Witness the signature of the President or of a Vice-President, and of the Treasurer or of an Assistant Treasurer, of said Corporation. Vice-President. Asst. Treasurer. SHARES $100 EACH. On the certificate of preferred stock which appears above a space is left at left and right for the respective signatures of the registrar and the transfer agent. On the back of the certificate appears the ordinary form of stock endorsement, as follows: Form 35.-Stock Endorsement. unto For Value Received.. .hereby sell, assign and transfer Shares of the Capital Stock represented by the within Certificate and do hereby irrevocably constitute and appoint .Attorney to transfer the said Stock on the books of the within named Corporation with full power of substitution in the premises. When stock is purchased by, donated to or otherwise acquired by a corporation, such stock becomes treasury stock (See $162, 186, 336) and must be assigned and transferred either to the treasurer, to a trustee for the corporation or to the corporation itself. If it were not so transferred, it would remain on the books of the corporation in the names of the former holders and they would technically be entitled to exercise the rights of stockholders. If such stock is assigned to the treasurer, it should not be in his name, as "John Wilson, Treasurer," but in his official title, thus "Treasurer of the Farrand Hydro-Carbon Company." If assigned to the treasurer by name, trouble may arise as to its transfer at some later date if a new treasurer has succeeded to the office. There is no objection to stock being assigned directly to the company by name. In such event, in case of sale of the stock, the transfer is signed with the formal corporate signature affixed by either the president or the treasurer, as authorized by the directors. If the stock is held by a trustee, it should be assigned to him by name, as "Henry Johnson, Trustee," the agreement with the trustee fixing the terms upon which such stock is held. When certificates representing treasury stock are received, they are cancelled and the transfer of the stock is entered upon the books. It is not, however, essential that new certificates be issued to the treasurer, trustee or corporation, as the case may be. Their right to the stock is sufficiently evidenced by the stock book alone and certificates need not be issued to them unless desired. If certificates are not issued for treasury stock while in possession of the company, the transfer form of the transfer book will be signed, when such stock is sold, with the name in which the stock was entered on the stock books, or if a transfer book is not employed, a formal order filed with the secretary is sufficient authority for his issuance of the stock in the indicated name. Form 36.-Short Term Note. (a) Form of Note. No...... Series...... $. . . . . . UNITED STATES OF AMERICA. PENNSYLVANIA COMPANY. Four and one-half per cent. Collateral Improvement Note. Secured by Deposit of Fifty-eight Million Dollars Par Value of Railroad Stocks as Collateral and by the Guaranty of the Pennsylvania Railroad Company. The Pennsylvania Company, for value received, hereby promises to pay to the bearer hereof in gold coin of the United States of America, or of equal to the present standard of weight and fineness, on the first day of November, 1907, at either of its Agencies, the office of The Pennsylvania Railroad Company, in the City of New York, or the Office of the said Company in Philadelphia, and to pay interest thereon from the first day of May, 1906, at the rate of four and one-half per cent. per annum at either of said agencies in like gold coin semi-annually on the first day of November and the first day of May in each year, upon presentation and surrender of the annexed interest coupons as they shall respectively mature. Both the principal and interest of this collateral note are payable without deduction for any tax or taxes which the Pennsylvania Company may be required to pay thereon, or to retain there from under any present or future law of the United States or of the Commonwealth of Pennsylvania. This note is one of the series of coupon Collateral Improvement Notes aggregating fifty million dollars, face value of principal, known as the "Four and One-half Per Cent. Collateral Improvement Notes" of the Pennsylvania Company, issued and to be issued under and equally secured by a Trust Agreement dated the first day of May, 1906, between the Pennsylvania Company, The Pennsylvania Railroad Company, and the Fidelity Trust Company, of Philadelphia, as Trustee. For a description of the property pledged, the nature and extent of the security, the rights of the holders of said Collateral Improvement Notes, and the terms and conditions upon which the same are issued and secured, reference is hereby made to the said Trust Agreement. This note shall not be valid or become obligatory for any purpose until it shall have been authenticated by the certificate of the said Trustee endorsed thereon. IN WITNESS WHEREOF, The Pennsylvania Company has caused this note to be signed by its President or one of its Vice-Presidents and its corporate seal to be hereunto affixed, and to be attested by its Secretary or an Assistant Secretary this first day of May, 1906, and the annexed coupons to be executed with the engraved fac-simile signature of its Treasurer. SEAL. Attest: Secretary. Pennsylvania Company, President. The foregoing short term note is practically in the form of a collateral trust bond, differing only in the short period for which it runs. Coupons are attached to represent interest payments and the notes are secured by collateral deposited with the trustee under a trust agreement. The coupon attached to the foregoing note is in the ordinary form and is as follows: Form 36.-Short Term Note. (b) Coupon. PENNSYLVANIA COMPANY will pay to the bearer on the first day of. at either of its Agencies, the Office of The Pennsylvania Railroad Com pany in New York, or the Office of the said Company in Philadelphia, in gold coin of the United States of America, being six months' interest then due on its Four and One-half Per Cent. Collateral Improvement Note, No. Series.... THE PENNSYLVANIA RAILROAD COMPANY Bond of 1905. For value received, The Pennsylvania Railroad Company promises to pay to bearer, or, if registered, to the registered owner hereof, at its Office in the City of Philadelphia, Pennsylvania, or at its Agency in the City of New York, New York, in accordance with the terms of an Indenture dated October 2d, 1905, between said Railroad Company and the Girard Trust Company, of Philadelphia, Trustee, on October 1st, 1915, the sum of dollars in gold coin of the United States of America or of equal to the present standard of weight and fineness, with interest thereon in the meantime at the rate of three and one-half per centum per annum, payable at either the Office or Agency aforesaid, in like gold coin, semi-annually on the First day of the months of June and December in each year (except that two months' interest to December 1st, 1905, shall be payable on the latter date), upon presentation and surrender of the coupons hereto annexed as they severally mature, and without any deduction in respect to principal or interest for any tax or taxes which may be imposed thereon by the laws of the United States of America, or of the Commonwealth of Pennsylvania, which the Railroad Company may be required to deduct therefrom. This bond is one of a number of bonds, which may be issued in either coupon or registered form, to the aggregate amount of one hundred million dollars. All said bonds are issued under and in pursuance of said Indenture, to all the provisions of which this bond and the rights of the holder, or registered owner, of the same are subject, and to which by the receipt hereof the holder, or registered owner, of this bond assents. If default shall be made in the payment of any instalment of interest hereon, and such default shall continue for thirty days, the principal of all such bonds may become due and payable in the manner and with the effect provided in said Indenture. This bond is subject to redemption at par, and accrued interest, at the option of the Railroad Company, on December 1st, 1910, or on any subsequent interest day, on ninety days' notice as provided in said Indenture, and may be converted into the capital stock of the Railroad Company at the rate of seventy-five dollars per share, at the option of the holder, or registered owner, in accordance with the provisions of the said Indenture, at any time after December 1st, 1905, and prior to the maturity hereof, unless called for redemption; but, notwithstanding the same may be so called for redemption, the holder, or registered owner, shall have the right to have the same converted into capital stock at the rate herein above named at any time up to thirty days prior to the date named for redemption in said call. This bond shall pass by delivery, unless registered as to principal in the owner's name upon the books of the Railroad Company, at its Office in the City of Philadelphia, Pennsylvania, or at its Agency in the City of New York, New York, such registration being noted on the bond by the Railroad Company, and, after such registration of ownership duly certified hereon, no transfer shall be valid unless made on said books by the registered owner in person or by his attorney duly authorized, and similarly noted on the bond, but the same may be discharged from registration by being transferred to bearer, and thereupon transferability by delivery shall be restored. This bond may again from time to time be registered or transferred to bearer as before. The registration of this bond shall not affect the negotiability of the coupons by delivery. All rights of action on this bond and the annexed coupons are vested in said Trustee, and the enforcement thereof is governed by the provisions of said Indenture. The holder, or registered owner, hereof, may at his option surrender for cancellation this bond with all unmatured coupons hereto attached or appertaining, in exchange for a registered bond without coupons as provided in said Indenture, but no registered bond will be issued of a less denomination than one thousand dollars. This bond shall not be valid and become obligatory for any purpose until it shall have been authenticated by the certificate of the said Trustee endorsed hereon. IN WITNESS WHEREOF, The said Railroad Company has caused this Bond to be signed by its President or one of its Vice-Presidents, or other person duly authorized by its Board of Directors to sign for the President, and its corporate seal to be hereunto affixed duly attested by the signature of its Secretary or an Assistant Secretary, or other person duly authorized by its Board of Directors to attest for the Secretary, this Second day of October, 1905. The Pennsylvania Railroad Company, SEAL. By Secretary. President. This bond is discussed in § 369 (d) of the present volume. It will be noted that the bond is issued in both coupon and registered form, and a coupon bond may, if the bearer desires, be registered, or a registered bond may be exchanged for a coupon bond. Form 38.-Guarantee of Note. For a valuable consideration, The Pennsylvania Railroad Company does hereby guarantee to the holder of the within note the due and punctual payment by the Pennsylvania Company of the interest upon the said note, in gold coin of the United States of America, of or equal to the present standard of weight and fineness, as the same shall from time to time be |