New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1914-04-13
lIITOTT APPEALS
TO STOCKHOLDERS
.,,v Haven Chairman Tells
w, Whv Government Plan
Should Prevail.
ropCED TO SUBMIT
TO DISSOLUTION
,.uo,e of Roads Plans and Un'
friendly Sentiment Blamed
for Present Fix.

ant that IL the conditions had
f0i', ,,rsrent the directors OF the New
been U'- o,,a have opposed the demands
,ss government. Howard Eino'''
o. ", Of the New Haven. has sent
ehSrn D.1,ar,ent 10 its stockholders urging
long snnroye the dissolution compact
lhen the government and the com
ts'"e'" .so,r meeting in New Haven on
|. April q. -,.,,..oo, &c IN the nature
t.art-to-heart talk with the stoch-
of the New Haven. lie tells
hO'' ~ about the negotiations between
'n''" ,,~,ortuent OF Justice and the d.
i' 81 the company, Of how the latter
is, ..ss % certain demands OF the gov
0''.s and only gave in TO prevent the
s,,~ ansny from being practically wrecked
y" che appointment of a receiver ana
aissoluton suit. ,,.
o,so noints out TO them the present
81 and business condition or the
.oonv what were the reasons LOT ao-
'O'' 30 the government demands ana
V'p -, IN them a strong ray of hope
.s Y the company will soon again De
U- solid and substantial orsaniza-
ton
Mr. Elliott says;
10 the dnancia, plans Of the company
Ia not failed. if general business ana
- earnings OF the company had not
,houn such discouraging decreases ana
!, ,hera had been a general friendly
".,,,r,ent and feeling of confidence
.s.onsbout New England toward the
saronany the directors might have oeen
,ns,aad I'm contesting the government
,'rb, 70 insist upon the dissolution de-
handed
Under the conditions, however con-
,ron,ing the company the directors teit
,ho, lawsuit, with attacks which would
v,bout doubt have followed from other
.,,,ces would have resulted in a re-
ceivership of the property. The directors
have felt that it was their duty TO the
stockholders and TO the people OF New
england 10 do everything within reason
n avoid this, believing that the results
If q recelvership, with its complications
artanglements and delays, would be dis
astrous not only TO the properties OF the
comnany but to the commercial, indus
rial and financial welfare of New Eng
land
Mr. Elliott SAYS that "the real question
to-day Is not whether it was wise or right
10 have acquired the various properties
under discussion. but TO have policy
adopted now by the company, by the peo-
ME whom the various properties serve, by
the officers and agents of the government
both state and national, and by the press
that will help to prevent conditions that
might bring about an industrial ana
financial crisis-a policy that would AT
least give chance to save situation
filed with perplexities."
one Of the chief grounds for dispute
between the government and the com
pany. Mr.. Elliott says. was the disposal
Of the Connecticut and Rhode Island troll
eys. He says the New Haven believed
that il should retain these trolleYs' De-
cause the properties are intrastate ana
do an intrastate business and they are
DEVELOPMENT in Connecticut and Rhode
Island Of the agricultural. commercial and
manufacturing business Of those states"
The company, however. reluctantly con-
ssnted to the demands OF the government
that the stock OF each company be placed
in the hands Of five trustees and sold
within three years from July !. 1914. Mr.
Elotts statement regarding the negoti-
atoms with the Department of Justice
contains the original proposition submit
ted by the government, the counter propo-
stion submitted by the New Haven di-
rectors and the plan Of dissolution finally
agreed upon. most Of which has already
been published
Your directors by unanimous vote
Mr. Elliott says, recommend that you
approve the arrangement with the Attor-
ney General 1t should stop the charge
that the company is openly violating the
law and should make it easier for the
company to take care of mat ring obli-
cations and 10 provide additional capital
for needed improvements In signalling,
bridge renewals, additional tracks. equip
mem and modern engine terminals.
Il should also permit the officers OF
he company 20 devote their time and
ensrges TO the MANAGEMENT of the prop
s'v. TO overcoming the i'll effects of long
cttnued criticism and TO bringing about
4 iestoration OF that confidence which IS
% essential 10 efficiency"
Nj. Elliott says that while general bust
tess conditions have resulted in large de-
geases in both gross and net earnings, he
ht'ertheless holds out the hope that the
end OF the present fiscal year. on July 80,
VIII show small surplus.
Tor the eight months ended February
- 1914" he says. there is a decrease
n net income Of sA735.47S SO. compared
WIN me previous year, after allowing for