New-York tribune., 1909-09-22
READING SYSTEMS YEAR.
Small Decrease in Total Surplus Earned
Causes Of Railways Lessened Gross.

The report Of the Reading Company, the Phila-
delpha & Reading Railway Company and the
Philadelphia and Reading Coal and Iron Company
for the fiscal year ended June 80 last issued
yesterday. II shows total surplus earned by the
three companies of SsO41s14, against s944s,752 for
the preceding year. Gross receipts of the railway
company for the year S40.2S7,261, decrease
$2Ss7 S34: operating expenses $2S s567s and net
earnings S6,445s2. comparing with s17,2o62 299 for
the fiscal year ended June go 1908. Deducting ap
propratons for additions and betterments of S,So5
10, nearly twice much In the preceding
year, and fixed charges and taxes of so,O76814 the
surplus appeared s4559.54s The receipts of the
coal and iron company were S24 1872. .694, against
S3s 0442O the preceding year: expenses, S22 2O5
$50, decrease OF S225s93, and net earnings s2,74s
s25. The surplus after deduction of S2679.s51 for
work at coeries. interest debt to the
Reading company, depletion Of lands fund and the
meeting Of fixed charges and taxes, s66,974,
against s27,523 in the preceding year. The income
of the Reading Company $9076,155 and the net
earnings were s9O42, $50, comparing with s7.4S5143
year previously. Fixed charges and taxes were
s4626,7S, leaving surplus of s4,45.395, against
SS95,5S9 for the fiscal 1905 The total surplus
OF the three companies June 90 1909, stood at
SIS 1870 increase of s2,9692i5 the amount
shown a year previously.
Concerning the decrease in gross revenue Of the
railway company the report says
The comparative loss of revenue, amounting 70
$IS045 from the transportation of anthracite and
bituminous coal during the last fiscal year was
actual and resulted from the decreased production
Of coal in l&@-'09 compared with 1901-'Gs, due
country. The comparative reduction of other
come from sl76205l to STOLE loss Of 1921 .342
depression of business the number operated
nS otber rafIrnald ,,,l,i re M ~ 10" ~ ul'oII ta reS
duced during the last fiscal and the further
tact that the received by this company for the
use of such by other railroad companies was
TedgSed from 90 cents TO % cents day from April
enue, however, being that from outside operations
| changes that made during the year in the
system Of accounting prescribed by the Interstate
extent. offset. under the system of account
ing. by a comparative reduction of expenses
on the whole. results of the OPERATIONS Of the
company for the last fiscal year are very salts
Of The business of the country. and they show
| that Is very encouraging.
The railway company paid out during the year
/ s65o94 in pensions TO 2os employees. Commenting
on the outcome OF the litigation instituted by the
company 10 test the consttutionality Of the Penn
sylyania two-cent fare act which suit was won by
| the company the report says:
| Upon the fng OF this decision. the announce
nent was made by the company that on July 1909.
the basis in effect prior TO october 1907. the date
upon which the act referred 10 became effective.
the company was obliged TO conduct an expensive
litigation. and was compelled 10 operate its pas
senger business during the whole of the fiscal year
ended June 80, 1909, and for the nine months pre-
ing 10 the evidence submitted TO the court. than
the service justified. and that were less than the
court decided the company legally entitled TO
charge.
For the last fiscal year the total production of
anthracite coal from the lands owned, leased and
controlled by the coal and iron company was I0-
1896 tons. compared with 11914.15 tons for the
preceding year The company mined 9.2S3 SOL tons.
The cost Of coal mined and purchased during the
year was &c cents ton higher than in the preced-
ing year and the price realized on all sizes 8
cent a ton higher
The amount of general mortgage bonds outstand-
ing of the Reading Company was increased during
the year by sI.O6900O The company has sold the
Issue Of $l.5OOG)O New York Short Line Railroad
per cent first mortgage bonds, which il had held
I'm it's treasury. The Reading Iron Company in
January of this year paid extra dividend OF
81 10000 to the Reading Company. the receipt OF
which relieved the latter corporation from requir-
ing as large dividend from the railway company
"A had previously been paid. and left the railway
company free 10 pay out of earnings the expense
of track elevation in Philadelphia without greatly
reducing its surplus