The Manning times. [volume] (Manning, Clarendon County, S.C.) 1884-current, 1900-05-30
THERE ARE Billions N |L.
Enormous Investments in Uti-
lizing Electricity.
THE GIGANTIC FIGURES

capitalization Of $4,000, ,ooo,oo Based
on the Use Of Their 7ower-Some
Will Get Rich and Others Be Ruin.
ed-The Railways Are in the Lead
In the twenty-four years which have
elapsed since the modern development
of electricity investment in it has been
swollen to the almost fabulous sum %
$1,000, 900, 900 in this country, by the
Capitalization Of four or five branches
of electrical industries alone. There
are various other branches, WHOSE
stocks, bonds, and obligations reach .
total of at least s25O,oOO,0O0 more. In
this list IS not included the manufac-
ture and operation Of the automobile,
the youngest application OF electricity
These figures, telling the story Of q
growth unparalleled in history, from
financial standpoint. are given IN
pamphlet written by T. Conaerford
Martin for private circulation. What
IS even more astonishing Is that the
aggregate earnings Of the various de-
partments Of the industry are sufficient
to pay dividends or interest Of from
to 5 per cent, and even more. on the
whole mass Of securities.
Mr.. Martin is editor Of sernt-tech
nical electrical paper. He draws most
Of his material from official reports.
and in the instances where these are
not available makes estimates.
In point of capitalization electric
railways are by far the most import
ant branch of the industry. Electric
railways are the growth Of ten years.
That it to say, in 1888 the electric mile
age in the United States was insignid-
cant. n 1899 the proportion OF street
railway service which is not based on
electricity is so small that Mr.. Martin
dismisses it as unworthy Of notice.
At the close Of 1898 the capital lia-
bilities Of the street railways OF the
country were s1,621, 800, 900. a gain Of
nearly S150,0OO,000 in single year.
There were about 900 roads or systems.
Of these 22o earned $3.50, 100000 in 1888.
Estimates made by several authorities
working from different bases placed the
gross earnings Of the roads outside OF
the 22O at S45,o00,0oo or SITE, 600 Tor
the whole number. If the net were es-
tinated at around 40 per cent. there
was thus yielded a sum between $780,
100000 and s7O,o0o,010, or sufficient te
pay from to per cent. on the whole
capitalization.
Electric lighting is next IN import
ance. There are upwards Of 2,40O CEN
trail station lighting companies operat-
ed by corporations. They have gross
capitalization in stock Of over s275,0 ,0oo.-
600. With bonds, floating debt, and
other obligations, the investments, Mr.
Martin asserts, stand not less than
5000, ,O0o, 900.
These plants include a capacity OF
1,o00, 900 horsepower in engines and
water wheels, to which are connected
215,000 arc lights and over 10000, 900 in
candescent lamps. Here is capital
ization Of $500 to the horsepower Of
engines and generators in the station
and all other appurtenances. To the
capitalization Of the quasi-public COM
panies Mr.. Martin adds $500. 900 foc
isolated and municipal plants. Taking
arc lamps at $50 a year, he estimated
an increase Of S22,75O.000 is yielded, be-
sides $50, 900, as the proceeds from
lncandescent lamps, and s7,500,0o0 as
being derived from the sale Of power
for driving machinery. or total Of
sec, 900. The costs charged against
this he places at so per cent, leaving
S26,500 900 as the net profits Of the CEN
tral station industry, or the equivalent
Of AZ per cent. on the face value Of its
capitalization Of $500, 900, 900. No at
tempt IS made to give the earnings Of
municipal plants and those owned by
private concerns.
In the matter Of earnings the tele-
phone makes dazzling exhibit There
are over 1900 'inde endent" companies
IN the country. but the Bell and Its con-
stituent companies are taken into prin-
cipal account by Mr.. Martin. The last
Bell annual report gave 1881, 100000 80
the number Of conversations exchanged
in 1895, and the cost at between ! and
91s cents. At cents a message this
would yield s49,240,0 coo. The Bell long
distance service last year amounted to
s2,205, 900. If the earnings Of the inde-
pendent companies, which operate at
lower rate Of charges, are placed at
only s5.o00,0oo, or $40 telephone, and
the entire total Of earnings be figured
at $50, 900, 900, or considerably less than
the totals given, there is realized $780,
100000 as applicable to dividends, af-
ter deducting the high rate Of 80 per
cent for the cost Of operation. The
profits are sufficient to pay per cent
on a capitalization Of S4o0. .ooo. 900, or
double and more than that rate on the
sum actually invested.
Mr.. Martin places the investment IN
telegraphy in this country at not less
than $3.50, 100000, including that Of the
Western Union AMI the Postal COM
mercial companies, and those Of the
hundreds Of railroads operating their
own systems. Nearly every large city
has its own elaborate police telegraph
system, and upwards of $50 cities and
towns are equipped with fire alarm
telegraphs.
In the manufacturing branch Of the
electrical industry, Mr.. Martin states.
fully s100,00n,0Cs is actually invested.
Three concerns alone represent cap
italization Of $50, 900, 900. In seven years
It is estimated that concerns engaged
in long distance POWER transmission
and in the manufacture and operation
Of electric mining appliances have Is
sued securities aggregating 500, ,000, 900.
There are over 400 electro-plating es-
in the country, with an
invested capital Of $50. .000,0 900. Mr.. Mar
tin says; a number Of electrolytic
riants, representing several millions.
more are invested in electrical bells.
hotel annunciators, electro-therapeutic
equipment, "intericr" telephones, and
an endless variety Ct miscellaneous ap-
pliances. Allowing 10000, 900 for these
minor appliances and the electrolyttc
plants, Mr.. Martin makes the total
Of the electrical indus
try $780, 100000.
In this figure no account is taken Of
the rapid development Of automobiles.
According to figures given in the trade
Journals, there have been built and are
under construction not less than 10000