The New York herald. [volume] (New York [N.Y.]) 1840-1920, 1857-01-19
Excess Of Imports over exports.

Excess Of imports over exports. 500 ia
A. H. NicolsyS regular weekly sale of bonds and
stocks will take place at the exchange aonday, ii
l2h O'Clock.
The report Of tho State Engineer Of the State Of New
York exposes the complete lacy OF railroad system
He says the construction account 10 saaded With large
expenditures which properly belong to current expenses
He isyS that Of the railroads or the State comply
with the In stating the amount OF depreciation o
work. and rolling stock Il bis opinion that deterora
ton on railroad properly is equal to from two to fou
per cent annually the total cost, and about pei
cent over and above what u called ordinary repairs
No such allowance made In the reports Of tho
maintenance Of way, and all goes into construction
count The following extract from the State Engneor,
report presents the subject In the proper light -
Much discussion has been had the elias sihcaton
the expenditures between the amount for operating aud
contracting rsirosds and mas been que.oaed Whether
renewal Of depreciation Of the works The establishment
OF every oil road will continue to deseiopc
sources busress from year TO year. for considerable
PERIOD amer IL 10 opened, which will require an increased
outlay for additional aide tracks depots buildings and
eoa,,ruc,oo Il, hss so been oeSa tast an AZ
nuai expenditure h REQUIRED for several years ator
read has been opened tor the purpose OF restoring tho
perfect,ug the works. II has beou questioned
whether The expense OF these items proper charge
to construction s sv or ,so 'ss 01,a m, o. era H.
mentioned hhve been spoken OF NJ arriving from
Incomplete constructor, and as OF annual recurrence
for only limited period iAy for three four years
spd that they differ materially from expenses which
Tor nearly similar obiecls but which arc dependent
upon the OF the works " hich arse IRON na,urs
decay and also from those which are OF annual ooOur
renee without limit a. 20 tmc. Tho latter evidently
charges which beors 10 the cost Of operating while tho
former may with s,rct proprefy be charged NJ capital
INC estimating tho cost Of railroads aud the anticipated
revenues and dividencs both OF these cSses Of items
must be provided for. II may be- remarked In this
utct
nsy because railroads are open 70 use before they
properly copsuucIed IL viii be observed that none oil
The returns OF railroad corporations OF this State comply
with the Law In stating amount OF depreciation Of the
works ard rolling stock . II b commended by
many ,kinful mapssers that II The WORKS ana rolling
stock KEPT In bors ugh repair. they are In a, good
ctrohon Al the end Of each yesr IS ey we're at the end
OF the preceding year and therefore there can be no Dc
rrtcaiion. The officially lies In determining the fact
wheiher lhe repairs have be, KEEP, In this thorough
ibe expense for repairs OF iron rails Alter slo wing
or the value Of old material equal 10 the cost Of entire
al CO IN eight years Tor wooden bridges In
ten years, and Tor wooden stations once IN thirty years
Tim deterioration be represented In another form by
stating equal TO from Two 70 four per cent nusly
tie vhole cost Of The road An examination Of reports
for several years past viii chow bat no uch soraace
for deprsc siion have included the expense
OF msntefsnco OF the way and works OF railroads ard
as AL Of our roads have kept their construction accounts
open n not unlikely that portion OF the expenses OF
depreciation has found y. vsy into tas account An al
lowsnce Of one per cent per sni um on TIE whole cost "
the roads In this State would my opinion be required
TO make rp TIE omissions In tire reporv Of the proper
lowsnoe for depreciation.
The force OF public opinion will ultimately work
change In this market Railroad reports are COW made
solely fer the purpose Of covering up and Disgusting
the which must eventually result wide spread
bankruptcy. The most experienced accountants
poyod 10 make up balance sheets and for the arrange
meat Of figures, In manner to deceive oil who DO
apply the s,rouses, power. Of auay z,,ion, AMI tho
probability that not enc hundred Of the siocsho'd
Hn-fr a. Anrs
time Is rot very remote when public feeling will Undergo
q charge, and tho prevailing method Of ananceriag
brought to . dead stop Rporis suoh have recently
been issued by largest railroad companies will fail 10
the effect Intended fbaoi cd up BY the force CT
their organs. A dividend made from borrowed money will
have potency, while bond and stock dividends viii be
prohibited by more erlis hened public opinion, not by
act Of the legislature under heavy pain. and penalties
Aresdy DO and bonds OF all descriptions created
on neu reads at the west doll Of sale twenty per ocn,
below rH, bonds drawing interest 81 the rate
OF seven per cent per annum. The fact 10 10
BIO accounted for In the feeling OF spprohei.
ths, has been growing up amongst us for tim
past, tina, within the next three years We must p.
through severe and possibly rost disastrous panic.
come forty or any million Of dollar OF rsiro.A bonds.
created IN former years, must n due AMI be renewed
between this and The year 1890 1881 II the history
Of the rsst three years presents such . psure
have 20 frequently described OF the whole railroad
teres, Of the country borrowing money than they
divide amonss, their stockholders, VIA, vul be their
couti 100 three ye,r benceS within the past two years
the Erie Railroad Company brought u the very dos
Of bsosupoy By the maturity OF loan OF some two and
a half millions Of dollars, which they could not pay.
Months before the day arrived the power to negotiate
small loans Of money had been destroyed and the banks
decr ed end the FIRST and second mortgage bonds
We mention these things fer the purpose Of showing the
dangers Of the present financial system OF our railroad
com pan 90. fully believing tina, there now esc,pe
from great and vide spread eits,ers, excep, by rsd-
cal change The management Of every department
necsed win railroad companies.