\C/>38SJ A8S- ATLANTA AND RICHMOND AIR-LINE RAILWAY COMPANY FROM ATLANTA, GA. , TO CHARLOTTE, N. C. THE LIBRARY OF THE UNIVERSITY OF NORTH CAROLINA THE COLLECTION OF NORTH CAROLINIANA ENDOWED BY JOHN SPRUNT HILL CLASS of 1889 Cp385.1 A85 UNIVERSITY OF N.C. AT CHAPEL HILL 00042071630 FOR USE ONLY IN ; NORTH CAROLINA COLLE< jf. ATLANTA I RICHMOND ir-jme |aikag fonpttg. Shortest Line from New York to New Orleans. A DESCRIPTION OF THE ROUTE- PROGRESS AND CHARACTER OF THE WORK— RESOURCES AND PROSPECTS OF THE COMPANY. FIRST MORTGAGE EIGHT PER CENT. BONDS. BANKERS AND FINANCIAL AGENTS, LANCASTER BROWN & CO. 23 NASSAU STREET, NEW YORK. E. WELLS SACKETT. STATIONER, AND BOOK AND JOB PRINTER, Cor. Pine and William Streets 1870 kT ATLANTA AND RICHMOND AIR-LINE RAILWAY COMPANY ATLANTA, GA., TO CHARLOTTE, N. C.; CONNECTING, VIA GREENSBORO' AND DANVILLE, WITH RICHMOND, VA., AND AT RICHMOND WITH THE RICHMOND, FREDERICKSBURG AND POTOMAC RAILROAD, THE GREAT TRUNK LINE FOR PASSENGERS TO AND FROM WASHINGTON, BALTIMORE, PHILADELPHIA AND NEW YORK FIRST MORTGAGE BONDS, THIRTY YEARS TO RUN FROM 1ST JULY, 1870. Interest at the rate of 8 per cent, per annum; PayaWe in New M, ALL U. S, TAXES PAID BY THE COMPANY. ISTEW YORK! E. WELLS SACKETT, STATIONER, AND BOOK AND JOB PRINTER, Cor, William and Pine Streets. 1870 OFFICERS Mania and licnmond Itf-fine jjailujaj) ||ompng PRESIDENT. A. S. BUFORD, Richmond, Ya. TREASURER. E. W. HOLLAND, Atlanta, Geo. DIRECTORS. A. Austell, - S. B. Hoyt, E. P. Howell, A. Murphy, E. M. Johnston, Genl. J. W. Harrison, J. P. Reid, - Genl. W. K. Easley, G. Cannon, R. Y. McAden, - W. T. SUTHERLTN, - J. Willcox Brown, - Atlanta, Georgia. Gainesville, " Anderson, S. C. a u Greenville, " Spartanburg, S. C. Charlotte^ N. C. Danville, Va. Baltimore, Md. fV (J. TRUSTEES FOR THE BONDHOLDERS. R. A. Lancaster, - - - New York. Genl. W. K. Easley, Greenville, S. C. A. Austell, - - Atlanta, Georgia. Q^ The undersigned, as Agents of the Atlanta and Richmond Air-Line Railway Company, off er for sale the First Mortgage Bonds of said Company, and invite the attention of investors, capitalists and others, to the subject matter herein set forth. The Bonds are dated 1st July, 1870, have thirty years to run. They are in denomination $1,000, and bear interest at the rate of 8 per cent, per annum, payable in New York, on the first days of January and July in each year, free of Government tax. At the request of the holder these Bonds may be registered by the Transfer Agent at our Banking House, and again made payable to bearer, upon application of the owner in person or by attorney. The total amount of Bonds, and all that can be issued under the mortgage, is $3,600,000, which is, upon 225 miles of road, $16,000 per mile. They are secured by a first and, only mortgage, executed to R. A. Lancaster of New York, Genl. W. K. Easley of Green- ville, 8. C, and A. Austell of Atlanta, Georgia, Trustees for the Bondholders. c V Y%£ PROSPECTS. A large part of this line passes through a country nearly destitute of railroad facilities, greatly needing them, and capable, by productiveness of soil and directness of route towards the great marts of commerce, North and South, of richly rewarding the construction of the road. The length of line from the City of Atlanta, Georgia, to Charlotte, North Carolina, is about 225 miles— 95 miles in the State of Georgia, 105 through South Carolina, and 25 in North Carolina. The road will be opened in January, 1871, from Atlanta, 53 miles, to the Town of Gainesville, a good working point for a large number of the upper counties of the State of Georgia. During the summer and fall of the present year the work of construction has been actively and extensively opened on the Charlotte end of the line, with a constructing force of between one and two thousand hands, covering that part of the line from Charlotte, N. C, to the Town of Spartanburg, in the State of South Carolina, a distance of nearly seventy miles, the whole of the unfinished work from Charlotte to Gainesville, in Georgia, being under contract with able and experienced constructors and capitalists, and to be finished complete and in running order by the summer of the year 1872. Of this the Company will complete and open as early as possible during the coming year the road from Charlotte, 1ST. G, to Spartanburg, S. C, this portion of the line having good rail connections at each terminus, and commanding the transportation of several of the largest and best counties in the interior of South Carolina. From Spartanburg to Green- ville, S. O.j a distance of 25 miles, will be next finished up, and the road is expected to be opened by the end of the year 1871 to Greenville; at which point another rail connection is reached, drawing and attracting to the line the business of another large portion of the interior of the State. From Greenville, twenty to thirty miles southwest, the line reaches and crosses the Blue Ridge Railroad (connecting Knoxville. Tennessee, with the interior of South Carolina), now far advanced and in construction under the patronage of the latter State. The Athens branch of the Georgia road it is understood is to be extended at an early day to the line of the Blue Ridge road, in northeast Georgia, intersecting the Air-Line Railway in the County of Banks or Franklin in that State. Thus it may be seen that the Air-Line Railway between its extreme termini, is intersected by four interior lines of communication,- each of which must act as a lateral and feeder to the Air-Line, contributing to its immediate pro- ductiveness as each is reached, and, in combined result, enabling it to develop and become the carrier for a large portion of the country penetrated by these intersecting lines, not otherwise within the immediate reach of the Air-Line track ; thus opening up a local traffic over a surface of fine 9 territory, larger perhaps than is tributary to any other road of similar length in the Southern States. All this is additional, as a local resource of extraordinary value, to the immense traffic, both passenger and tonnage, which its commanding connections at each of its termini must ensure. To this larger view of the prospects of the road, as the central portion of a great through line from North to South, along the Atlantic slope, more direct attention is now called. The City of Atlanta, the southern terminus of the Air- Line, is the focus of four lines of railway already construct- ing there, independent of the Air-Line, several of which must contribute their business in large part to the Air-Line route, giving, southward, the shortest and most direct rail communication, through the heart of the cotton belt, to the great Gulf Cities of Mobile and New Orleans, touching at Montgomery, the important connection westward, via Selma, Jackson, Vicksburg, Shreveport and Marshall, Texas, with the great El-Paso branch of the Southern Pacific Railway/ Northward from Charlotte, it will be seen that the rail con- nections of the Air-Line, already completed and operating, are the directest and shortest via Richmond to the capital of the nation and the great northern marts of trade. A moment's observation of a railroad map of the United States, will exhibit these facts in striking outline, and will show that the Air-Line Railway will form a most important integral part of the shortest rail communication between the great points of trade on the Gulf and the cities of the Eastern States; the greater part of which traverses the entire length of that healthful and genial district known as the Atlantic Piedmont, a district, in its whole range, from northeast to southwest, abounding in valuable productions of the soil, and, in its southern portion, sinking gradually into the rich cotton lands of the Gulf States. A comparison of distances on this route with those on such lines as may be brought into business competition with it, will directly exhibit the great advantages in that respect of the Air-Line. The Cities of Baltimore, Philadelphia and New York will be taken as the starting points of this comparison. 10 Miles of Miles of From Baltimore to New Orleans : a fSc e e ^T^iinT Air-Line route through Washington, Rich- mond, Danville, Charlotte, Atlanta, Montgomery and Mobile 1169 Orange and Alexandria R. II. route, via Washington, Lynchburg, Bristol, Chatta- nooga, Atlanta, &c 1313 144 Baltimore and Ohio R.R., via Parkersburg (Wheelingroute being longer), Cincinnati, Louisville, Nashville, Chattanooga, At- lanta, &c _. 1673 504 Same route as far as Louisville, thence via Clarksville, Jackson, Tenn., Meridian and Mobile ... 1525 356 Same far as Jackson, Tenn., thence via Jackson, Miss., direct to New Orleans.. 1442 273 Same to Louisville, thence via Memphis and Jackson, Miss 1457 288 From Philadelphia to New Orleans : Air-Line 1207 Pennsylvania Central II. to Pittsburg, thence via Cincinnati, Louisville and Jackson, Miss., the shortest route through Pennsylvania . 1522 255 From New York to New Orleans : Air-Line 1355 Route via Harrisburg, Pittsburg, Cincin- nati, Louisville and Jackson, Miss 1598 243 By Erie Railway to Salarnance, thence to Cincinnati, &c, as in last noted route.. 1717 362 To give an idea of the value of the extensive railroad traffic of the section of the country where this road is building, it may be stated that the income of the Georgia Railroad, 171 miles in length, running from the City of Atlanta to the City of Augusta, was, in the year 1869, $1,335,000. The income of the Western and Atlantic Railroad, running from Atlanta 11 to Chattanooga, 138 miles, was, in the same year, $1,240,000. 'Other roads in Georgia and the Carolinas have, in proportion to their length, something like a corresponding income. The Air-Line, with its superior connections, location and local re- sources, can hardly fall short of similar results, and we may give it by fair anticipation an annual income of $1,500,000, as soon as it can be put in full operation — equal to a safe net revenue of $600,000 — an amount sufficient to pay an annual dividend of 8 per cent, on $7,500,000. Beyond this moderate estimate it may not be necessary to go. But from what has in part been already brought forward, it will be evident that there is beyond this a yet grander future for this road, the most essential part, as it is, of what must prove, by preeminence, the Grand Trunk Line of the vast and ramified system of railroads along the Gulf and Atlantic Slopes. Run- ning with a continuous course and in almost a straight line from New Orleans, through Mobile, Atlanta, Charlotte, Richmond, Washington, Baltimore and Philadelphia, to New York and Boston, and receiving at these and other points important tributes to the trade and travel, by railroad, river and canal ; so located, through a large part of its course, that no successful rivalry of other lines need be apprehended, traversing a region healthful, and abounding with every variety of productions (which seek transportation and invite return of all kind of merchandise), the best and most direct ■channel for which, it will furnish — this great connected line, when completed by the building of the Atlantic and Rich- mond Air-Line Road, must be one of commanding importance, assuring abundant revenues for its own support, and rich rewards to its owners. The returns to other parts of this line may at times fluctuate in amounts, from the partial suc- cess of rival routes; but this can hardly be the case with the Air-Line portion. So central to the course of trade is its position, and so indispensable will its use be found, as to secure for it a continual and steady current. North and south of it there may be partial obstructions, and divisions of streams of trade and travel; but, once cleared out, the very strength of the current must keep this part of the channel clear. Though the streams approaching it " may have divers 12 risings and divers runnings,"' they must again concentrate- here, and in such abundant flow, as to keep it full to its- banks. The Atlanta and Richmond Air-Line Railway is estimated to cost complete, with an equipment amply adequate to open its business, about the sum of $6,000,000. The Company have now a reliable stock subscription of about $4,000,000. The fullest confidence is entertained by the management, that this great work will be in complete and successful operation before the close of the year 1872. DEED. This Deed made this first day of July, eighteen hundred and seventy, between the Atlanta and Richmond Air-Line Railway Company of the one part, and R. A. Lancaster of the City of New York, W. K. Earley of the Town of Green- ville, in the State of South Carolina, and Alfred Austell of the City of Atlanta, in the State of Georgia, in the other part, witnesseth : Whereas, The said Atlanta and Richmond Air-Line Rail- way Company now has under construction its line of railway, extending and to be completed from the City of Atlanta, in the State of Georgia, to the City of Charlotte, in the State of North Carolina, upon and through the territory of portions of the States of Georgia, South Carolina and North Carolina, a distance of about two hundred and twenty-five miles ; And whereas, A portion of said Railway Line has been already built and put in operation, the residue thereof now partly in process of construction remaining to be completed, equipped and furnished with all necessary rolling-stock, depots, machine-shops and other works and fixtures needful and proper therefor ; 13 Arid whereas, On the 29th day of June, 1870, the stock- holders of the said Atlanta and Richmond Air-Line Railway Company, in general meeting assembled, adopted the follow- ing resolution, viz. : Resolved, That the President and Directors be, and they are hereby, authorized to take such measures as may be neces- sary for the vigorous prosecution of the work of the Company to completion. That they have authority to provide for the issue in due form of scrip in the Atlanta and Richmond Air- Line Railway Company, in lieu of scrip issued or that may have been heretofore issued by either of the Companies con- solidated into this. That they also have full power and authority to make and execute or cause to be made and ex- ecuted all necessary deeds and mortgages or other contracts, whether under seal or otherwise, for the purpose of raising- necessary means for the construction, equipment and opera- tion of the Company's work. And whereas, Afterwards, to wit, on the 29th day of June, 1870, the President and Directors of the said Atlanta and Richmond Air-Line Railway Company adopted the following resolution, viz. : Resolved, That in the opinion of the Board, the best inter- ests of the Company will be promoted by the creation of a single first lien on the Company's entire property from Atlanta to Charlotte, and the issue thereunder of sufficient bonds to meet the present engagements and probable wants of the Company, in stead and in lieu of the bonds endorsed by the State of Georgia, and other first mortgage bonds in the other sections of the line as heretofore relied on, and that, there- fore, the President be, and he is hereby, authorized to cause to be prepared and duly executed at an early day, a proper deed of trust or mortgage, conveying the Company's entire line, franchises and property to secure an issue of " three millions six hundred thousand dollars ($3,600,000) or more of bonds at the rate of sixteen thousand dollars per mile of said line, to be used for the necessary purposes of the Com- 14 pany in the construction, equipment and operation of its line. That said bonds shall run thirty years from their date, and bear interest at the rate of eight per centum per annum, pay- able semi-annually, and be in other respects in such form and with such usual stipulations as the President may prescribe, and the President is instructed to have said bonds prepared as soon as convenient." And the President of said Atlanta and Richmond Air- Line Railway Company, having determined and prescribed the form and stipulations of said bonds substantially as fol- lows, to wit ; FIRST MORTGAGE LOAN. No.... No.... Atlanta, and Richmond Air Line Railway Company. ($1,000.) ($1,000.) All United States Internal Revenue Taxes levied on this bond will be paid by the Company. Know all Men by these Presents : That the Atlanta and Richmond Air Line Railway Company is justly indebted to or bearer in the sum of one thousand dollars for value received, which said sum the said Company hereby promises to pay in lawful money of the United States to the holder hereof, at the office of the Company, in the City of Atlanta, Georgia, on the first day of July, 1900, and also to pay in like lawful money, interest thereon at the rate of eight per centum per annum semi- annually, on the first day of January and July of each year, upon presentation and delivery of the proper coupons of interest hereto attached, at the office of the Company; in Atlanta, or at the option of the holder, at the Company's office or agency, in the City of New York. This bond shall 15 pass by delivery or by transfer on the books of the Company, after a registration of ownership certified thereon by the transfer agent of the Company. No transfer except upon the books of the Company shall be valid unless the last trans- fer be to bearer, which shall restore transferability by delivery, but this bond shall continue subject to succssive registrations and transfers to bearer as aforesaid, at the option of each holder. Witness the seal of the Atlanta and Richmond Air-Line Railway Company, and the signatures of the President and Treasurer of said Company, this first day of July, 1870. [l.s.] President-, Treasurer. Now for and in consideration of the premises, and in pur- suance of the authority aforesaid, as for the purpose of secur- ing the just and full payment of the bonds to be issued as aforesaid, and all interest thereon as the same shall hereafter become due and payable, and for the further consideration of ten dollars by the said R. A. Lancaster, W. K. Easly and Alfred Austell, to the said Atlanta and Richmond Air-Line Railway Company, in hand paid, the said Atlanta and Rich- mond Air-Line Railway Company doth grant, convey and assign to the said R. A. Lancaster, W. K. Easley and Alfred Austell, and the survivor of them, the entire Railway of the said Company, extending from the City of Atlanta, in the State of Georgia, to the City of Charlotte, in the State of North Carolina, together with all its franchises, lands, build- ings, machinery, rolling-stock, materials and other property, real and personal, wherever situated, and in whatsoever man- ner held, and whether now owned and held or hereafter acquired, and also the annually accruing net income of said Company ; upon trust, nevertheless, that so long as no default shall be made in the payment of the principal and interest 16 of any of the bonds which may be issued by the said Atlanta and Richmond Air Line Railway Company, under and in pursuance of the authority set forth in the above-mentioned resolution of the President and Directors of said Company, the Atlanta and Richmond Air-Line Railway Company, shall be allowed to remain in quiet and uninterupted possession, use and enjoyment of the net annual income aforesaid, and of all the property, estate and effects of every description hereby granted, conveyed and assigned, but should default be at any time made in the payment of any part either of the accruing interest or of the principal sum secured to be paid by any bond or bonds which may be issued under and in pursuance of the authority aforesaid, after the same shall have become due and payable, and payment thereof shall have been demanded, not only at the place specified on the face of such bond or bonds for the payment thereof, but also in writing, to be delivered either to the President of the Company, or to the Auditor or Treasurer thereof in person, at the principal office of the Company, or, in their absence, to any Director or prominent executive officer of said Com- pany found at said principal office ; then the said R. A. Lan- caster, "W". K. Easly and Alfred Austell or the survivor of them, or their successors in office, upon the written request of the holder or holders of any such bond or bonds as to which default shall have been made as aforesaid, after the expiration of sixty days from such default (should said Com- pany still be in default) shall, after giving not less than sixty days notice of the time, place and terms of sale, by publica- tion in one or more newspapers published in the Cities of Atlanta and Augusta, in Georgia; in the Cities of Charlotte and Raleigh, in North Carolina ; in the Cities of Charleston and Columbia, in South Carolina, and in the Cities of New York, Philadelphia, Baltimore, Richmond, Ya., and New Orleans, and such other places as to the person or persons executing this trust shall seem advisable, proceed to sell at public auction, in the City of Atlanta, on such terms of cash or credit as they may deem reasonable and proper, all the property, estate and effects, real and personal, hereby granted, conveyed and assigned to them, or so much thereof as may 17 be necessary for the purpose hereinafter stated. They shall also, at the same time, take possession of all tlie net revenue of the said Company then on hand and its outstanding credits, if any, and proceed forthwith to collect the same, and after defraying all the expenses of executing this trust, including a commission of two per, centum to the trustees on all sums of money passing through their hands, shall apply the net proceeds of the entire trust subject which may thus come into their hands, first to the payment ratably of all such interest as may then be due and in arrears on any of said bonds, and then to the extinction rateably of the princi- pal of all such bonds as may at the same time be also due and ' unpaid, all of said bonds, whensoever issued, being hereby placed on equal footing of security, and being alike entitled to ratable protection. If any surplus of said trust fund shall remain after dis- charging such arrearages of interest and the principal of all such bonds as may be then due and unpaid as aforesaid, the said trustees shall pay over the same to the Atlanta and Richmond Air-Line Railway Company. And if from any cause it shall be impracticable or inconvenient for all of the trustees herein appointed, to act in the discharge of any duty arising under this trust, it shall be lawful for any one of them to act alone, and such act shall have the same effect as if it had been the act of all. And the said Company doth cove- nant and agree with the said R. A. Lancaster, W. K. Easley and Alfred Austell, and the survivor of them and their suc- cessors, to warrant generally the title to all the property hereby granted, conveyed and assigned to them. But should the amount of all bonds to be issued as aforesaid, principal and interest, be paid by the said Company without sale as aforesaid, then all the right, title, and estate of the trustees under the deed shall be divested and made void, and the said Atlanta and Richmond Air-Line Railway Company, without any deed to that effect, shall be restored to all its rights of property, legal and equitable, as fully as if this deed had never been executed. 18 In testimony whereof, the said Atlanta and Richmond Air-Line Railway Company hath caused this deed to be signed by its President, and its corporate [l.s.] seal to be hereto affixed, and the said R. A Lan- caster, W. K. Easley and Alfred Austell have also signed and sealed the same in person. A. S. BUFORD, President of the Atlanta and Richmond Air-Line Railway Company. R. A. Lancaster, Trustee, [l.s.] "W. K. Easley, Trustee, [l.s.] Alfred Austell, Trustee, [l.s.] Signed and sealed in the presence of James L. Davis, Thos. L. Lucas, State of Virginia, ) City of Richmond, \ Be it remembered, that on this 25th day of July, A. D. 1870, before me, the undersigned, E. M. Garnett, a commis- sioner resident in the City of Richmond, duly commissioned by the executive authority, and under the laws of the State of South Carolina, to take the proof of deeds, etc., to be used or recorded therein, personally appeared James L. Davis, with whom I am personally acquainted, and made oath that he saw the within-named A. S. Buford, President of the Atlanta and Richmond Air-line Railway Company, sign, seal, and as his act and deed deliver the within deed for the uses and pur- poses therein mentioned, and that he, with T. L. Lucas, in the presence of each other, witnessed the dae execution thereof. James L. Davis. Sworn to before me this 25th day ) of July, 1870, as witness my > hand and official seal. ) E. M. Garnett, [l.s.] Commissioner for South Carolina in Virginia. 19 State of Virginia, ) City of Richmond, ) On this 25th day of July, A. D. 1870, before me, E. M. Garnett, a commissioner appointed by the Governor of the State of Virginia, personally came A, S. Buford, President of the Atlanta and Richmond Air-line Railway Company, grantor named in the foregoing deed, and the said deed being likewise produced and exhibited before me, the said A. S. Buford, President, &c, acknowledged the dne execution thereof by him, as his act and deed, for the uses and pur- poses therein expressed. In witness whereof, I have hereunto set my hand and affixed my official seal, this day and year above written. E. M. Garnett, [l.s.] Commissioner for North Carolina in Virginia. State of Virginia, ) City of Jtic/wiond, ) " b ' Be it remembered, that on this 25th day of July, A. D. 1870, before me, the undersigned, E. M. Garnett, a commis- sioner resident in the City of Richmond, duly commissioned and qualified by the executive, authority, and under the laws of the State of Georgia, to take the acknowledgment of deeds, etc., to be used or recorded therein, personally ap- peared A. S. Buford, President of the Atlanta and Richmond Air-line Railway Company, to me personally known to be the individual named in, and who executed the foregoing deed, and acknowledged that he executed the foregoing deed for the purpose therein named and mentioned. In witness whereof, I have hereunto set my hand and affixed my official seal, the day and year aforesaid. E. M. Garnett, [l.s.] Commissioner for Georgia in Virginia.