The Daily times. [volume] (Richmond, Va.) 1886-1889, 1888-04-04

. D lNtl A'IAs hAA kuN iSN HibhAo Aa'N 'NNA
used in paying off the debt of the road
and improving and equipping 1t. The
debt has been reduced from amount in
/ 1888. 81 .S3S 900. to amount in 1898, ST.
$4,000, whicn is slii,000.
The fixed charges have been reduced
from amount in 1888, Sl23,Gjj, to amount
in 1888. S1l2,270, which il $ll,376.
The company holds 392 shares OF com
mon stock, which, ont ercent guarantee
dividend, be worth $39, 200; Sl06,000 OF
} per cent lst mortgage bonds al lO5,
S1ll ,30o-ioiai, $l50,5O0; which is availa
be for its necessities, and besides S2jl,
900, pledged to meet the $25l ,0OO malur-
ing per cent. bonds 1enceforward,
therefore, the company may simply sub
siilnle per cent. bonds for maturing IS
as the Richmond, Fredericksburg X
Potomac has done-use its '392 shares
common stock S10j,000 SIS for extrsor-
dinary expenses, and 20 on paying the net
e4Tnipgs ID the stockholders Ds dividends
for this year q months just passed }
The treasurer reports an increase OF eirn'
ings OF about $3.50 Should the in.
crease of the next months equal the
past o months, the total increase lOr the
year will not be less than $50 900 So
then Gross receipts, 1887, $3.50, ,342 40 /;
increase, $50 00O Estimated earnings for
1883. $ll0,3l9 40 81 per cent running
expenses, S2l14Si26; which leaves
Sl92 SGl23 Fixed charges, $0l2, 2,l79
net earnings applicable 10 dividends,
$S06s3 %; which would be ) per cent on
The capital stock Putting the running
expenses for 1858 at 80 per cent. on the
gross profits, ,hen we shall have gross
profits. 1888 Sil0.3i2 10, running cx-
pcuses, % per cent, S205, Il. %; which is
S20j 2U2t Fixed charges, ll2,279 ap
pIicable to dividends, .! per cent, s02,
9922i
But suppOsing that the net earnings Of
the future to be equal 10 the average of
the past five years, allowing 81 per
cent expenses, we have Average net
earnings five years, SljI1jS; present
fixed charges, Sll2279 Fall Il pei cent
for dividends, S4j,li9
Taking the average gross earnings of
the past five years, We have Average
gross earnings, S3i9 40; 80 per cent for
regular expenses, Sl14, 50, which
leaves Sl7i.s31 80. Present fixed charges
$ll2279; applicable 10 dividend, 8! per
cent $G2 1850
Our figures, calculations, and estimates
are, we believe, correct, being taken from
and based upon the annual reports OF the
company.
In view then OF the actual condition OF
the road, and OF the healthy and safe state
of its finances, OF it, successful work in
the past, Of il fairly estimated profits
and earned dividends OF four and half,
six aud one quarter, eight, and nine and
one quarter per cent. on its capital stock,
il is not astonishing that the stockhOld-
ers Of the Petersburg Railroad Company
were alarmed for first, that an act should
have been obtained from the Virginia
Legislature, looking TO the lease OF the
Petersburg railroad and next, at the
report that the road was about to be
handed over 10 the Wilmington and Well
don Railroad Company on guarantee
of 3 per cent per annum on the stock.
Nor was II surprising that Messrs. New
conner and Walkers. the executive commit
tee, should have been SD indignant as al
most % forget good manners in repelling
the suggestion that they would Lead them
selves iO such prOceeding--wO they
had not used The very words OF HagOel 4;
"Is thy servant a dog mat he should do
such tninz3 /"
I'm oar view of the case, The Wilminton
auI Weldon people would DO amost prof
table aud advantageous thing for them
selves, should lhey lease the road Oh a
guarantee OF six per cent. on the capital
stock. Whether IL would be wise for the
Petersburg Company TO part with their
road on such terms Is another question.
Very respectfully,
JoHN l.. WILLIAMS i SoS.