The Pensacola journal. (Pensacola, Fla.) 1898-1985, 1909-08-27
When Railroads Lose
The Peoples Confidence.

So soon as railroad presidents and
the heads Of other corporations will
awaken to the fact that there is a
certain duty due to the people at
large as well as to their officers and
stockholders, a very different state
Of things will exist in the economy Of
the states and of the nation. The
narrow mind that centers the world
around its own peculiar interests is
the greatest menace we have today
against the maintenance Of the re-
public.
To Pensaeolians this truth has
been peculiarly emphasized by the
revelations in the recent inquiry of
the state railroad commission, con-
Quoted in Pensacola, to determine
why four cent rate in passenger
traffic over the Louisville and Nash
vile railroad should be allowed be-
tween this point and River Junction.
So far, these revelations have pre-
scented evidence that the road has
exercised remarkable vigilance for
its own interests and paid but scant
attention to those of the section Of
country through which it rms and
from whose people it obtained its
right OF way. It has used engines
almost as old as the hills they are
made to climb with an occasional
rest for the recreation of the train
crew. and yet has juggIed figures to
show an immense expense for loco
motives. 1t has charged up interest,
according to this evidence, on bonds
never sold against the P. and A dt-
vision and among other items has
placed on the debit side of the ac-
count of this fraction Of its big sys-
tenn the large cost of terminal faciI-
tiles at Pensacola, point which it
does not recognize as a terminal in
Its advertised schedules. but which
Is the principal outlet to the entire
system for its gulf and ocean traffic. |
1t is then but little wonder that the |
state of Alabama has arisen in arms |
against the methods of this COM |
pany which while pleading poverty
has constantly increased it's wealth |
md while claiming conhscation and /
'uin should regulating laws be pass
ID has enjoyed a steady advance in |
stock rating on the New York ex-
;hange and made good dividends to |
is stockholders. And the prosperity |
II the road, despite the recent hard |
lines and legislative interference,
las advanced even to such an extent
hat now, according to the last in
ormation, it is ready TO issue some
4O,0O0,0O0 of bonds to provide funds
or new rolling stock, extensions,
tc., etc. And there is, no doubt, alb
olute confidence that these bonds
viii stand well on the market
The Birmingham Herald
Gems to have investigated the bond
ng proposition and in commenting
IpOn it and the financial condition OF
he Louisville and Nashville road has
his to say:
In denying that any water is to
e injected into his company Presi-
.Sut AlIlOn II SnlIl, OF the Louis
lille & Nashville, recently said the
ross receipts of his road for the
ear ending June, 1909, were Sac
61.015. This was 100000 more
han the receipts in the year ending
une, 1906, and in fact the gross re-
eipts in the past fiscal year OF Mr..
smiths road were never exceeded in
IS entire history but once, and that
vas in the year ending June, 1907.
n that booming year the gross re-
eipts did go TO $40 ,S25, 200. That
ecord may be exceeded when the re-
urns for the current year are footed
p. The stock of the road is firmly
eld in the neighborhood of 1870
Ioints above par, in other words.
FOR road in the course of confisca-
ion this is certainly a good show
ng. Complete confiscation might, at
his rate. carry the price of the /,
took to 200. While the common /
took OF the railroad in question is
looming it would look better On
President Smiths part to do less
alking about confiscation. Would il
lot, in fact, be wiser to drop that
ontention altogether, especially when
he latest returns Of gross receipts