The times., 1898-01-13
A REDUCTION CIR SALARIES
Committee Of the Capital Traction
Company Advises a Cut.
The Stockholders Receive the Re
port at the Annual Meeting
Bonds to Be Issued.

1t iss slIdtpbe a fore gone conclusion that
the salaries Of the Capital Traction Railway
Company officers will be largely reduced
within a short time. The committee ap-
pointed some time ago to consider the
question of reduction in expenditures, yes
terday made a direct and strong statement
ON the subject to the stockholders meeting.
They said that inquiry Shows the pres
ent salaries paid to the officers 10 be
largely I'm excess of those in similar corpora
tons, anu made the recOtnmeDdatio tnat
In view of the present largely augmented
expenses OF the company the salary list he
reduced materially. The stockholders of
the company, many OF them. have eX-
pressed themselves strongly during the last
year on this quest ion of salaries, and this
move undoubtedly viii meet with their
hearty approval.
The annual meeting of the stockholders
of the company was held at the central
offices at the Union Depot, in George
town, as hat been announced previously
There Were 99,054 shares of stock repre-
sent ed, and the action Of the meeting was
Ira rrnonious throughout. Mi. George t.
Dunlop was reelected president, aud Mr..
Coons, secretary. and thern old board of
directors una nimouslya re elected, s fol
lows: George T. Dunlof, Charles c. Glover.
Henry Hurt, }, La G. RarRe, John K. Nc
Lean, Edward j StelIwageu. and William
Manice. "a
The subject u the mflcir -talked-of extep-
sion of the lines OF theaos Il ionGh Mount
Pleasa ut was discuss ed in a n informal way
only. 1t is the una ninlous opinion of the
directors, however. that as soon as the
roa d is permitted by Congress to extend its
lines according To the4roate described in
tie bill, now being Considered. that the
work OF extension viii De pushed through
as rapidly as practicable. Bearing on
this subject, and al a result of the great
loss sustained by the Capital Traction
Company in the total destruction OF their
pOwerhonse recently, the question of bond
ing the the road for 81 ,00O, 900 was also
considered. On this question, as on all
others which come before the stock holders
for action, they were una nimous in their
action. and the following resolution. Of
fered by President Dunlop on this sub
ject. was adopted without dissenting
voice:
Resolved. That the directors shall have
and they are hereby given, the authority
TO issue and sell 81 900 900 OF bonds. or
dated January / 1898, Ia yable five years
after date, with interest, IA va bic semi
annually. a rate not to exceed > per cent
per annum. secured by first uortga ge
or deed Of trust in the form commonly used
in the District OF Columbia. and on the
property to be fully described i'll said deed
of trust. Said bonds may be used as
collateral to secure the necessary advances
for the changes and Improvements in the
rapid-transt system and in the route of
alignment of the company's roads
a fter the business session the customary
annual spread" was discussed by the
stockholders present.
In his annual report President Dunlop
stated that tile receipts for the year ending
December 81. 1897 were $8Os .s39, and
the net earnings, S202,042.
The report of the auditing committee was
presented by Mr.. George f. Truett. 1t
states that Mr.. Charles b. Bailey. a mem
Der of the committee, did not participate
in the work owing TO the pressure of other
business The report also gave list of
the employees and detailed account of
the expenses of operating the road during
the past year.
The report for the year stated that:
Since the filing last February OF the
been much discussion among the stock
holders, both resident and non resident
OF the salaries paid by the company to its
officers.
This matter has also been the subject of
discussion in the newspapers, and in the
circular letters OF certain local bankers
and brokers' to their customers and others.
SO widespread and general has been the
interest in this matter, and so numerous
have been the requests made to the com
nittee for informa tion and for the embodi-
ment in this report by some practical Sug-
gestions or recommenda tions to the stock
holders at this annual meeting. that the
committee mas enlarged the details of this
account in this report over the previous
one, and beg leave to submit certain con
clusions at which the committee has ar
rived sU.r11
lDpn comparison " it'll other corpora
lumbia whose capitalization entities theia
10 rank in the same class with the Capital
Traction Company, it has been found that
the Capital Traction C0ffpany is much
more literal in the matter uf salaries than
other companies of its rank. In fact, at
least one other corporation whose capital
iza,ion very closely approxiinates that of
the Capital Traction successfully and ac
ceptabiy Co ;ducts its business on less than
one-halr the expenditures of money in sal
aries paid by the latter for the same pur
pose. ~
For what the Capital Traction Company
pays in round numbers $S5r000, this other
company obtains for $50 900. The COM
mittee is satisfied that efficient service
can be obtained at a gEfa tlyyreduced cost in
salaries. We therefore RECOMMEND to the
stockholders the adoption of a resolution
requesting the new board of directors to
REFUGE the rates of salaries OF officers and
other employees of the company to a more
economical basis, giving 20 each a fair and
equitable salary according to their position
and responsibility of employment.