The Abbeville press and banner. [volume] (Abbeville, S.C.) 1869-1924, 1907-01-02
RAILROAD PROFITS
UNPREcEDENTEDLY BIG
Receipts For Year More Than
Two Billion Dollars.
net EARNINGS OF ss20,221,S5s
Interstate Commerce Commission Re-
port Shows an Increase Over
1905 of $97,OOO,O0O-Figures
May Suggest New Legislation.

port Shows an Increase Over
1905 of ACKNOWLEDGEMENTS
May Suggest New Legislation.
Washington, D. C.-Nothing short
Of %stupendous have become the earn
ings of the railroads Of the United
States. During the year which ended
June 80, 1906, the gross income of
the transportation companies reached
the prodigious total of s2,319,760,-
030, a sum exceeding by a third of
a billion dollars all the gold and sill
yer coin and bullion an the country.
These Rgures,~ahd others, are includ-
ed in a brief statement given>outsby~
the Interstate Commerce Commits
sion, in advance of its forthcoming
preliminary report on the income &C
count of railroads for the last fiscal
year. This report contains the re-
turns for railway companies 'operat-
ing 220,02S.44 miles Of lines, includ-
ing lines operated under traffic rights.
This is about ninety-nine per cent. OF
the mileage that will be covered by
the final reports of the statistics OF
railways for the year.
OF the grand total Of gross earn
ings, $618,555,S34 represent receipts
from passenger traffic, while $1,640,-
942,862 represent the earnings from
freight. The income from passenger
business was at the rate of $2811.
per mile, and from freight SASS
pei mile. The total gross earnings
for every mile Of railroad during the
year were $10,553. The operating
expenses during the year were ST.
532,163,153, or $6963 per mile. The
net earnings of the roads were $751;.
596,877, or $3.50 per mile.
The commission adds to this
mighty total $132,624,982, the
amount reported by the railroads as
income from sources other than oper-
alton and thus increases the net
earnings to S920,221,859. The net
earnings for the year ending June
80, 1906, were $97,000,000 greater
than was reported for the previous
year.
Againstgthy net earnings this year
were charged as interest, rents, bet
|stprmenty,fta and miscellaneous
itemssthe sum of $509,386,554, and
rs diyidendsy S229,406,59S, leaving
a surplus of $100,4z8,707. The sur
plus for the year ending June 80,
1905, was $~89,043,490.. AS further
evidence Of the prosperity of the rail-
roads, the dividends this year ex-
ceeded by $34,24S,6 05 those of 1905.
Moreover, this preliminary report re-
lates to operating roads only and does
not include the statement of any,div-
idends paid by leased lines from the
income they received as rent. An
idea of what these dividends may
amount to this year may be formed
when it is announced that the divi-
dends declared by subsidiary leased
lines in 1905 were about $35,750,-
900. -.
The taxes paid by the railroads
during the year 1906 amounted to
$6S,903,2SS. The Census Bureau
last week, in giving out statistics
showing the wealth Of the United
States, placed the value of railroads
and their equipment in the year 1904
at $11,244,0 900, 00G. No doubt this
has increased during the last two
years, but even on that basis Of valu-,
alton, the taxes paid by the railroads
last year amounted to six-tenths of
one per cent. on the dollar. The tax
payers of any community need not
be told that this Is many times less
than the rate collected against their
property.
No doubt the figures of the COM
mission will furnish food for much
serious thought on the part Of the
national lawmakers during the COM
ing session of Congress, and may fur
nish inspiration for. further legisla-
ton. Public men who saw the sta
tistics say they justify fully the
passage Of the Hepburn law last
season, giving the Interstate Com
merce Commission power to fix rates.
The marvellous total of passenger
earnings doubtless will be a surprise
to most members of Congress-, and,
it is thought, may lead to a move
ment to make more "just and rea-
sonable'' the rate Of fare charged by
most Of the transportation companies.
That~the commission will be asked to
use it's power under the new law to
secure better and cheaper service
from the Pullman Palace Car Com
pany is already regarded as a fore
gone conclusion.
The gross earnings of the rail-
roads in the fiscal year 1906 were
three and a half times greater than
the total receipts of the United
States Government during the same
period. Uncle Sans income during
the year was S697,101,269, and this
was only sS0,OO0,O00 greater than
the gross income Of the railroads
from their passenger traf6c alone.
The net earnings OF the roads g q
quarter OF q billion CREATE than the
Governments receipts, while the
total gross earnings approxfmated
the, national debt at the c%loseAof the
Civil War.