The daily phoenix. [volume] (Columbia, S.C.) 1865-1878, 1871-05-03
Report OF tho RsresItlent OF, tho Charlotte,
Columbia innd A Aaguita Railroad Conn

S~e~~S -
70 tie Stockholders aof ihe Charlotte, !, 90.
il.n,6ia and Aug,ssa Railroad
tGErnBMEN: The Board of Directors
respectfully submit the following report
OF the business and condition Of your
property for the fiscal year closing De-
cember 81, 1870:
The earnings, as shown by
the Superintendent's re-
port, from oil sources,
amount to-. $500, ,474. .O5
While tho operating ex-
penses and taxes-both
Federal and State-are. ). 2S0, 0,542.7
Leaving balance Of. :. . /. .S27O, 931. 35
Deducting interest on notes
and coupons paid. 49,. 129, 1O9 n
Leaving tho net balance. Sl4l, ,S21. 5S
Which is nearly five md hnlf per
centum on the capital stock of the com
pany, amounting to 1851, ,29999. This
balance has been expended in completing
the grading on the Augusta division OF
the road, tho bridge ncross the Savannah
River, cnlarging and building dcpots, in
the construction Of freight cars and pas
senger coaches, and in paying for new
locomotives. Thus the property of the
company has been materially improved
and its capacity for transportation greatly
increased.
The consolidation ofthe two companies,
making the Charlotte, Columbia anl Au.
gusta Railroad Company, was effected
on tho Sth July, 1860. Tho Savannah
River bridge was finished and used on
the first day Of August, 1870 The earn
ings for this year being, as stated, $780,
474 05, and those Of 1860, S403, 7S5. 40,
shows an increase of Sl56, GSS.56 for the
past over the previous year.
This largo increase Of income, nearly
forty per centum, has moro than realized
the expectations of the most sanguinc.
With the Macon aud Augusta Railroad
finished and the doublo daily connec-
tions with Savannah and Atlanta, you
can reasonably calculate on an income
OF $500, 900 during the present year.
The entire bond debt Of the company
on the first of January, 1871, was
81, 1923, 500, OF which S7S6,O00 were
Charlotte, Columbia and Augusta Bonds,
S371 500 Columbia and Augusta Bonds,
and ST, ZOO Charlotte and South Caro-
linn Bonds. On the first of March,
1871, after the issue of $50, 900 of bonds
in payment of depot lot and buildings in
Augusta, this debt amounted to 81, ,252,-
600; of which $5O,5 were Charlotte
and South Carolina. $2O5, 500 of Colum-
bia and Augusta, and $1,000 of Ohnr-
iotte, Columbia and Augusta Bonds
showing that within two N onths S1S6, 500
Of the old bonds were funded or re-
deemed. The bonds of the two former
companies have beon very generally and
cheerfully exchanged for the consolidated
bonds, as soon as tho holders havo
nscertained that they were receiving a
better and safer bond, secured by q
mortgage on the entire property Of the
company. Under this mortgage the
issue is limited to 32,OcO,O0O leaving
still for exchange and for the purpose of
funding the floating debt $1,000. 600.
The entire floating debt on the 1st Of
January was S74l, ,302.61, while on the
first of March it was $721, lis. go, to
which add fractional bonds, So, GS4. sc
outstanding samo date, makes $724,-
802. 18. This amount, deducted from the
first mortgage bonds unsold, leaves
S279, 1912, to be exchanged for $780,
O0O old bonds still outstanding, giving
an excess over oil liabilities of S23, 1877. SO.
LII the policy of tho Board of Direct
ors to sell these bonds as fast as there is
- ISL uou1uuo lOI GnGIlls anu U1SCQnrGo
the hJating debt, or greater portion
thereof, but not to force them on the
market at ruinous rates Of discount, and
thereby entail greater rate of annual
interest for twentyfour years upon tho
company than money may command
within a short period. These bonds
mature on the 1st of January, 1895, and
bear scyon per centum interest, payable
scmi-annnally, and it is deemed the bet
ter policy to pay a higher rate of interest
temporarily on portion of tho floating
debt, than submit to heavy discount
on them, thus imposing higher rate Of
interest for long period of time, while
the tendency Of the rate of interest is to
decline. The net income of tho road is
now monthly reducing this floating
debt, and during the year it can bc thus
materially reduced, even without m
active demand in market for the mort
gage bonds. This floating debt, or the
greater portion thereof, has been carried
for moro than two years Mt compara-
lively low rate Of interest. About
S17O, 1000 has been at seven per centum
per annum, over $500. 900 has been eight
and half per centum, and much of the
balance has been borrowed from the
fri 6o WI -.