The Salt Lake herald. [volume] (Salt Lake City [Utah]) 1870-1909, 1894-11-13
Salient Points in the Report of Elk
pert Little.


New York, Nov. 12-T91e report of
Expert Little, WHO has been fnvestiga-
ting the accounts of the AtclIison, To-
peka & Santa Fe Railroad company,
has just been made public. It's salient
points are as follows: First, the net
revenue for the year ending June so,
1894, exclusive of the Atlantic & Paci-
Inc and ST. Louis & San Francisco lines,
was $5,956,614 This includes an in
|stallment OF $350,0O0 of the Sonora Rail
way company subsidy, which should be
deducted in considering the earnings as
a basis for the plan of reorganization.
If this subsidy is deducted the net
earnings will be reduced to $5,606, 614
Interest charges, which are prior liens
to the interest on per cent. bonds
I'leave a SUM of S4,S16,264 applicable to
the interest on S125, 1866, sos bonds out
standing in the hands of the public,
which is equal to only 9.75 per cent.
The AtGhison company lost S95,S24 by
operating the st. Louis. Kansas City
& Colorado railroad, and the net earn
ings would have been increased by
$341 ,4O1, the amount contributed by the
Atchison company under tripartite
agreements with the Atlantic and Pa
cific and St. Louis and San Francisco
Railroad company. These two sums
added to the net earnings would bring
them up to 400 per cent.
In accepting these figures as a basis
for reorganiza ton it must be taken for
granted that the present floating debt
of the company will De provided for
and not be a charge against further
revenue; but while it may be said the
interest on general fours has been sub
stantially earned, the earnings depend
to some extent on the maintenance OF
the integrity of the entire system.
Auxiliary companies are a severe
the present system of fixed charge.
The loss Tor the year OF the Atlantic &
Pacific was $1,360034, half cnargeable
to the Atchison; the loss on the Colo
RADIO Midland was $G47, 754, on the St.
Louis G SAN Francisco $599,662 all
ohargeable to the Atchison. On the re-
suits of the adjustment that may be
reached with these companies, if re-
tanned in his system, depends the real
Isurpius available for payment Of inter-
est on the AtclhiSOn general fours, talk
ing the earnings for the year ending
June 50, 1884, as a basis. The net float
ling debt of the entire system, exclusive
of the indebtedness of one company to
another now overdue, and the accrued
Interest on the funded debt is $9,149, SIS.
ION the Atlantic & Pacific it is $3.50, 500;
on the Colorado Midland, $1S3, 35S; on
the st. Louis 6 San Francisco, S4S7, 1872
The gross unfurded debt is $15 103, 3S1 );
gross assets, 1896, 49, making the to-
tai OF net unfunded debt, $40, 410, 202
The Indebtedness on April, go 1894, of
the Atlantic & Pacific was $3.50, 535 to
the Atchison company, and $6,S49, 200 to
the st. Louis & San Francisco. The IN
debtedneSs to the St. Louis & San
Francisco to the AtcIhison was 81 $751;
1858, and of the Colorado Midland to
Atchison, 1886, 916 which claims, ag-
Ig.regating $4,000, 800, are apparently
worthless and should he written to the
debit profit and loss. The interest on
the funded and uufunGed debit and The
deficiency in cash year from 1891 10
1894, is as follows: 1891, interest, 81
I169164; deficiency, S1,964, 2S5; 1892, inter
est, 5f,S14,11l; deficiency, $50. $685. 1893,
INK eres,7, $8,2a0, 433; deficiency, $134 1876
1894, interest, $S,964,S5 deficiency, So
OOS, 242, making a total deficiency for the
four years of $5.16S, 292