The Portland daily press. [volume] (Portland, Me.) 1862-1921, 1876-10-05
estimated value of the company's rolling
stock. tools, &C., ON hand August 81:

| luS
| Price Paid Due
Engine Worcester $500 $3.50 6,420
| Engine Portland, pas
senger cars and bag nm
gage car $4,000 4,599.S4 is, 400. II
$3.50 1s,479.4 34,27O.It
The platform cars were leased Jan. 10,
1873, the Worcester April l, 1874, and the
Portland, &C., Jan. 1, 1875.
In 1867, work was commenced on the
| extension of your road from Saco river to
Rochester, N. FL. The object which the
| stockholders had in view, and which they
| have honestly and faithfully pursued dur
| ing the past nine years, for which they
| mortgaged their completed road from
| Portland to SacO river, which was then
| comparatively free from debt, was to open
| up to Portland a new. short and direct
| route to the South and West. In making
this extension from Saco river, owing to
| the expense of the construction, and the
| time required to realize the benefit expect
| ed from the large outlay, the stockholders
| took the risk of sinking their entire stock
in the old road.
Its construction was pushed forward as
ropidly as circumstances would permit,
but like all such undertakings. encountered
vexatious delays, and its cost was much
larger than the most liberal estimate which
had been made. 1t was finally completed,
and the increase of receipts following it's
opening to Rochester, in July, 1871, was
marked and quite satisfactory. Upon the
completion of the Nashua & Rochester
railroad, jim November. 1874, we put on
and have continued to run our trains for
the accommodation of through passengers
and freight, thereby largely increasing our
train mileage and the cost of operating our
road, for the purpose of testing practically
the working of the road, and determining
whether it could of itself successfully COM
pete with other established lines for New
York business. 1t has happened that this
has been at a time of great financial de-
preston, and the result is, as our report
has shown. We have felt it our duty to
carry out the original design of the road,
and if we have failed to make it a financial
success, we are confident that the cause
lies in reasons beyond our control.
AGREEMENT WITH THE CITY OF PORT
LAND.
On the 22d day of June, 1874, your
directors notified the city of Portland that
they would be unable to pay the interest
on the city loan due July LIST. The City
Council provided for the payment of the
July interest on its bonds, amounting to
1874, 500, and appointed joint special COM
mittee to examine and report upon the
affairs of the company.
August 18th your directors submitted
the following proposition, as the one best
calculated, in their judgment, to promote
the interest of the road, and secure the
city from loss, viz:
The company to provide equipment for the
road required by the contract with the
Nashua and Rochester railroad, to pay the
interest on the $350,000 loan, and the inter-
est on all bonds issued by the city to meet
the interest on its loans to the road. The
city to issue its bonds on six years to pay
the interest on its loans to the road as it falls
due during the next three years, the bonds
thus issued to be paid by this company when
due.
This proposition was accepted by the
City Council, and an agreement in accord
ance Herewith was entered into.
In compliance with the terms of this
agreement, your directors have provided
the equipment required under the
contract with the Nashua and Roches-
ter railroad, and have made such repairs
and renewals of track, stations and rolling
stock, as the business Of the road required,
and have paid the interest on the $3.50 900
of per cent bonds, up to and including
March 81, 1876, and have paid to the city
of Portland the interest due on the bonds
issued for funded interest, up to July 1.
The amount then due was $4140.
At the time of making this agreement
with the city, the prospect for business
after the completion of the Nashua and
Rochester railroad. which was expected
within go days, and the line from Portland
to Worcester should be opened for through
traffic-was more f1attering than at any
time in the history of your road; and it
was confidently expected that the increase
of business would be large and of a paying
nature, and must add largely to the re-
ceipts, which would enable them to carry
out the terms Of the agreement.
The views entertained by your direc tors
at that time may be more fully understood,
from the following extract, taken from a
letter addressed to the committee of the
City Council, when this matter was before
them:
The future business of the road can best
be estimated by a reference to its past earn
ings, and comparison of such earnings
with those of other roads similarly situated.
The business of the road in the past is as
follows:
Open to Alfred s6l,l9O.7s $71,426.ls sS5,56s 30
Open to Rochester Isl ,56l2s 14s,57oss 1Fs,Sss7e
The above shows an increase on the OPEN
ing of the road to Rochester of more than SO
per cent over the preceding year, when it was
only open to Alfred Should only like in
crease follow the opening of the road to
Nashua and New York. the business for
1910 would be $224,500, sum sufficient
after allowing 20 per cent for operating ex-
penses, to pay the interest on the 100000
and $350,000 loans and the interest on money
advanced by the city to pay on July, 1874 and
January, 1875, coupons. A corresponding
increase after an opening to Nashua with that
which followed our opening to Rochester,
will enable us fully to carry out the PROPOSE
ton we have made to your committee, and
have surplus to apply to the improvement
of the road.
To what extent their expectations have
been realized, can be readily seen by an
examination of the reports of your Treas
urer for the past three years, from which
the following figures have been taken,
showing the receipts each year:
1884. 1s74-5. 1856.
Passengers, $5s,4l7 16 SOL 229 81 $6O,167 IL
Freight, 1854 IL S6,52S As 72,973 %
Mails and express, 5,05S 0S 5,1I9 IS 5,O29 SO
Other income, 1893 Al 1852 IA SO 66
s158,8ss Is s153,9sO g. sI3s, 269 so
Decrease of receipts 1915, compared
with previous year, s4,45s os
Decrease of receipts 1906, compared
with previous year, 1860 IS
Total decrease, s2olls SO
Your directors have been unable to
make the payments of interest due under
the agreement with the city, and inasmuch
as the road has failed, up to this time, to
make the anticipated increase in its earn
ings, they believe that in the present con-
dition Of business there is no prospect that
| it can earn, within the time specified, the
amount required to enable them, at the ex-
piration of the agreement, to resume the
payment of the interest on the city bonds.
The floating debt of the company now
amounts to more than S67 900, and it will
| be further increased by any and all sums
| paid for interest, as the receipts of the
| road are but little more than equal to the
| payment of the operating expenses, the
small surplus being required for renewal,
of bridges. tracks, &C.. which must BIZ
kept up at any cost.
For the Directors.
| GEO. P. WEsCOTT, President
l ---------------------
| CONTINENTAL BALl.-The Continentals ar,
to give grand promenade concert at City Hal
l this evening TIL. Cnptinenta1S will appear IL