The Charleston daily news. [volume] (Charleston, S.C.) 1865-1873, 1872-02-13

Balance of Income. ...............s 464, ,7sl 80
Against this have been charged
For Interest Sterling. ............s 1881 81
For inferred Domestic. 276,l19 OF
Dvidend No. 44.............. 5s,l94 90
Total. tal.........................s 4Os, ,7lo 80
And the balance transferred to
Profit and Loss. :......... 55,0sO 81
The earnings of the road, as compared with
those Of last year, show falling on
of. Observation-Disclosures. .Sl46,578 69
The expenses show reduction or. 36,237 l9
The board do not find any cause of dis
.-couragement in this comparison OF earnings.
For though the reports OF competing lines,
exhibiting much greater proporuonate losses,
demonstrate that we have not suffered from
competition; and as well, that certain general
causes have affected the railroad earnings Of
the South; your road, you will remember, for
two months Of the year, was almost Isolated
bya malignant fever, and cut off In great
measure from important sources of revenue
by appreheneions as uuintelllgible as they
were hurLful. When to this cause, then, 90
sufficient of itself to account for the larger
portion Of your loss, are added the influence
OF the very low prices Of produce prevalent
the arst half of the year upon the movement
ofxeneral merchandise to the interior, and
the diminished shipments Of cotton to the sea
the result of a short crop-it would rather
seem matter Of wonder that we have suf-
fered so little. It is, however, not to be dis
guised, that yearly the profitable working OF
railroads becomes more difficult. The esta-
blishment of new lines not needed by the
wants of the country, and not developing new
and supporting sources of revenue, necessarily
divides the business Of the older COM
.panies; whilst their management, based upon
principles not suited to our condition, Is in
fluenclng rates of transportation to an extent
that, In no long time, will be seriously felt by
all. We deprecate, earnestly, condition of
things which we regard unwise and unneces-
.sary; and have always been ready to unite
with competing lines and act In direction
which will allow competition to benefit COM
munitles, without sacrih cling railroad corpora
tions; but falling that, we are equally ready
and determined to protect ourselves and our
connections, and maintain our tonnage.
The reduction of expenses" as above
stated, is In less ratio, In comparison with
the expenses of 1870, than the loss Of earn
;ings-the former being 3.95-l0O per cent, and
the latter 9.95-1O0 per cent. To great extent
this may be briefly explained thus: 1t s not
easy, If practicable at all, 10 accommodate ex-
,penses In some of the departments to fuc-
tuating and uncertain business, (and here Is
one of the greatest difficulties In the manage
.ment of Southern Rsilroads,) but, when with
road put in good condition for legitimate busl-
ness and manned to meet the demands Of the
public, violent epidemic is encountered,
whose duration cannot be determined, or In
:fuence measured, calculation is at fault and
expenses grow.
At the earliest possible moment, the board
lis quite satisfied, proper efforts were made,
TO bring down the expenses of management,
to just relations to the business require
ments.
The exhibits Of the treasurer contain no
features worthy of especial notice. The bond
and general Indebtedness remain without ma
terra! change from the report twelve months
since.
The issues and relirements Of bonds during
the year are very nearly equal, leaving the ac-
count substantially unchanged. The bills pay
able show considerable increase. in compar-
ison with the outstandlDgs, at same date, in
1870, amounting to s452,5sl 81 and is account
ed for BY the treasurer as follows:
Purchase of Macon and Augusta
Railroad Company stock.... . .s25O,OO 90
and interest. -. .................. 4s,7OO 90 |
To provide for sterling interest and
sterling bonds. s................... 52,76o 90
TO letlre certificates Of Indebted
ness. ......................... 1885 90 |
Observation-Disclosures. to 1871. $1,000 90
RAILROAD Company, costs andpro-
fessiOnal services ces................. 1880 90
Loans for general purposes. ......... l7,436 81
Total. ......................s .s452, ,5sl 81
As before observed, the general result of the
bond and other Indebtedness of the company
differs in no essential degree from that of the
preceding years.
THE FOREIGN BOND DEBT,
which, since its maturity in 1866, has been In
an unsettled and unsatisfactory condition, is
now, the board are happy to report, In posi-
tion which relieves them from all anxietles
connected with it. The history of this debt
is doubtless familiar to the stockholders, as 1t
has been the subject OF comment in all the late
annual reports. 1t is known to them, that
shortly after the maturity In 1866 of the old
State guarantee bonds, the assent of the State
to an extension of the guarantee and the ac-
ceptance by the foreign holders of new bonds,
with such guarantee, were obtained by the
board. That in consequence of the refusal of
the American holders to unite in the ex-
change, they were compelled to abandon
further efforts to arrange this debt upon the
plan first contemplated, aud seek some other
which would be satisfactory to all; and that
after mature delibera,ion, new issue of
bonds, secured By first. and only mortgage,
was resolved upon, prepared and offered to
the holders of the sod guarantee, as well as
Those of the ''new," previously exchanged.
An arrangement, in the Judgment OF the
board, so favorable to all, and particularly to