New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1914-10-31
new HAVEN'S BOAT
Line UP in COURT
First Step for Reorganiza-
ton OF Eastern Steam
ship Corporation.

Portland. Ne, Oct. so. The first
legal step in a plan for the reorganlza-
tiOn Of the Eastern steamship Corpora
ton, one of the subsidiaries Of the
New York. New Haven & Hartford
Railroad, was taken to-day. when a
creditors bill was filed in the federal
court asking for the appointment OF
receivers A hearing will be held on
November :.
The petitioner is the Berwind-White
Coal Mining Company, of Philadelphia,
which has an unsecured claim OF yl2.-
49l for coal furnished. The action is
said to be a friendly proceeding for
the benefit Of all the creditors, with
the larger interests Of the corporation
cOncurring.
The Eastern steamship Corporation
operates lines between Boston and
Portland, boston and Kennebec and
Penobscot River points; Boston. Port
land, PASSPORT and st. John, y. H.;
Boston and Yarmouth, y. s.; Portland
and New York and Boston and New
York.
1t was organized in this state IN
January, 1912. with "A capital stock 81
$4,000 900. Of which S3.0O0OOO pre-
ferred and 81 6O7,500 common IS out
Standing. 1t bought the properties OF
the Eastern Steamship Company ana
the Metropolitan steamship Company
which went through recelvershlp pro
cccdings between January 30, I9Oo
and March 30. 1909, and Of the Maine
Steamship Company. Inc corporation
at the time Of organization gave the
Old Colony Trust Company OF boston
a mortgage on all its vessels ana
wharf properties 10 secure an issue
Of , rer cent bonds 10 the amount q
$500. 600 ,.o
OF this amount there is now S5,S69l,-
600 outstanding in the hands oil ihul-
v,dual holders. and the balance Is re-
tanned by the trust company LOT tne
purpose Of paying or reiuHIlhE CO,
tam underlying mortgages oil the o'u
companies.
and accounts payable amounting ~
more than $l,150,00O, S3OO'OOO Is Ioi
supplies and current expenses the laS'
four months. OF the note lndeDteI-
ness. $3.50. 900, or all but SlO'uOo heId
nv bank. is said 10 be due Hayut"
Stone & Co., OF Boston.
According to the petitioner, pay,
mont of $4,000 due the sinking lund
a wear ago was deiaulted, the slhk'hS
fund and interest requirements WI
call for payments within lew moh'h'
Of more than 100000, and the corpo-
ration has no cash assets and no credIt
securities or property, TO enable IL 10
meet these obligations.
Roston. Oct. 80. The petition for q
receiver for the Eastern SteamShlr
CORPORATION filed in Portland to-day
was not unexpected by those IN touch
with the affairs Of the corporation
here. According to officials. conditions
during the summer were uniavorable u
business. log and cold weather cutting
down passenger receipts EIea'''
throughout the season. ..-
In common with other transportation
interests. it is said, the company mas
been faced by constantly increasing eA
renses in every department. In par
iicular the requirements as result %
the Titanic disaster, relating 10 lh'
number of life boats ano restrlctlohs
as 10 the number of persons carried
are said TO have intertered with the
earning capacity Of the boats.
Tho corporation was organized as
subsidiary OF the New York. New
Haven and Hartford, which, by. the
recent agreement with the federal au,
thorities. is required to divest itself OF
its interests in the corporation on OF
before July, 1911
During the past two years the cor
marathon has spent large sums IN th'
Improvement of the property. with
the expectation. it is said. of having lt'
boating indebtedness looked after By
the New Haven.