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289

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lieve, is $150,000.00.

The plan originated by the Hendries for the reorganization of the property has been carefully examined by sub-committees appointed by each of the banks and individuals above named.  They visited the property and made a careful examination of the same.  The committee from the State Bank consisted of Mr. Potter and Jere Hutchins.  The result of the investigation is that each of the above named committees has recommended the adoption of the plan to the various banks, and all of the banks and A. L. Stephens personally have agreed to subscribe for new capital to the extent of twenty percent of their holdings of first mortgage bonds.  For the new cash put in, the subscribers receive 200%, par value of Preferred stock and 100% of Common Stock.  For instance, the holding of the State bank in Bonds being $105,000.00, it pays in $21,000.00 in cash and receives therefor $42,000.00 in Preferred Stock and $21,000.00 in Common Stock.

The new stock is to be voted by a committee, and such men as Mr. Hutchins and other experts believe that the first mortgage bonds will be worth par, and that the preferred stock can earn at least 6% above all interest charges.

Our Board has taken up this matter with unusual interest and intelligence, and at a special meeting held yesterday, when