upr000105 39

Mr. Edward C. Renwiek -5- November 23, 1951 j 400,00b is viewed as the capital might be suitable for the issue of securitie ss.tructure that tirelyS ectou rbitonidess atno d bec omimssoune ds topcrko.b ablTyhe rseh owuoludl db eb el inmoi tejdu steni-­afsi catthiiso n onfeo.r a preferred stock issue on a company as small ably aT h4e0 boorn dsA 5%s hIosuslude nwootu ledx cbeee d be5t0t$e ra.n d in thi*s case prob- t,,h at+. the bonds shoulcdo n<clai"rkriyo nsa 4o$b tacionuipnogn irta tweo ualndd iaspspueeadr atto mpear. pend Eoan rwnhiantg s iso n letfhte acfotmemro np asytioncgk beoqnudi tyi nwtielrels tn ec(easnsd aralill y otdhee­r &obpleyr atbei ngr eqeuxipreensde st)o. be Aa mtitrnaicmtuimv ed ivtio deonudt sirdaet e puorfc 8ha%s ewrosu.l d pInr-ob- ltially something less would probably be paid to the Union Peaacrinfiincg. reqTuhie refmoelnltosw inagr e saism plfeo llfoiwnsa:ncial structure calling for BSotnodcsk 5455%$ $ 673700,.000000 @@ 48$% 1 1 ,400,000 6 .2 # 25,200 6 1 . 6 0 0 #86,800 ^li*o n*7l$y 6$ is paiinda,t ebadu t of5 .18$$, wotuhledn b5e. 6$e awronueld d obveer eaalrln.ed returnI n coaulrl edE xhfoirb itn et revuenndueer oifn te$g8r6,a8t3e7d oonp eraant iionnvse,s tmae n61t-$ base of $1,389,400. growthI f inn ett hea dddietpiroencsi attio opnl arenste rwveer,e ethqeurael wtoo ulodr beex cneoe dlede sstehen ­itengn t itnh atth e enaertn inpglsa nte xvcaeleudee d unddievirdleynidnsg ptahied ,b ontdhse. neTto wtohret he xw­ould increase and the earnings in dollars on the common stock equity would increase from year to year. __ On any reorganization in the capital structure and the wboruilndg inugnd oiunb toef dltyhe beP rocdhauncgteido n toC om“praentyi,r emtehne t aacccocuonutnitnign gp”r. actTihcise would mean that upon replacement of a 4-inch main that stood on the books at, say, $1.50 per foot, the new 4~inch main would Ubned ecra ppirteasleinzetd IaCtC riatsi lrporaeds enrte qudiarye mceonstts oft,h e sa$y1,. 50$ 3p.0e0r fpeoro t foiont­. tcireoans epr aicst iacne se,x petnhse e whcohlaer geo.r igiSniamli lacrolsty uisn decrh arggreodu p tod epthree crieas­­