The independent-reporter. [volume] (Skowhegan, Me.) 1909-1955, 1924-07-31
HOTEL ON SITE OF THE OLD CO.
R||RN By THE EARLY SPRING
,,pization Committee Named Proposition
()utlined- Definite Action Later

by each In other words, this means.
II person invests $1,000, he will re-
ceived certificate for $500. the bo-
nus or premium being in lieu of
interest These certificates are to
be reduced by the company in accord
ance with the trust agreement. filed
with local institution as trustee, by
the payment of five per cent of the
daily gross receipts of the hotel.
which sum of money will be held, by
the trustee and at the expiration of
every six months, will be distributed
on all of the outstanding certificates
from time to time until fully redeem
ed. In addition to the above eerti-
ficates, the company will give to each
subscriber bonus of one share of no
par value, common stock. for each
one hundred dollars invested. So that
after. the Income Participating Certi-
ficates have been redeemed. the citi-
zens will still be interested in the
proposition, and at the same time
from year to year receive any diyi-
dends, which may be declared by the
company on the said common stock.
The Post Corporation requires that
at least two citizens are to become
members of the board OF directors.
The plan is also that The First Ma
tional Bank or Skowhegan Trust Co.
shall be designated as trustee for
these certificates, in accordance with
the terms and conditions of the mort
gage trust. Adequate security is
claimed for those purchasing the cer-
tificates and the proposition is, that
first of all. five per cent of all money
received will go to the credit of the
certificate holders until these certi-
fcates are fully paid, the hotel COM
pany then to operate on the ninety
five per cent remaining to take care
of all overhead, which would be in
terest on first mortgage bonds. taxes,
insurance and general merchandise
accounts.
To assure the citizens or holders of
certificates, should the plan go thru
that five per cent is actually deposited
with the trustees, under the agree
ment of the Post Corporation. the
firm of Ernst & Ernst, public account
ant of Boston and New York, would
make monthly report of their ex-
animation of the business. in which
would be set forth the total amount
of gross business and the amount al
so deposited in the hands of the trus-
tee bank. The invitation for two
Skowhegan members on the board of
directors would be for the purpose of
keeping the certificate holders in
close communication at all times with
the affairs OF the company. Mr..
Post pointed out that every day the
amount of the liability to the Show
hegan holders of these certificates
would be decreased, while the equity
In the property by reason of the pay
ments. would be increased and there
fore the common stock would auto
matically grow into value. Accord
ing to the representation of Mr.. Post,
his corporation does the whole thing
and gives Skowhegan. a fully equip
ped modern hotel as against Skow-
hogan citizens cooperating to the eX-
tent of forty per cent of land and
building costs.
Local citizens are thoroughly in
terested in the prospect of having a
new hotel on the old Coburn property
and the indications ars that the next
few weeks will see some local hust-
ling to raise the funds to go ahead
with the work and that by early
spring Skowhegan will have the old
Coburn replaced by hostelry bigger
and better than ever