The Valley Virginian. [volume] (Staunton, Va.) 1865-1895, 1883-11-22

for the money expended, and this expendl-
ture will have to be added to the construc-
ton account. The Board has stated to
you in the Annual Report that it was ex-
pected that $250.OO0 of the first mortgage
bonds would remain ip the treasury after
all expenses of construction on the Lex
lngton extension had been met. This you
will observe is making an allowance of
about $75,0 900, in cash, over and above the
expenditures up to November 1St. 1t is
considered that this will be ample to put
the road-bed in good order, erect the depot
at Lexington, provision for which has al
ready been made, and to construct three,
four, or possibly five suitable intermediate
depots between Lexington and Staunton.
This will make the interest account for
the road $45,0 900 per mnum, beginning
from the first of October.
You will observe from this that as the
net earnings for the last year were only
$l7 900, there is large difference to be
gained. Of course, a portion of this will
be provided for by the 100000 of Rock
bridge county bonds and $4,000 OF Lex
ington bonds, making $117 900 Of interest
bearing bonds. which will reduce the above
amount about $1,000 per annum, leaving
$4,000 per annum to be earned. If the
road to Lexington gives the results which
we now have reason to anticipate and the
increased net results on the twenty-SiX
mill 70 HorriCnn h1rfr
grow as they should under the additional
traffic from the Lexington extension, it is
probably not an statement to say that
the line for the present year should earn
from 1888 900 to $4,000 net, unless some
reverse occurs which cannot now be fore
seen.
We have operated the line in the past
without accidents. and, rs the traffic is not
large, we nope ca continue todlo so in the
future.
may say to the stockholders that the
Board has this. morning, after full deliber-
alton on the subject, authorized the Presi-
dent to carry into effect, as far as he may
deem proper, the suggestion with regard
to the purchase Of rolling stock, the gen
eral idea being to purchase two OF three
freight locomotives and probably fifty box
cars, which could be utilized for the local
business, and their use in through runs
over other lines would neutralize to a GER
tain extent the question Of Car rentals. It
is hoped that in this way the net results
may be increased even on the existing line.
l have stated these points in detail in order
that the stockholders may understand
that the Company now has an obligation
in the way of interest which it will require
great economy in order to meet for the
first year. | regard it as reasonably GER
tain that after the line is fully established
there should be no real difficulty in meeting
this $45, 900 per annum. | desire also to
say a word to the stockholders with regard
to the extension Of the line beyond Lex
ington. have no definite plan to suggest,
but, as stated in the Annual Report, this
Company will have in the neghborhood of
1856, 900 of available assets which can be
used for that purpose after the rolling
of work already done $500. 900 or 100000
between Lexington and Salem. How far
this is available will depend of course upon
how far that exact route is adopted and
upon what can be done to give vitality to
that portion of the line in the future. This
is a subject at which the city of Baltimore
is looking with a great deal Of interest,
and | may suggest to the Valley interests
that now may be a favorable opportunity
for them to agitate the question of an ex-
tension. Any substantial move on the
part Of the Valley people to extend to
Salem OF beyond Oh to turn further to the
right, as has been suggested by some par
ties in interest, would now meet with
hearty accord in Baltimore. AS the road
to Lexington has been completed with an
obligation less than was expected when
work was resumed, there is probably a
basis of confidence which did not exist at
that time, which might be utilized by the
Valley interests and by the city, as well as
the Railroad Company, to secure a still
further extension. 1 hope that some of
the counties and other local interests
beyond Lexington will take this question
up and give to it definite shape and such
vitality as will secure further extension
beyond Lexington at an early date.