Wichita eagle. [volume] (Wichita, Kan.) 1886-1890, 1889-09-10
AMERICAN RAILROADS,

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in the United States at the close of 1885,
according to that accepted authority
Poors manuel of Railroads for 1SS9-wa:
156. 0S2. of which 7,02S miles were con
structed during the year.
The gross earnings of all the lines fol
the year ending December 81, 1887
equaled 500, $50, 702; the increase for the
year 1888 equaling $40, 5,56s, or 2.14
per cent. The earnings per mile from
which full returns were received in 1888,
equaled &c. against S6,S61 for 1887,
the decrease equaling 1921 per mile.
The net earnings for all the lines for
1888 equaled 1901 ,631 ,051 against 1884
$40. 119 for 1887, the falling off equaling
$50, 35S, 068, the rate of decrease being
about 10 per cent.
The amount of interest paid in 1888
equalled $207, 124, 2SS against 5000, $780,
3j2 in 1897, the increase being 50, 333, :
J36, the rate of interest equalling more
than 1.63 per cent. The amount paid in
dividends in 1888 equalIed $50, ,041,
against S91, 573, 458 in 1887, the falling
off equalling 81, 1885. All, the rate of de-
crease being about 12.4 per cent.
The Manual explains the causes of the
extraordinary falling off in revenues in
this language: The sentiment Is unani-
mOusly expressed that the chief elements
of disturbance in the railroad situation
in the west have been-frst, the unpre-
cedented activity with which the rail-
road systems of that section have been
extended, as a result of the desire to ge-
cure entrance into the newly developed
lands in the west and southwest; second
the partial failure OF the crops and the
consequent loss of large proportion of
the traffic which had been calculated
upon; third, the complications resulting
from the application of new and rad
zeal laW-the interstate commerce act;
and fourth, the spirit Of hostility and re-
preston evinced by the legislatures of
some of the western states
In Illustration OF the rapid decrease in
rate for transportation of freight on the
railroads Of the country since the close
of the civil war the Manual presents i'm
portant tables. Table No. l includes
seven leading eastern trunk lines, run
nlng between Chicago and the seaboard.
and covers twenty-four years, 1865 to
1888 inclusive. Upon these roads the
rates received for transportation Of
freight declined from $500 cents per ton
per mile in 1868, to .G09 cent per ton per
mile, reduction of 70 per cent. within
the period covered by the statement. In
other words, the railroads comprised Ill
that statement received, IN 1888, $21 for
the performance OF a service for which
in 1865 they received 800. What other
business can show a corresponding de-
crease in returns?
In some statistics which cover the OBJ
erations OF six of the1eading western
trunk lines, which are typical OF
the railroads of that district
it is shown that the aggregate
tonnage moved was 1 800, 900 tons great
er in 1888 than in 1887. This gain is not
SO great as that made in the year 1887
when compared with 1886, but it is none
the less a substantial advance when COM
pared with other years The aggregate
earnings show. however, decline and
were not so large in 1888 as in 1888,
when these roads moved 25 per cent less
freight-but in 1883 the rate charged per
ton per mile was 1910 cents, while in
1885 the rate was 1874 cent-the lowest
rate of charges ever reached by the
western roads. being about one-quarter
Of the average rate charged in 1860. 1t
is obvious that it is not the want of busi-
ness, but the price at which business is
performed, that is the reason for the ina
bilitv OF these western roads to earn
large profits as in the past, and it re-
mains to be seen whether the bountiful
harvest which is promised this fall Will
materially help matters.