Omaha daily bee. (Omaha [Neb.]) 187?-1922, 1908-03-24
REVENUE OF THE RAILROADS
Panic Did Not Have Disastrous Effect
So Generally Believed.
OFFICIAL FIGURES ARE GIVEN OUT
Interstate Commerce COmmissioneE
Lane Makes Statement Concerning
Earnings of Lines for Last
Three Months of 1907.


orally in the railroad and Industrial situa-
tion Of the country, according to reports
made by the great railway systems of
America to the Interstate Commerce COM
mission. These reports are to the effect
that. while the railroads suffered to some
extent by what has come to be referred
to as the October panic" the loss was
by no means so serious as generally has
been supposed.
1t appeared from the reports that the
effect was felt particularly by the eastern
lines and by the lines in the southeastern
part of the country, a few of which were
embarrassed. not only by a falling off of
revenues, but by their inability to obtain
ready cash with which to carry on inn
provements which they had begun, while
the western lines and the transcontlnental
roads have not suffered materially from
the financial depression. The figures avail
able to the Interstate Commerce commits
sion indicate also that the general condi-
tion in the country is improving materially,
with a prospect that it soon will be normal
or better.
Franklin X. Lane, Pacific Coast member
Of the Interstate Commerce commission,
has made careful analysis of the figures
submitted by the railroads themselves to
the commission. Mr. Lane was asked what
loss the railroads of America had sustained
from the October panic" He replied that
the railroad situation the country over is
not imminently a serious one at the pres
ent time
Falling on in Revenue Small.
There are no figures accessible by which
a definite answer to your question can be
given" continued Commissioner Lane.
From the figures available to the COM.
mission, however, it does not appear that,
taking the country as a whole, the rev.
enues of the railroads have fallen off to
the extent that generally is believed The
Interstate Commerce commission now calls
upon the carriers subject to the act to
regulate commerce for monthly reports OF
their revenues and operating expenses
such reports began with the month of
July last, and have the figures compiled
by Prof. Henry c. Adams, our statistician.
as to a number OF systems which NAV be
taken as representative of the railroad
systems of the entire country. These sys
TENS are:
New York, New Haven & Hartford.
New York Central.
Baltimore g. Ohio.
Pennsylvania, east and west of Pitts
Southern Railway.
louisville & Nashville
Rock Island.
Atchison, Topeka & Santa Fe.
.".Shiesgo. milwaukee, q st. Paul
southern Pacific.
Great Northern -s~
Northern Pacific
During the three months, July. August
ana september, the total operating rev.
enues OF these roads amounted to $s99,OO0.-
OOo; Tor the panic months OF October, No
vember and December, the total revenue
was $S76,OOo,0OO. The freight revenues of
the systems nan ID were, for the first
quarter. 264,0o0OOO, and for the second
quarter, $259.0OOOOO The freight revenues
for November were larger than those for
July or September.
These systems, during the last six
months of 1907. received from Messenger
and freight revenues a grand total oS
FH5OOo0Oo. which is $540OOO0O more than
they received for the same period in tha
preceding year 1906: and their net income
from operation in 1907 was si4OO0OOO mora
than in 1906 These figures certainly do
not indicate that. either owing TO Iegisla-
tion or the panic, the railroads of the
country as a whole have been put in finan-
clal jeopardy. 1t is true that during 1917
there was great increase in operating
expenses, owing to general Increase in
wages; but, allowing for such increase
the larger volume OF traffic ana greater
revenue derived therefrom yielded a
larger net return to the railroads.
Western Roads show Increase.
study OF these figures shows that the
panic, so far as II affected the railroads
extended but slightly beyond Chicago to-
wards the west If we take the trans
continental roads reaching to the Pacific
coast, we find that every one of them
increased it's gross operating revenues dur
ing the last half OF the year. 1907. Re
ginning with the Great Northern, which is
near the Canadian border, and coming
down the Pacific coast TO the Mexican
border. thus including the Northern Pa
cific, the Southern Pacific and the Santa
Fe systems, each one Increased it's total
operating revenues in the last half of 1907
over those revenues for the last half OF
1906, while the net income was in some
cases Increased and in others slightly de-
creased; the net income from operation in
each Of those lines being, Santa Fe, Ss.-
10000; Northern Pacific, S1s,OOO, 900; Great
Northern, $l3oOO.ooO. and Southern Pacific.
Sh.OOoOoo for the six months. Taking
freight revenues alone. the Santa Fe sys-
'eHs tut instance, SHOWS larger freight
revenues in December than in July or Sem
tember; and the Southern Pacific's Decem-
ber freight revenues were but a few thou
sand dollars less in that month than I'm
any other month. excepting October and
November We find, therefore, no alarm
ing condition presented as to the trans
continental lines.
Coming this side of the Rocky noun
tains we see that the Rock Island. not
Withstanding the state legislation to which
II has been subjected, increased its revenues
during the last half OF 1907 over those Of
1906 by over 100000. The whole OF its net
income from operation. S17.OOOOOO. was over
100000 less than for the corresponding
six months Of 1906. The Chicago, Milwaukee
& St. Paul shows decrease OF approxi-
mately $4,000 in operating revenues. ana
the Northwestern system an increase OF
about the same amount. although the Nil
waukee's net income was larger in 1907
than in 1906
In Trunk Line Territory.
Moving still further eastward into
Trunk Line territory between Chicago ana
the Atlantic seaboard we discover that the
New York Central. the Baltimore & Ohio
and the Pennsylvania lines both east and
west OF Pittsburg, increased their total
revenues for the freight and naasan0ar