New-York tribune., 1907-11-02
?. R. R. TO CURTAIL.
P0itcy Of Retrenchment -WM DeIay
Work Here.

philadelphia, Nov declaring that the outlook
,or raising capital next year is unsatisfactory
tbe directors of the Pennsylvania Railroad Com
many have decided to retrench and after their
Tneeting to-day. at which they declared the usual
serannual dividend of u per cent, they gave out
6 statement that economy would be the policy of
she corporation during 1908. The announcement
came somewhat as surprise, in view of the state
ment issued from President McCrea's office on
Wednesday that the present earnings of the com
rany are per cent greater than they were at the
same period last year The statement issued by
the directors to-day is follows:
IN answer to an inquiry about the possible re-
ouirer1eHts of the railroad for 1905, President
Tcrea said that in view of the unsatisfactory out
look for raising capital in 1908 il was in his
20 Continue its policy Of not beginning any new
work or committing the COMPANY TO any capital
requirements except those absolutely necessary to
handle its traffic economically With that end in
,,n5oIbtedly restrict its needs TO a minimum aud
would not push the work ON the New York tunnel
Vigorously as had been done in the past.
This will somewhat delay the completion of the
New York tunnel whole. but progress. on the
Fast River tunnel the erection of steel for the
rtn rev The city Streets and avenues VII ndt bo
materially retarded by the proposed slower ex-
pendituTe
q m TO permit them to leave at 10 O'Clock for
New York inspect the Long Island Railroad and
the New York terminal work Rumor had it that
the directors intended TO the dividend or pay
be interest attached the meeting The drec-
tors however, were in session not more than df-
teen minutes. and at its end the secretary laid all
rumors at rest by stating that the usual dividend
would be paid in the usual way
The company departed from its usual practfca
to-day and made public its monthly statenent he
fore the stock exchanges closed. The statement
for September Of the lines east Of Pittshurg di
rectly operated shows increase in the gross
earnings for September. compared with the same
month last year, of $,&900o: increase in expenses
Of s.S5So0o and decrease in, net earnings Of sas7 :
Go0 The increase in the net earnings for the nine
months ending September 90. compared with the
same period last year, is SG0S goo
Lines west Of PittsburS and Erie directly on
Grated show the following results for September:
Gross earnings increased 1858. 700: expenses in
creased S97oo net earnings increased So 600; ret
earnings for nine months increased 81
It is learned that the statement for the sly
months oat OF which the sem-annual dividend
VIII be paid shows net surplus after all charges
and dividends Of more than SS50oG0o
The action Of the board Of directors Of the
Pennsylvania Railroad announced from Philadel
phia, A is said unofHciay. viii delay the connie
tion Of the New York terminal about six rnoptts
The time set for completing the work was 1goa
ana me contractors have been proceeding dav and
night with three shifts Of laborers The Man nov,
Is to proceed more slowly and probably ,7isrerea
with one shift 1t is said however that the
woTk OF improving the conditions OF Seventh ma
Eighth avenues from 3lst TO SD street where ,ba
traffic has been much interfered with will bo con
tared The let-uD VIII affect only the Pennsv1
wanna s own property. The efforts to remove all
mvoncenienCeS will 90 on
The directors of the railroad will mako an a.,
s!ecuon Of the tunnel to-day