The Sun.
London, England, 1858-08-14 00:00:00

RAILWAY INTELLIGENCE.

GREAT WESTERN.

The half-yearly general meeting of the shareholders of
this company was held yesterday at the station, Bristol—
the Hon. F. Ponsonby, the chairman of the board, presiding.
The report and accounts were taken as read.
The CHAIRMAN, in moving that the report and account
be received and adopted, said—l know full well that some
disappointment must be felt at the result of the working of
the line for the last half-year. (Hear, hear.) I can assure
you that it has been most disappointing to the directors,
particularly after they have used their best endeavours, by
a reduction of expenditure and by strenuous efforts to im-
prove the position of the company, to find that—almost, I
believe, for the first time—the traffic receipts have dimi-
nished in comparison with the corresponding period of last
year; and to feel also that it is their duty, under the cir-
cumstances, to recommend the shareholders to forego the
balance that remains after paying the regular charges
upon the revenue. (Cries of " No, uo," " Yes, yes,"
and " Hear, hear.") This is a matter that rests
entirely with the shareholders; but it is the duty
of the directors to tender the best advice its their
power, and they have come to the determination I have
stated, not because the amount has not been properly car-
ried, or that the amount divisible is so small, but simply for
the reason mentioned in the report, that by carrying forward
the balance ysu strengthen the financial position of the
company. (Hear, hear.) And it is most desirable at the
present time to show that, even for the sake of paying a
small dividend, you think it is better on the whole not to
divide the balance but to retain it, and so improve your
position by renewing your engagements, certainly cn more
favourable terms than you would be able to do were you to
divide to the last shilling. (Hear, hear.) I do not think
much explanation is necessary to show the causes which
have led to the diminution in our traffic. I believe they
have been pretty fully explained in the reports of the differ-
ent companies, and we could not expect to be free from the
difficulties which all others have experienced. (Hear, hear.)
I think the falling off may be classed shortly under two
heads—excessive competition and the distress arising from
the commercial events of last year; and the question is
whether anything could have been done by the board that
would have materially altered our position. In looking back
ou the events of last year I am really unable to see that
we could with advantage have taken any other course
than that which we adopted. With respect to competition
we have done all that we could to avoid it. We have from
first to last been willing to enter into agreements with other
companies to fix the rates at remunerative prices, and when
we were unable to agree we have always been ready, to allow
the matter to be settled by impartial arbitration, and in
most cases we have arrived at a satisfactory result. In the
north the introduction of new parties into a district has
caused what may be called an upsetting of the old rates, and
the consequence has been a most unremunerative carrying
of traffic for the half-year for all parties. It may be said
that we might have entered more keenly into this competi-
tion, and increased the quantity of our traffic. But if we
had done so, that increased amount of traffic must have been
carried at lower rates, and we should not have increased our
profits. I think, therefore, we shall receive your approval
in the direction we have given to our officers, not to lead,
but to follow, in any reduction that may take place. If we
were to say " We will not reduce," it would be equivalent to
saying " We will not carry at all." Our plan of not leading,
but following, iu cases of reduction is safer to some extent.
Our wish is to carry what is remunerative, not to lose our
connection, but, if possible, to enter into communication
with other parties for the purpose of making such arrange-
ments as will be beneficial to all. (Hear, hear.) It
has been said that our reductions have led, to a cer-
tain extent, to the loss of traffic ; that with a
diminished amount of accommodation by trains we
ceuld not expect the same amount of traffic. Now, Ido
not think that is a correct view of the question. I believe
the diminution in the number of trains has only been com-
mensurate with the decreased means of the public, and if
we had run a larger number of trains we should only have
increased our expenses without causing a corresponding
increase in our income. If we had seen our traffic diminish-
ing, whilst that on other lines had been increasing, we
should certainly have considered that we had carried our
reductions too far. But such has not been the case, except
where competition has arisen. We have been more favour-
ably circumstanced than other companies. Our falling off
has not been so great. I think what we have done in this
respect will receive your approval, for we have endeavoured
to provide such accommodation as would be remunerative
to ourselves without interfering with the requirements of
the public. (Hear, hear.) We have redeemed the promise
we gave that we would endeavour to effect a reduction of
our expenditure. We have done so to a very large amount,
and you will not have failed to observe that if our traffic hag
kept up to what it was last year, we should have been
able to give you the same amount of dividend, and to carry
forward a larger balance. This, unfortunately, owing to
the causes I have mentioned, is not the case, sad
it is for you to decide whether the advice given by
the directors is wise or not. Another p: o else given
by us was that we would endeavour to establish friendly
relations with other ce.mpanies. In all cases we have en-
deavoured to bring all matters in sufferance to a close, and
they have been all either settled or are in a fair way of set-
tlement, except the northern competition, which has been
introduced by the Great Northern and North-Western
Companies into the northern districts. I hope, however,
that no great time will elapse without a settlement of that
question. (Hear, hear.) With respect to the competition
which has been going on for some time at Reading, an
arrangement has been come to with the South-Eastern and
South-Western Companies which is fair to all parties, and
which I hope will prove satisfactory. The arrangement is
to be in force for three years, but I trust that it will be
prolonged, for it is based on the principle of making all the
traffic we can for the benefit of all the three companies.
(Hear, hear.) An arrangement has been entered into with

the Oxford, Worcester, and. 'Wolverhampton Company, to
which I alluded at the meeting in London. Every one will
agree that it was most desirable to put a stop to the expen-
sive Parliamentary contest between that company and our
Own, and also to any litigation that might arise. It is true
we have given up the right to compel them to lay down the
broad gauge on their line. The agreement, which will be
carried into effect under an Act of Parliament, provides
that they are to run out of our station at Oxford in connec-
tion with the passenger trains ; that there is to be an inter-
change of traffic between the two companies ; that litiga-
tion on these po'n's is pot an end to ; that fur niue years
they are to make an annual payment of £2,000 a-year for
the privilege of taking up some broad gauge rails which
have been laid down. The payment of the £2,000 is to be
made either annually or in one sum, as may be agreed
between the parties. We are to run over their line from
Priestfield to Wolverhampton, they doing the like over our
line between Oxford and Wolvercot. The amount of traffic
carried by us over their portion of line exceeds that which
they will carry over ours, and we shall benefit to the amount
of from £2,000 to £3,000, and if the traffic from tke north im-
proves that amount will be still further increased. (Hear,
hear.) We have, during the half-year, kept a careful
watch over the question of expenditure, in accordance with
the promise given by us to the shareholders. A resolution
exists that no liabilities should be incurred beyond those
then stated without coming to the shareholders, and such is
still our view of the question. We have an expenditure com-
mittee, which looks most narrowly into every expense, and
no large outlay has been incurred except the making of a
narrow gauge junction at Reading, which was sanctioned at
the last meeting. That was a matter of necessity, and will be
of advantage to the company. We mention in the report two
points in regard to which we recommend an outlay, and ask
your approval. One is the doubling of a portion of the Wilts
and Somerset line between Yeovil and Eversltolt. It has
been found almost impossible to work the traffic with a single
line. It is to a certain extent dangerous and very expen-
sive, because it cannot be done without the employment
of additional engines. We therefore propose to double
that portion of the line. But you need not be. alarmed as
to any great expense. The way is which we propose to
proceed is this : a portion of the line having been laid
down double with timber, we shall apply that timber
to the new work, and, so far as relates to that
part of the business, there will be nothing to pay
for but the cost of labour. We propose to enter
into an arrangement with the Oxford, Worcester, and
Wolverhampton Company to supply us with some of their
rails and timber in lieu of the payment which they have
agreed to make. We think, by applying these rails and that
timber to the construction of the new pottion of the line,
we shall improve the line and diminish the expense of work-
ing it without incurring any charge beyond that far labour.

(Hear, bear.) The other expense we propose to incur is for
the purpose of making a bridge over the West London Rail-
way. Even if this were not a matter of necessity
between us and the London and North-Western Company,
it would be important to get rid of the level crossing just as
you are approaching the metropolis. But the fact is, that
a lawsuit was going on between the two companies on this
subject. It has always been considered desi:ab!e that this
bridge should be erected, and an agreement existed pro-
viding that one of the companies might go to Parliament
for necessary power, leaving the relative amcunts payable
by each company to be settled by arbitration. On looking
over the matter with the Marquis of Chandos, we thought it
probable that the lawsuit might ccst more money than the
bridge, and considered it desirable to erect the bridge, leaving
the proportionate payments to be settled by arbitration.
(Hear, hear.) There may, perhaps, be other matters whieh
require explanation, which I shall be happy to afford. It
has been said that the accounts are not clear. Now, if any
one can suggest a mode by which they can be made clear,
we shall be happy to attend to such suggestion. But it
seems to me that any want of clearness can only arise in the
minds of those wbo take up the accounts and read them
over hastily without reference to former accounts and the
reports of preceding bait-years. As the account; are care