The Sun.
London, England, 1867-03-20 00:00:00

The Pennsylvania Railroad.

The agent in England of the Pennsylvania
Railroad Company has lately sent us the proof
sheets of the Twentieth Annual Report of that
corporation, from which lengthened extracts
were given in our last issue. This railroad
is one of the greatest and most important in
America, directed with all that breadth of conception,
energy, and untiring perseverance which mark the
grand undertakings of the United States. The
company was formed in 1846 to construct a line
from Harrisburgh to Pittsburgh, a distance of
248 miles, which was called the Pennsylvania
Railroad. In joining by a direct communi-
cation the great manufacturing city of Pitts-
burgh with Philadelphia, the chain of the Alle-
gheny Mountains had to be. penetrated. This was
the huge barrier that bad stopped every earlier
attempt, and which the citizens of Philadelphia met
in the year 1846 to devise means to overcome.
From Altoona the line gradually ascends the hills,
rising at the rate of 95 feet to the mile, until it
reaches a height of 2,160 feet above the sea, when
it penetrates the summit by a tunnel 3,670 fees
long. On the completion of the line a preponde-
rating influence fell into, the hands of the
Pennsylvania Railroad Company. Yet this
great company, with its 250 miles of trunk
road was liable to be thwarted at every turn by
other lines, which were, in truth, but extensions of
their own. From Harrisburgh to Lancaster, a dis-
tance of 36 miles, the road was owned by another
company, and from Lancaster to Philadelphia, run-
ning over 69 miles of rail, it was the property of
the State. Thus the one line from Philadelphia
to Pittsburgh was owned by three distinct bodies.
It became necessary for the Pennsylvania Railroad
Company to obtain the complete control, which
was finally accomplished by the purchase of the
line from Philadelphia to Lancaster, and the lease
of the road from that city to llarrisburgh. The
principle which compels great railway com-
panies to continual extensions of their lines, even in
an old and settled country like England is felt much
more strongly in a young and rapidly growing
country like the United States. No sooner was
the grand base completed between the two large
cities than every effort was made to push into the
chief centres of the West, and draw to this line a
share of the traffic. Three principal lines were se-
lected, in each of which the Company took a pre-
ponderating interest. One aimed at establishing a
connection with Cincinnati, another with Columbus,
and a third with Chicago. In spite of the difficulties
experienced by the chief industrial institutions of the
United States by the violent fluctuations in the value
of the currency through the financial measures
necessary to support the war, the directors
have been successful in carrying out the
objects sought, with the exception of their
connection with Cincinnati, via Marietta. The
policy of the company is clear enough. It aims at
establishing Philadelphia as a rival depot to New
York for the export of Western produce, and to
make that city the terminus of the great Pacific
Lines which will connect San Francisco with the
Atlantic. It is stated that Philadelphia is so
placed by nature, that the barrier of the
Allegheny Mountains delayed tha construction
of the line to Pittsburgh, and gave to New
York the advantage of priority, and the formed
channels backed by vast wealth and great interest
have hitherto enabled New York to maintain the
monopoly it has established. Not only does this
powerful Pennsylvania Railroad Company turn its
attention to the West—its views are Imperial in their
magnitude, for in connection with the enterprising
citizens of Philadelphia it is about to establish an Ocean
Steam Line from Philadelphia to an English port.
To secure the traffic of the vast lakes which border
the States to the North, a lease of 999 years, being
equal to the fr eehold purchase of the Philadelphia and
Erie Railroad, has been taken. Feeders also in various
directions have been formed, which have all com-
bined to make this one of the most wealthy and
powerful corporations in the world, and a national
institution in the magnitude of its operations. But,
however useful to the nation the undertakings of such
a company may be a question of greater interest to
the shareholders is the dividend earned. Such en-
terprises but too often eventuate in a loss to those
who furnish the capital. In this instance the re-
verse is the case. From the day of turning the first
sod to the present time the shareholders have re-
ceived 6 per cent, per annum ; and, in addition
to this, a bonus equal to 46 per cent. upon
the original investment has been paid. Inde-
pendent of such dividends, the surplus profits
hive enabled the company to reduce the cost of the
road from Philadelphia to Columbia by $900,000,
and that from llarrisburgh to Pittsburgh by
$6,426,855 ; while the equipment of the line, which
cost $10,603,559, is now represented at $3,371,214.
Not less important is the large increase in the sink-
ing fund, worth to-day nearly four times its cost on
the books of the company. The second mortgage debt,
due in 1875, is through this fund already provided for.
These are brilliant results to be obtained in the face
of such difficulties as have arisen from the effects of
the civil war. The works of this company are so varied
and extended, the reports embrace so many under-
takings, either in connection with the Trunk Road as
the absolute property of the company, or as mainly
or in part owned by the company, that it is difficult
to summarise its operations. Indeed, it requires a
study of the subject and an intimate knowledge of
the geography of the country to understand the
work in all its details. "We believe, however, that
we have alluded to its chief outlines and objects,
and if we have omitted anything of real interest in

ibis important concern we trust that we may be set
right. The subject is one of paramount importance,
as the English undertakings of a similar character
have fallen into great disfavour, through the
financial blunders .of such lines as the
London, Chatham, - and Dover, the Great
English railways.
ensgted profitably in rail-
Ifcapital Eastern,
cannot
t n othero‘v b
el
invested
by a study of this and
it will be seen that
owtahyercgonresatrtuActmioenriictainEngland,
companies
the field on the other side of the Atlantic is still
open, and almost boundless in its extent. The main
object is to connect Philadelphia with San Francisco,
the true route from Europe to China and Australia,
and when that is accomplished the most vast and
profitable line in the world will be in operation. So
long as England works in harmony with the United
States that line will be little less beneficial to this
than to that country, and it is true policy to make
it the direct interest of such 'a powerful corporation
to aid iu lessening difficulties that may arise, and in
soothing the causes of irritation which so constantly
occur between these kindred nations.--Angle-Ame-
rican Times.

The Himalaya, screw troopship, Capt. Shute B.
Piers, sailed from Portsniouth last evening for the
Channel Islands with Nos. 1,2, and 5 bAttcries of
the Gth Brigade of Artillery on board, to relieve
the three batteries now on duty at the islands. The
Himalaya returns to Portsmouth with the relieved
batteries.

The Royal Alfred, 18, armoured wooden frigate,
4,068 tons, 800 horse power, Capt. Fred. A. Herbert,
flagshipof Vice-Admiral Sir George Rodney Mundy,
K.C.8., for service on the North American and West
Indian station, will go out of Portsmouth harbour to
Spithead this morning, preparatory to trying her
speed at load draught over the measured mile and
otherwise completing for departure to her station.
It is said that Dr. William Smith, who last week
resigned the classical professorship at New College,
i to be the new editor of the Quarterly Review.