| Show 0 B R IT reorganization basis uron aiji on which the new company will take tak charge new york aus aug 23 13 the plan and agreement for or tile the reorganization of the 0 egon railway allway Ti navigation Naile atlon company have been made public it proposes the formation of 0 a new corporation which will issue 4 per cent lifty fifty year gold old bonds to 10 be second at on tile the property covered by tile present hist flint mort gaRC and I 1 drat I 1 rat mortgage on ell elf other pio porty of 0 the new company the new bonds will be distributed as follows two million five hundred and eighty three thousand dollars at par to tile existing consolidated niort mortgage gago bonds at 5 per cent to orio exl lans collateral coHl teril trust bonds 5 reserved to retire tile the existing first arst mortgage bonds 1106 reserved for betterments and terminals end and SJ to be used for extension at not loot mote mole than S per mile of the road the new company will issue 4 per cent cumulative non stock and common stock tho the preferred stock will be as aa follows five million six hundred and sixty two thousand three hundred and sixty alve nv dollars to the consolidated mortgage Is bondi bond at a rate of 45 per cent 1700 to collateral trust bonds at 61 to 70 per cent 1440 OGO to the common stock tor for a 6 per cent assessment on and 1702 for or reorganization expenses etc elc common stock now new company 11 will ill bo be issued share for share to the present common stock on the payment of a 6 per cent assessment under the proposed pio posed plan the fixed charges of the new company the first year of its operation will approximate as aa against the present fixed charges of tl the ned fixed charges of tle me new company hlll 1111 be reduced annually about 1010 through the operation of the existing first mortgage sinking fund it is proposed to pay the coupons due december 1 1893 on the existing c consolidated on soli dated mortgage morte age bonds this thin will ill require S betterments terminals terminal and settlements of claims will mill require 1250 expenses of reg organization and contingencies total cash requirements this will bo be medby the 6 per cent assessment on existing common stock and which will bo be on hand from operation of the property after dividends of 4 per cent shall be paid upon both classes of new hew stock all dividends declared thereafter shall bo be distributed pro rats rala to the and the common stock tho the preferred stock Is also preferred as to assets in case of liquidation but jt it shelf shall not be ba increased without the consent of all the stockholders of the company tile board of directors direct ora Is to con consist slat of fifteen members mcm bera eight pt 91 whom mut t be residents resi dems of oregon A stock clock trust Is created which ass assures ures the preferred stockholders the iho to nominate ten of the directors of the foed new company tile the common stock electing five the trust agreement la Is to renala n in force until june 1 1345 unless sooner terminated by consent of two thirds of both classes of stock |
