As a natural result weak railway companies in the United States have frequently been declared insolvent by the courts, owing to their inability in periods of commercial depression to meet their acknowledged obligations, and in the reorganization which has followed the shareholders have usually had to accept a loss, temporary or permanent.
For its privileges the regie has to pay a rent of £T750,000 per annum to the government (assigned to bondholders), " even if it has no revenues at all," and after the payment of a dividend of 8% to its shareholders, and certain other deductions, it has to share profits with the government and the bondholders according to a sliding scale agreed upon between the three parties.
In 1905 when a full supply of labour was again available the output was 4,760,000 oz., in which year the sum distributed in dividends to shareholders in the Rand mines was over £4,800,000.
In 1889 the total foreign debt, including arrears of interest, was £54,000,000, and in the following year a contract was signed with the Peruvian Corporation, a company in which the bondholders became shareholders, for the transfer to it for 66 years of the state railways,, the free use of certain ports, the right of navigation on Lake Titicaca, the exploitation of the remaining guano deposits up to 3,000,000 tons, and thirty-three annual subsidies of £80,000 each, in consideration of the cancellation of the debt.
The taxing system of Iowa embraces a general property tax, corporation taxes (imposed on the franchises or on either the capital stock or the stock in the hands of shareholders), taxes on certain businesses and a collateral inheritance tax.
Most of these are co-operative, their shareholders being the farmers themselves.
In the following year plans for enlargement were submitted to the shareholders, and various extensions followed, particularly in 1830 and 1847.
Of the net profits, a dividend of 31/2% is first payable to the shareholders, 20% of the remainder is transferred to the reserve until this has reached a total of 3,000,000, and of the remainder again a quarter is apportioned to the shareholders and three-quarters falls to the imperial exchequer.
In 1905 there were 134 tea-planting companies registered in India, about 80% of the capital being held by shareholders in London.
The difficulty which arose out of the transfer of the South African Railway shares held by the Transvaal government was satisfactorily terminated by the purchase by the British government of the total capital of the company from the different groups of shareholders (see on this case, Sir Thomas Barclay, Law Quarterly Review, July 1905; and Professor Westlake, in the same Review, October 1905).
On the, 13th of September 1905, a meeting of the shareholders of the company was held, and Read "asked them to believe that it was not in the interests of the company, but because he knew that the Lord Jesus Christ had come again and was now dwelling at the Agapemone, that he was thus cast out by his colleagues."