New-York tribune., 1909-03-02
P. R. R. ANNUAL REPORT
OPERATING COST LOWER.
Large Loss an Gross Earnings Not
FuEIa ShO7cn IN Net.


psny for the last Calend3 year shows for all lines
directly operated gross earnings Of SlS62SS.S7l
against s164 2S25 in 1907 and Sl4S239S2 in 1896 Net
earnings we're s34Ss5g7S. a decrease OF s633o.435
compared with the preceding year. this relatively
small falling of in comparison with the heavy loss
in gross of s2S515,a54 being due to reduction in
operating expenses Of So, 1s5.520
Total net income after charges was SIS, $50,
against S3355O56 in 1907 and after other expend-
lures there was available for dividends S9.5Sis1,
from which was paid to stockholders S6Sl5,60 Is
per the capital stock outstanding. against
per cent in the preceding year.. leaving surplus
Of 1853 131. Payments before dividends Included
s. 7S9. PCS on Of the maturing principal OF
car trust certificates. s3.5Ss.sS0 applied toward
the extraordinary expenditures of the year and
81 000O00 toward the cost of the New York tunnel
extension.
The extraordinary expenditures for the year we're
limited to such as were necessary to complete work
already under way. and were confined in great part
to the extension the fourtrack system and other
necessary improvements in connection with proper
transportation facilities. The aggregate eXpendi-
lures for construction. equipment and real estate
on the main line between New York and Pittsburg
including s7.52372 account of the principal OF
car trusts and s5S0enO water trust certificates.
were 1858 .159 of which S.64s265 was charged to
capital account s32S 47 against the income OF the
year s2o4 462 against profit and loss and S2l2So84
against the extraordinary expenditure fund
CALLS PASSENGER RATES TOO LOW.
The number Of tons of freight moved the FIVE
divisions
1s2. .4S036l decrease OF 474e.13 or 1Se2 per cent
the number Of passengers was 51.5S05S3 decrease
of 5.g763oo. sS7 per cent. The average rate re
oeived for transportation Of passengers vas less
than mile. and in this connection the
report says there can be question that the
RAILWAYS are not receiving a reasonable CCmpense-
for service performed and for the comforts
and facilities furnished the tre1 elng public, or
one sufficient TO afford fair return on the capital
invested in this branch Of their business Further
the report says:
1t is gratifying TO note that a more conservative
spirit prevails in both the state and national legS
latures in regard TO the undue regulation Of rail-
roads and that the tendency Is to defer turther
t asoTan pP the acs 9 eo Of 1 the of sRs now in
ms o1ia t 1 ertslrZ 1Ii{7 70 hose m ubo in in
good faith invest in such enterprises. and from
enable the ra=irosd companies to furnish the saoi-
ties REQUIRED for the acconnooa tlon OF me pulc;
such investments unless they receive the same pro
lection that is accorded the owners Of other prop
erty.
In the wear there vas an increase of S3s 272ro IN
the amount Of consolidated mortgage bonds out
standing due the issue of S3s +1Ho Of those Sc
curfties $4,000 Of those maturing May l. 1913,
which were retired under the sinking fund provi-
sions Of the rnortga ge. On the balance sheet are
slso carried s747s 80 Of trust certificates guaran-
teed by the company in connection with the pur-
chase Of the Of the New York. Philadelphia &
Norfolk Railroad Company, and also the bonded
debt OF the Bald Eagle Valley and Junction rail
roads. which have been absorbed.
Eight hundred and forty-one thousand dollars Of
the bonds issued under the general mortgage of the
United Railroad and Canal Companies Of New Jer-
sey. and forming part Of the s21,6oocoo secured
thereby, having natured September /. 1905, were
rsid off. and equal amount Of per cent bonds Of
that date. running for forty years, was issued in
lieu thereof under the provisions Of the mortgage
The cost cf the securities Of other corporations held
by the company on December 81, 1903. $2S2 0s4.
Tq5 as and the direct received therefrom IN
the year s1L287.7i3 S. being ass per cent upon
the cost thereof The increase in cost is 10 the
acquisition OF the stock of the New York Philadel-
phis & Norfolk Railroad Company and 10 the Sc
curitfes received from the Pennsylvania Con1pany
or account Of its contribution toward the cost Of
construction Of the New York tunnel extension
NEW FINANCING PLANNED.
The cash in the compsnys treasury. in all proha-
biIitv will be sufficient TO meet capital require
ents in the year, but il viii be necessary
to make provision for the $50 10000 short tine notes
maturing March Is, 1910. well for the 10000
general mortgage bonds which mature in July OF
| the same year. To handle these requirements
| authority will he asked at the company's annual
meeting to issue obligations to the extent Of Sso.
| o106oO
| the report says:
The progress upon the tunnel extension into and
through New York City has been very satisfactory.
year so that at present there is every reason 10
anticipate its completion during the summer Of
| On the section between the point of connection
| of Newark (Where the transfer yard is being
built, for interchange of traffic between this dtyi
4 sion and the tunnel extensionl, and the Hudson
River the enbankments and bridges are, construct
ed. with thu exception of the draWbridge over the
| aackensack River, and the excavation and
crete lining Of the Bergen Hl tunnels practi-
! cally completed Between the Weehawken shaft
| on the western bank Of the Hudson and Ninth
! avenue, New York, including the open western ap
/ proach to the New York station at Seventh avenue
and 33d street. the excavatfo is practically fin
ished. and large portion of the concrete lining Is
| in place
The steel structure OF the station is almost
I IL half nf s-ifa ie
in place, while substantial progress has been made
! in connection with the station facilities. The
crosstovn tunnels between the station and the
| East River, and those under the East River are
ready for the laying OF the tracks
The work in Long Island city. embracing the
tunnels from the east side of the river to East
ana Borden avenues, Is finished, and that east Of
East avenue including ths approaches 10 the
Sunnvside ward and the erection of The bridges
over the same. is well under way. The electrfca-
ton Of the tunnel line and the track laying. sig
Mailing, interocking and construction Of the
sary yard and terminal facilities viii be actively
prosecuted during the current year, z well the
work the New York station.