The Caucasian. (Clinton, N.C.) 188?-1913, 1899-01-05
GREAT RAILROAD PROS
PERlTl.

The Raleigh News IL Observer
in its issue of December Both, pub
fishes a leading editorial congratu
lating the Atlantic Coast Line not
only upon purchasing the Cape
Fear and Yadkin Valley Railroad
but also congratulating it upon the
enormous profits that it is making
and has been making for a num-
Der of years. We copy the follow
ing two paragraphs from the edi-
torial referred to:
After the war, the stock in that road, Ca
G.. L. sold for forty cents in the dollar,
and most of the present stockholders pur-
chased mt that figure. After it was pur-
chased by the present capable owners it
began To rise until it was soon above par
Since that time-in less than thirty years
the stockholders have received divi-
dends that are as large, if not larger, than
have been paid by any railroad in Ameri-
ca. The first dividend was one of 100 per
cent. in the Atlantic Coast Line stock. The
second dividend was 100 per cent. in deb
cent. in the Atlantic Coast Line stock The
capital is now virtually four times what it
was originally and hereafter dividends
will be paid on S400 for every 500 origi-
nal stock or on every $40 invested i'm the
purchase of the same by the present
holder.
This year that road has paid dividend
of six per cent. on the Wilmington and
Weldon stock, six per cent. on the Allan
tic Coast Line first issue stock, interest on
seven per cent. debenture bonds, and in ad
dtion this year they have issued dividends
in bonds and stock of 33t per cent. and q
second issue of Atlantic Coast Line stock
of 100 per cent.-that is to say 151k per
cent. has been paid this year on every
share of stock, which, as each have cost
less than $40 on an average, is over 37j
per cent. upon the investment.
The above facts are correct. 1t
is the first time that the News &
Observer has published them, but
The Caucasian published these
facts three months ago. Our read
ers will remember that when the
Railroad Commission last summer
passed an order reducing rates on
the Atlantic Coast Line without
reducing rates on the Southern and
the Seaboard Air Line at the same
time, that the News Il Observer
and number of other newspapers
raised a loud protest against the
action of the Commission, charg-
ing that the action of the Commits
sion was gross discrimination
against the Atlantic Coast Line,
and, besides, charging that the
Southern road and the Seaboard
Air Line were both making
more money than the Atlantic
Coast Line, and, therefore, that il
any roads were to be singled out
that they should be the Southern
and Seaboard Air Line. If we re-
member correctly the News e Oh.
server called attention to the fact
that any passenger on the Allan
tic Coast Line could nearly always
notice some vacant seat in car
while it was difficult for a passen
ger to get a seat at all on the
Southern railroad. It was at that
time that The Caucasian published
the above facts about the Atlantic
Coast Line. We are glad to see chat
the News Il Observer has now de-
cided to publish them too. Now il
the Atlantic Coast Line is making
a profit of 375 per cent. taxing the
people freight and passenger rates
high enough to pay profit on four
hundred dollars of stock to every
forty dollars invested in cash, then
surely the legislature should not
adjourn without reducing these
rates so as to leave the railroads a
fair profit and prevent the robbery
of the people to the tune of 37s
per cent. on fictitious capital; and
according to the News & Observer
the Southern Railroad and the
Seaboard Air Line are making