Salt Lake Telegram | 1935-08-03 | Page 14 | Western Pacific Operated by U. S

I WESTERN PACIFIC OPERATED BY U U. U S SSAN S. S SAN F FRANCISCO Aug 3 UP UP- UP The Vest Western rn Pacific railroad in financial fi financial financial fi- fi difficulties since 1932 operated operated op op- op- op crated today under supervision supervision supervision super super- vision of the United States district court of San Francisco pending efforts efforts ef eC- ef- ef forts torts to reorganize the road zoad The company was permitted to retain possession of its property and continue operations during tho the supervision supervision supervision su su- su- su period Warren Olne Olney Jr representing the road said that a reorganization tion plan now was before the Interstate interstate interstate inter Inter- state commerce commission It proposed proposed proposed pro pro- posed that holders of oC first mortgage bonds be given 30 per cent of oC their holdings in new 4 per cent fixed interest interest interest in in- terest bonds and 70 per cent in 5 per cent income bonds This is expected expected ex ex- to cut fixed interest charges radically and strengthen the capital structure The c company owes In interest due and unpaid as of ot June 30 In assuming direct supervision Federal Judge A. A F. F St. St Sure Issued is issued issued Is- Is sued an order restraining the Reconstruction Reconstruction Reconstruction Re Re- construction Finance corporation the A. A C. C James company and the Railroad Credit corporation from fromI selling any defaulted bonds given in security for loans