The Topeka state journal. [volume] (Topeka, Kansas) 1892-1980, 1894-11-12
His Statement Of the Finances
of the Atchison.
The Auxiliary Roads Have
Proved to be a Severe Drain.
DEFICIENT INTEREST.
In Four Years it Amounted to
Over Five Millions.
An Exhaustive Examination of
the Roads Earnings.

NEW York. Nov 12-The report Of
Expert Little, who has been investigat-
ing the accounts Of the Atchison, Topeka
s. Santa Fe railroad company, has just
been made public, being issued at the
same time in New York. London and
Amsterdam. 1t is addressed to r. ).
Hayes, chairman Of the Atchison general
reorganization committee. Its salient
points are as follows:
First-The net revenue for the year
ending June 80, 1894, exclusive Of the
Atlantic s. Pacific, Colorado Midland
and St Louis & San Francisco
lines was 50, ,956,614 This includes an
installment Of $33O,OOO of the Sonora
Railway company subsidy, which should
be deducted in considering earnings as
a basis for plan Of reorganization If
this subsidy Is deducted, the net earn
ings would be reduced to $5,006, GA.
Interest charges, which are prior liens
to the interest on the 4 per cent general
gold bonds, leaves the sum of $4,SlG.264
applicable to the interest on Sis &c.,
6O5 on these bonds outstanding in the
the hands of the public which is equal
to only 3. - per cent
The Afchison company lost S95,S24 by
operating the St Louis. Kansas City ~
Colora 10 railroad and the net earnings
would have been increased $341, ,4Ol be-
ing The amount contributed by the Atch-
ison company under the trIpartite agree
meuts with the Atlantic i Pacific and
ST. Louis s. San Francisco Railroad com
pany. These TWO sums added to the net
earnings would bring them up 400.
In accepting these figures basis
for re e-organlzation, it must be taken for
granted that the present floating debt Of
the company will be provided for and
Will not be a charge against further rev
enue. This. While it may be said that
interest on the general four's has been
substantially earned, the earnings de-
pend TO some extent on the maintenance
OF the integrity Of the entire system.
The auxiliary companies are severe
drain upon the Atchison system under
tile present system Of fixed charges; the
loss for the year of the Atlantic & Pa
cific being $1.o6OO34, one half being
chargeable to AtchisOn; the loss on the
Colorado Midland being $647, ,754, and on
the st. Louis & San Francisco 1893, ,662,
all chargeable to AtchisOn-
On the results of the adjustment may
be reached with these companies, If re-
tained in this system, depends the real
surplus available for payment Of interest
on the Atchison general As taking the
earnings for the year ending June 80,
1894, as "A basis.
The net floating debt of the entire
system exclusive of the indebtedness
Of one company to another now
overdue and accrued interest
on luDuGQ 06OL - e., 10, ,JCC- Ou lllt AZ
lantfc s. Pacific it is $5s9, sos, on the Col
orado Midland $1s3,35S and on the ST.
Louis & San Francisco $4S7, 752. The
gross unfunded debt is SO, 106, ,3Sl; the
gross assets $4,696,I79, making the total
net unfunded debt $1O,41o,202
The Indebtedness April 30. 1894, of the
Atlantic & Pacific was $5.SS9. .535 TO the
Atchison company, and S6s49.2OO to
the St. Louis & San Francisco The
Indebtedness of the ST. Louis &
San Francisco 70 the Atchison was
81 ,661, ,269 and of the Colorado
Midland to the Atchison $1.595. .9l6,
which claims, aggregating $l6,O4O,92O
as apparently worthless. and should be
written to the debit os profit and loss
The interest on the funded and un-
funded debt and the deficiency in each
year from 1891 to 1894 is as follows:
1897. interest $7,169 164, deficiency
81, ,964. 2S5; 1892. interest $7,914.11l, de-
fciency $50, 1898, interest s.. 22O, ABB,
deficiency $134825; 1894, interest S.
964. .S57, deficiency $3,OOs.2 .242; making a
total deficiency for the four years
of S5.16S. .292.