The Indianapolis times. [volume] (Indianapolis [Ind.]) 1922-1965, 1928-08-28
Service Commission to Hold
Inquiry; Affects 280
!, Communities.
THOROUGH QUIZ NEEDED
Public Hearings, Adults and
AppraiSaIS Outlined as
Procedure.

UUO,UUU- merger OF eleven power ano
transportation units of the Central
81 Indiana Power Company. controlled
by Samuel insult, and seven like
utilities controlled by the Terre
Haute, indianapolis & Eastern
Traction Co. Petition for the merger
was filed late Monday.
With $50 communities in Indiana
affected by the States largest utility
deal, it will be necessary, to prepare
for audits and appraisals of the
properties involved and for public
hearing in the communities in
terested.
The Indianapolis Street Railway
Company, according to the T. H. I.
81 E. attorney, Will H. Latta, who
with James w. Fesler, of Fesler,
Elan and Young, representing the
insult interests filed the petition,
will not be directly affected.
The common stock of the local
company will go into the merger,
but it's preferred stock, which con-
trolls, will remain in the hands of
those controlling the street car
company at present, Latta said.
No apparent dissatisfaction of
stockholders of the various COM
panieS involved has been reported.
Statute requirements are that at
least rs per cent of the owners of
each of the interested utilities must
approve the merger plan before it
. is presented to the public service
commission for action.
Involve Many Properties
Properties included in the merger
are: Holdings of the Central In
diana Power Company, which in
cludes the Indiana Electric Corpora
ton, Northern Indiana Power Com
pany, Attica Electric Company, Wa
bash Valley Electric Company, No
blesville Water and Light Company,
Indiana Gas Light Company, Colfax
Electric Light Company, Moran
Electric Light and Power Com
pany, Mulberry Light and Power
Company, Stilesville Electric Com
pany, and the West Lebanon Elec-
trio Light, Heat and Power Com
lpany, and the holdings of the Terre
AHaute, Indianapolis & Eastern Trac-
ton Company.
Holdings of the latter combine are
common capital stock of the Indian
apolis Street Railway Company,
Terre Haute Traction and Light
Company, Indianapolis and North
western Traction Company, Indian
apolis and Martinsville Rapid
Transit Company, Indianapolis,
Charlottesville and Danville Electric
Railway Company, West Indiana
Utilities Company, which owns all
Of the capital stock of the Brazil
Electric Corporation.
Combined financial status of the
companies is placed at $77,554,542
which has been reduced to $70,000,-
900 so that the consolidation could
be accomplished according to Hal
sey, Stuart Company. brokers handl-
ing the deal.
Methods Outlined
Methods of exchange and refl-
nancing of the merged companies
as set forth in the petition are:
Both common and preferred stock
of the Indiana Electric Corporation
and the Terre Haute Traction and
Light Company shall be Cancelled
and retired, and:
(a) For the outstanding common
stock of Central Indiana Power
Company, Indiana Electric Corpora
ton shall issue in exchange its COM
mon stock without par value.
(b) For each share of the pre-
ferred stock of Terre Hauto, Indian
apolis g. Eastern Traction Co., In
diana Electric Corporation shall
issue in exchange three-fourths OF
one share of its adjustment pre-
ferred stock.
Co For each ten shares of the
common stock of Terre Haute, In
dianapolis e. Eastern Traction Co.,
Indiana Electric Corporation shall
issue in exchange three-fourths of
one share of its adjustment pre-
ferred stock.
I'D For each share of the pre-
ferred stock of the Central Indiana
Power Company, Indiana Electric
Corporation shall issue in exchange
one share of its 7 per cent cumula-
tive prior preferred stock.
(e) For each caare of the pre-
ferred stock of ~ Terre Haute
Traction and Light Company, In
diana Electric Corporation shall
issue in exchange one shcre of its
7 per cent cumulative prior preferred
stock.
Stock Exchanges Detailed
Approval OF issuance OF capital
stock in the following manner is also
asked:
One share OF its per cent cumu-
!ative prior preferred stock in ex-
change for each share OF the out
standing preferred stock OF Central
Indiana Power Company.
One share OF its per cent cumu-
lative prior preferred stock in ex-
change for each share OF the out
standing preferred stock OF rerre
Haute Traction and Light Company
Three-fourths of one share OF its
adjustment preferred stock in ex-
change for each share OF the out
standing preferred stock OF Terre
HaUte, indianapolis & Eastern
Traction Company.
Three-fourthS Of one share OF its
adjustment preferred stock in eX-
change for each ten shares OF the
outstanding common stock OF Terre
Haute, indianapolis & Eastern
Traction Company.
One million five hundred thou
sand shares Of its common stock