The Scranton tribune. [volume] (Scranton, Pa.) 1891-1910, 1894-07-27
GENERAL NEWS
OF INDUSTRIES


opinion than that the anthracite coal
trade is rapidly nearing crisis such as
has not been experienced since the
combination was formed by MIR. Nc.
Lsod. Harmony no longer exists
among the larger producing aud car
rying companies and, while show is
being made OF restricting the output
and maintaining the circular Of prices,
II is. after all only show. Beneath
the surface pretty much the same con-
dition exists as prevailed before the
Reading "comb bine" went into effect.
Prices are being cut right and left, and
several of the companies are producing
considerably more than their quota,
The Lehigh Valley is charged with be-
ing the mischief maker, aud the pres
ent fight is between that company and
the Lackawanna. The latter charges
the Lehigh Valley with overproiucing,
and makes this excuse for doing the
same thing itself Its right to do this
Is hardly to be questioned. but it is not
the way to settle the present difficulty;
1t only tends to make the situation
more strained, for neither the Reading,
the Pennsylvania nor any other of the
laige companies will stand idly by and
see their business 90 to rival COM
pany through methods that are at
least questionable. II the Valley and
the Lackawanna cut prices or produce
more than their quota, SO, too. will the
others; they will be compelled to do so
to protect their own interests and
chaos will follow Strenuous efforts
are being made to ward off the threat
ened danger; meetings are being held
every week to effect settlement and
adjust all differences, but so far little
progress has been made, and today the
situation Is such as to justify the belief
which exists among the anthracite
trade, namely, that crisis is rapidly
drawing near.
The gross receipts OF the R'ading
railroad for June were 81 997 ,3O6
gross expenses 81, O20 459 net receipts
from other sources 500. Sj9. showing u
profit for the month OF Sl,03G G99 Do.
ducting equipment payments. terminal
trackage and fixed charges there is Il
surplus for the month of Slj 145
against surplus of $129, 3S7 in June,
1893. The seven months Of the
current fiscal years show deficit
Of ST. 1856 2G4 against deficit
In the corresponding period of last
year of 81, 029. 05l The gross receipts
Of the Reading Coal and Iron company
for June were s., 34S 9S3; operating ex-
penses, Improvements, etc, SO, 1871, 242;
profit from mining, $2l1,7 al Deducting
fixed charges, there ls a surplus for the
month of $50, 532 against a deficit Of
$93, 1872 in June, 1898 The seven months
OF the current fiscal year shows a defsit
Of $751;, 343, against deficit in the cor
re.ponding period of last year Of s70G, :
1S9.
Respecting the talk about the re-
sumption Of dividends by the Lshigh
Valley company, an official says: I'VE
are not thinking about dividends at
present, We are satisfied to meet fixed
charges, which We are just about do
ing. We have not mad Il good months
business for over year, and before
dividends are resumed it will require
an extended period of good all around
business. and tbis is now just ia sight"
The present is no time for any optimis-
tic views so far as the railroad situa-
tion is concerned. EIrnings are the
real criterion of business, and they now
are on n very low level The first half
OF 1894 has been an exceedingly poor
Que for the railroads, and the improve.
inent must be very decided before
many companies will be able to resume
dividends. According to Receiver Pax.
son. Of the Reading, nothing will be
done in the line OF re organic !tion be-
fore the fall
1t perhaps never occurred in the his
tory of railroading in Pennsylvania,
Says the Harris burg Star Independent,
that depression in wage earnings was
so general and widespread as that
which was the condition Of all the
roads running north, south, east and
west, since Jan. /, 1894 The paralysis
of depression was tue same everywhere
in the mining and manufacturing
regions, and had its origin in like
causes everywhere. First came u
gradual decrease in mining, which was
speedily followed by a falling off in
iron production, the causes OF which
were ut first attributed to belei that
the tariff was 10 be reduced on impor-
tation OF lines OF manufacturing, whi ch
could not possibly compete with the
foreign product In the same line. This
was followed at once by depression
In railroading the result Of the istop.
page OF mining and manufacturing,
which together produced conditions OF
much distrsss. There wers periods
since April, 1894, when railroaders in
this. part OF the STATE did not work
more than six days in u month, and that
too at partially reduced wages. Peo-
pie who do not comprehend the exact
extent OF these conditions, cannot un-
derstand their effects. They depressed
every line of the retail trade of local
ity, and reduced the cash circulating
medium OF such localities to the small =
est possible fractions in thoir aggrs-
gates, For the first time In nearly
four months hundreds Of men on rail-
roNds, in their shops. and in many
other lines Of manufacturing made six
days last week, and will make their
largest wages this month this year.
There is no describing the delight of
the men who will be benefited by this
revival OF trade aud commerce, manu-
featuring and merchandising.
The Philadelphia Tim1S has learned
that the new Scranton and Pitlston
Traction company will be operated BY
the Scranton Traction company, and
lease embracing that feature has al
ready been drawn up aud signed. Gem
eral Manager Bsetem refuses to affirm
or deny this report.
The representatives OF the trunk
lines and the Central Traffic associa-
tion will hold meeting In New York
today, at which will be discussed the
recent reduction In freight Car rates
from three-fourths of cent to one
half Of cent per mile. The one half
cent rate is now in effect on all the