The Hawaiian gazette. [volume] (Honolulu [Oahu, Hawaii]) 1865-1918, 1915-12-17

this rather than increase their invest.
ment with probability Of harning
! little or nothing on old or new. .r.s
At present $400,O00.00 IL largo
price for franchise, but in zen years
il will be well worth Il. q
Could not new Company stand en-
annual interest charge Of S1l 10000
l rather than be forced to side strs sts,
| division Of traffic and q costly hghti
Disaster will follow the winning %
such a contest, for the new company
will be located on side streets and must
there remain or tear up and remove
at great expense. ",
The suggestions would seem worthy
Of consideration.
The adjustment of such q bonded in
debtedness at a low rate and cOnstruc-
ton bonds at a higher rate can be
easily accomplished.
For the fourth item, l note! The
Charter Of the 1sapid Transit Co. has
some limitations as to profits not ap.
plicable to a growing city, which the
| old Charter would void. d ..... ...
Other matters Of great Importance to
the city seem to have been decidedly
overlooked. The question: is on the
purchase Of the Hawaiian Tram Com
panyis franchise. ,,.,. d.
/ doubt If the officials of either com.
pany could together discuss such prop
osition, but have hopes that common
sense and the welfare of the public
may prevail and to the ultimate profit
of a Transit Company that viii prop
erly cover the streets of HONOLULU.
/, If the ground of this communication
M Nuif 4
interview for my friend whom have
induced to undertake this matter and
who has so far accomplished much more
than / even hoped. He has my hearty
thanks, and will prove q public bene.
factor if he brings this controversy to
a successful termination.
Yours very truly, ,
(Sgd) l.. E. PINKHAM
P. s. 1t is possible the basis sus,
gested may be open to criticism, but IL
is something from which to starr.
Moreover, these people having large
wealth might increase their invest
mPnt, attEs ,..I.
BEARDsLEE TO PrNKHAM
The letter from Mr.. Beardslee to Mr.
Pinkham, which refers to the eommuni
cation above, and which throws con-
siderable light in a number Of dark
corners, says:
Honolulu, H. l., April 9Th, 1892
L. E. Pinkham, Esq,
Dear Sir: Yours Of today, is well
devised, to the point, and highly COM
plimentary to 'Yours Truly" for which
| tender thanks, the while. entering a
modest disclaimer, but, is it wise to
put this proposition before Mr.. Thurs.
ton on a lower basis, than it will be
| possible to carry it through ont My
Judgment says, No! it is easy enough
to come down from an. estimate and
very hard to raise figures, after a
person once gets them fixed in his mind
and unless you want to render my
! work impossible, should advise Ger.
tain changes in the figures given, be.
fore It is handed to Mr.. Thprston for
his consideration.
lst. The holders of the $4,000, So
Bonds, could not be "made more sc.
cure" than they are today, the fran
chise and rolling stock of the Co.
Could be sold, under the hammer, for
more than that, any day, so what POS
them accept 40 Bondsi None! So
innate the interest of present Bonds at
$1,000 per annum.
End. The earnings of the Tram. Co.
are 21a to go instead of ? to 2Lsrt
and | am satisfied that any attempt
to "scale down" the 100000 valua
ton of their stock would only result
in prompt closing of all negotiations
We might hold them to 212% interest
en- the unpaid balance by making a
cash payment of say 100000 the re
turn Of a portion of which could be Sc
cured by the sale of the present equip
ment of the Tram. Go. on this basis
it would mean the payment of $50 10
more interest per annum, making $l4,
COO instead of 81 900, on these lines
it would stand a fair chance of being
carried through.
One more suggestion, in your com
municatiOn to Mr.. Thurston, urge a
PRIVATE interview, he might con> enc
| the Board of the New Co. TO talk over
the proposition, in which case some
thing would be certain to leak out
and then our fat would be in the fire.
Nothing of that kind should be done
until the option to purchase is actually
secured. l speak strongly from a
recent experience when an unguarded
remark by one of our Board cost US
5000, 900 Gold Coin. The positive state
ment of both Pain and Paul Neuman
was that NOTHING could or would DC
done with the New Co. they both take
it for granted that I am talking for
my Oakland Co. who own and operate
the Electric Street RR's Of that sec
ton and without saying so 1 have
allowed them go to think.
Z $450,O00 is NOT too much to pay for
what these Englishmen hold and in the
hight Of the fact that by. giving the
people of Oakland what they wanted,
to wit: a cheap accommodating sys-
tenn of rapid transit, we. made the rid,
ing on our cars so popular, that in 8
months we changed an outgo of $1,000
month to an income of $Il 900 per
mon. do say most emphatically that
if these Tram. people with their pres,
ent barbarOus system can make 80 on
their investment, that this property is
in the hands of intelligent men, can
with good management aud on the 18th
Century lines, be made a PROFIT.
ABLE and potent factor in the de-
| NpIODmanf of VOnr nnOSf ,;t,,