Year: 1860

interest on the simple contract debts.


We have declared a dividend of ten Der
cent, on the principal of the assessment, to
be paid thereon and after the Sd day Of
May next.


If the business continues to increase in
the same proportion that it has done for
the two last years, land from the increase
of the two first months Of the present year
we are led 10 believe that it willy we will
have the present year an income Of four
hundred thousand dollars; out Of which we
can pay the expenses of working the Road
and the interest on the entire debt, and still
have surplus Of over one hundred thou
sand dollars. In connection with the in
come of our Road, we would with pleasure
state that the Spartanburg & Union Rail.
road was completed to Spar'anburg in the
fall Of last year, and that it is now in sue
cessful operation. It has already contribu-
ted much to the business Of our Road, and
in its future progress is destined to be a
valuable feeder TO US. The business already
done has proved that the small amount ia
ken from US at points where we come in
competition, is largely overbalauced by the
business brought to us which we could not
otherwise have received, and such we con-
tidently believe will continue to be the case,
as its business is further developed. We
conclude therefore that the interests of the
two Companies are not inconsistent, and
that our friends may we'll rejoice with the
friends Of that Company in the success Of
their most sanguine hopes and expecta-
tions. ~


The Bond debt of the Company, which
is secured by mortgage, falls due as fol-
lows: It,,


On the first ofJanuary, 1862 $15o,ooo
On the first Of July, 1862 $4,000
On the first Of July, 1868 100000
On the first Of March, 1864 100000


In all $500, 900


1t is evident, from the business now done
BY the Road, that the Company will not be
able, from the income, to meet and dis
charge the debt as it falls due; and that it
will be necessary to resort to credit in some
form to pay it. Having encountered this
Indebtedness in dark period of the Com
pany's history, when it was weak and the
success Of the enterprise doubtful, We feel
nothing dannted now when the road is
finished, in fine order, we'll equipped, and
worth double the amount Of the debt, in
encountering it again. The business is
prosperous, and money matters easy, so that
it is believed that the debt can be taken up,
or funded again, with more ease and salts
faction than was felt in funding It in the
beginning. Much attention and considera-
tIon'has been bestowed upon the indebted.
ness of the Company. The embarrassment
OF having issue: two classes of Bonds has
been felt with much force, and with view
Of avoiding tbi' state Of things in future,
the Board has determined that, in its judg-
ment, the true interests involved will be
promoted by readjustment of the entire
debt, and feelingthe importance of moving
early in this matter, so as to allow ample
time for negotiation, has ordered the issue
of Bonds to the amount Of $500 900, if
SO much is found to be necessary, redeema-
BILE in twenty years, to take up the Bonds
now issued, and funding the entire debt,
proper regard being had to the present Mort.
gage Bonds, sand if possible, to take them
up first; and has directed mortgage of
the road to be given to secure these Bonds.
AS there may be some Bond creditors who
are willing to extend credit 10 the Company
beyond the time at which the Bonds fall
due, an exchange Of these Bonds may be
made with all such or they may be sold
and the proceeds applied TO taking up the
Bonds where the holders are not willing to
receive them in exchange. As there is but
one lien on the RoaG, these Bonds, as they
qsre exchanged for or sold, and proceeds
applied to the present Mortgage Bonds, take
their place, and thus become the first Mort
gage Bonds, which gives ample security to
the holders::' We ask your concurrence
and approval Of this measure to make it
perfect.


The Report of the General Superinten-
dent is succinct statement Of the opera.
tions of the Road, its casualties and the i'm.
proyelnent that have been made. You
will see from it that the works Of coustruc-
tion have been steadily. carried on, and are
Of a character to reflect much credit upon
those employed thereon. We take special
pleasure 10 referring to the Bridge a. klst6n
Quilt by Messrs, Murdock and Renno,)
which in every part exhibits superb work.
mansbip. I. being above high wassr, We
do not doubt tbst it will last b. thirty.