New-York tribune., 1908-10-07
ST. LOUIS SOUTHWESTERN YEAR
A Small Surplus Earned by the System-In-
crease in Rates Urged in Annual Report

The annual report of the St Louis Southwestern
Railway Company for the fiscal year ehueu On
June 80 last. which was issued yesterday SHOWS
cross earnings for the system OF ss.5S5ois, de-
crease Of s67s290 from the preceding year eN-
,,enses cf S4SsI40 comparing with S6ss56s2 in 1901
and net earnings OF s2Iol sos decrease OF $i.@,-
7ss The Increase in expenses was St9',44s' Which
WAS largely accounted for by the inclusion IN Inc
1905 report OF SS3lg7o covering charges OF oepreca
ton on all classes equipment in order to provide
a ranlaoer,e7t fund no such charge having been
included in the 1851 report
After deduction Of taxes and fixed charges anu
allowance fer sundry credits and debts. balance
ss shown OF S23l 02s against S571,4s7 in 1907 the
total rroft and loss surplus Of the system now
standing al 8 594 40 The income account of the
St Louis Southwestern Railway proper for the
fiscal year shows operating expenses OF s6-2i5o0li
expenses s. e0s 12s: total net revenue S266V4o ana
q surplus for the year Of sss5. 7o3. which equals
nbcut per cent earned on the 100000 preferred
stock.
In his annual report President Edwin Gould says
An Improvement Is now manifest in the general
situation, and tie railroads apPeP 20 'S 5,ner ~
sfendsnR with the public Doubtless much OF the
Inv he several states has been due to miscon-
ception Of the ultimate results In dealing win
srv 81 hearty cooperation between the railroad
and other business interests, as necessary Ii LOT
their common success and prosperity. During
the month Of August 1898. TINS company ana
other lines operating in the state of Arkansas
,aetitioned the United States Court for renet
against the enforcement of the reduced freight
nc Messenger rates prescribed by that state. A
Temporary restraining order was issued on sep
fenrer , 1908 suspending these rates, and Il IS
hoped the officials OF the state VIII meet the ran
roads in a spirit Of fairness ana readluSt Tates
@ bot fs4 freg9 9 fag a9q to ali Interests st '
II IS hoped that the active auu-rallroad aglta-
lion Of the last years resulting IN an impair
snent Of the credit of transportation interests
viii in time followed by reaction which VIII
establish closer relations and better feellng be
+ II Britton vice-president and general man
Heer. in his report TO the president urges an in
crease in freight and passenger rates. saying:
Railroads are the largest employers Of labor and
consumers Of material. and the cost OF both has
advanced very substantially in the last decade
Bs has also amount Of taxes paid: the other
hand price received by carriers for transpOrta-
fiof tSfe commodity they have TO selD has SUB
stantially decreased, and in the face Of these wen
established facts the carriers clearly and just
10 enable them 70 pay fair wages TO employees,
maintain she property 70 admit OF its safe
end economical operation, and yield a proper re
investment. II Is hoped that the active
enti-raroai agitation Of the last few years. re
s,,lffnR in the Impairment Of the credit OF trans
poTtatlon interests, viii in time be followed by a
reaction which will establish closer relations ana
q better feeling between the railroads and the
people The demands of the public for safe
rrands ard properly 10 develop the Southwestern
states increased. rather than decreased, trans
pOrtation facilities necessary These results
desired by the railroads and the public alike can
only be obtained by reasonable increases in freight
and passenger rates.