Mortgage For $250,000 Filed By New 'phone Co.
The Washtenaw Home Telephone Co. filed, in the office of the Register of Deeds, Wednesday, a trust mortgage to guarantee the payment of $250,000 in bonds to be issued covering its plant here. The mortgage is given to the Luzerne County Trust Company of Wilkesbarre, Pa., and has twenty years to run. The bonds will draw interest at 5 per cent. The mortgage relates that at a meeting held in Ann Arbor, at the head office of the company, at which were present all the officers and holders of stock, it was resolved "that it is necessary in order to provide funds for completing the acquisition of the property and the construction of the plant of this company in the city of Ann Arbor, and the vicinity thereof, in the county of Washtenaw, and to provide funds to complete the payment for the said property and plant, to borrow money in a sum total not exceeding $250,000."
The mortgage says that money shall be advanced as follows:
"Upon the main plant, incomes, rights, privileges and franchises of the said telephone company, in the said city of Ann Arbor and vicinity to be built and fully equipped to the capacity of and with 1,200 telephone instruments duly installed and ready for operation, including the franchise, cables, poles, lines, instruments, conduits and central station equipment necessary for the maintenance and operation of said 1,200 telephones, a total of $225,000."
And that the balance shall be issued at the rate of $4,000 for each 50 phones, lines, etc, as they are installed.
The mortgage is dated Nov. 2, 1002, and is signed by J. C. Bell, as president, and Fred C. Kirkendall, treasurer, for the telephone company.
Ann Arbor Argus-Democrat