City and South London Railway.

THE thirteenth half-yearly meeting of the City and South London Railway Company was held on Tuesday at Winchester House, Mr. C. G. MOTT (Chairman) presiding.

The CHAIRMAN, at the outset of his remarks, expressed pleasure at meeting the shareholders with a completed and working line. They all knew that in new undertakings cf that kind, where so much was new and so little could be guided by the experiences of the past, that there always existed a feeling cf uncertainty that, however much they might have studied the question, however much care might have been taken in the execution of the works, there might yet be something that had been overlooked, that after all might render all their labours and care of no effect. In an undertaking so new in all its parts as their line was, they were especially open to such a possibility. But he was thankful to feel that they had had in the experience of their line so far the satisfaction of knowing that no serious defect in their calculations had been apparent. He considered that for a new linenew in construction, new in working, and new in all its arrangements -it was an unqualified success. Their motive power had proved a very marked success. They had had no serious drawbacks. Since the line was opened, two or three days before Christmas, they had carried 900,000 passengers in perfect safety, and they had run their engines 600,000 miles over the line. In money they had received about £7,500, equal to 15 passengers per train mile. In a metropolitan line like that they expected to have a very large number of passengers per train mile. It was very different from what it was on a great system like the Great Western or North-Western, where the number per train mile was only three or three and a-half. Considering their line was so new, that they had never advertised it in any way, and had only dealt with the traffic which had voluntarily come to them, and which they had been compelled to deal with, he thought that their traffic had been on the whole very satisfactory. As to the expenses of the line, he did not feel justified in making any definite statement upon that subject. At the cpening of a line of that sort they naturally had to go to extra expenditure in order to make security doubly sure, but as the working of the line settled down, they were from week to week reducing the expenses. They had had so short an experience of working the line that it would be utterly wrong for him to give them even an approximate statement of the working expenses. But he might say this-that, so far as he had carefully investigated the matter, he felt quite sure in saying that when they settled down properly they would find that the cost of working the line by electricity would be decidedly cheaper than working it by steam. The actual receipts per train mile had been half-a-crown. In working the line they had discovered that they would be able to work it more economically and with greater economy if they had additional sidings underground, and therefore arrangements were now in progress for the construction of additional sidings at the Stockwell terminus. Referring to the question of extending the line to Islington, he said that for his own part, and he believed his feeling was shared by his colleagues, he should have been glad to have avoided extensions of any kind for the present. They had got, as the shareholders knew. powers for constructing the Clapham extension, but they did not intend to proceed for the present with that line. They found, however, in working the line now open, that there were certain things which made it desirable that the line should be extended in the direction which they now proposed to ask Parliament to grant them powers for. They had certain difficulties to deal with in regard to their City traffic at the present moment which the proposed extension would help them to overcome. They wanted the middle part of the day, as well as the early morning and the evening, filled up with traffic for which they had abundant accommodation, and for which the expenses were going on as matters now stood. The board did not think that that part of the day he had referred to could be filled up entirely by the traffic of the district the line now served. It

FEBRUARY 27, 1891.]

would have to be filled up by traffic drawn from the larger and still more populous area which they proposed, by the extension to Islington, to bring upon the line. For the extension they had chosen a district in which the traffic was enormous, and which, he felt satisfied, from their present knowledge, would be a very remunerative undertaking in itself. But in addition to that it would bring to the existing line exactly the sort of traffic in which they were deficient and would greatly improve the value of their property. Of course, in approving of the Bill asking for powers to carry out the extension, they were not approving of the construction of the works, for the execution of which the board would first of all have to get the shareholders' consent after Parliament had passed the Bill. In conclusion, he moved the adoption of the report.

Mr. A. HUBBARD seconded the resolution.

The CHAIRMAN, in reply to various suggestions, said it was a difficult matter to enlarge the station at King William Street. It could not be lengthened, because in front of it was the Monument, and they would not be allowed to go any nearer to that than they now were. Under the circumstances he was afraid that King William Street Station was not capable of being greatly improved. The position of this station was one of the reasons for the proposed extension.. One of the difficulties connected with that station they now had to deal with was its surface approach. It was exceedingly bad. Every one going to or from the City had to pass over one of the worst crossings in the City of London, and undoubtedly that greatly damaged their traffic. In connection with the extension to Islington, they proposed to make the King William Street Station at that part of the street near Lombard Street, so that passengers would be able to go down that station into the present one.

After some remarks from Mr. BARRY, M.P., and other SHAREHOLDERS, the report and statement of accounts were adopted.

The adjourned extraordinary general meeting was then held. The CHAIRMAN proposed "That the Bill now read, entitled 'A Bill to empower the City and South London Railway Company to make an underground railway to Islington, aud for other purposes,' be approved subject to such alterations and variations as Parliament may think fit to make therein.”

Mr. A. HUBBARD seconded the resolution.

In reply to several shareholders, the CHAIRMAN said that, considering the number of petitions which had been lodged against the Bill, They it might cost the company £2,000 or £2,500 to obtain it. could not be quite certain. If it were an unopposed Bill it might not cost more than £700 or £800. In the event of the extension being constructed, the King William Street platform of that line, and the King William Street platform of their present line would be connected by a footway similar to that at Baker Street. Replying to a question with regard to the estimated cost of the line, he said that the present line cost £250,000 a mile. The extension would be two miles in length, and so would cost £500,000 if constructed at the same cost per mile. In the City, however, they had to purchase expensive property. This would be subsequently resold and let, but they must have the necessary powers to purchase this in the first instance. The extension might perhaps cost less per mile than the present line. He did not think the company would have to issue preference shares. He believed their present shares would be at such a price before the proposed extension would be undertaken that they would not be required to do so.

The resolution was then put and carried with about half-a-dozen dissentients.

Mr. BROAD demanded a poll.

Mr. COURT, who had expressed himself as favourable to the extension, said he might save that gentleman the trouble of pressing for a poli by mentioning that he represented £80,000 of capital.

The CHAIRMAN stated that the Board held proxies for 195,000 hares in favour of the resolution against the 2,000 shares held by Mr. Broad.

Eventually Mr. Broad withdrew his demand for a poll.

On the proposition of the CHAIRMAN, seconded by Mr. W. ROBINSON, a resolution was agreed to empowering the directors, if they thought fit, to make the proposed extension from King William Street to Islington a separate undertaking, with separate capital, a separate proprietary, and separate borrowing powers.

The proceedings then terminated with a vote of thanks to the chairman.

279

have been greatly delayed by the severe frost, which practically rendered building operations impossible for two months. Great progress has, however, been made, and in both cases temporary buildings have been put up, covering a part of the engine and boiler room space, sufficient to allow of current being supplied while the building opera tions are being completed. Engines, dynamos and boilers are now in place at each station, and Prof. Kennedy reports that these' will be at work in the course of next month.

The work of laying the mains, like that of building, was seriously hampered by the severe weather. Notwithstanding this, since the work was started in February, 1890, mains have been laid along ahout 16 miles of roadway, and these include a total length of about 75 miles of "ways," into which about 40 miles of copper have been drawn.

In consequence of the great and pressing demand for the supply of electric current, it has been necessary to proceed with greater rapidity than at first arranged with the laying of mains throughout the district. This has led to the calling up of the capital sooner than was anticipated, but will result in an earlier division of profit.

The board have applied to Parliament for powers to supply electricity in the northern part of the parish of St. Margaret, Westminster, which was not included in the original provisional order. Many petitions for the admission of the low tension system have been signed by residents in that district, and the decision of the Board of Trade is shortly expected. This area, comprising, among others, Bridge Street, Parliament Street, Great George Street, Queen Anne's Gate, and part of Whitehall, can be supplied from the existing station in Millbank Street, and consequently if obtained, will prove a valuable source of revenue.

To complete the works now in hand, and to provide for such new works as the directors may consider desirable, they propose to obtain the consent of the shareholders to the issue of the balance of the authorised share capital, £85,235, in 17,047 shares of £5 each.

Westminster Electric Supply Corporation, Limited.

Is submitting their report to the shareholders, the board are pleased to be able to state that the business of the corporation is proceeding in a satisfactory manner.

At the present time current is being supplied to the equivalent of about 12,000 lamps cf 8 C.P.; formal applications have been signed for about 17,000 more, and numerous enquiries continue to be made for the supply of current.

The central station in Millbank Street is now finished, and has been running continuously day and night since November 13th, 1890. Current is being supplied from this station throughout the whole length of Victoria Street, in various parts of Pimlico, and also to the Houses of Parliament. The temporary station in Dacre Street is still supplying current to the western portion of the district as far as Belgrave Square and its neighbourhood.

The two other permanent central stations of the corporation, namely, those in Eccleston Place, S.W., and in Davies Street, W.

: £

1,781 11.7 317 2 6

oil, waste, &c. Th coals

10 15 36 0 0

balance carried to net revenue

S. d.

2,098 14 1 44 08 15 2.0

2,157 16 9

46 159 2,204 12 6 62 15 11 £2,267 8 5

The fourth ordinary general meeting was held at the cffices in Victoria Street on Wednesday last.

The CHAIRMAN (Lord Suffield) spoke as follows:-Gentlemen-The report which has been sent to each shareholder will have already made you acquainted with the fact that the business of the corporation is going on satisfactorily. Since our last general meeting on the 5th of November, the Millbank Street central supply station has been completed, and current has been supplied therefrom continuously, day and night, in a most satisfactory manner. It frequently occurs that when a station is first opened, some unexpected flaw, either in the machinery or in the mains, is brought to light, causing a serious breakdown, but I am happy to say that this has not been cur experience. Some slight irregularities in the light did occur for a few days, but this was before we got on to the batteries. Since then the light has been perfectly steady and satisfactory, notwithstanding the unusual demand throughout the whole of several days in consequence of fogs. You will hardly need to be told that fogs, however unpleasant they may be from a sanitary point of view, are, from an cle:trical point of view, a very different matter.; We find that our heaviest loads come in during fogs, so that to us they are a source of profit instead of loss. I am glad to be able to inform you that since Taking over the Millbank Street station from the builders, we find that we have every reason to be satisfied with the work, and that the building is in every way suitable to our requirements, so much so, that when Sir William Thomson visited the station, he not only expressed himself as perfectly satisfied, but declared it to be one of the best he had ever seen. We have now sufficient plant and machinery erected there to supply all the lights likely to be required for the next six months, and as the demand increases so shall we increase our ma-chinery, I may here point out a great advantage which the Westminster district possesses over many others, which is that within it are a large number of offices, in addition to private houses and shops, and that

[FEBRUARY 27, 1891.

these offices, requiring as they do to be lighted in the winter months through many hours each day before the chief part of the lighting of the private houses comes on, enables us to use our Milbank Street Station to great advantage. We are at present supplying from the Millbank Street Station some 9,000 lamps of 8 candle-power cach. The cost of running at that station is now about £60 per week. This includes the cost of coal, water, stores, salaries and wages. To this has to be added £90 per week for maintenance, depreciation of machinery and mains, establishment charges, rent, and sinking fund on buildings, &c., making in all £150 per week. At the beginning of the month of January the income per week for current supplied had already reached £150, which has now increased to £200. so that even in this early stage a profit is already being made. Of course, as the days lengthen, the same ratio will not be kept up. nevertheless, it is to be noted that though the days have been lengthening of late, and the demand for current bas, in the case of other companies which have been longer established, been falling off in consequence, our receipts have augmented. This is, of course, attributable to the increased number of lights which are daily being installed in the district, or at any rate mainly so. The temporary station in Dacre Street, at the back of these office. which is supplying the remainder of the lamps on circuit, has been of great service to us in enabling us to supply current to the wester portion of our district while the station at Eccleston Place was being built. In a few days the Eccleston Place Station will be delivering current, and the temporary station will then be closed as soon as possible. The directors have visited the Eccleston Place Station as well as the other new station in Davies Street, and were very much gratified with the progress made. It has been very much delayed by frost, but is now progressing in a most satisfactory manner, and will, as I have just said, be able to deliver current in a few days. At our Davies Street Station great progress has been made, and from there we expect to be supplying current by the end of next month. You will observe, by looking at the map on the walls, with what rapid strides the work of laying the mains has proceeded since you were last called together. There were then about 11 miles laid. To-day notwithstanding înterruptions, there are about 18 miles completed. This includes the principal streets throughout the district in which there is the greatest demand. The others will be completed in the order in which the demand arises. I should mention that our consumption of coal already bears favourable comparison with that of the most economical of the older established companies, and that when the condensing plant now on order is erected, which in the case of the Millbank Street Station will be in the course of the next two months, a still greater saving will be effected. Now, as to the question of capital and expenditure. You will see from the accounts sent with the report the expenditure under the different heads to the 31st December last. Owing to the demand for light caused by the stoppage for about two months or more of the supply of the only other company having powers in the same district as ourselves, it was considered desirable by the board to increase the amount of copper in the mains, especially in the Mayfair district, for which large numbers of applications have been received. This has largely increased the expenditure on mains, but, of course, will result in the earlier sharing of profits, as we shall be enabled to take on 1 much larger number of lights without delay. The board are pleased to say that, so far, the whole of the works, whether of buildings, mains, or plant, have been carried out well within the estimated cost, and that the total cost of the works to give enough current to supply the whole of our districts for some time to come will not exceed the amount of capital asked for in the original prospectus of the company, viz., 300,000. The amount actually subscribed was £214,765 in 42,953 shares of £5 each. To provide for the extra cost of laying mains, completing the present work in hand, and making provision for any extra work the board may consider it desirable to enter upon. they suggest to the shareholders that the directors be empowered to issue at their discretion all or any part of the balance of £85,235 in 17,047 shares of £5 cach. They feel fully justified in asking them to increase their holdings, as there is no doubt of the future financial success of the undertaking. I would not make that statement. gentlemen, if I did not believe it to be absolutely true The directors have also passed a resolution to issue if required £100,000 debentures at 5 per cent. interest, to run for a term of 10 years, but not to a greater extent than an amount of onethird of the share capital for the time being. I now beg to move the adoption of the report and accounts for the past year. If any shareholder has any question to ask, we shall be pleased to give him every information in our power. I will add that the calls on the shares have been very well paid up, and that only a small balance is left, which no doubt will be forthcoming. I now beg to move the adoption of the report and accounts for the past year. If any gentleman has any question to ask the directors will be very pleased to give any information that is in their power.

Mr. BOULNOIS seconded.

Mr. COOPER wished to know whether the last item on the credit side of the balance sheet, £3,957 "expenditure during year. but ap plicable to future business," was properly chargeable to capital. Should it not have taken its place in the revenue accounts?

Mr. ROGER WALLACE answered this question. In starting a company of this kind there was a vast amount of work to do, such as getting customers, travelling, and advertising, which would become remunerative in future years. It could not be placed at once to capital account, but would be written off the profits of future years.

Mr. MARK STEWART wished to know if any steps had been taken to secure the provisional order mentioned in the report, to obtain greater facilities in the northern part of St. Margaret's.

The CHAIRMAN: Yes; steps have been taken.

A question was asked regarding the proposed issue of debentures, and

FEBRUARY 27, 1891.]:

The CHAIRMAN stated that there was no immediate necessity, but they took power to issue them in accordance with the custom of all ther companies, and

Mr. BROWN-MARTIN, a director, explained further that it was better to issue debentures than new capital, because the new capital would share in the 7 per cent. dividend which they were certain to earn, whereas debentures could be got for 5 per cent.

Mr. G. R. SCOTT proposed the resolution giving the directors power to issue the debentures.

Swan United Electric Company.

281:

IN connection with the Swan United Electric Light Company, Limited, says the Citizen, a most interesting resumé of its financial history and prospects has been issued. It will be remembered that it was formed in 1882 with a paid up capital of £299,125. The following are the leading features:-

Manchester Edison-Swan Company, Limited.

Ay extraordinary general meeting of the Manchester Edison-Swan pany, Limited, was held on the 23rd inst. at the Victoria Hotel the purpose of considering the advisability of obtaining additional ital by the issue of debentures or otherwise. Mr. Vernon K. mitage, chairman of the company, who presided, explained that meeting was called in accordance with a promise made by the etors that the shareholders would be consulted before any scheme Oving any considerable expenditure of money was entered upon. 1 he had informed the shareholders on a previous occasion, there had recently been a very marked diminution in the demand for small installations of the electric light, and the directors thought that in view of the large number of provisional orders which had been reently granted to local boards and corporations, it was desirable that they should have the ability, if they had the opportunity, to do such lang work as the carrying out of such provisional orders would involve. Another reason why it was thought that it might be necessary to raise additional capital was this, that at present they were seriously handicapped in their competition with other companies by the circamstance that they were not manufacturers as well as installers. With facilities for making what they required, they would save much moncy which at present went to manufacturers of fittings, &c. The directors felt that if they were placed in a position to raise such money as they might consider necessary there was a future for the company, especially in a place like Manchester, where a provisional order for electric lighting had been obtained. By the articles of association the directors had full power to raise what money was required on debenture or by call, but, in accordance with the promise They had made, they desired to secure the assent of the shareholders before going forward. With reference to the general position of the company, he added that he thought there was not the smallest doubt that for the current year they would make 7 or 8 per cent. on the capital that had been called up. In reply to a question by Mr. F. B. Ross, the chairman stated that it was not yet known what amount it might be necessary to raise. That would depend altogether on the extent to which they were entrusted with orders. Their manufacturing work would be carried on in a small way to begin with. Some discussion followed, at the close of which, without any formal resolation being passed, it was left to the directors to obtain such additional capital as they considered necessary.

Telegraph Construction and Maintenance Company, Limited.

THE report of the directors, to be submitted to the members at the twenty-seventh ordinary meeting to be held on Tuesday, the 3rd day of March, 1891, states that the accounts for the year show a net profit uf £113,681 48. 8d., after charging the interest on the debentures. To this sum must be added £37,483 7s. 3d. brought forward from last year, making a total of £151,164 11s. 11d. From this amount is dedacted the interim dividend of 5 per cent., paid July 15th, 1890, amounting to £22,410, leaving £128,754 11s. 11d. to be dealt with. Of this sum the directors propose to distribute a dividend of £1 16s. per share, absorbing £67,230, being at the rate of 15 per cent., and making, with the amount already paid, a total dividend for the year f £2 88. per share, or 20 per cent., free of income tax, leaving 461,524 118. 11d. to be carried forward to the next account.

During the past year the cable factories at East Greenwich and at Wharf Road have been fully occupied, and the increase in the general business at the latter works, mentioned in the last report, has been fully sustained; a length of over 9,000 miles of telegraph wire 'has ven insulated for submarine cables and land lines during the year. The company's ships have duplicated the Eastern Extension Telegraph Company's cable between New South Wales and New Zealand, Have repaired and partially renewed the lines across Cook Strait, have artially renewed the Madras-Penang cable, and have quadruplicated. the Eastern Telegraph Company's line down the Red Sea. A cable has also been laid between the north-east coast of England and Sweden for the Great Northern Telegraph Company, and repairs have been effected in the German Government cable between Greettel and Valentia.

The factories at East Greenwich and Wharf Road, and the company's steamships are in efficient working condition.

The retiring directors are Sir George Elliot, Bart., and M. Philip Rawson, who, being eligible, offer themselves for re-election.

The meeting will have to appoint auditors for the ensuing year. Mr. John Gane (of the firm of Messrs. Gane, Jackson and Jefferys), and Mr. Patrick A. Glegg (of the firm of Messrs. Welton, Jones & Co.), who retire, offer themselves for re-election.

The company have a monopoly of the special light, and are getting the advantages which follow the rapid adopting of electricity for illuminating purposes. The executive are engaged in making provisions for the prospective expiry of their patent rights in 1897, both by consolidating the goodwill of their business, and by building up a reserve fund. The Swan United are certainly paying a handsome dividend, and what is better, there is every probability of the present rate of 20 per cent. being maintained.

The Liverpool Electric Supply Company, Limited.

A LARGELY attended annual meeting of the shareholders of the Liyerpool Electric Supply Company, Limited, was held on Tuesday at the Law Association Rooms, Cook Street, Mr. Arthur Hill Holme, C.C., chairman of directors, presiding. In their eighth annual statement of accounts, the directors reported that the amount of net profit available for dividend was £4,878 9s. 6d., and out of this sum they recommended a dividend of 34 per cent., which would absorb £4,074. The expenditure on capital account during the year had been £54,019. The number of lamps supplied from the company's stations on January 1st, 1890, was 6,700, and on January 1st of this year 11,750. It was anticipated that during the present year there would be still greater progress in this direction, with corresponding advantage as regarded profits. The directors had applied for Parliamentary powers to extend the present area of supply to London Road, Prince's Road, Prince's Park, and Sefton Park. In moving the adoption of the report and statement of accounts, he remarked that the company had inade a considerable addition to their business during the past year. They had increased their number of fixed lamps from 6,700 to 13,074, although they had engines of sufficient power to supply 25,000 lamps. The directors had written off a sum of 3 per cent. for depreciation on all underground mains laid since the commencement of the company, including those which were not yet in use. The necessity of making a call upon the shareholders would probably not occur before January next, and then the call, it was anticipated, would not exceed 10s. per share.

The retiring directors and auditors were re-elected, and the meeting was brought to a close.

Taunton Electric Light Company. The report of the directors of this company, which is to be presented at the fourth annual meeting for the first time since the company has been formed, does not recommend the payment of a dividend. The statement of accounts shows a deficiency of about £430 on the year's working. During the year the capital of the company has been increased, and extraordinary expenditure incurred in connection with the new depôt. The directors, however, anticipate that the working will prove remunerative in the future.

The Brush Electrical Engineering Company.-This company has issued warrants for an interim dividend on the preference shares for the half-year ended the 31st December last at the rate of 6 per cent, per annum.

The Western Counties and South Wales Telephone. Company, Limited.-Warrants were posted on Monday last for the dividend upon the preference shares at the rate of 6 per cent. per annum for the half-year ending 31st December last.

TRAFFIC RECEIPTS.

The City and South London Railway Company. The traffic receipts for the week ended February 21st, amounted to £718; aggregate receipts for halfyear to date, £5,484.

The Western and Brazilian Telegraph Company, Limited. The receipts for the week ending February 20th, 1891, after deducting 17 per cent. of the gross receipts payable to the London Platino-Brazilian Company, were £4,928.