See " Tontine Insurance."
The same as ton miles per mile of line. It measures the general volume or density of business done. To find the "freight density," as it is called, of a railroad, divide the total number of tons (for a given period) carried one mile (or the "ton mileage*") by the number of miles of line operated. Example: Take a railroad 100 miles long. Suppose, to make it as simple as possible, that all freight carried was for half its length, and that in a year 1,000,000 tons were hauled the 50 miles. This would give 50,000,000 tons hauled one mile; i.e. 1,000,000 tons hauled 50 miles is the same as 50,000,000 tons hauled one mile. Dividing this " ton mileage " by 100 - the number of miles of line operated - we get 500,000, which is the number of "tons carried one mile per mile of line."1 (See "Ton Mile" and "Ton Mile Cost.")
Same as "ton miles." This is explained under "Freight Density."
Saint Louis and San Francisco Railroad Co.
Used in reference to a broker closing out a marginal account when the " exhaust price " has been reached. (See "Exhaust Price.") If one should lose his position as officer or director in a corporation, by a prearranged plan on the part of others holding the control, the expression " frozen out " might be applied.
United Fruit Co.
The bonded, or other debt, of a more or less permanent nature. Usually, debt not maturing within twelve months.
A good example of an issue of this kind is that of the Western Union Telegraph Co., which has an authorized issue of $20,000,000, dated May 1, 1900. These are secured by a first mortgage upon the company's real estate in New York and Chicago, together with all buildings, fixtures, and telegraphic equipment thereon. The company agrees that no future lien shall be created upon any of its real and personal property within the United States having priority over these bonds, or create any mortgage without recording a prior lien as security for the payment of the principal and interest of these bonds.
The object of a loan of this kind is when a relatively small issue is to be made to save the trouble and expense of mortgaging all the property of a company by selecting certain parcels of real estate sufficient to properly secure the issue.