The Birmingham age-herald., 1905-11-27
SOUTH AND NORTH
 DATA INTERESTING Both Earnings and Operating Expenses Have Increased ADJOURNED TILL NEXl JUNE Net Earnings for Fiscal Year Were $751,42o.33-Pending Litigation
 Causes Long Adjournment.
 History of the Case.
ADJOURNED TILL NEXT JUNE

in the annual report of the president of the South and North Alabama railroad, made at the meeting of the stockholders yesterday afternoon. The earnings for the time increased s241 ,573.9O to s4054,7992 27. The operating expenses were $3303,S7S.9 .94, an increase over the previous year of $134, 467 .S4. The meeting yesterday was the regular annual session and a special session ad- journed over from last June. It was presided over by J. L. Hall, president of the Merchants and Planters Farley Ma tional bank. It was at once contended by Phares Coleman and s. H. Dent, attor neys for Henry B. Gray, minority stock holder, that the stockholders could do nothing as they were laboring under an injunction of the courts to prevent the stockholders voting on certain proposi- tions. which, it was contended. estopped any kind of business at this time. How ever, they did go far enough to adopt the annual report after which they adjourn ed to the third Saturday in June.
 The Annual Report. i The report of the operations of the road for the last fiscal year presented the earn ings and expenditures in tabular form. After the meeting 1t was turned over to the law department of the Louisville and Nashville and will be put in form for the printer, printed and sent out to each one of the stockholders. It is shown that for the year ending June 30, last. the gross earnings were s4O54,7ss.27. as com pared to s3,s13,225.s7 the year before, the increase being the sum of ;241,57s.9O.
 The operating expenses were $3,3O3,378 .94, as compared to s3 16s. .911 10 in 1904. the in- crease being Hs4,4e7.s4
 The net earning for the period were s751, ,42o.33, compared to $644,3l4.27 in 1904 an increase of s107, 7,1O6. .O6.
 Some Detailed Figures.
 Of the earnings reported $S,134,11O 46 was for freight, and s764. .465. 99 passengers. the balance being express, mall and .miscel- laneous. The freight earnings in 1904 were s2sS1 Ill .1s, and the passenger s6s6,2 .Ol
 Included in the expense account are the | following items of cost Mainteance of way and structure, 1905, $723, 701. .22, 1904. SCOT 96; maintenance of equipment s64s 991 50 for 1905, and S656, ,S23. 70 in 1904 l Conduct of transportation in 1905 cost the
 
 Other expenses were noted at sss,s64 SS last year and s7sS73.5o the year before.
 Cameron Director.
 At the meeting of the directors imme- diately after the stockholders adjourned W. J. Cameron of Birmingham was elect ed to succeed E. B. Joseph. deceased. A. M Baldwin was chosen to the place of trustee of lands made vacant by the death of William Berney. It was the time for the election of directors, but this was not done because of the tangled con- dition of affairs brought about by the litigation now on. The directors present were B. J. Baldwin, F. M. Billing, Samuel Blackwell, H. r. DeBardeleben John w. Durr. l.. M. Falk, J. \. Han w. A. Gayle, W. T. Northington and w. B. Tanner. The old officers were re- lected as follows: President M. H. Smith. president of the Louisville & Nashville; vice president. J. M Falkner, district counsel for the Louisville & 1 Nashville; treasurer. W. W. Thompson; secretary. G. w. Craik; assistant secre- tary, J. H. Ellis, secretary of the Louis vile & Nashville; general manager, B. M Stalks. and superintendent T. E. Brooks, who hold like positions with the Louis vile & Nashville,
 The directors also adjourned to the third Saturday in June.
 Pending Litigation.
 | There is much of interest at this time ali over the country about the affairs of the South and North. Ninety per cent of the stock is owned by the Louisville & Nashville and it was intended at the meeting last June to sell the road to the | Louisville & Nashville. However, Henry B. Gray. of Birmingham. a minority | stockholder. objected to the sale on the grounds that the majority had no right to force the others to sell if they did not care to. and that the price proposed to be paid was below the value of the se- curites. Things then went bag and bag gage into the courts
 | The first move was made by the South | and North. when 1t filed in the chancery court at Birmingham bill seeking to have the Louisville & Nashville make an accounting of the operations of the South and North. Henry B. Gray thought he | saw a mouse in this and filed motion before Judge A. D. Sayre of the city | court of Montgomery, to enjoin the pro- ceedings sought in the Birmingham chancery court. also as a minority stock holder. seeking to force the Louisville S Nashville to give an account of It's stewardship of the South and North. The injunction was granted. but no more. | Grays attorneys then tried to have re- | ceiver named which Judge Sayre refused. and at the same time he refused to dis solve the injunction against the Birming- l ham proceedings. Boln have appealed, Gray on the refusal to have a receiver named and the other on the refusal to dissolve the injunction.
 | Recently the Gray forces filed a bill for quo warranto to force the Louisville and Nashville to show cause why it. for 1 eign corporation, operated a domestic 1 corporation. such as the South and North l is The defense demurred on the ground that the bill was not specific. but was overruled and the answer will be Hled in few days.
 Big Interest Charge. 1 Speaking of the history of the North and | South, which extends from Decatur to Montgomery. Mr. Craik. the secretary, said today: "The road Is very expensive to maintain. It was built when there were none of the modern appliances for con- struction and at the maximum of cost. 1 The rails cost more than ,so ton fog tue | first track. and everything else in propor- | ton. There was no modern machinery such as steam shovels, adequate blasting material and many other things which make the building of line vastly less costly now. All this has made the bond interest so large that it is hard to keep it up. This end of the expense account l Is so large that it offsets every other thing we are able to do to make it come" s. H. Dent. representing Mir. Gray and the other minority stockholders. said to- day that the cases would likely get to ( tlesa me fv,oo