National Republican. (Washington City (D.C.)) 1872-1888, 1873-07-12
HALLWAY DEVELOPMENT.

The American system-MileaGc, Earnings
aud Expenses Immense Tonnage for tho
Middle sfatcs-Thc Earnings from Freight
Nearly Three Fouribs Of the Gross
Amount.
According to the latest official compilation
there had been constructed In the United
States up to January 1, 1873, 67,l12 miles Of
railroad, Of which 6,427 were constructed
during the past year.
The total cost Of the railroads, the opera
tons Of which arc given for tho past year,
Ia 81, 1859, 4o3, 057, made up Of 81 ,67s S44, ll3
Of capital stock and Ell ,51l, 57s, 9i4 Of various
forms Of Indebtedness, chiefly Of bonds ma
turing at distant periods. Tho capital stock
amounted to AIS per cent, and tho debt TO
ass per cent. Of the total cost. The cost OF
these roads per mile was eos, 116. The gross
earnings for the year were f473, al ,Oo5, OF
which sl32, 800, go, or 2Spcr cent, was re-
ceiyed for the transportation of passengers,
transportation OF freight, including Under
this head the small amount received from
''miscellnucous sources" The receipts Per
mile were IS, no The ratio Of earnings to
population was ell 20 per head. The operat-
Ing expenses for the year were sSOl, 49, S',
or 65 per cent of the gross receipts. leaving
sl85, 75i,373, or 80 per cent, az net earnings.
Tho percentage Of gross receipts TO the total
cost OF the roads was IS per cent; Of net
earnings, SO per cent. The amount paid In
dividends was s6I, ais, l5l, or SOL per cent.
Of the aggregate capital stock. The balance
6,Dper cent. on the aggregate Indebtedness
Of the roads.
The earnings Of the railroads Of the several
sections differed, Of course, very greatly, the
most productive lines being those embraced
In the groups which include the Now England
nd n
England earned during the past year s43,-
$40 1856, being si0636 per milc, and el3.53
per head Of population. Their total cost was
$3.50, 900, T9i, Of which 55.N per cent. was
represented BY capital stock. Their cost per
mile was sJ0,4 Their gross earnings were
2l.l per cent. Of their cost; their net earn
ings, sl4, 436, 4sl, and at the rate Of go per
cent OF their total cost. The dividends paid
amounted TO s8, 500, ST., or C.o4 per cent. on
the aggregate capital stock Of S129, 0l2, 743.
LINES IN THE MIDDLE STATES.
The costs Of tho railroads Of the Middle
State. was s8s2, zoe, IA, or e79, 427 per mile,
Of which 6O.56 per cent. was represented by
capital stock. Their earnings were $780,
eos, 702, or sl4,585 per mile, and s15.s8 per
head Of population. Tho net earnings were
per cent. Of the total cost; the net earnings
"a per cent. The amount paid In dividends
was $50, 3ts, OIL, or so per cent. OF the capl-
tai stock Of s55s, SIS, ia. In the state OF
New York, however, the capital accounts OF
the New York Central and the Erie railroads
include s101, 40s, 24S Of fictitious capital, Of
which t5l, 438 90 was issued by the former
as tho estimated value Of Its property above
cost and S47, 06l 600 by tho latter rs the dis
count on bonds converted Into stock. These
sums, deducted from the capital stock Of the
railroads Of that State, reduced the amount
the roads to ss9i ,202, 500. The percentage
Of gross earnings on this sum was o. and
Of net earnings Z %; and the dividends paid
were 100 per cent. Of the actual capital stock
of the roads.
The total mileage Of the railroads Of the
Western States, the operations OF which arc
given, was %, 77S-bullt at cost OF sl,4Ts :
825, 2Sa-made up Of ETA, 6s6. 046, or 20 81
per cent. Of capital stock, and s747 U.s., 1876
OF debt. The cost per milo was SSO, $50,
against ESQ, AIS for New England and s1v, 437
for the Middle States. The gross earnings
were sl03, 500 $50, being Sl3.76 per head OF
population. Net earnings, s67, 81, 0S3. The
ratio Of gross receipts To cost was 1871 per
cent, against ELL In New England, and
with the reduced capitaD zoe per cent. In
the Middle States. The ratio OF net earnings
to cost was 457 per cent, against 6.26 for
Tho number Of Inhabitants per mile Of road
In the Western States Is 433; in the New
England and Middle States, 40. The re-
ceipts per mile In the Western States were
s6,735, against sl0, CSC In New England, and
GA, SIS In the Middle States. The dividends
were go, 400, AZ, being ass per cent on the
capital stock.
CONDITION OF WESTERN ROADS.
According to those engaged In the collation.
Of the statistics, the above statements dis
close, at glance, the position OF the West
ern railroads. Their unproductiyeness com
pared with those Of the Eastern States, Ii
due simply to the excess Of mileage to popu'
lation. The earnings per head are nearly Al
great In the former Us In tho latter. Should
no more railroads be constructed In thu
Western States for six or seven years, TIL,
disparity would be corrected by tho rapid In
crease Of their population, which may be es
tislated at coo, 900 annually. Tho increase o.
earnings from such increase Of population
would fully equal $4,000 900 annually, which
together with the increase Of receipts from
the permanent population, estimated at on,
dollar per head annually, would, were NJ
new lines set In operation, soon bring up tn
receipts per mile and per cost of the Western
railroads to the standard Of the New Eng
land and Middle States.
The leading railroad companies Of tn
West are largely responsible for the excess
Of mileage that has been constructed. Tn
Milwaukee and 81. Paul railway has Increases
from $50 miles In 1868 to l,S96 In 1S7a 1t
stock and bonds have in the same time In
creased from $50, 57s, 6ls to ESQ, 29O, 644;whil
the earnings have only increased from 70,
5T7,645 to s6,957, III. Nearly the whole in
The Chicago and Northwestern railway ha
also enormously increased Its mileage In til
construction OF branch lines, 40 that th
gross revenue upon Its Investments % con
siderably below the average for Wcster
States. 1t Ia increasing Its bonded debt
$4,000, 900 to complete tho various entcl
priscs which 1t has undertaken. Its shar
capital at the close Of the fiscal year for l87
amounted TO s35 SIS, GA. To these two sun
Is to be added the capital OF Its leased line
making an aggregate OF nearly sl0O COO. OO
with earnings at the rate of the last fisc'
year Of only about II per cent. While the,
vast additions to mileage and cost have bee
going OH tho earnings Of the road have d
clined from s12, 6l4,S46, In 1893, to eli, 4U9
1Gl, In 1879. The stockholders OF these road
should put stop to a policy so suicidal
policy which Ia working more mischief to Il
railroad interests OF the country than a
other causes combined, and which, unto
tunatcly, has been indulged In, though In
less degree, by other roads than those name
THE SOUTHERN ROADS.
In the Southern States the total mileage
which operations are given, was ~, VIZ II
cost OF the railroads was S40l, 9l3, 367-
SSG,575 per mile-bcing less than one half .
cost per mile Of those Of the Middle STATE
and 10 per cent. Of the cost per mile OF tho
of the New England and Western Stat
The capital stock was ELI $50, l5t. or 42.
per cent. OF tothi Cost, unu INC ucutt Ssp
a3O,lla. The gross earnings were s4I, Is
539-being q, $50 per mile-against si0,f
for New England, IA, Sos for the Middle, a
"a, T35 for the Western States. The net cal
ings were sl6, ASS, 40. The earnings per hc
were S43l. The ratio Of gross receipts
cost was .SS per cent; Of net earnings 4
per cent The dividends paid amounted
$4,000, S56-being l.5 per cent. OF the capt
stock. The recent war proved severe che
to the prosperity Of the railroads In this s.
ton Of the country. The revolution In ID
Industries which Is slowly going on In tn
States will prove, In the end, OF great adya
age, though considerable time VIII be requil
to restore to them their former material pr
perity.
In the Pacific States, with mileage OF o.
1883, the cost has been el3l ,573, 900
89S, 800 per mile--represented by eos, 823, y
or 40ll per cent. OF capital stock, and 50
per cent. of Indebtedness. The gross recei
were Sl8, 900, T27, or 1913 per cent. Of the %
and the net earnings s8,0lS,2I or 5I.7
cent. OF the gross earnings, and o per cent
the total cost. The earnings per mile "
sl0, l6l; per head Of population, CIT.
The train mileage for Massachusetts, '
IL I67 bn3 the earninPs were sos ye3