The times. [volume] (Washington [D.C.]) 1897-1901, 1901-04-22
RUSSIA'S RAILWAY SYSTEM
Remarkable Feats of Construction
in Recent Years

In Recent Years.
ST. PETERSBURG, April 21.-At the
close of the last fiscal year the total of
Russian railways in full operation. prac-
tically open to traffic. under construc-
ton. and authorized to be built. State and
joint stock company, was 1896 miles The
earning power of these properties is a
matter which the Russians may contem-
plate with pardonable pride, and in this,
also, the investor is more deeply inter-
ested than in miles operated and extern
sions contemplated. At the close of the
fiscal year 1900 Russia's interest bearing
debt of f655. T5.229 included f2s0.000,OO0 of
railway bonds, underlying which there
were more than 2l,to0 miles of railroad.
Railroad bonds issued by joint stock COM
panies at the same period represented an
obligation of e114.200.O 600 almost all of
which is guaranteed by the Government.
The majority of these bonds are payable
in the units of currency existing in the
countries where the bonds are held IN
pounds, francs. dollars, etc. Russia's
hobby is railroad construction, and a very
profitable hobby it has proved to be- For
example, in the budget of the Empire for
1891 the State railway estimates were:
RubIes.
expenditures ................-.... Is, 9i2, III
Thus the net revenue from State rail-
ways was estimated at So 356 227 rubles
In the fultillment of the budget the fol-
lowing results were had:
Rubles.
Revenue OBSERVATION-DISCLOSURES. 277. So 96j
expenditures ........'-......-...... l6i,5O6bs3
So the net revenue from State railroads
was 1O,539.2S2 rubles, or 14.1S3,055 rubles
in excess Of the estimates.
During the last fourteen years Russia
has been a heavy borrower abroad. and
there has resulted false impression that
she is constantly facing a deficit AS a
matter of fact, so much of these new
loans as were not used to refund old loans
at lower rates of interest went into rail-
road construction, and thus became pro-
ductive. So far from having a deficit on
her hands. Russia has undertaken to COM
plete the great Trans-Siberian Railroad
out Of the annual surplus.
NJ. de Routkowsky, the financial agent
of Russia in the United States, in a re-
cent pamphlet, "A Statement OF Russian
Finances" said
The financial resources of the coun-
try are not only amply sufficient to meet
the annually increasing ordinary ex-
penses of the Government but give large
and yearly increasing SURPRISES, which
allow the Government to make profitable
investments in building railroads, harbors,
and other public works, especially the
great Trans-Siberian Railroad which I'M
til now has been constructed. and will be
completed, exclusively from the SURPRISES
of the ordinary revenues of the country"
The shares of joint stock railroad COM
panies in Russia, from fiscal point of
view, are in the same category as bonds.
since most of them also are guaranteed
by the Government. The nominal share
capitalization of these joint stock COM
panies is Elf.3S0.000 which includes el,-
10000 of the Ivangorod- Dombrovo shares
The comical perplexity of the general
manager of the first Russian railroad
over the problem Of how best to style
himself, so that he should not be mis-
taken for an ordinary factotum, has
passed to the dignity of classic State
joke. In 1888 the modest foundation of
Russia present great railway system
was about to be opened for select inspec-
ton. The road was trife more than
sixteen miles long, running from st.
Petersburg to Tsarskoe Selo Invitations
to a number of important personages
were prepared. but on the eve of their
despatch the general manager was seized
with fear that he had not made sufii-
clently clear delicate point to which he
attached considerable Importance.
From the manner in which he had sub
scribed himself IL was possible to regard
him as the station manager at either
terminus Of the line, and his concern was
to emphasize the fact that he was man
ager of the whole thing Finally he
added TO the official form of invitation
this: Count -, Chief Director of the
St Petersburg and Tsarskoe Seio Rail-
way. there and back"
From this small start in 1893 railway
construction in Russia has progressed
through sixty-two years at an average
rate of considerably more than 800 miles
a year. At the end of the last fiscal year
the official returns showed a total of 81
305 miles of railroad in full operation, of
which 21.37 miles We're owned and oper-
ated by the State, and 1898 by joint stock
companies. To this may be added l599
miles opened for traffic. but not then in
fun operation, Of which 1,014 miles be-
longed to the State and 5s5 miles to joint
stock companies. This brings the grand
total up to 33,414 miles of which .. III
miles were owned and operated by the
State and 10.To3 by joint stock companies
The State had at that time lilo miles
more under construction and 46S miles
to be built. The joint stock
had 3,3A under construction
and j. So authorized to be built