The Topeka state journal. [volume] (Topeka, Kansas) 1892-1980, 1906-12-17
ASK FOB TIME.
Representative OF the Edison Com
pany Not Ready for Showing.

The representatives of the Topeka
Edison company and the topeka
street railway will ask the ways and
means committee Of the city councll
10 defer action in prosecuting its IN
quiries relating to the earnings OF the
Edison company until L. E Myers,
president and vice president, respec-
lively Of the two companies can come
to Topeka and make an explanation
Based on a report OF the earnings
Of the Edison plant made by E. H.
Rollins and company, bankers, pur-
chasers of the Edison bond issue,
members OF the council are inclined
TO think that the Edison company
owes the city under their franchise
S7OS960. The franchise provides
that 10 per cent on the net earnings
of the plant above ten per cent on the
cash investment shall go to the city
The request OF the Edison company
will probably be granted as tho mem
bers Of the council want to investigate
thoroughly before a suit to recover the
amount alleged to be due is begun. It
will take much investigation before
the facts are finally determined. mem
bers OF the council acknowledge
The plant has cost the present own
ers S55O.OO0 this is the assertion or
men who are supposed to know The
present owners claim 1t was $3.50, 900
The improvements it is said cost $780,
600 making a total investment of
100000. The Edison company in
their semi-annual report to the city
give the investment at S943,O09-0O-
Under the last reports filed by the
present company under the law passed
in 1905. receipts for the eleven months
ending with June 80. 1905 were $16S,-
909.3S with expenditures Of s147.O61.-
SO and improvements amounting up to
$134, ASH.
In order to arrive at proper con-
clusion of the relative values of the
1svo reports made by the bankers and
the owners of the Edison com Dany the
city council may have to engage an
expert accountant to so into the ac-
counts of the company and discover
for itself what is rightfully due To-
peka.
It is believed that the bankers re-
ports have been slightly colored in or
der e put everything in as favorable
a light as possible for the intending
purchaser of the bonds. While 1t is
claimed on the other hand that the re-
ports Of the company filed with the
city are too conservative
F. q. Dreaming, city attorney, raw
ors bringing a suit in the name of the
city against the com pany to recover
the percentage due and owing.
The statement of F. H. Rollins &
Company to a prospective purchaser OF
Topeka of the bonds of the company
which has led to the investigation fol-
lows
Dear Sir We are IN receipt Of
your letter Of the 9Th inst. requesting
financial statement Of the Topeka Edi-
son company and the lowest price at
which we can sell you some of the
bonds We inclose our circular got
ten out at the time we purchased the
bonds You will notice the earning
statement covers the years 1903 and
1904 and the first six months of 1905
The gross earnings for the year end
ing December 81 1905. were $173.-
514.06 The operating EXPENSES for
the same period were $94.917 and the
net earnings were S7S.596.65. The an
nual interest charges are S35, The
operating expenses include taxes and
insurance. The earnings for the year