The Savannah morning news., 1901-08-27
PAYS 8 Per CENT.
CENTRAL'S DIVIDEND ON FIRST
PREFERRED BONDS.
SECONDS WERE NOT REACHED.
MAI. HANSON THINKS THEY WILL
BE REACHED NEXT YEAR.

First Time the Full Dividend of o
Per Cent. Has Been Declared on
the Bonds-ExceIIent showing
Made by the Earnings-Thus Far
This Fiscal Year There Has Been
an Increase shown over Corre-
spending Period of Last Year.
This Would Seem TO Bear Out Mai.
Hanson's Belief - Extraordinary
Expenses only Would Prevent the
Seconds Being Reached.
The directors of the Central Railway
met yesterday morning and declared a
dividend of five per cent. on the first
preferred income bonds of the COM
pany. The second preferred bonds
were not reached, as the net earnings
would not admit of a dividend upon
that issue.
That the company would pay the full
dividend of five per cent. was predicted
by the Morning News. No official
statement as ITO the probable dividend
could be obtained in advance, but it
was gathered that the full amount
might be looked for. Some time ago
it was considered not unlikely that
dividend might be declared upon the
seconds, but expenditures for new
equipment, for improvements and for
other things made that impossible.
1t is expected, however, that there
when the directors meet next summer
to distribute earnings Maj. ]. F.
Hanson of Macon. chairman of the
board said after the meeting that,
unless some extraordinary expenses
should arise during this fiscal year, a
dividend will be declared upon the sec
ond preferred income bonds next Au-
gust. This means that the Central is
doing splendidly under it's present
management.
On Oct. l the dividends will be pay
able. Among the holders of the first
preferred income bonds there will then
be distributed 100000, there being s4,-
100000 in the issue. The bonds are held
principally in the East, though there
are some in Savannah and other Geor-
gia cities. This is the first time that
the full five per cent. has been de-
to the dividend account. If there
should be enough next year to justify
it, the surplus earnings, after the full
dividend on the firsts is declared, will
go to holders of the seconds.
For the last fiscal year the gross
earnings of the Cetnral were Sc, 900, ia.
In 1900 the gross earnings were Sc, 0S6,-
263, and in 1899 they were $5,767,345.
Material increase has been shown
enough to admit of quite an advance
in the dividends on the firsts. On Oct.
!, 1898, the dividend was per cent, or
$4,000. On Oct. /, 1899, the same divi-
dend was paid. On Oct. 1, 1900, the div
idend was 3A per cent, or $4,000. The
mileage of the Central is now 1880. In
1900 it was 1,540, and in 1899, 1924.
Maj. Hanson has good grounds upon
which to predicate his opinion that the
dividends next year will include the
seconds. The earnings thus far this
fiscal year have shown material in
crease over those of the same time last
year. For the third week in August
the earnings increased S19,542 over the
earnings of the corresponding week
last year. Since July 1. the earnings
have increased $104,0 over those of
the corresponding period of last year.
Present at the meeting were Maj.
Hanson, President John M. Egan, Capt.
Evan p. Howell of Atlanta, Mr.. w. c.
Bradley of Columbus. Mr.. U. B. Har-
rold of Americas, Col. A. r. Lawton,
Mr.. A. Vetsburg and Mr.. George J.
Mills of Savannah. The meeting was
the first MIR. Bradley has attended, as
he was elected at the last quarterly
meeting of the board.
In the afternoon Maj. Hanson
and Mr.. Egan took a trip to the
wharves. where they inspected the
terminals.