The morning news. [volume] (Savannah, Ga.) 1887-1900, 1891-12-18
THE CENTRAL'S SHOWING
PRESIDENT ALEXANDER'5 AN
NUAL REPORT.

The Lease to the Georgia Pacific Dis
cussed-The Systems Operations.
It's Earnings, Expenses and Income.
Thu Amount Spent in Improve
ments and Extending the System.
The Company's Indebtedness.
The annual report of the president and
directors of the Central railroad was issued
yesterday. 1t covers the year ending June
80. and is more than usually interesting
report, from the fact that the lease to the
Richmond and Danville is fully discussed,
After stating the terms OF the lease Gen.
Alexander goes on TO say that all of the
reasons influencing the board in this step
could not be detailed in the report, but the
principal ones were found in the necessity
for securing an increase of business and ter
ritory tributary to their lines, and increased
economy of operation. Both of these ends,
be says, are secured by virtual
consolidation with the Georgia Pacific
lines, reaching through the best
coal fields Of Alabama, and the richest cot
ton lands Of Mississippi, to the Mississippi
river. and to q connection beyond with the
trunk lines of the west.
GEN. ALExANDER's PREDICTION.
"Having already steamship lines to each
of the great eastern cities Of New York
Boston and Philadelphia, with these railroad
lines as connections" he adds, I'VE may
compete successfully for q portion of the
trans Mississippi, and even of the trans
continental, business, and only by the
economies of operation possible under con-
solidation of arrangements, aud increase
OF tonnage, can the Central sys-
TEN hope to maintain its pros
penty in the face of ever increasing
competition and decreasing rates. Your
board have. therefore, thought il to the best
interests of the stock holders to sacri-
flee something from your re7ent
DIVIDENDS for future security. They
believe that the consolidation eff
fected by the lease will soon build up
arailroad system of such magnitude, and
Of such financial strength, that its securi-
ties viii command higher prices than they
could ever maintain upon the credit of the
separate minor properties.
The consolidated system now formed by
this union Of the strongest and best located
lines in the south, is an excellent example
OF the legitimate railroad development OF
the day, not only in the United States
but in all the civilized countries. 1t
possesses advantages of location, grades,
terminals, local business, climate and cheap
material and labor. which assure its sta
bility. by enabling 1t to render cheaper,
better and more far reaching service than
any possible competitor.
WHAT THE DIRECTORS BELIEVE.
THE board believe confidently that the
results of the operation of the new system
formed by the lease, will not only soon
bring confidence in the securities Of the sys-
tenn to financiers and investors. but that
great benefits will accrue to all the ports,
cities, towns and local territory served by
our lines, for all interests must participate in
the benefits resulting from making these the
nghway OF travel and commerce. which
mas heretofore gone through other channels.
Already the magnitude OF the inter-
ssts involved has brought to Georgia the
neaoQuarters and management of the entire
Danville system, embracing now, directly
and indirectly, over G,000 miles of road,
.nns assuring to the Central lines and to all
local interests involved far greater intiu
ehce and power than they could ever have
possessed upon an independent basis.
Drlelly," ne goes on to say, lit has be-
come inevitable that consolidation of many
u the most important southern roads into
Iarge systems and trunk lines shall take
place. It is the opinion of the board that it
70 70 the best interests of the company, and
u the communities which It serves, that 1t
snalt be IN the consolidation rather than out
VI IL; that they have placed
tIls company 10 1t on the best terms posi-
uie: and that the result will amply justify
their anticipationsn
THE SYSTEMS OPERATIONS.
Inc result OF the operations of the entire
system' embracing an average Of 1,666
miles, Including the steamships,
.9r the eleven months ending
nay 81, 1871, are shown as follows
1ross receipts, 1904 1913 50: expenses,
taxes and betterments, $6,4l6,27l rs: net
,hhcone, sS,Sco, 3Sz "a. The operations for
, uns eleVen months Of 1890, with an average
recsipts, IS ,l22,603 90: expenses taxes and
$3.50 ,7Ss ri. Ae' 0'