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Show WILL INCREASE BONDED DEBTS Western Pacific Wants More Money for Terminals Ter-minals and Branches. SAN FRANCISCO. Oct. 20.-The Western West-ern Pacific Railroad company, through its stockholders, is arranging to Increase Its bonded debts J25.000.000, which will make the total amount of authorized bonds $75,-O00.000, $75,-O00.000, instead of J.V),OO0.0O0. as at present. The recent Increase in the capital stock of the company from J.tO.000,000 to $73,000.-000 $73,000.-000 had that object In view, because under un-der the laws of California a corporation's bonds cannot exceed the amount of its .Stock issue. The money raised by the proposed bond ipsue of $25.ono,00 is to be used in perfecting perfect-ing terminals and for the building of branch lines In California, especially lines to San Jose and Fresno. Under the terms of the mortgage securing the original origi-nal bond issue of $50,000,000 none of the money so raised can be devoted to other purposes than the building of the main line. Interest on the Increased $25,000,000 Issue of bonds, it is announced, will be guaranteed guar-anteed by the Rio Grande Western. Just as the original issue of $.t0.oho,ooo is guaranteed guar-anteed by that Gould proporty. |