Staunton spectator. [volume] (Staunton, Va.) 1849-1896, 1858-03-10
The Central Railroad.

The Central Railroad.
We have heretofore had but little to say in
reference to the proposed increase of charges for
passengers and freight on the Central Railroad,
although it has in other quarters elected consi'
derable discussion. We now, however, invite
attention to the following facts derived from the
last annual report of the President and Directors
From that document we learn that the gross re-
ceipts of the road for the last year were $54O,-
$50, S0-an increase over the previous year OF
$3o,617.65. Tho whole expenses account for
the general administration of the business OF the
company" for the same period was $319,7sl.s2,
leaving nett balance of $500, 299.9s. The re-
port of the committee on accounts (Which accom-
panies the annual report of the President and
Directors) shows that the average annual ex-
pense for the last seven years has been IS per
cent. of the gross receipts of the road. But the
committee also state that if from the expenses
of the year 1857 be deducted payments made for
wood consumed iu former years, and some other
items not properly ehargeable to that year, the
expenses would not exceed fifty per cent of the
receipts.
The President aud Directors in their report
say that it may be assumed las safe estimate
that the gross annual receipts hereafter will
reach the sum of 100000, land that one half
will be sufficient for expenses" leaving as the
net profits of the road the sum of 100000.
From these facts it appears that the present
rate of charges for freight and passengers is
double the actual cost of running the road" or
in other words fifty per cent. of the revenue Of
the road is net profit.
This statement, it appears to US, ought to be
conclusive against any increase of charges, and
shows that any Encouragement of the tariff OF
tolls should be made with view to reduction
instead of an increase That the road has been
paying no dividends to its stockholders land its
stock consequently much below par is in no de-
gree due to inadequate charges for transportation
of passengers and freight.
The following exhibit, derived from the re-
port we have been quoting, satisfactorily ex-
plains the absence of dividends and the depress
ed condition of the stock. The construction o.
the Central Road from Richmond to Jackson's
River, with its equipment &C., has cost the sun
of 1926, 561.12. But the amount Of capita
stock actually paid in has been only So, 041, 1885,
81, leaving balance of s., 1854, 172.15 TO be pro-
vided for by loans and the net revenues of the
road and this sum now constitutes the debt o.
the company-$490,21 S.73 of which was PAID
from the net revenues of the road. It is absurd
to think that the road can provide for the inter
est on this large debt and sinking fund for it:
ultimate redemption, and st the same time pay
dividend to the stockholders. If the debt o
the company were now paid off, the net reve
nue. would pay nearly six per cent on the en-
tire cost of the road. The whole net revenue
of the company, faithfully and properly applied
to that purpose, would in few years iquidatt
the entire debt.
We, therefore, repeat our conviction, that q
ny increase in the rate of charges is not only IN
wise and unnecessary, but an unjust imposition
upon the productive labor of the country, a
well as the travelling public. A large amount
was subscribed in this county to the capital stock
of the company, and the inducement held out t.
the people in order to obtain subscriptions was
that it would greatly lessen the cost of trans
portation to market of all agricultural products
How that end has been attained can perhaps BIZ
answered by the farmers.
The passenger fare from this place to Rich
mond is almost as much now as it was when the
entire distance was performed in stages; and if
as is proposed, the fare from here to Richmond
be raised to Sc, it will be the same that Wa:
formerly charged when Gordonsyille was the
western terminus OF the rail road, and the trav'
eler had to stage it from here to that village over
some of the worst road in the Commonwealth
We are inclined to think that reduction Of
charges, instead of diminishing would increase
the revenue of the company.
There is, however, one method Of increasing
the net revenue that is entirely practicable,
which we will suggest for the consideration of
the Board of Directors. We take the liberty Of
inviting attention to the salaries paid its officers
by the Central Road.
The aggregate of these salaries, according to
hasty estimate we have made, amounts to the
sum of $4S,S75, which, however, ought to be
reduced few hundreds dollars for labor furnish.
ed by three depot agents, the price of which is
included in their salaries and increased by the
per diem pay of the Directors which is no where
stated in the report The following is list Of
salaries paid to the principal officers of the
company;
President, 900
Chief Engineer ..........................2 $500
Superintendent ACKNOWLEDGEMENTS. 5000
Treasurer, ACKNOWLEDGEMENTS. 1900
Assistant Treasurer, ................... 80. 1900
Superintendent Mountain Track, ........... 500
Principal Freight Agent at Richmond, ....... 1900
Assistant ditto 4" ... 200
Road Master, .........................l 20C