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Title: Tentative valuation report on the property of the East Broad Top Railroad and Coal Company as of June 30, 1917.
Date: 1917-06-30, 1917-06-30

Title: The Debtor's proposed plan for the reorganization of the Missouri Pacific Railroad Company: under section 20b (The Mahaffie Act)
Date: 1953, 1953
Text: EAU ; A l.‘V' A~ ‘~:‘»'-‘WA-i .»-HR q__/ \ . M ‘ #7’ . . vIA:;2-v.u=;;a-'qu~« ui 1» ‘ ':::i:9=»**e . " J .~ H‘. ., ~\{\/\‘u,»*§&.n‘.f\.§.’“ﬁg.4..-4‘k§""\‘,a_~_,’”‘;‘hm\wL M [Kw-«««£..~x.,¢«“w,,,g..«-2?*i‘*5 V. P "1 ‘w DEBTOR’S PROPOSED PLAN FOR THE REORGANIZATION of the Missouri Pacific Railroad Company UNDER SECTION 20b (The Mahaﬂie Act) W away-§§~~r...
Show moreEAU ; A l.‘V' A~ ‘~:‘»'-‘WA-i .»-HR q__/ \ . M ‘ #7’ . . vIA:;2-v.u=;;a-'qu~« ui 1» ‘ ':::i:9=»**e . " J .~ H‘. ., ~\{\/\‘u,»*§&.n‘.f\.§.’“ﬁg.4..-4‘k§""\‘,a_~_,’”‘;‘hm\wL M [Kw-«««£..~x.,¢«“w,,,g..«-2?*i‘*5 V. P "1 ‘w DEBTOR’S PROPOSED PLAN FOR THE REORGANIZATION of the Missouri Pacific Railroad Company UNDER SECTION 20b (The Mahaﬂie Act) W away-§§~~r:z2;«»2v:?%«<?a—I -.,‘.’/.-\?*.f;.l;‘1,...*;-,'"¢;%:‘s‘(.-i.(,i :\\ ' 5.? gﬂliiasnuri ﬂﬁacifin ﬁiiztilrnah Qlnmpzmg 25 BROAD STREET NEW YORK 4. N. Y. OFFICE OF CHAIRMAN or THE BOARD January 29, 1953 T 0 Security Holders of the MISSOURI PACIFIC RAILROAD COMPANY: The Missouri Paciﬁc Railroad Company will shortly begin its 21st year of bankruptcy. During this period the Interstate Commerce Commission has produced and certiﬁed to the District Court in St. Louis three plans of reorganization. The last of these has recently been returned to the Commission for reconsideration. In our opinion, a reorganization under Section 77 is years away from a successful conclusion. You will surely agree that this cumbersome and expensive 20-year proceeding should be terminated. The great majority of security holders I hope and believe will welcome and support a plan of reorganization which treats each class of security holders justly. The plan presented with this letter recognizes and satisﬁes the claims of all in a reasonable and just manner, giving every security holder far more than any plan to which he has yet been asked to assent. We propose to ask the security holders of MOP to support us in a proceeding under Section 20b of the Interstate Commerce Act, which is sometimes referred to as the Mahaﬂie Act. It was passed by Congress in 1948 to expedite and facilitate the termina- tion of railroad proceedings under Section 77, the Very purpose for which we are using it. By this enactment Congress sought “to avoid the lengthy, cumbersome, and expensive Section 77 proceedings” and to provide “a more simple, less expensive, and expeditious method of effectuating modiﬁcation of ﬁnancial structures of Railroad Corporations.” Procedure Under 201) The following is the procedure which must be followed in a Section 20b proceeding: F irst—The Debtor must submit a “just and reasonable” plan of reorganization to the security holders. Second—-The holders of 25 per cent of the outstanding securities must assent to such a plan. That is what we are asking you to do by ﬁlling in, signing and mailing to us the assent form which accompanies this letter. Third—With the assents representing 25 per cent of the outstanding securities, the Debtor may then submit its plan to the Court and request permission to ﬁle its plan with the Interstate Commerce Commission. F ourth———If the Court favorably considers the request, proceedings under Section 77 are thereupon suspended in favor of recapitalizatiori_proceedings under Section i"‘i.I lb‘ 3: ‘”’‘-ii .\aIi'“_ ;,»“' L/,.. 3:‘: :3 I ll 5 if I i ll‘ -'3 \ W i V i ‘ii =" », “wt. '. '’.‘«:Q'‘:<7-~ - » A» *~ tg ; . . V , 3 F ifth—-The Interstate Commerce Commission, upon receipt of the Debtor’s plan, will review it and make such changes, if any are necessary, so as to assure that it is “just, reasonable ” etc. 9 Sixth——After approval by the Commission, the Debtor must secure the assents of 75% of each class of security holders in order to make the plan effective. (Since no coupons have been paid on the Junior Bonds for the past 20 years, there is some doubt that owners of '75 per cent of these bonds can be found in the limited time allowed [12 months from date of application] for consummation of the plan. We are therefore requesting Congress to amend Section 20b so as to make this provision correspond to the requirement of Section 77, which requires approval by two-thirds of those voting.) This letter and the accompanying plan accomplish the ﬁrst step outlined above. The second step is the execution of the assents by security holders. These assents in proper form are now available (one accompanies this letter) and the Debtor will, upon receipt of assents aggregating 25 per cent of outstanding securities, immediately petition the court under Section 20b. The Proposed Plan of Reorganization We propose to reorganize the Missouri Paciﬁc and then follow with the New Orleans, Texas and Mexico and International-Great Northern. It is our opinion that the MOP is now solvent and that the N.O.T. & M. has been solvent for years. It is our belief that a separate reorganization of the I.G.N. will be much more beneﬁcial to the security holders of that railroad. We further believe that both the I.G.N. and MOP are penalized severely under a System reorganization. The MOP would not lose its investment in nor control of the N.O.T. & M. and I.G.N. in the separate reorganization which we will propose. After reorganization, the consolidation of these properties can be undertaken. First, let us examine the solvency of the MOP. The pro forma balance sheet of the MOP as of December 31, 1952, based on actual operations for 10 months and estimated operations for 2 months, and after satisfying all claims ﬁgured to the same date, indicates clearly the sound condition of the company. There is ample cash left on hand and a strong surplus account. During the past year and currently, cash is accumulating at the rate of $45,000,000 annually, despite the huge expenditures being made for improvements. The properties of the MOP and of its subsidiaries are in the ﬁnest shape in the road’s history. Furthermore, there has been enough improvement “fat” built up to permit the consideration of bond retirement without in any way jeopardizing the ﬁnancial strength of the companies. There is much cash lying dormant in the treasuries of subsidiaries which can readily be utilized for the beneﬁt of bondholders. During 1952 the First and Refunding bondholders received $44,638,100 of cash in payment of past due coupons. Nevertheless cash now on hand approximates $100,000,000. With a portion of this cash and through utilization of the (1) Texas & Paciﬁc Preferred Stock, (2) the N.O.T. & M. debt due MOP, in the form of debentures, and (3) $40,000,000 of First and Refunding bonds held by the Trustee, all interest accumulations on the MOP bonds could be paid off. Under this sort of arrangement we could petition for a dismissal of the proceedings, similar to that taken in the reorgan- 4- ization of the “Cotton Belt”. The principal legal obstacle in this sort of procedure is to ﬁnd a way by which the maturity of the convertible 51/2S can be satisﬁed, and the rate of interest on all bonds be brought in line with the current money market. Even these problems might be solved by reaching an agreement with the convertible bondholders. The feasibility of a simple dismissal is being examined by our attorneys. How The Claims Would Be Satisﬁed Under 201) However examinations may prove a dismissal impracticable so in order that no further time be lost, we propose to ask the security holders of MOP to support us in a 20b proceeding-———now. The satisfaction of claims in a 20b proceeding would differ somewhat from that previously outlined for a solvency “Cotton Belt” dismissal proceeding. We would still utilize the T. & P. preferred and the N.O.T. & M. claim but in lieu of the $40,000,000 First and Refunding bonds held by the Trustee, we would use $40,000,000 of new MOP debentures. We propose to satisfy the principal amount of each bondholder’s claim by having outstanding bonds remain in the hands of present owners. The indentures would be undis- turbed, except to reduce coupons to 4% and to extend certain maturities. The treatment accorded each security under our proposed 20b (Mahaﬂie Act) proceeding and for which we are requesting the assents of security holders is as follows: “A” First and Refunding Mortgage Bonds To remain outstanding. No change in indenture except to reduce coupon to 4%. No change in series maturities. Satisfy interest accumulations by payment of approximately $200 in cash and $100 in T. & P. Railway preferred stock. Retention of T. & P. preferred would provide a total of 41/2% return to present bondholders. However, we believe that the present holders of these securities are entitled to a bond which will sell at par. If the money market at the time of the consummation of the plan is such that a 4% bond will not sell at par, we propose that the coupon be increased sufiiciently to insure its doing so. “B” General Mortgage 4% Bonds To remain outstanding. No change in indenture except to extend maturity of bonds 10 years in order that maturity will not fall ahead of the first mortgage bonds. Satisfy interest accumulations by payment of approximately $455. in cash and $338. in N .O.T. & M. debentures. “C” Secured Serial 514% Bonds To remain outstanding. No change in indenture except to extend serial matur- ities to 1958-1981 and reduce coupons to 4%. Satisfy interest accumulations by payment of approximately $670. in cash and $383. in N.O.T. & M. debentures. 5 “D” Convertible 5%% Bonds To remain outstanding. No change in indenture except to reduce coupon to 4% and extend maturity to 1989. Satisfy interest accumulation by payment of approximately $232. in cash and $879. in new MOP debentures. “E” Little Rock First Mortgage 4% Bonds To remain outstanding. No change in indenture except to extend maturity to 1991. Satisfy interest accumulations by payment of approximately $720. in cash. “F” Central Branch U .P. First 43, 1948 To remain outstanding. No change in indenture except to extend maturity to 1978. Satisfy interest accumulations by payment of approximately $400. in cash. “C” New MOP Debenture 45 of 1995 This new $40,000,000 par value of 4% debentures would rank below the convertible 51/2% bonds. Interest payable only if earned. “H” Old Preferred 5% Stock -Preferred stock would receive two shares of 4% Preferred $100 par voting stock, this being the “economic equivalent” of par and accumulations. The 4% preferred would be non-cumulative and dividend payable only in those years when $2,000,000 par value of ﬁrst mortgage bonds have been retired or total of ﬁrst mortgage bonds outstanding is reduced to $170,000,000. Retire- ment would be cumulative. Dividends rank ahead of common. “I” Old Common Stock To remain outstanding but $100. par value changed to no par and stated value reduced to $10. per share. Under this plan the capitalization of the MOP would total $518,585,130 excluding equipment obligations. This capitalization exceeds that of the latest I.C.C. plan by $22,741,863. However, expenditures for additions and betterments coupled with improved ﬁnancial condition since the latest plan was promulgated in 1949 represent values accruing to MOP security holders several times $22,741,863. We propose that the interest requirements on all outstanding bonds will remain ﬁxed as at time of sale to the public. The new $40,000,000 debenture issue will carry contingent interest as heretofore stated. The total ﬁxed interest requirement, exclusive of equip- ment trusts, will be $13,202,940 and the contingent interest requirement $1,600,000. We present this plan as one fair to all security holders. It is a plan that should permit the realization of market values for MOP securities which should reﬂect their true asset value. Furthermore, earnings both current and prospective are in our opinion ample to service the proposed debt. 6 Once we ﬁle this plan under 20b, we must complete the reorganization within 12 months. Given the unqualiﬁed support of security holders, we are conﬁdent that we can consummate the reorganization promptly. ' Timing Important Many well informed persons believe that another attempt to reorganize under Section 77 will mean a further delay of three to ﬁve years. I join in this belief. Section 20b was designed for the purpose of permitting a simple and expeditious reorganization. The very procedures are much shorter. It is important to you security holders that the reorganization take place now. The market, the economy and conditions generally invite prompt action. Let’s get under way. Please sign the enclosed assent now, thus permitting the Debtor to proceed. If we are successful in getting the proceedings transferred to 20b, you will still have a vote on any ﬁnal plan. 34’. Chairman of the Board PROPOSED 20B PLAN FOR THE REORGANIZATION OF THE MISSOURI PACIFIC RAILROAD COMPANY SHOWING SETTLEMENT OF CLAIMS AS OF DECEMBER 31, 1952 I——-One Share “No Par” Common with stated value of $10. for each old. INTEREST IN DEFAULT _ _ C Hlgsglsigf Interest to Chargeable Paid Net. Int. 'Cr108.tla!:I 4 Sdrlclin/ii)?‘ T557‘: I géltfcrlttgfl léggﬁn Description Principal Dec. 31,1951 'l952Income 1952 11/0 12/31/52 12/31/52 1 Cash Extended Stock Debentures Debentures Sl00Par ° “ First and Refunding Mortgage 5% Series A—-Due 1965 8 17 840 500 8 7 953 890 8 892 025 8 3 568 100 8 5 277 815 8 23 118 315 3 3 3 8 3 3 Series F—Due 1977 94 180 000 41 609 833 4- 709 000 18 836 000 27 482 833 121 662 833 Series G——Due 1978 25 000 000 11 458 333 I 250 000 5 000 000 7 708 333 32 708 333 Series H—Due 1980 25 000 000 11 562 500 1 250 000 5 000 000 7 812 500 32 812 500 Series 1 —-—Due 1981 61 170 000 27 272 250 3 058 500 12 234 000 18 096 750 79 266 750 223 190 500 99 856 806 11 159 525 44 638 100 66 378 231 289 568 731 4.2 675 231 “A” 223 190 500 23 703 000 (Per Bond Average) 81 297 41 3191 21 $1 000 00 3106 20 H General Mortgage-—4%—-Due 1975 49 302 000 37 140 840 1 972 080 — 39 112 920 88 414 920 22 446 203 “B” 49 302 000 16 666 717 (Per Bond Average) 81 793 33 $455 28 $1 000 00 8338 05 Secured Serial—-514% Due ’33-56 10 425 000 10 444 547 547 313 — 10 991 860 21 416 860 6 991 860 “C” 10 425 000 4- 000 000 [H (Per Bond Average) 32 054. 33 $670 69 $1 000 00 $383 69 Convertible 5%%-—Due 1949 45 493 000 48 014 890 2 551 560 -—— 50 566 450 96 059 450 10 566 450 “D” 45 493 000 “C” 40 000 000 (Per Bond Avera e) 82 111 52 $232 27 $1 000 00 $379 25 5 Little Rock & Hot Springs Western R.R. First Mortgage 4%—Due 1939 1 14-0 000 775 200 45 600 -- 820 800 1 960 800 820 800 “E” 1 140 000 '1 (Per Bond Average) 31 720 00 $720 00 $1 000 00 Central Brancl1—U.P.——First 4’s, 1943 523 000 190 023 20 920 -— A 210 943 733 943 210 943 “F ” 523 000 (Per Bond Average) 31 403 33 $403 33 81 000 00 New Debenture 4’s-1995 40 000 000 TOTALS ‘S370 073 500 $196 422 306 $16 296 998 $44 638 100 $168 081 204 $4.98 154 704 3 83 711 487 $330 073 500 3 23 703 000 8 20 666 717 $40 000 000 Pruznznmzn _S'rocK Per Share 3 70 190 100 $173 633 304 140 380 200* $254 so 3200 00 COMMON STOCK “I” 38 GRAND TOTAL (Excl. Equips.) 8521 577 943 3196 422 306 816 296 998 $168 081 204 $676 788 508 1 £33 711 487 $330 073 500 35 23 703 000 8 20 666 717 $40 000 000 3140 330 200 $3 131 430 CUMULATIVE GRAND Tout. 8413 784 987 $4.37 487 987 $458 154 704 $498 154 704 $638 534 904* 4-1‘; 1 "‘ This ﬁgure of $370,073,500 represents total par value of bonds in hands of public plus $40,000,000 of new Debentures but exclusive of Equipment Obligations. 1* Difference of $38,253,604 and total claim is Preferred dividend arrearage. %——ﬁ3t31l111;i!:t(:3sr§nIndenture re:nairt1——§xceptt retduﬁe fgggon to 4% (Plan provides that coupon may be increased sufficiently to insure that bond sells at par). — ams—-excep ex en ma ur1 y o . C—Indenture remains—except extend maturity to 1958-81 and reduce coupon to 4%. D—Indenture remains—except extend maturity to 1989 and reduce coupon to 4%. E——-Indenture remains-—except extend maturity to 1991. F—Indenture remams—except extend maturity to 1978. C-—New Debenture 4% Bonds of 1995—To be contingent interest bonds ranking below Convertible 5%s. 3 H—-Two Shares of 84 Preferred for each share old (Being “Economic Equivalent” of par plus accumulations of Old Preferred) New Preferred “Non Cumulative”. 9 MISSOURI PACIFIC RAILROAD COMPANY COMPARISON OF CAPITALIZATION (see Note) Balance I. C. C. Missouri Sheet Modiﬁed Paciﬁc 12/31/51 Plan 20b Plan First Mortgage Bonds Series A 3 17 840 500 $ 8 17 840 500 “ F 95 000 000 94 180 000 “ G 25 000 000 25 000 000 “ H 25 000 000 25 000 000 “ I 61 200 000 61 170 000 “ B 81 607 274 “ C 81 607 274 Secured Serial 514% Bonds 10 425 000 — 10 425 000 General Mortgage 41/2% Income Bonds Series A 125 964 282 “ B 8 433 750 General Mortgage 4’s 50 245 000 -— 49 302 000 20 Yr. Convertible Cold Bonds 46 392 000 -— 45 493 000 1st Plaza-Olive Building 429 500 —- - Little Rock & Hot Springs Western Railroad 1 140 000 — 1 140 000 Central Branch, U.P., First Mortgage 4’s 523 000 523 000 New Contingent Interest Debenture 4’s of 1995 —- — 40 000 000 Total Bonded Indebtedness $333 195 000 $297 612 580 $370 073 500 S'rocK Preferred 5% 3 71 800 100 3 90 994 822 Preferred 4% $140 380 200 Common—$100 Par 82 839 500 “ —No Par—Class A 77 154 394 “ —No Par—Class B 30 081 471 Common—$10 Par 8 131 430 Total Stock $154 639 600 $198 230 687 $148 511 630 TOTAL CAPITALIZATION (exclud- ing equipment obligations) 35487 834 600 $495 843 267 $518 585 130 NOTE: Equipment obligations to remain undisturbed—December 31, 1951 amount $48,687,116. 11 MISSOURI PACIFIC RAILROAD COMPANY COMPARISON OF ANNUAL CHARGES (see Note) Principal Int. Annual Principal Int. Annual Amount Rate Charge Amount Rate Charge FIXED-INTEREST DEBT First Mortgage Bonds Series A $ $ 3 17 840 500 4% $ 713 620 “ B 81 607 274 4% 3 264 291 “ C 81 607 274 4% 3 264 291 “ F 94 180 000 4% 3 767 200 “ G 25 000 000 4% 1 000 000 “ H 25 000 000 4% 1 000 000 “ I 61 170 000 4% 2 446 800 Secured Serial 5174% Bonds 10 425 000 4% 417 000 General Mortgage 4’s —— — 49 302 000 4% 1 972 080 Convertible 51/2’s —— — 45 493 000 4% 1 819 720 Little Rock & Hot Springs Western R.R. — — 1 140 000 4% 45 600 Central Branch, U. P., First Mtge. 4’s — --— 523 000 4% 20 920 Total Fixed-Interest Debt 1 $163 214 548 3 6 528 582 $330 073 500 $13 202 940 CONTINGENT-INTEREST DEBT General Mortgage 414% Income Bonds Series A 125 964 282 41/2% 5 668 393 “ B 8 433 750 41/2% 379 518 New Contingent Interest Deben- ture 4’s of 1995 —- -— —— $5 40 000 000 4% 3 1 600 000 Total Interest and Debt $297 612 580 $12 576 493 $370 073 500 $14 802 940 Srocrc 5% Preferred Stock $ 90 994 822 5% $ 4 549 741 4% Preferred Stock 3140 380 200 4% 3 5 615 208 Total Stock 3 90 994 822 3 4 549 741 $140 380 200 $ 5 615 208 GRAND TOTAL $388 607 402 $17 126 234 $510 453 700 $20 418 148 I. C. C. MODIFIED PLAN MISSOURI PACIFIC 20h PLAN NOTE: ExcIudes—Equipment obligations, Sinking Fund provisions, and Plaza-Olive Building Mortgage Bonds. 13
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Title: Reorganization potentialities for selected securities of Missouri Pacific System.
Date: 1944, 1944

Title: Address by De Lancey C. Smith concerning the pending plan of reorganization of the Missouri Pacific
Date: 1955, 1955

Title: Report of the surveys and location of the Towanda Rail Road
Date: 1842, 1842

Title: Speed with profit and comfort: the Curtiss-Wright train
Date: 1958, 1958

Title: The Texas & Pacific Railway Co.
Date: 1885-12-02, 1885-12-02

Title: Extension of the Erie Railway from New York to St. Louis via Cincinnati, broad gauge all the way
Date: 1863, 1863

Title: Amended by-laws and organization for conducting the business of the Texas & Pacific Railway Co.
Date: 1881, 1881

Title: Report and accounts, Dec. 31, 1933 / Missouri Pacific Railroad Company, L.W. Baldwin and Guy A. Thompson, trustees.
Date: 1934, 1934

Title: Cincinnati extension bonds of the East Tennessee, Virginia and Georgia Railway Company: agreement.
Date: 1894, 1894

Title: Chicago and Alton Railroad June-July 1929 Public Timetable
Date: 1929, 1929

Title: Chicago and Alton Railway July-August-September 1930 Public Timetable
Date: 1930, 1930
Description: Public Timetable for July-September 1930 for passenger trains on the Chicago and Alton Railroad

Title: B&O Correspondence, Documents and Articles on Adams "Windsplitter"
Date: 1921, 1921
Description: Correspondence, data and articles relating to the test of the Adams Windsplitter in 1900.

Title: Chicago and Alton Railroad October-November 1928 Public Timetable
Date: 1928, 1928
Description: Public timetable of trains for the Chicago and Alton Railroad for October to November 1928.

Title: Chicago and Alton Railroad November 1929 Public Timetable
Date: 1929, 1929
Description: Public timetable of trains for the Chicago and Alton Railroad effective November 1929.

Title: Then and Now, 1828-1880
Date: 1880-10-11, 1880-10-11
Description: Text printed on newsprint, 4 columns per page. "This sheet was printed on the Baltimore and Ohio Passenger Department tableau car in the grand Sesqui-Centennial Parade, Baltimore, Monday October 11th 1880, upon the first cylinder power press ever introduced and run by steam power in a parade. The power, as well as the coupon and local ticket presses, from the printing house of John D. Lucas, Baltimore."

Title: Proceedings of the stockholders of the South-Carolina Rail-Road Company, and the South-Western Railroad Bank
Date: 1869, 1869

Title: How Electrification Can Increase the Earning of Rio Grande
Date: 1941, 1941
Description: 1941 book from General Electric showing the advantages of electrification of the Denver and Rio Grande Western.

Title: The Atlantic and Pacific Railroad Company : report of the general manager to the directors, December 1873.
Date: 1873-12-01, 1874

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