The Indianapolis times. [volume] (Indianapolis [Ind.]) 1922-1965, 1935-03-19

ANNA n ~ AaNAAAAAA AANA'A1AAr - 49, 80
a value of S9,447,835 and the
indianapolis Gas Co. a worth
of S8,956,33O in separate re-
ports.
More than sll.OOOOOO Of the va
rious securities outstanding is rep
resented by bonds-s6,58lO 600 first
mortgage SIS Of the Indianapolis Gas
Co. due IN 1852 and S4.138 900 Of first
and refunding SIS Of the Citizens Gas
Co due in 1892 In addition. the
Citizens Gas CO. has outstanding
$1,000 900 worth Of common stock
and - 10000 Of preferred shares.
The Only other issue OF the Indian
apolis Gas Co. consists Of 100000
OF common stock.
Thus. II is seen that the Indian
spOlis Gas Co. has S5.83l 900 Of Sc
curities in the hands of the pUOllc.
compared with its plant worth Of
S8956 $50. while the Citizens Gas Co.
has S7.I38OOO OF its securities out
standing. Contrasted with its plant
worth of s9.447835.
Interest Is Assured
Under the Citizens Gas-Indisn-
apoHs Gas lease arrangement the
former paws the latter the sum Of
s485.5O9 as rental for its plant and
property. This figure provides for
the payment Of annual interest OF
s344OOO on the outstanding bonds of
the Indianapolis Gas Co. and Sl20.-
600 for dividends on the common
stock at the rate Of per cent an
nually. The balance goes for other
expenses.
Holders OF indianapolis Gas Co.
stock and bOnoS are assured of in
terest and dividends as long as the
Citizens Gas Co. lease remains IN
effect.
The common stock of the Citizens
Gas Co. a SIS par value issue. is
entitled to 10 per cent annual divi-
dends. or $3.50. Under the terms Of
the franchise with the city these
shares must be redeemed at par
value and all accrued dividends
must be paid before the city can &C
quire title to the property
Additional Stock Sold
In 1923 the Citizens Gas Co.
sold 100000 worth of 5 per
cent preferred stock. represent
ted by 10000 shares ofHslOO par
value. In conjunction with the sale of
these scurities the Citizens Gas Co.
amended its articles of incorpora-
tioa to provide that after payment
Of operating expenses and taxes
the earnings Of the company should
be applied first to the payment of
any accrued unpaid dividends upon
any preferred stock of the company
at the time outstanding.
This amendment had the effect of
dropping the common stock down a
notch insofar as its call on earn
inCS was concerned. Before the sale
Of the preferred issue the common
shares were entitled TO first crack
at earnings. but after the sale they
were given second call
The entrance of preferred stock
on the scene also drew another
amendment IN the articles of incor-
pOratiOn which stated that when
all the outstanding preferred stock
or the company shall have been re-
tired. and the holders Of the certi-
fcatcS representing the common
stock shall have received by divl-
dendS. or otherwise. upon such Ger
tifiCateS an amount equal TO the face
value thereof. together with interest
thereon at the rate Of 10 per cent
per annum" the plant shall be con-
veyed to the city.
Common Stock Affected
This revision also gave pre-
ferred status to the new shares over
the outstanding common
AS now COMPRISED. the Citizens
Gas Co. every year must pay out
total Of S942 500 yearly under the
terms OF its various contracts with
the indianapolis Gas Co. and the
owners Of various stocks and bonds.
This is made up as follows:
Annual rental under lease S4s5. 500
Citizens Gas bond interest. .S2O6.9OO
Preferred dividends. $4,000
Common dividends o.. e. e. 100000
Total. %. o.. .. .. ..SS4Z .oOS.
tNext-The MiIburn By-PrOducts
Coal CO..