The Minneapolis journal. [volume] (Minneapolis, Minn.) 1888-1939, 1902-11-12
MINNEAPOLIS & ST. LOUIS
The Commercial Advertiser Speaks
Highly of the Roads
Abilities.
Special to The Journal. 4

Special to The Journal ss&s@I5<# t4&
New York, Nov. 12.--In commenting on
the affairs, Of the Minneapolis & St. Louis
Railroad company. the Commercial Ad-
vertiser says:
"The earnings as shown for the year are
equal to per cent on the preferred stock
and a little over per cent on the COM
mon. The workings of the railroad were
along the lines heretofore adopted by the
management Of the company, and the re-
suits from operation continue to improve.
Gross earnings increased $40 per cent,
operating expenses Increased $3.50 per cent,
and net earnings Increased 9.93 per cent.
The various Items which goq to make up
working expenses show Increases except
maintenance Of equipment which is not
as large as for the preceding year. This
decrease is explained by the fact that the
maintenance of equipment charges for
1901 We're abnormally large because in
Guiding the full purchase price Of four new
locomotives; excluding this item from the
1901 account, maintenance of equipment
for 1902 shows q natural increase over the
preceding year. Maintenance Of way &C
count increased over 10 per cent, the
amount per milo having risen from $50
in 1901 to 500 In 1902. The report gives
items aggregatins $22S,795 spent for re-
ductiOn in grades, new buildings, new side
tracks, etc., which were charged to the
maintenance account. Conducting trans
pcrtation increased exactly in the same
proportion as the increase in gross earn
ings. General expenses increased Is per
cent. which is rather large for an in
crease az per cent gross earnings.
1.-THE traffic Of the company sevidently
changing. Tho actual number of tons
handled during the year increased, but
the ton miles decreased, owing to q de-
crease in average haul: this was caused by
,hor i,>f unto If
commodities handed. Products Of agri-
culture decreased s per cent, products Of
animals increased 81 per cent, and manu-
features increased 40 per cent. The rate
per ton mile increased 7 per cent. This
change in the tonnage Of the railroad Is
materially to its advantage, as company
whose traffic is diversified and based upon
manufactures, passenger income and mis-
cellaneous receipts Is less liable to fluc-
tuation in revenue than If one item such
as grain or coal preponderates.
THE Minneapolis & st. Louis Railroad
company occupies a good traffic position
and is strong financially. The gross earn
ings have Increased from S2,500,00 in
1899 to s., SAC, 900 in 1902, and the net in
come has increased from book surplus to
dividend profits Of per cent on the out
standing capital stock. The territory
which it serves is developing diversified
interests, and the density of it's population
is increasing. Prolonged crop failures or
severe business depression might, Of
course, affect the earnings of the property
to a larger extent than similar occurrences
In the longer developed eastern states,
but the margin of profit as shown by the
| company for. the past year insures the
permanent financial stability Of the cor
poration, and disasters will only affect the
| rate Of dividend ON the stock. The Min
neapolis & st Louis company securities
are unquestionably to be considered in the
| class Of permanent investments.