The herald., 1893-12-29
SOUTHERN PACIFIC AFFAIRS.
The Past Years Revenue is Sat-
isfactOry.
The Sale of Lands Though Has Fallen
of Sadly.
Despite the Hard Times the Freight
and Passenger Business Continue
Excellent = Land Ruyers
Holding Back.

San Francisco Examiner: There was
a feeling of quiet satisfaction among
the leading officers of the Southern
Pacific company at the corner of Fourth
and Townsend streets yesterday as
they contemplated the preliminary
figures of the years transactions. 1t is
clearly shown by these that the opera
tions OF the Southern Pacific system
will show net gain almost as great as
that Of last year.
This state of affairs ia particularly
gratifying to the managers OF the prop
erty in view of the fact that 80 many
OF the roads in the eastern states have
been disturbed by the stress Of hard
times. The wave of depression that
swept over the country appears to have
done less injury to the Pacific coast than
to any other section OF the union, judg-
ing by the effect on railroad traffic and
receipts.
The latest complete official returns
are up to the end OF October of this
year, the statement showing the gross
earnings to be $40, 1877 900.
At the same time in 1892 the gross re-
ceipts amounted to $40,398.0 900. 1t is
known that the tonnage moved by the
Southern Pacific during last month and
this was the largest ever known on this
coast. The volume of the traffic was
unprecedented. and though the rates
were low the gross earnings amounted
to an immense sum, on account OF the
quantity OF freight moved.
A FAIR NET REVENUE ASSURED.
In 1892 the gross earnings amounted to
$4S, 972. 900 and the operating expenses
were $3l ,2SS, 900, giving the net result of
$17, 1884, 900 to the good.
The operating expenses for this year
will aggregate about the same as last
year. and though the officers of the COM
pany admit that they look for slight
decrease in the net earnings they think
the falling off this year will be very
slight. The difference will certainly be
smaller proportionately than was shown
at the end Of October in this year, for
the reason that the November and De-
cember receipts were much in excess of
the receipts of those months last year.
A particularly pleasing phase of the
situation is the fact that the Pacific
coasts portion of the business WAS in
jured in but slight degree, if at all, by
the financial blight that touched 80
many of the older communities. This
may in some part be due to the natural
recuperative capabilities OF the COM
mercisl communities west Of the Rocky
mountains.
SMALL LAND SALES.
"The sale of granted lands belon ging
to the Central Pacific Railroad company
has been very small in 1898, compared
to sales of previous years." said w. H.
Mills, the company's land agent, yelter-
day. "The business has not been more
than half what it ought to have been
not more than half what it was in the
previous IL months.
81 ascribe this decrease in business to
the low price of lumber and beef. Most
of the lands now held by the Central
Pacific company are timber lands and
grazing lands. When there is slow
demand for beef and lumber nobody is
anxious to buy our lands.
"In Capay valley things have been
different. There we have disposed of
AZ subdivisions OF land, which is equiv
alent to establishing AZ new homes.
Near Merced the Crocker lands are also
being taken rapidly"
Jerome Madden, land agent OF the
Southern Pacific company, said: "The
situation this year has been deplorable.
l never saw it 30 bad. The actual sales
were so small that l am ashamed to
make statement for publication. The
total will not exceed 1900 acres. We
used to sell more than that in one day
and not think much of it.
Il. ko
caused by the uncertainty in regard to
cloud over the whole country. Then so
many silver miners are out of employ
ment, the output of the mines has been
curtailed and the general outlook has
been discoaraging. Under such circum-
stance nobody wanted to buy lands. no.
body had money to invest in lands or to
pay for lands that they had already
bought.
take it down in Fresno county, for
instance. With wheat at its present
price, what encouragement is there for
man to plant when he knows that his
crop will net him deficit instead of a
profit?
''There have been two speculative
sales in the year, but l do not class
them with the actual sales. One OF
these ia sale of about 5000 acres near
Summit lake, in Fresno county, where
an extensive irrigation system is being
inaugurated. No profit is expected from
this system for four or five years.
''The same may be said of the disposal
of 100000 acres, more or less, in the
southern part of this state to the Colo
RADIO River Irrigation company. This
land lies in the vicinity of Salton, where
that great depression exists. This sale
is speculative, and the company does
not realize any immediate returns there
FROM"
Treasurer N. T. Smith of the South
ern Pacific company yesterday eaid that
though the past year had been one of
slow business in some ways, yet the
company had been kept on u cash basis
throughout, and that its pay cars are
sent out regularly ON the monthly trips.
"With the beginning of January
look for better times" said Mr.. Smith.
s'The banks are full of money, and with
a return of confidence that is bound to
occur, this money will gradually be sent
out, and all kinds of business will be
benefited"