The Charleston daily news. [volume] (Charleston, S.C.) 1865-1873, 1870-02-09
Tho sou.h Carolina Railroad compan.

the meeting of stockholders, which convened
in this city yesterday.
| 1t is not necessary to give here the details
of the operations of tue company during the
past year These are explained succinctly
and clearly in the report itself. We may,
however, recapitulate briefly what has actu-
ally been accomplished
l. The differences between the South Car
olna Railroad Company and the Columbia
and Augusta Railroad Company have been
amicably adjusted. Proposals jointly sub
mitted by the Columbia and Augusta
Railroad Company and the City Of Augusta
were accepted by the South Carolina Rail-
road Company, and new contract was en-
tered into whereby litigation was to cease;
the right of the South Carolina Railroad
Company to make freight arrangements in
the future, without restriction, was recog-
nizcd, and cession made to the Columbia
and Augusta Railroad of the use by their
trains of the South Carolina Railroad bridge
at Augusta, until January l, 1870. In part
consideration of which the Columbia and
Augusta Railroad was to pay, in its bonds,
the sum Of $4,000.
q The obligations Of the South Carolina
Railroad Company to the bilholders OF the
Southwestern Railroad Bank have been
finally admitted and discharged, the settle
ment being chiefly made in the six and seven
per cent. bonds Of the company. The bank
is now indebted to the road in the sum o.
S5O1, AL.
3. The past due sterling bonds of the CON-
pany have been retired, the holders agreeing
10 take in exchange the new first mortgage
bonds of the road. The negotiation will be
completed so soon as the State relieves the
road from the State lien originally imposed
to protect the old guaranteed bonds.
4. The board have purchased favorable
site upon the water, and will proceed, with
out unnecessary delay, to make arrange
mcnts for running down to the river. Their
plans contemplate not only the indirect profit
of the Company, but solid and substantial
addition to its wealth.
These are the main points Of the policy of
the board during the year.
The earnings of the road for 1869 were
sS7,2O5 more than in 1868, although tho
road has had to contend against lower rates
and partial diversion Of its business. The
operating expenses were SO 1900 OF the net
earnings less ratio than upon roads ope-
rated under similar circumstances and more
favorably situated. The net earnings are
$50, 226 more than in 1868; showing that the
net income of the road, after deducting
managing expenses, was over 5000, 1000, or
ten per cent. upon the capital
New bonds, to the amount OF s445, 0Oo
were issued on account Of the Southwestern
Railroad Bank, which, with interest on past
due bonds, &C., amounted to s462,S5l. But
the company has paid of s343, ,42S Of its past
due and unmatured bonds leaving the net
increase of the bond debt only one hundred
and nineteen thousand dollars.
The entire floating debt OF the road is
$295, 664, against which the company hold
property which would realize in the market
at least that amount.
Upon the question of dividends the board
say that they had determined to commence
the payment OF dividends on january l, 1870
but the necessity of assuming the payment
of the issues of the bank, and the arrange
ment of other debts, prevented them from
so doing. 1t is their purpose, however, to
begin the payment of moderate quarterly
dividends on the lst July next
The foregoing summary will enable the
general public 10 appreciate, not only the
strength of the position Of the company, but
the marked ability and discretion with which
its affairs have been managed. When the
war closed the road wis q wreck, and
would not have brought the amount OF its
sterling debt tllel. overdue. Claims OF oil
kinds, creditors Of every variety, were press
ing upon the company for payment. There
was no rolling stock or motive power with
which to carry on the business OF the road
1t was almost impossible to borrow money,
and it was uncertain what business the road
would command when rebuilt. But in spite
of grumbliug and malicious criticism the
President and Directors pressed steadily for
ward, and after five years of unremitting toll
give the stockholders q property which
grows every day more valuable. They have
expended 81, 25G, 900 in the work OF recon-
struction, and the road and equipment are
now in excellent order. They applied their
surplus earnings to the reduction OF indebt-
edness until the debt became manageable,
and now propose to resume the payment of
dividends. No harrassing litigation threatens
them. They are embarrassed by the de-
mands OF no liligious bll-holders. No hold
ers of past due bonds now crack their whips
over the company The road is fairly out Of
the nire, and continuance of the manage
ment which has made the road all that it is,
and more than it was ever expected to II,
will put in the pockets OF the stockholders
dividends sufficient to Wake the South Care
lima Railroad stock one OF the most lucrative
investments in the South.