Richmond dispatch. [volume] (Richmond, Va.) 1884-1903, 1903-01-04
SOUTHERN RAILWAYS GROWTH.
President Spencer Talks Of It and
of Coming Railway Problems.

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NEW YORK, January 3.--lspecial.)-
Samuel Spencer, president Of the South
ern railway, enpha sizes the point that
the increase in the cost OF material, higher
wages increa sed taxation and the more
exacting demands OF the public for higher
class accomm odation have swelled ope-t
rating expenses to a point out OF propor-
ton to the present rates, and he says
further. that any attempt to increase rates
is met with opposition, and reductions
even are demanded. He adds significant
ly that there is q limit to the ability Of
railways to sustain themselves under
such steadily increasing expenses without
a corresponding increase in the rate Of
compensation for the services performed.
Mr.. Spencer is optimistic over the general
outlook, but t,hesoonsders the rate situa-
ton and the Question Of necessary In
creases as serious matters.
Since the Southern railway, with the.
Seaboard Airline. are prime factors in
the upbuildinE sof the South, the South
erns prosperity and growth and its pres
ent condition must in great measure be
a reflex of the prosperity Of the territory
which it trayerses. zss-s.;
In response to an inquiry as to the lead;
ing features Of the Developments Of the
Southern railway since its formation, in
1894. Mr.. Spencer said:
'The company operated at the close Of
its first fiscal year, June 30, 1895. 1891
miles. It.operated last year 6,756 miles. an
increase of 81 per cent. Gross earnings
have increased 120 per cent. Passenger
revenue within the seven years increased
1917 per cent; freight revenue increased
1906 per cent; tons of freight hauled one
mile Increased .1,579375, or 1887 per cent.
The equipment Of the company increased
5o.4 per cent; freight cars increased 83.2
per cent.
"since the formation Of the company,
In 1894. it has added to its important
ter1nini the cities of Norfolk, Charleston,
Savannah, Jacksonville, Mobile Memphis.
and St Louis, and the renewal Of the
lease by the Cincinnati, New Orleans
and Texas Pacific Railway Company Of
the Cincinnati Southern railway, practi-
cally makes permanent the position Of
the Southern at Cincinnati. This places
the company in the position Of furnishing
transportation between substantially all
Of the important business centers situated
south of the Potomac and the Ohio rivers
and east OF the Mississippi.
Possibly the most striking and Inn
! por+ant fea ture in the company's pro.
gress in eight years has been the rapid
uevelopmenI Of local traffic and local in
| dustries along its lines. AS Illustrative
of this, the number of cotton spindles
lines IN 1884, @as s6 tha TIM cose
OF. the last fiscal year it was about 4,975.-
+ 900, an increase Of 1854 per cent. The
number Of tons Of iron hauled by i the
company from southern furnaces in
creased 1868 per cent; coal hauled IN
creased s1SG per cent.
THE growth Of traffic to and from
Washington has been such as to require
q double track from Alexandria south
ward for distance Of about eighty miles.
This Improvement is now being made,
and a. second track must soon be added on
other important portions Of the line:
been more than doubled; Grades have
been reduced, and curvature has been
lessened; bridges have been replaced by
been built and other costly improve;
| ments have been made and equipment
has been added, all to meet the demands
Of increased traffic and yet the !, faclli-
ties are apparently not up to the re-
quirernents OF the situation. The ex-
| penditures it seems, must go on.
.But with all this Increased activity
growth, and expenditure a marked change
| operations, from the effects OF which
no company is exempt-viz., the large
| additions to operating expenses in I'm
creased cost Of material, higher wages
mand of q prosperous and exacting pub:
lie for higher class accommod tons. both
! passenger and freight. coupled at the
same time with resistance from almost
every quarter to any increase in trans
isportation rates but, on the contrary, =
insistence from many quarters for still
further reductions. 81 SEQ;
There is a limit to the ability OF rail-
Sways to sustain. tn ennselves under steady
increases in the rate OF expenses by mere
increase In volume Of traffic and with.
out any increase in the rate q. compsnt;
sation for the service performed. !;
ina tCOIne
this will be. Of course, remains to be
seen. but the problem to railway owners
and managers Is at present g serious
one.