St. Paul daily globe. [volume] (Saint Paul, Minn.) 1884-1896, 1891-04-09
BURLINGTON'S REPORT.
The Five Per Cent Dividend Not
Quite Earned

BosToN. April S.-The annual report of the
Chicago, Burlington d Quincy railroad is
given out this morning. 1t is a few pages
longer than last year, but is made up in the
same form. The outside system is treated
independently. although in the monthly
earnings report it has been figured with
the main system. The only change made is
that land receipts are included in the ac-
counts, so as to reduce the deficit for the
year, as was done two years ago. No men,
lion is made Of the Chicago Burlington
" Northern. Condensed. an epitome of the
operations, is as follows:
Gross earnings. 21125 966; operating ex-
penSeS. Sl.,53S. 455; taxes. 81, 231 243; rentals,
SOC, or interest on bonds. s., 191 1892; sinking
fund. S765,49?; total, S25, 1913, POI; leaving net
earnings, S2.532. "a. Interest and dividends
received. SS0t,03i; total. So. j5S. i39: net land
receipts. Si1S,5S4; total, S3517.194; dividends
paid. ) per cent, So, $40, 630 deficit, 1902 435.
Capital. $40, 394, COS debt, Sill. 459 49,
The outside system of little over 1900
miles shows but slight change i'll mileage for
some years, as the Chicago. Burlington d.
Northern has not yet been included The
Chicago Burlington & Quincy owns the
stocks covering these lines. and of
the debts of the property the Chicago
900, against Sl..l71,000 outstanding year
ago. Gross, S74O4 $40: operating expenses
and taxes. S5.3l6,i0j; net s.. 047, Oh; other in
come, S601l1: total net, S2,1CS03l; charges
}. b.
S610,0S3, net surples S4S,213 President Per
kinS says:
Taking the year as a whole, we have not
| quite earned the per cent dividend So
| large part of the country served by the COM
| pany lines depends on the corn crop that
| any serious damage TO that staple must affect
| business of all kinds for many months We
| earned during the first six months of 1890 on
onr entire system, from the carriage of corn
| shipped from points on our own lines in
| Nebraska and Kansas about 81, 100000 We
| cannot expect to earn much from this source
| during the first half of 1891. The effect of
| bad crop Is temporary. Our more serious
| difficulties come from laws which do not
| allow us TO do business on business prin-
| clples. The association formed in 1882
with the hope that it might result in
t,le maintenance OF reasonable rates and
| the division of traffic among the railroads
| west OF Chicago accomplished little, perhaps
| because the experiment was not tried long
| enough. without association it is impossible
| TO maintain the price OF railroad transporta-
| ton. The law prohibits pooling. the most
| convenient, If not the only effective form of
| associated action, and it remains TO be seen
whether any substitute can be found to check
| the tendency TO unreasonably low prices
which always prevail with independent ac-
| ton. Without some method of effective CO.
operation competing lines must become
| bankrupt, and i'll the end consolidated. There
| are signs OF growing belief both in and
| out of congress tliat the interstate commerce
law should be amended. The law has cost
| and is costing the country millions of dollars,
| especially the region west of Chicago and st.
| Louis, and it is an illustration and a warning
of the danger OF interfering by statute with
what ale called the natural laws of trade.
| There are upwards OF $4,000, 900, 600 of ac-
| cumulated property in the railroads of the
United States, giving employment to millions
of men, women ana children, and that the
| public can find it for its interest to long
! maintain laws which make that property un-
necessarily ana unnaturally hazardous and
improbable would seem impossible