The daily exchange. [volume] (Baltimore, Md.) 1858-1861, 1858-04-19
Sl,957,725
BY the Treasurer's statement.

And the dividends and rents from the
Washington Branch, IOl ,5l2
81 1857 ,725
By the Treasurers statement,
to your Committee, the an
nual interest and ground rents
are Sl,OS5,7l2
Bond of loan No 3, due LIST Jan
uary, 1859, with say 8 per
cent for exchange, 10000 81, 2O5 7I2
Exhibiting balance, after the
payment of the interest
ground rents and liabilities on
account of the bonded debt of S752 Ol3
which amount would be applicable during the year
to the reduction of the floating debt no allowance
or calculation being made for dividends during that
time in the above estimate. This amount will be
considerably increased by strict economy in the
working of the road and by the revenues from the
Northwestern Virginia Railroad, whose receipts
Will depend very much upon the line of policy pur-
sued by your board towards that company.
Among the items annually reported by the Trea-
surer assets of the Company, are several which
have been long wholly reproductive, and which
cannot In the opinion of your Committee, be relied
upon to aid the Company in the discharge of its ey
isting liabilities. Among these are the Bonds of
the Central Ohio Railroad Company for $500 600
upon which no interest has ever been paid which,
with accrued interest and open account due by that
Road, now amounts to about S4S00 The debt
due by the Northwestern Virginia Railroad, viz :
81 IA 60, for which, as before mentioned this
Company holds 100000 of their third Mortgage
Bonds as collateral, is also, at present, unproduc
tive; but your Committee are of opinion that the
revenues Of that Road WILL in tme enable it to dis
charge its obligations to this Company. The Stock
OF the Pittsburg and Connesville Railroad Com
pany, S35,00O, is at present unavailable These
items together amount to the large sum of 81 1885,
494.
This Company also holds $1,OlG,S0O in Stock of
the Washington Branch, uron which it received 8
per cent dividend during the last fiscal year.
The attention of the Board is particularly called to
of IF in 70 = o
arching of tunnels and the laying of second track.
There are, it appears, tunnels yet remaining
to be archcd, which will require an outlay of S2l4,-
$40. This work. in the opinion of that officer, can
not be delayed, but ought to be proceeded with as
early as possible.
1t will be perceived, also that it is the Joint opin-
ion of Mr.. Bollman and Mr.. Smith that the extern
sion of 201 miles of double track recurring an ex-
penditure of $4,000 is very desirable and its
struction would promote the interests of the Com
pany by the increased profit and advantage with
which the Road could be worked. There are in
addition to the above, 2S% miles of second track
which it is desirable should be laid, but the Master
of Roads is of opinion, that the construction of it
may be deferred until the financial condition of this
Company will better justify the outlay. The cost
of these 2Sl miles is estimated at S342, 900. The
Master of Transportation recommends the laying
OF thirty miles of double track ,cest of Piedmont
the heavy grades, very desirable to econ
Omy in the working of the Road The only fund
now applicable 10th February to the arching of
Tunnels and the laying of the second track is the
balance OF the five million loan from the city, which
is now reduced to S245, All, which amount your
Committee consider justly liable for the payment of
the balance of Loan No. still outstanding, in
formity with the stipulations of the five million
loan.
Your Committee have no hesitation in recon-
mending that the arching of the tunnels and the
tension of the 205 miles of double track as recon-
mendcd by Mr.. Bollman, be proceeded with as
rapidly as the financial condition of the Company
will allow.
The transfer between Benwood and Belair is under
the control of this Company who, BY agreement
with the Central Ohio Company, entitled to col
lect 90 cents per ton freight mails and express
goods and % cents for each passenger and baggage.
The expenses at that point, appears from the
Auditors Statement, for the eighteen months prior
to the LIST February 1858, ST. 40; and the
receipts from and through the Central Ohio Road
for the same time was S27 ,265. 1t is, however,
the opinion of the General Freight Agent
fer, receives from the local freigRts and passengers
who pay directly the full transfer price, and from
the through freights and passengers in revenue,
more than sufficient to pay expenses at that point.
This Company has heretofore paid to ITSELF Agent
TOR transfer, not only its own pro rata on through
freight and passengers but also the proportion due
by the Philadelphia road. The cost ofthe improve
ments S20,450 at Belair, and S7O753 at Ben
wood, in all sol .203.
The Transfer between Parkersburg and Marietta
was under the control of the Marietta and Cincin-
natl Road, which allowed therefor sc miles of
rail in computing its pro rata on through trade,
thus making the computed chargeable distance from
this city to Cincinnati by that route the by
the northern line, and thus depriving both this Road
and city of all the advantages Of the shortest line be-
t'ceen the seaboard and the Great Vest to ,ohich they
are so justly entitled.
The Master of Machinery reports the machinery
in his department to be then in good order for an
increased business.
The sinking fund for the redemption of the five
million loan is under the management of the City
Register
1t now amounts to-. $50 S32 81, an increase
since LIST, Oct. 1856 of s12S 6SS 10
Sink Fund for Ground
Rents. ............... 35,4f66 $4,000
Sinking Fund for Mil
lion Loan. ........... 100000
Sinking Fund for Mort
gage Debts......... 25O,6666G " $3.50 66G &C
SS56,94O93 1857 ,s54 70
This exhibits very large apparent increase, but
in it are embraced the two iron bonds of Loan No.
3, of Sll33 1888 each, due and paid in London on Is.
January, 1857, and LIST January, 1858. These bonds
were liabilities of the Company, which were retired
as they fell due, just as all other fixed engagements
ofthe Company have been, and in the opinion of your
committee, there is no better for making
them constitute part of the sinking fund.- than any
other paid note account in the possession of the
Company. In fact, one of them had been RENTED
for month before the sinking fund was instituted.
1t would be quite as reasonable for a merchant to
gather into bundle all the notes he had ever paid
stamp them .'belonging to the sinking fund, not to
be re-ssued," and rely on them as means for re-
deeming outstanding liabilities
The process is at best an idle ceremony which
cannot possibly add dollar to the real substantial
means of the Company, and your Committee re-
commend that these bonds be cancelled and made to
disappear from amongst the liabilities of the Com
pany $50 that in the Annual Statement, Loan No.
may no longer appear a recorded encumbrance for
twice its real amount. The same disposition might
very judiciously be made of the $50 000 which has
long stood to the credit of the sinking fund for the
million loan. This item represents Bond which
has never been issued, and which, of course has
never increased The interest upon it has never
been invested for the increase of the sinking fund.-
and it therefore dcconptishes part Of the office of
sinking fund.
Your Committee recommend that the Construc-
ton Account be closed with the exception of the
arching of the tunnels.
Your Committee have found it impracticable to
examine in full all the subjects embraced by the
scope of the resolution; but they have endeavored
in a plain, perspicuous and candid manner to OK
hibit the financial condition of the Company, which
they suppose the chief object of their appoint
ment, and beg leave to conclude by submitting for
adoption the following resolutions:
1s Resolved That the Treasurer be- and he is hereby
directed before the Board each stated meeting
and character of available hand
it, and the increase and decrease of the compared
with his previous statement
ID Resolped That the President and Treasurer as
Trustees of the sinking fund be- and they hereby d
reced cancel the two iron bonds and the bond for 500
600 stated constituting part of the sinking fund and
the proper entries thereof be made in the books of
the Company.
NIT charge be made to construction account except
for arching tunnels.
J. IRWIN SMITH,
b. DEFoRD,