The Fulton County news. [volume] (McConnellsburg, Pa.) 1899-current, 1907-12-19

The Directors OF the InterborOugh-
Metropolitan Company have come to
recognize that the loss of fares due
to dishonesty of conductors and their
failure to collect is the most impor-
tant factor with which they have to
deal in reorganizing the surface rail-
ways of Manhattan and the Bronx.
This realization has come to them
as a result of Investigations that
have been going on for months of
the extent of the pilfering among the
men, and 1t is one of the reasons why
the traction managers look with par
of the Montreal, or pay-as-you-enter
car, on the Madison avenue line, for
this car is supposed to make dishon-
esty on the part of conductors as
near an impossibllity as anything can
be when a mere mechanical device Is
Ditted against human ingenuity.
Several months ago there was
Ease in the divorce courts here which
opened the eyes of a good many of
ihe h-Metropolitan direc-
tors who had not previously looked
into this phase of the situation. The
wife of a New York City Railway
conductor was suing for alimony, and
in her bill alleged that, although her
husbands salary from the company
was but SIS a week, he ought to pay
alimony on a $50 a week basis, as
he knocked down" $35 a week on
the side. There was a disposition to
believe at first that this was an exag-
geration, but subsequent results have
contradicted such a conclusion.
Loss More Than Ten Per Cent.
The official estimate is that the
New York City Railway Company,
under the conditions that prevail at
present, loses more than ten per cent.
of it's gross income by reason of the
loss of fares through dishonesty and
failures to collect. For the fiscal
year ended June 80, 1906-the latest
for which figures have been issued
in detail-the gross earnings of the
New York City Railway were S21,-
937,943, its operating expenses S12,-
624,7S2, and its deficit, after paying
charges including the rental of seven
per cent. on the stock of the Metro
politan Street Railway, was $2,212,-
997.
1t has been testified in the inves-
tlgation of traffic conditions by the
Public Service Commission that the
deficit was over 100000 in the
fiscal year ended June 80, 1907, after
the company had paid it's rental OF
$500, 900. Inasmuch as the loss in
surplus-all charges having been
paid out of the fares actually re.
ceived by the road-the ten per cent
of gross receipts which the New York
City Railway did not get contributed
upward of $2,000,000 of the aggre.
gate deficit. In other words, had il
been received the New York City
Railway would have earned upward
of four per cent. on the stock of the
Metropolitan Street Railway Com.
pany on the basis of the official esti.
mate.
Applied to the financial condition
of the holding company, the Inter.
torough-Metropolitan, this lost So.
100000 or more of money would
have produced an even more interest.
Ing result. The Interborough- Metro.
politan, according to it's report fol
the fiscal year ended March 81 last
showed a deficit of $1,347,4S9 after
payment of the dividend of five pei
cent. on its preferred stock. Had
the company enjoyed the full receipts
of the surface lines it could have
paid its preferred dividend and have
had upward of 100000 surplus in
addition-not very large amount
to be sure, on 500, 100000 of com
mon stock, but still something bette,
than a deficit of million and a third
after paying the dividend on the
preferred.
discharged For Dishonesty"
What part of these enormous
losses is due to failure to collect
fares and what part to the dishonesty
of employees is entirely matter o.
estimate and was admitted to be sucl
by officials of the Interborough-Met
ropolitan Company, who discussed
the subject yesterday. A compilation
of figures showing the number of con.
ductors discharged by the New YorB
City Railway during the last three
years and half throws a good deal
OF light on the subject, however, and