The Sun.
London, England, 1849-02-14 00:00:00

gressive improvement, vihich we have no doubt will

still continue.
The present statement is of a very satisfactory cha-
racter. The gross receipts of the company during
the six months ending 31St of December last, was
366,019/. 183., which, added to the balance of
34,650/. Bs. 6d., which' _remained after pay-
ment of the dividend to the 30th June last, amounted
in the whole to 400,670/. 6s. 61 The working ex-
penses of every description (even including insurance,
the Government duty on passengers, and rates and
taxes) amounted to 124,750/. 1 ls., and after pro-
viding for wayleaves and damage ground-rents, and
for Debenture interest, including interest on the
Great North of England and Hartlepool loans,
which together amounted to 31,2401. 1 ls. 101, there
remained a sum to the credit of the company of
244,6791. 3s. Bd. This sum, after deducting the rents
of the leased lines, would be more than athquate to
the payment of a dividend after the rate
of 7 per cent. The directors, however, exhibit
a judicious anxiety to keep the reserve fund of
the company in a satisfactory condition. They,
therefore, strongly recommend the shareholders
to • accept a dividend of six per cent.,
after paying which there would remain a
surplus on the half-year's net profits of
25,127/. ls. Od., which, with the former reserve,
would make a total reserve of 59,777/. 93. 61.

The prudence of, this advice will be fully appreciated
by all persons in any degree acquainted vs ith railway
matters. It will prevent the possibility of any falling
off in the dividend, while it will afford the most
.favourable prospects of a speedy and permanent
increase. It will, of course, be for the shareholders
to decide on the amount to be distributed at the next
half yearly meeting. Many will doubtless be desir-
ous of obtaining the larger amount, and will con-
tend that it should• be forthwith divided,
as it is unquestionably at their disposal.
The directors, howeier, exhibit a sound discretion
in recommending the 6 per cent. as best calculated
to secure the permanent advantage of the under-
taking. Many causes have undoubtedly existed during
the past year to decrease the traffic, and conse-
quently to diminish the revenue of the company. The
passenger traffic had fallen off from the wide-
spread distress under which all classes had suffered.
We are happily recovering from that commercial and
general depression, so that we may anticipate more
favourable results, every appearance of which has been
already manifested. Money has also become much
more abundant, and may be readily obtained
at easier rates of interest. These circumstances afford
the most favourable indications for an early increase
in the rate of dividend ; but still we think the
directors justified in recommending the More prudent
and moderate course, a course which should give
increased confidence in their management.
Full accounts have also been rendered of the traffic
accounts of the Newcastle and Carlisle, and of the
Maryport and Carlisle Railway. The former of
these railways has been worked by the company for
live months—the latter for three. There have been
small losses on both accounts, on the former of
1,0241. Bs. ld., and on the latter of 1951. 4s. 9d.,
during the above periods. There is, however, every
prospect of a considerable improvement in both, for
reasons assigned by the directors which appear
highly satisfactory. Indeed it is more than probable
that they will speedily become sources of considerable
profit, in place of foss. The-directors are therefore
convinced that the acceptance of leases on the terms
already agreed upon must prove highly advantageous
to the interests of the shareholders. Indeed, when the
losses have proved so very trifling in the first in-
stance, when working expenses are more than usual,
it becomes a matter almost of certainty that the
line will become very profitable. Other . consider-
ations must also be taken; into' account. It will
be seen how necessary the possession of these
lines must be to the integrity of the under-
taking, and the avoidance of competing
lines. Under such circumstances we cannot enter-
tain a doubt but that the shareholders will gladly
confirm the agreement into which the directors have
entered on their behalf, and secure the permanent
possession of those valuable branch lines.