Re-organization of the Postal Telegraph

REORGANIZATION OF THE POSTAL TELEGRAPH CO.

The scheme for the reorganization of the Postal Telegraph Co. may be accepted as an accomplished fact, the holders of over $9,000,000 worth of the bonds (out of a capitalization of $10,000,000) having signified their acquiesence in the plan prepared, which comprehends a capital in stock alone of $5,000,000, obtained as follows: $10,000,000 bonds at 35 per cent., $3,500,000: $10,500,000 stock at 5 per cent., $525,000; $700,000 cash at 105 per cent., $735,000; stock in treasury valued at $240,000; making a total of $5,000,000. It is claimed that this solution has been obtained chiefly through the efforts of Mr. John W. Mackay, who holds over $2,000,000 worth of the company's securities.

Judge Lawrence appointed A. B. Chandler and Henry Rosener temporary receivers of the Postal Telegraph and Cable Co., upon giving a bond in the sum of $75,000. The appointment of receivers was made by consent, in an action brought by Campbell C. Brown and Thomas Fleming against the company for the sequestration of its property. On the 15th ult. Messrs. Brown and Fleming recovered a judgment against the company by default for $105,308.45 upon a promissory note for $100,000 made in June, 1884, by the company to Mr. Henry Rosener, its second vice-president and general manager. The note was indorsed and assigned to Messrs. Brown and Fleming, but when payment was demanded it was not made.