The evening herald. [volume] (Shenandoah, Pa.) 1891-1966, 1893-03-13
PENNSYLVANIA RAILROAD.

PENNSYLVANIA RAILROAD.
1t is almost forty-seven years ago
since the Pennsylvania Railroad was
chartered, says the New York Press,
and a little less than that since work
was begun upon what is to-day the
greatest railroad in the world. This
does not disparage in any way the
New Yorh Central, which has grown
into a magnificent system from the
little tramway on which ThurlOw
Weed was one of the first passengers;
the Reading, whose revenues are
second only to those of the Peunsyl-
vania, nor the Baltimore aud Ohio,
which was chartered for the same
purpose as the Peunsylvania-that of
surmounting the peaks Of the ALE
ghanies and permitting all rail transit
from the Atlantic coast to the Missis-
sippi These were all national works
in the inception and tAey were aided
by the states.
The Pennsylvania Railroad Com
pany stands to-day as the greatest Of
corporations in the amount Of capital
invested, and its daily receipts and
disbursements are also larger than
those Of any other company in the
world. The dis anes between Phila
dalphia and Pitsburg is only 444
miles, but the earnings of the main
line and branches upon the system
east Of the Ohir were last year $40, ,74O,.
1856, and after all rentals and in
terest upon guaranteed lines, there
remained balance for dividends to
the stockholders of 1o,5O5,910. With
the conservatism that has always
characterized a management in which
theTo has never been a change save by
death of officials, there was paid out of
net earnings last year S89 176 for the
purchase of securities, S524, $50 forsink-
ing funds and 81 ,263 1856 for straighten
iug and improving tracks and grades.
After these liberal charges to general
renewal and sinking fund account a 6
per cent. dividend was paid and sur
plus left of 81, ,222,357, which would
have sufficed to give a further divi-
dand Of per cent. more il the direc.
tors thought it advisable. This
amount was increased by 50, 127, ops by
profits on securities sold, returns on
doubtful accounts and the dividend
from the Pennsylvania company
operating its Western lines.
These figures are repeated in some
what greater detail than would be
necessary were it not that the system
is so great and that its location is such
as to reflect very accurately the condi-
tions of railway transportation in this
country. Within distance of twenty
five miles on either side OF the Penn
eylvauia system live more than half
the people Of the United States, and
yet the Pennsylvania stops on this
side OF the Mississippi.
There are two other points in this
important report which can hardly be
dweIt upon with too much force. The
company has striven to protect its 50,-
600 employees as we'll as its stock
holders. There was paid out of the
employees relief fund during the year
S6l5, ,27l, or more than $4,000 a month
and the average amount Civ
en- on death benefits was $5Sl. The
employees saviag fund has already
reached more than a million aud is
securely invested in four per cent.
bonds
That such results should have been
possible under the conditions of the
past year is remarkable. The rail-
roads have been confronted with
freight rates so low that an in
crease Of business has not always
meant increase Of profits. For this
reason the directors present a very for
chile argument in favor Of such
changes in the Interstate Commerce
actas will enable them TO handle theil
traffic upon business principles, so thai
the service will not be less efficient, mol
the rates advanced, but the costs re-
duced. The greatest railroad in
Europe, the London and Northwestern
with wages less than half those paiC
by the Pennsylvania and quite al
cheap fuel, is operated at cost to the
public more than double the average
rate charged by this great American
company.