Daily globe. [volume] (St. Paul, Minn.) 1878-1884, 1879-10-06

Extending the Lines-SOme Figures Show
ing tho Extent of the Trattic-What Is
Proposed to be Done in the Way of
Building More Road-Ths Connection
with Minneapolis and St. raul-The
Lands.
At the meeting of the directors of the
Northern Pacific, held in New York, Sep
tember 24th tho president SUBMITTED the
following annual report:
THE REORGANIZATION.
The company is to be congratulated on the
success and final consummation of the plan
of reorganization. The suit to foreclose the
mortgage was commenced Won the 10th day of
April, 1873. Tho railroad,1 property and fran
chises of the company, including the fran
caise to be corporation, were sold, under the
decree of the court, on the 18th of August
following, and were bought bya purchasing
committee appointed by tho bondholders, and
who took title for the benefit of all consenting
to and complying with the provisions of the
Plan In the same month of August call
was issued by the purchasing committee to all
the bondholders to surrender their bonds for
conversion into preferred stock. Within
three years about twenty-five millions of the
bonds were surrendered and converted. On
the 18th of December, 1878, the purchasing
committee, anxious to close their trust, and to
whose discretion tho time was left.
published in one or more newspapers in
every State in which holders of Northern Pa
CHIC bonds were known to reside, q notice that
the right to convert the bonds under the plan
OF reorganization, would expire on the 3Oth of
June, 1879. Under the stimulus of this no.
tice, the conversion amounted in all, on the
18th day of September, instant, to $50, POI, 100,
and there are outstanding to-day of these bonds
Only 1929, 400. 1t is probable that most of
these will come in. Excusable delay on the
part of the few bondholdcrs who have hitherto
failed to como forward, will be taken into con-
slderation But the trust of the purchasing
committee cannot be kept open indefinitely
Tor persons careless of their own interests.
TIE FINANCIAL YEAR.
The financial year of the company has been
hxed to end June 30th. 1t is not easy in Sep
tcmber to bring detail accounts of the opera
tons Of a road extending SO many miles, and
partly on the Pacific coast, to later date
BESIDES, this conforms to the year for which
accounts are required of the company by the
United States railroad auditor and the laws of
the State of Minnesota.
In last years report to the stockholders tho
report of General Manager Sargent ended with
June 3Oth, but the reports of the treasurer and
the land department were brought down to
August 3lst. Thus the reports of the treasurer
and the land department, this year, cover only
ten months-from September 1st, 1878, to
June 3Otll, 1S79-and the two important
months in traffic, July and August, arc not in
c!uded.
UNDERSTANDINGS AND EXPENSES.
The business of the road, in both local and
through traffic, is steadily increasing.
The acreage of wheat along the line this year
is estimated to be double that OF the past, and
the now breaking of land indicates that next
year it will be double that of the present,
That the Northern Pacific region is attracting
large Immigration appears from the state
ment. under the head of LAND Department"
vt the quantity of government lands taken up
there by actual settlers.
The numerous settlements being made west
aud south Of the Missouri river, the transporta-
ton OF supplies for the army posts and Indian
agencies III that region, and the traffic via the
lakes and to and from the country to the
north furnish q large and growing through
business. which must be vastly increased as
the constructed road will penetrate the Ter
ritory of Montana reaching her fertile valleys,
her rich grazing lands and her boundless, but
yet only partially developed, mineral deposits
The earnings for the ten months ending
Jnne 3d. 1879, do not show the full extent of
the increase of the business Of the road, as the
movement OF the wheat crop does not begin
until near September. Tho gross earnings for
those ten months ere ST. 1877, 26ls2 The gross
earnings Tor The same months last year were
S914 ,23S29; an increase of 1920, 023.53. The
operating expenses were $711, 1853. 81, leaving
not, over operating expenses, 1856, 78S. OF.
From this is to be deducted taxes, insurance,
lnterest, general office expenses, salaries legal
expenses, rents, stationery, printing and in
cidentale $107, 1872. 81; leaving net over all for
ten months. $34S, 905.20.
The operating expenses have been very large
by reason OF the great outlay necessary on re-
placement aud repair of track, bridges, trestles,
depot buildings and equipment, all of which
has been charged to that account; it being
provided n the plan of reorganization that all
Expenses of repairing or replacing the road,
Its appurtenances, equipments, or other
ps'per!ty' so, SO that the same shall
providing such additional equipment az thel
said company shall deem necessary" should
come out of the earnings.
1t is nearly six years since the work of con-
structon was suspended. The ties then in
the road bed were principally pine and tama-
rack, and the bridges and culverts were all
pine. This material has about reached the
limit of its duration, and renewals have of
necessity been extensive. For instance 80,
0OO new cross-ties were placed in the Dakota
division last year, and 100000 have been pro-
cured this year. 1t is estimated that 100000
more will be required next year, and an equal
quantity the year following. About $4,000
oak ties were placed in the Minnesota division
the present year prior to July l. In the two
divisions thirty-fve trestle bridges-645 feet
were, within the same time, substantially
rebuilt with oak. .:
Fully !. 200 feet in length Of pile brids les has
been rebuilt in the Duluth Harbor, aud the
docks there have been extensively repaired. --
In the Pacific division the renewal of bridges
required large expenditure.
w ltnro v,oC.r f<>y
sufficient to meet the wants of the increased
trains, and frost-proof wells are being con-
structed at suitable points.
During the year four new locomotives were
purchased, and it may be stated that four
more new locomotives and one hundred new
box-cars have been purchased since the expi
ration OF the year, July 30sh last, OF these
eight new locomotives, six are new at work on
the line. General Manager Fl. l., Sargent
estimates, that to meet the demands of the
prospective increase of traffic arising from the
rapid settlement at all points along the line
the opening Of one hundred miles of the Mis-
souri, division, and the necessary additional
transportation of material for the EXTENSION to
the Yellowstone, very considerable increase
OF rolling stock will be required; and he
recommends the purchase of ten locomotives.
aS least two hundred bo1-cars, fifty stock cars,
one hundred fat-cars, four passenger coaches,
three baggage cars, and one sleeping car.
- On account of the growing traffic between
hrainerd and Fargo, q distance OF 1885, miles,
o7er which portion of the road passes not only
the business to and from the lakes, but also
mat to 'nd from St. Paul and Minneapolis, it
was deemed expedient to replace the iron with
f,eet rails on the entire length of that section.
snt TINS purpose the company purchased II 1000
r sling mills, 5000 tons at s44 per ton. and
rom the Pennsylvania Steel company 5000
TONS at S4o per ton. delivered at Erie, at speci.
he'd times during the season. THESE rails will