Harrisburg telegraph. [volume] (Harrisburg, Pa.) 1879-1948, 1914-02-28

curties. and properties of these Goa
companies into the Susquehanna Coal
Company. Therefore. there has been
the Capital Stock and debt of the sum
init Branch Mining Company, held by
your Company, and upon the transfer
Company. the Summit Branch Mining,
Company will be dissolved. Your Com
pany is also the owner of one-third OF
the Capital Stock of the Mineral Rail-
being owned by the Northern Central
Railway Company. That Company op-
Grated lands leased from the Northern
Manor Real Estate and Trust Company,
but being unable for many years to
pay the prescribed royalties. Y trans
quehanna Coal Company, effective
January 1st, 1914, and steps have been
taken looking to the dissolution of the
The lands of the Manor Real Estate and
eral Railroad and Mining Company,
cos soa anS 10
cluded for the sale to It of the other
lands operated by the Mineral Railroad
and Mining Company for the Northern
Central Railway Company subject to
fixing the final price. Under the fore,
going arrangement. payment for. said
lands will be made by the Susquehanna
Five Year Gold Bonds, which are ex-
changeable for it's First Mortgage
Bonds IL and when the same are issued
by that Company.
The purpose of vesting the owner
ship of these properties in the. Sus-
quehanna Coal Company is to insure
the continued operation of the unprofit-
able as well as the profitable mines.
and SO that should a purchaser be found
for the securities of the Susquehanna
Coal Company, held by your Company
pany, the new owners will obtain pos
session of the properties subject to
these mining obligations.
The Company has for some years de-
sired to sell the balance of its holdings
of Common and Preferred Stocks of the
Baltimore and Ohio Railroad Company
| consisting of $3.50 shares of the Com
mon Stock and 1876 shares of the
value of s1999S.6O0 The foregoing
shares represent less than one-half OF
| your original ownership in that Com
pany, aa and they have been retained
since 1905 only as an investment await
| ing favorable opportunity for theiI
| disposition. Therefore when an Offer
was made to exchange them for III ,4sS
Capital Stock of the Southern Pacific
Company, ON which six per cent. dlvi-
dends were being paid, it was deemed
summating the transaction the stock
of the Southern Pacific Company was
valued at par. the Common Stock of the
Baltimore and Ohio Railroad Company
at the same figure, while the four pei
cent. Preferred Stock of the latter Com
pany was value at $50 per share, which
was it's approximate market value This
accounts for the reduction in the pal
value of the investment, although the
Company will on the basis of the pres
ent dividends receive greater returns
| from the ownership of the Southern Pa
| cific Company Stock, and also have g
security that can either be sold when
conditions permit. or held as an invest
ment, as may be deemed the most ad.
vantageous to your Company. During
the, year. the Norfolk and Western
Railwav Company issued it's Convert
ible 1926 year AZ per cent Bonds and
| your Comnanv as a shareholder sub
scribed for its share of the allotment
amounting to $4.793.000 par value. Your
Company acquired the capital stock oi
the Cornwall and Lebanon Railroad 2:
miles long. which connects your Phila-
delphia Division at Conewago with the
manufacturing town of Lebanon. Pa.
The securities held by the Company
| December 31st 1918. at O valuation OF
1898, 960,S25 produced a direct income
during the year of $14.940.670.