The Birmingham age-herald., 1909-02-16
President Ford Submits His An- nuaI Report to the Stock
 holders and Directors
PROHIBITION, STRIKE AND
 PANIC ALL HAD AN EFFECT
Mr. Ford States That His Company for the First Time Is Making Public All Operations of
 the Company.

The annual meeting of the stockholders and board of directors of the Birmingham Railway, Light and Power company was held yesterday morning in the offices of the company. All the old officers and di- rectors were reelected
 President A. H. Ford submitted his annual report which was accepted. MT. Ford stated yesterday afternoon that in giving out his report for the first time in the history of the company he was set ting forth some facts and statements which were in line with the extensive publicity campaign which the company has been conducting for some months, and that the report touched on many matters of interest to the people of Bir- mingham.
 The report of Mir. Ford goes into de- tail and published below it gives the facts and statements that were presented to the stockholders and board of direc- tors. Mir Ford stated that he was thus taking the people completely into his confidence. and giving them the same in formation that he gave his directors. Of the 10000 shares, 6O,s36 were repre- sented
 The report follows:
 Birmingham, February 15, 1909. ! To the Stockholders.
 Gentlemen: The year 1908, just closed has been unique in the history of your company in that it is the first time the gross earnings have fallen below those of the previous year. This decrease has been brought about by combination of events which affected our revenues unfavorably namely, business depression, prohibition and the coal miners strike.
 The business depression, beginning in October, 1907, continued throughout 1908 with very little change for the better, and the effects of the same were very seriously felt in all departments and were principally responsible for the de- creases shown. This period of depression is now passing away and we look for a better showing in the future.
 Prohibition went into effect in Birming- ham January 1, 1908, and although it has benefited us in other directions, itseaused a large reduction in the revenues of our electric and gas departments, due to the removal of number of electric signs and fans and the discontnuanee of light ing service to saloonkeepers, who were very free users of electricity and gas for | lighting purposes. We estimate that the | loss for 1908 in these two departments | Aioih tillS cause was 9fOiVUVs AS d cOnSe- I quence of the closing of the saloons, soft drink stands and pool rooms have been l opened, from which we have obtained a certain compensating revenue. The coal miners strike which occurred 1 in July and August further impoverished the people of the Birmingham district and as a result the receipts of our eom- pany suffered another decline in all de- partments.
 part of the decrease in the electric department may be attributed to the in troduction of Tantalum and Tungsten lamps which are displacing the carbon filament type, these lamps supplying the same illumination at considerable say ing in Current consumption. In this branch of the business the receipts fell off $25, ,794.72 or 4.S7 per cent.
 The steam heating department Is un- dergoing a reorganization by the adop- tion of meter rate in place of the fiat rate system. On October l, 1908. all cus- toners were placed on meters and charged according to consumption. This rate has worked out very satisfactory since be- ing adopted and tends to make the GUS toners more economical in their use of steam avoiding the waste of heat when not needed, thus reducing the cost of supplying the service to them. At the present time our patrons are paying for steam on this basis and in nearly every case the new method is giving entire satis- faction and to many is proving cheaper than the flat rate l confidently expect complete satisfaction on the part of our customers with the further operation of this department of our company.
 Expenses.
 Even in the fact of the discouraging decreases in revenue during the past year, we have been able to show considerable n in of tla company without curtailing our service to any appreciable extent or cutting any salaries or reducing wages.
 There are two very important items entering into the expenses of our oper- ation over which we have no positive control The first of these is the re- newal and repairs to the property, called maintenance for which account we are compelled by our mortgage to expend ten per cent of the gross receipts and the second is damages, of which I will speak in more detail later on. This con- dition in the mortgage was inserted for the purpose of keeping our equipment and property up to the highest standard at all times and our expenditures for the account in 1908 amounted to $216, ,755. Al.
 Power Plant.
 Large savings have been made possible in the operation of the power plant from several causes. The most important of these is probably the completion of con struction work which has been going on for the past several years, the plant now being in such shape as to permit of the most efficient and economical oper- ation.
 During the year the fuel account shows a de rease over 1907 of $70, 0,35O05 or 25.75 per cent This great reduction was made in spite of the fact that during July and until the latter part of September while the coal strike was on we paid excess sive prices for coal and the further fact that railroad demurrage charges amount ing to $lS50 were paid on fuel which was purchased and held in order to be pre- pared for emergencies during that period.
 An advantageous contract entered into in the latter part of 1908 for coal espe- cially adapted to chain grate operation oli the basis of chemical analysis and heat units. a premium being allowed or a penalty charged according to analysis of all deliveries made. On account of the strike we were not enabled to receive the benefits during 1908 which will accrue in the coming year from this contract, but we are well satisfied with the terms of the agreement and the company ex- acting the same.
 In addition to the fuel account large savings were also shown in the other power plant expenses and still further reductions are anticipated. The power house decrease, in toto, was sss.547. .21 or 23.6 per cent
 Railway Department.
 In the railway passenger department the schedules were not reduced beyond . point consistent with good service. all