It will be seen that circumstances have thus enabled the Board to effect a very considerable economy in the Company’s present operations. It would no doubt have been a most gratifying circumstance if the recent accidents had not happened, and to the Directors this occurrence has been a grievous disappointment, but the circumstances surrounding the expedition and the increased confidence which, in spite of temporary discomfiture, has been given to the future of Deep-sea Cables, has enabled the Board to effect a new contract for the repair of the old Cable and for the submersion of a new one during 1866, on terms so satisfactory that if both these operations should succeed, the Company will actually be in possession of two efficient Cables for a less amount by 100,000_l._ than they would have been obliged to expend if the Cable of this year had been successful and the second Cable had been required to be purchased separately. But the carrying out of this contract, so advantageous to the Atlantic Telegraph Company, involves the strenuous efforts of the Directors to raise an amount of money ranging from a minimum of 250,000_l._ to a maximum of 500,000_l._ in cash. It is impossible that the Great Eastern ship could go to sea again this year to mend the existing Cable, and therefore such an operation, as a separate adventure, must be put out of the question, and even if undertaken separately would in itself involve an expenditure of some 120,000_l._, whereas for a sum of 500,000_l._ the Contractors are willing to make and lay a new Cable next year in addition to the restoration of the old one; they depending entirely upon success for profit. The question which has had to be considered by the Directors in the interest of the Shareholders has been how best they might be enabled to raise this money. The Eight per Cent. Preference Shares, though far below their real value, stand at 2_l._ 5_s._ per share, and if the Company were to adopt the alternative of winding-up its affairs, their intrinsic worth would not be 10_s._ per share. The expenditure of the new money will certainly create fresh property, and probably resuscitate the old. By its means the existing Eight per Cent. Preference Stock will doubtless be placed at par in the market before the sailing of the ship next year. The Directors are, however, compelled to offer an inducement to those who are willing to come in and assist to place in that position the Company’s, at present, sinking property. Acting under advice, and believing in the very large profits that undoubtedly await this Company when successful, they desire to offer a first dividend of 12 per cent., with participation in profits, after 8 per cent. has been paid upon the existing preference shares and 4 per cent. upon the old capital, to those who consent to supply the requisite funds.