscal year
OF the company, Mr. Shonts said that II
was made because Of the requirements or
the New York Stock Exchange and the
London Stock Exchange. where the stock
might later be listed. that annual reports
he sent out TO members of these exchanges
several DAYS before the annual meeting.
Regarding the loan made to the company
nv Hallgarten & Co.. Mr.. Shonts explained
that II probably would not be necessary Tor
The Tnterborough-Met TO call upon
Hallgarten q Co. to furnish more than 81
,NOU or this loan, as the bonds that lhe
company will receive under the Metro
poHtsn reorganization plan had already
been sold 20 the bankers, and this amount
rad been deducted from the assessment to
bspaid.