Colonel Carter of Cartersville | Page 9

the level of his nose--"this is as near as I can come to your
ideas with any hopes of putting the loan through here. I have, as you
will see, left the title of the bond as you wished, although the issue is a
novel one to our Exchange." Then turning to me: "This of course is
only a preliminary announcement."
THE CARTERSVILLE AND WARRENTOWN AIR LINE
RAILROAD.
THE GARDEN SPOT OF VIRGINIA SEEKS AN OUTLET TO THE
SEA.

CAPITAL ONE MILLION OF DOLLARS, DIVIDED INTO
50,000 Founders' shares at .... $1000. each 5,000 Ordinary " " ....
100.00 "
BONDED DEBT FOR PURPOSES OF CONSTRUCTION ONLY.
ONE MILLION OF DOLLARS IN 1,000 FIRST MORTGAGE
BONDS OF $1000.00 EACH.
FULL PROTECTION GUARANTEED.
The undersigned, Messrs. . . . . offer for sale $500,000.00 of the 6%
Deferred Debenture Bonds of the C.& W. Air Line Railroad at par and
accrued interest, together with a limited amount of the ordinary shares
at 50%.
Subscription books close. . . . . Promoters reserve the right to advance
prices without further notice.
"There, Major, is a prospectus that caarries conviction on its vehy
face," said the colonel, reaching for the document.
I complimented the eminent financier on his skill, and was about to ask
him what it all meant, when the colonel, who had been studying it
carefully, broke in with:--
"Fitz, there is one thing you left out."
"Yes, I know, the name of the banker; I haven't found him yet."
"No, Fitz; but the words, '_Subscriptions opened Simultaneously in
New York, London, Richmond_,' and"--
"Cartersville?" suggested Fitz.
"Certainly, suh."
"Any money in Cartersville?"

"No, suh, not much; but we can subscribe, can't we? The name and
influence of our leadin' citizens would give tone and dignity to any
subscription list. Think of this, suh!" and the colonel traced imaginary
inscriptions on the back of Fitz's prospectus with his forefinger, voicing
them as he went on:--
The Hon. JOHN PAGE LOWNES, Member of the State Legislature..
1,000 shares The Hon. I.B. KERFOOT, Jedge of the District Court of
Fairfax County....... 1,000 shares Major THOMAS C. YANCEY, Late
of the Confederate Army... 500 shares
"These gentlemen are my friends, suh, and would do anythin' to oblige
me."
Fitz sharpened a lead pencil and without a word inserted the desired
amendment.
The colonel studied the document for another brief moment and struck
another snag.
"And, Fitz, what do you mean, by 'full protection guaranteed'?"
"To the bondholder, of course,--the man who pays the money."
"What kind of protection?"
"Why, the right to foreclose the mortgage when the interest is not paid,
of course," said Fitz, with a surprised look.
"Put yo' pencil through that line, quick--none of that for me. This
fo'closure business has ruined haalf the gentlemen in our county, suh.
But for that foolishness two thirds of our fust families would still be
livin' in their homes. No, suh, strike it out!"
"But, my dear Colonel, without that protecting clause you couldn't get a
banker to touch your bonds with a pair of tongs. What recourse have
they?"
"What reco'se? Reorganization, suh! A boilin'-down process which will

make the stock--which we practically give away at fifty cents on the
dollar--twice as valuable. I appreciate, my dear Fitz, the effo'ts which
you are makin' to dispose of these secu'ities, but you must remember
that this plan is mine.
"Now Major," locking his arm in mine, "listen; for I want you both to
understand exactly the way in which I propose to forward this
enterprise. Chad, bring me three wine-glasses and put that Madeira on
the table--don't disturb that railroad!--so.
"My idea, gentlemen," continued the colonel, filling the glasses himself,
"is to start this scheme honestly in the beginnin', and avoid all
dissatisfaction on the part of these vehy bondholders thereafter.
"Now, suh, in my experience I have always discovered that a vehy
general dissatisfaction is sure to manifest itself if the coupons on
secu'ities of this class are not paid when they become due. As a gen'ral
rule this interest money is never earned for the fust two years, and the
money to pay it with is inva'ably stolen from the principal. All this
dishonesty I avoid, suh, by the issue of my Deferred Debenture Bonds."
"How?" I asked, seeing the colonel pause for a reply.
"By cuttin' off the fust fo' coupons. Then everybody knows exactly
where they stand. They don't expect anythin' and they never get it."
Fitz gave one of his characteristic roars and asked if the fifth would
ever be paid.
"I can't at this moment answer, but we hope it will."
"It is immaterial," said Fitz, wiping his eyes. "This class of purchasers
are all speculators, and like excitement. The very uncertainty as to this
fifth coupon gives interest to the