Fort Worth daily gazette. (Fort Worth, Tex.) 1882-1891, 1886-07-24
TexnA a pnclno.

The entire line.
Texas y Pacific.
investigation shows that there has been
grossly inequitabe division Of the earn.
lugs of the associated roads. Sharehold-
ers and bondholders should stand on their
rights, The property has been tempered |
with for speculative purposes, ana with |
| the Intention Of forcing its foreclosure |
and sale. The road can be made one OF |
/ the best paying properties In the West.
Upon a searching investigation find !
, I 10 following facts, some OF them new,
regarding the past management Of the
Texas & Pacific railway, TO which desire
to call the attention OF It's shareholders
and bondholdeTs
The gross earning OF the Texas & Pa
clilc for 1883, the year In which II was
finished from New Orleans to El Paso,
were S7,439, 422 over $4,000 mile.
Fixed charges, S2,2l4 ,402, or 29.77 per
cent. Of gross reyenuesi operating eX-
penses, So 1907 ,645, or ~ 90 per cent OF
gross revenues; actual transportation ex-
penses, 20 G per cent Of receipts for
transportation, which Is at the rate of
5000 per mile. This year the fixed
charges were not quite earned the short
age was Sl73,60 or 1852 per cent, Of
gross revenues. II expense account had
been kept within 10 per cent. OF gross
earnings, the net earnings would have
been more than the total charges for in
tercst taxee, rentals, etc. This year the
New Orleans division was under water,
and Atchafalaya river bridge not com
pleted until December.
The financial exhibit Of Texas & Pacific
published by Missouri Pacific March,
1884, showed the company's Indebted
ness, including interest due and accrued,
10 be SG78 $3.50, with cash and accounts
collectable amounting to SS46,075, and
upward of 100000 OF investments In
stocks and bonds.
1t appears from report Of the Mis-
souri, Pacific managers made May, 1884,
that all fixed charges were paid TO May | :,
1885,, and that the Texas & Pacific com
pany was absolutely free from floating
Indebtedness.
There are very few corporations own
ing 400 miles OF road that In the second
year after the completion OF their lines Of
roads were in apparently as strong a
condition financially, with the earning
capacity so large In proportion to capital
invested.
There certainly was nothing to warrant
the extraordinary depression in the
market value Of the shares, capital and
mortoage honda az the companv which
occnsrsd In 1874 unIeaa some Marty had
hammered with this valuable pronerty for
3 snocnIative nnrnnses. and with tho inten.
ton, ultimately, Of becoming the posses
sor thereof by foreclosure and sale.
The official notice in May, 1854, that on
, June1 the coupons due on its "Consoli-
4 dated Eastern diylsionn bonds would be
nsid and then onietly. without reyoca.
u lion ~ snch notice nermittlnQ the Mis-
Q s',nrt pscIac to nnrchase sueh coupons
@ ~ ,,sro nrosented ior PAYMENT and hold
r ~, az indehtedness AGAINST the com
p uanv ,..s the frst nublIe blow given te
I The securities Of the Texas & Pacific and
+ which sction denreciated them from 30
~ a. narcan,
/, ,rba uIssour, paciac comnenv alone
I a. 90 ,ro1,c rotes het,veen the GONNA.
4 nias and 'n the resnIt WAS ,hat h undreds OF
y , u'S,, an 81 dnltars ins,iv dne The
mn''aa = 70. ia. connanv nassod into thc
. ,eAas 20 ~ NWasonr, fpacidc A. an
4 sieasuly " .H' ,aIr inoaI rata an cotton
i tlussiH' tu p ," Tax 90 Texsrhana
4 naui , n e. 49, tson, droxsrIsna A.
G woIiu po a. ,',o,,id - tha ,hrsr,,h
g ot. be Sa e s', -, ,,bich ,ha frasas z 81.
lnse $500 ranat,,ad 81 aud ,hs MA.
Clhe nD Du'ta 40 a. ~. r,ndar 90 sctnsl
souIl AIM $3.50 ,a ,ha nfisso,,r,
illesge 'i s,,' pooiecy 80 a. cor,s
fhclnc tnS leAls -, ao 80 rs g. nj, ~,
ana tne missouri Lao,u0 -'oo = 'ned -,
one year VIZ uus.n. ~ 49, psc,Sr
: IeSAI I Iosm1sh ~ rood amoTnted N