Wikipedia:WikiProject Trains/ICC valuations/Graysonia, Nashville and Ashdown Railroad

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The railroad of the Graysonia, Nashville & Ashdown Railroad Company, hereinafter called the carrier, is a single-track, standard-gage, steam railroad located in the southwestern part of Arkansas. The main line extends in a northeasterly direction from Ashdown to Nashville, a distance of 26.859 miles. The carrier also owns 4.303 miles of yard tracks and sidings. Its road thus embraces 31.162 miles of all tracks owned and used. Under a trackage-rights agreement the carrier uses certain tracks owned by The Kansas City Southern Railway Company at Ashdown, Ark.

APPENDIX 2

INTRODUCTORY

The carrier is an Arkansas corporation, having its principal office at Nashville, Ark. The records reviewed do not indicate that the carrier is controlled by any company, firm, or individual, or that it controls any common-carrier corporation.

The property has been operated since August 15, 1922, by the carrier's own organization, although title to the property was not conveyed to the carrier until January 1, 1923. However, from August 15 to August 31, 1922, the operation was on account of the parties who purchased the property of the Memphis, Dallas & Gulf Railroad Company, at foreclosure sale. The carrier also operated during the period from September 1, 1922, to January 9, 1925, the section of road extending from Nashville to Murfreesboro, Ark., about 14.24 miles, also formerly owned by the Memphis, Dallas & Gulf Railroad Company, which was subsequently acquired by the Murfreesboro, Nashville, Southwestern Railroad Company. The terms under which this property was used during that period are not stated, and there is no available record showing separately the revenues and expenses applicable to this portion of property operated. Although at no time owned, the carrier appears to have had some undetermined right as lessor in a section of road extending from Graysonia to Leard, Ark., 5.49 miles, subsequently abandoned, that also was formerly owned by the predecessor of the carrier, since it included in its income account, as income from lease of road, rentals received from lease to a noncarrier until February 28, 1923.

CORPORATE HISTORY

The carrier was incorporated October 25, 1922, under the general laws of Arkansas. The articles of incorporation are dated August 29, 1922, which is recorded as the date of organization. The purpose of incorporation was to acquire and operate that part of the railroad formerly owned by the Memphis, Dallas & Gulf Railroad Company, extending from Ashdown to Shawmut, Ark., about 61 miles.

DEVELOPMENT OF FIXED PHYSICAL PROPERTY

The road, all owned, 26.859 miles, extending from a connection with the road of The Kansas City Southern Railway Company, at Ashdown, to a connection with the road of the Murfreesboro, Nashville, Southwestern Railway Company, at Nashville, all in Arkansas, was acquired by purchase. It was a part of a section of property of the Memphis, Dallas & Gulf Railroad Company between Ashdown and Shawmut Ark., constructed by or for that company in 1906-8, about 61 miles, which had been sold at foreclosure sale August 15, 1922, and which the carrier originally proposed to acquire. However, that part of the section of property, Nashville to Murfreesboro, Ark., 14.240 miles, was acquired by the Murfreesboro, Nashville, Southwestern Railway Company, and the remainder, about 19 miles, was subsequently abandoned. On August 15, 1922, the carrier took possession of that part of the property between Ashdown and Murfreesboro, Ark., about 41 miles, and operated it for account of the purchasers until the end of the month, and on September 1, 1922, it began operations on its own account, although it had not secured title to the property and did not have a written lease. The road acquired by the carrier was conveyed to it by deed dated January 1, 1923. The carrier continued to operate the 14.240 miles of road between Nashville and Murfreesboro, Ark., until January 9, 1925.

HISTORY OF CORPORATE FINANCING