Savannah morning news. [volume] (Savannah) 1868-1887, 1882-11-14

As the total mileage of roads 10 the con-
Meeting systems is S57, the aggregate mileage
OF the road and those roads in whose opera
tions It has whole or partial influence and
interest is 2009.
By referring to old reports of the COM
pany 1t is interesting to observe that
the capitalize 'tIon of the system at pre-
sent is only about 5000 per mile greater than
It was IN the year 1855, when its rails and
road bed were of the primitive character
common in those days, its rolling stock
light and fcanty, Its depots and terminal
facilities small aud contracted, and before
the road had suff red the destruction of the
war, which left little of it but the grading.
OPERATIONS FOR PAST FISCAL YEAR.
The operations of the past fiscal year are
given in the following tables, and for pur-
poses Of comparison the esrniugs and tx-
penses of the two preceding years are also
exhibited. 1t should be borne In mind in
the ex animation of these tables that no con-
struc ion accounts are kept upon any OF the
roads named, but the whole cost of the
yearly improvements in their condition and
outfit by the substitution of steel for iron
rails aud additions to motive power, rolling
stock and depot and terminal facilities, as
well as all taxes, are included In operating
expenses, so that what is reported as net is
really net, and subject only to interest and
rentals, or what are generally called fix ed
charges.
Here follows table No. 4, showing the
earnings and expenses of system proper,
and lines operated by Central Railroad
730 miles. Table No. 5, showing the earn
ings aid expenses of system proper, and
lines, operated by separate organic atoms.
Table No 8, showing the earnings and ex-
pensas OF Connecting systems, and table
No. z, showing the income account, fixed
charges and dividends of the company for
the last three years
These tables exhibit general falling of
in gross receipts during the year 1882, as
compared with 1881. Tue falling off aver
ages about 6 per cent. on our principal
roads. and It is doubtless due 70 the excep-
tionally bad crop OF the last cotton year.
But as compared with 1880, all the roads
show gross receipts of about 10 per cent. in
excess. which Indicates a steady growth of
our business.
The steamship company, however, shows
a continued gain, in spite of last years bad
crop, its earnings increasing steadily with
our facilities for doing the business.
The expenses, however, of our principal
roads have increased steadily through the
last three years. On the Central and South
western Railroads In 1880 the expenses were
81 per cent. of the gross receipts. In 1881
they were 80 per cent, and in 1882 thew
have reached 20 per cent. For detail and
explanations the stockholders are referred
to the last annual report, and to the report
of the General Superintendent herewith.
As already explained, no construction
accounts are kept In our system, and the
gradual remodeling OF all cur roads and
rolling stock in accordance with modern
demands is done as part of the necessary
expenses OF operation. as well ae the provid-
H. 81 Inn
ing and increasing our facilities has been
literally done during the last two years,
and, on the whole, we have our property in
very good condition, and are we'll abreast
of the demands upon us.
While these improvements must be con-
tinued from year TO year, until our entire
main lines are laid in steel, and amply
equipped with the most approved modern
rolling stock, 1t viii be the earnest endsavor
OF your board to so regulate expenditures
for these purposes as not to interfere with
regular dividends to the stockholders. while
our business remains prosperous and prom
listing. There is q special reason for this
Ell lrt In the case Of the Central Railroad.
On most railroads the stockholders can
defer dividends and invest their surplus
earnings In additional property, with the
certainty OF themselves resplng the fruits
OF their investments. But, by Q special pro.
vision 10 the lease OF the Southwestern Rail-
road, II the Central Railroad puts of declar.
ing is dividends semi-annually as they are
earned, 1t can never afterwards make m
for its lost dividends without giving 4
bonus OF eight-tenihs the amount IN fhe
South estern stockholders.
The manner In which this provision has
already worked may be more clearly under
stood by reference 10 table No. s. appended
to this report, giving list OF ali cividende
declared by this company to its stockholders
since the war, and the dividends paid the
Southwestern stockholders since the lease.
The lease gives the latter dividends at eight
tenths OF the rate paid by the Central TO it's