AR, PM 11/7/1866 P

Report of the President and Directors of the Piedmont Railroad Company
 
Office Piedmont Railroad Company
Danville, Nov. 7, 1866
 
To the Stockholders of the Piedmont Railroad Company
 
   The President and Directors respectfully submit for you consideration the following report:
 
   At the date of your last annual meeting, 1st Nov. 1865, your road and the entire property was in the possession and use of the government of the United States, having been seized about the 25th June of that year by the revenue officers of the federal government and held for the use of the United States, under circumstances well known to the stockholders. Under measures instituted by the authorities of the Richmond & Danville Railroad Company, the government, on the 18th October, 1865, ordered the restoration of the road to its rightful owners; which order, however, was not put in execution until the 9th December, 1865, at which date full possession of the road, with its property, except two locomotives and a few cars withheld as captured government property, was delivered o the officers of the company.
   In January, 1866, the President of the company was summoned to appear before a committee of the general assembly of the state of North Carolina, constituted under orders of the two houses for the purpose of enquiring into the legal proprietorship of your road, and apparently with design to dives or invalidate the just title of the stockholders. A full and thorough investigation was had under the amplest evidence, documentary and oral, addressed under the supervision of the President, resulting in an ??? report of the committee, re-affirming the legality and regularity of the company's title. A copy of said report is herewith submitted.
   Upon the conclusion of this investigation, in pursuance of a resolution adopted by the last meeting of stockholders, application was made by the President on behalf of the company to the general assembly of North Carolina, for legislative authority to change the gauge of the road so as to conform to that of the Richmond & Danville railroad. The authority was granted on the 1st day of February, 1866, in the most satisfactory form, by an act of the general assembly, a copy of which is herewith submitted. The great destitution of rolling stock belonging to the company rendered necessary the immediate execution of the change. Accordingly measures were at once taken to effect it and on the 15th day of February, 1866, the change was completed, having, by the energy of the officer in charge of the work, been effected in four days; since which time, trains have regularly passed between Richmond and Greensboro without transfer or detention. The immediate saving and ultimate value to the company of this change, the stockholders will justly appreciate without a more special exposition.
   The change of gauge having been effected, on the 15th day of February, 1866, an act of the general assembly of Virginia was obtained, authorizing the lease of the road and property to the Richmond & Danville Railroad Company, and on the same day the lease was accordingly executed under the supervision of the respective boards of the two companies, transferring the road, property and franchises to the Richmond & Danville railroad, for the term of twelve months, upon a rental of 5 per cent. on the capital stock of the Piedmont road, 2 per cent. payable 1st July, 1866, and 3 per cent. the 1st January, 1867; a copy of said contract of lease is herewith submitted.
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