The evening world. [volume] (New York, N.Y.) 1887-1931, 1894-09-26
TRACTION CO. GREED.
No Improvements Made as the
Profits Increase.
History Of the Monopoly That Con-
trolls Street-Car Lines.
1t Has ABSORBED Eleven Railroads
in Three Years.

The Metropolitan Traction Company, of
New York. Is an avowed monopoly. 1t
was formed for the purpose as its cert!ti-
cate of Incorporation states. of acquiring
control of the street railways in New
York City.
In the three years of Its existence 1t
has already absorbed eleven streets rail-
roads, owning in all nearly sixty-six
miles of road, and Is still reaching out
for more. In fact, II has become one Of
the most powerful corporations in the
State, as well as one OF the wealthiest,
and it's money-making capacity, as the
official returns of its rapidly increasing
business show. Is enormous.
The Company was originally incor-
porated In New Jersey in 1891, with a
capital of 800, 900, 900. but in August, 1892,
1t was reincorporated in New York. its
capital stock increased to $780, 900.
or this amount S24. 900, 900 was given in
| exchange for the stock of the original
| Company, 100000 was Issued to pur-
chase additional real estate in New
York, 100000 was sold at par for
cash and $500. 900. the remainder, was
held as treasury stock.
This is practically the financial stand
ing of the Company to-day. and the
| enormous capitalization represents a
capital stock of 81. $4,000 only In the
respective companies forming the syndi-
| cate
These are the Broadway surface road.
the Houston, West Street and Pavonia
| Ferry. which controls by leases the
| Broadway and Seventh Avenue. Ninth
Avenue. Sixth Avenue, Twenty third
/ Il nlFn~ cat al IN
Ferry lines: the Metropolitan Cross-town,
which leases the Fortysecond Street and
Grand Street Ferry, and the. Central
Park. North and East River lines. and
finally the South Ferry line.
Less than a year ago a new corpora
ton, known as the Metropolitan street
Railway Company, which ~ Is merely a
pany, was formed for the purpose of con-
solldating the Houston. West Street and
Pavonia Ferry, the Broadway and the
! South Ferry companies and operating
! them under one management
According to the last published state
ment of the Traction Company It's gross
earnings for 1928 We're S.. S7S,273. while
Sl,S20,5l2 Since 1892 1t has been paying
Its stockholders quarterly dividend OF
a Ia per cent or Per cent; annually
but as a matter of fact the relations of
the various lines composing the COM
bination are so intricate and involved
ments are about as intelligible as the
inscriptions on Cleopatra's Needle.
One, thing is certain, however, and
that is the growth Of the city and the
Increase In traffic have made the lines
owned by this syndicate enormously
profitable. and 1t is apparent to every
one that the owners of these, properties,
while taking advantage of the valuable
| franchises they control to enrich them
selves, have done almost absolutely
nothing to improve the facilities for
travel on their lines, or increase the
comfort of their patrons,
On the contrary, as The Evening
| World has already shown, matters have
aStnna!ly heen going from bad to worse,
eral and indignant uprising against the
imposition which this corporation as well
as Others Of the same kind practices
upon the public.
Take, for instance, the Houston. cWst
street and Pavonta Ferry line which since
1871 has included in its statements the
business or the broadway line, and II
will be seen that the increase in lie re-
eelpts from year to year has been enor.
nous.
From 1886 to 1890, inclusive the number
OF passengers carried annually by this
Company rose from 4,S07, Sl5 TO 6,163l2S in
| the last-named year, The following year
when the Broadway line was added, the
number of passengers carried jumped W
to 1921 ,929. In 1892 the figure reached
was S,2S9,61O, while in 1898 the enormous
total was 6S,oll, 7&, and this exclusive OF
the crosstown business.
The statement of the Twenty third
street crosstown road shows that in 1895
II carried l4,S4l,9l5 passengers, and that
Its net income was S2l6,707 on capital
| stock or 100000 In the case of the
Houton, West street and Pavonla Ferry
Company. the net income in 1893 was
Sl9l,S27 on a capital stock Of .05O, 600. the
funded debt being $501,0OO, Out OF this
II Is claimed that the Company rentals
amounted to $56752l and $50 49, in inter,
est no account being made of dividends
which left surplue for the year of only
! $9O,Sll,