The Fairmont West Virginian. (Fairmont, W. Va.) 1904-1914, 1910-11-29
TB0Il|g
RATE CRITICISM
PRESIDENT OF CANADIAN PAcl.
Fic DISC SsEs THE EFFORT
TO sSEcuR IN C REAsE5 OF.
REVENUEs IN u. IS.

o 9SECU RE Y NC REASE OF.
REVENUES in u. IS. Y iiass,
CHICAGO, Nov. 20. Sir Thomas G.
4 SRaughRes ISL 4 hue siaant OF the Canad
fan Pacillc Railway, has ailayed the
fears OF the American railway man
Layers that their contentious for rate
Increases would receive a setback Il
iihe manag cement OF the Canadian
ltrans.coptinental system was consult.
ed. Sir Thomas in an interview here
said:
y hope that popular clamor will not
operate TO prevent the railroads in
the States from getting what they
reasonably need in the way OF rates,
he said, "as a vast amount Of apital
is required to enable them to give the
service expected. This can only lie
supported and secured by adequate
revenues"
The fact that the Canadian Pacille
railway operates on freight and pas.
senger revenues which are practically
the same as those I; In the United
States, that Its, per ton mile rate
shown by the last annual report is al.
most tdentically the average. per ton
mile rate of American railways, and
that the Canadian system has extin.
guished Its bonded Indebtedness, bull:
several hundred miles of extensions
each year out OF earnings, and I, In
creased Its dividend to stockholders
to per cent, have been rather. ,tro,,,
bling 1.-THE American management.
President Shaughnessy made 1t plain
that no Interpretation OF his corr.
pany's last annual report which, would
be embarrassing to American railways
need be expected, a i X z.
The Canadian Pacific reported on i
mileage of II ,O03.7, s)i dalso upon its
ocean, lake and river STEAMSHIPS. Nh.
balance on June. 30, s91c, Showed tn.
only remaining bonds to be the rern
nants Of tire issues, totaling $50,
621 ,966.66. The outstanding capita.
stock was S1S0,O00,0O0, including thu
last issue of SS0,00O,000 which wn4
snapped up by investors within a fen
hours OF the offer.
The earnings per ton mile from
freight reported by the Canadian
Pacific in 1909 was 76 cents, thos.
during 1910. Il cents. The to.al nun
Der, OF tons carried one mile were.
7772,ol2, 6S5, an Increase over 1905
OF one billion and a half tons.
The land grant of the Canadian
raciiic has been kept entirely separ
ate from the transportation revenues
The annual report showed sales Roii
tne wearing ending June 80, OF $40
I62,l94.7O, which amount PRACTICAL,
doubled the SURPLUS in the land gran
FUND, from which fund all the costs q
the irrigation projects and other sim
liar undertakings are paid and leay.ni
the freight and passenger operation
entlreiy separate and distinct. Tn
surplus In the land grant fund.- is no,
sufficient to retire all outstanain
bonds and leave a large .emainin;
surplus. - =
1T is perfectly true that there az
many economies remaining to be q;
fected in railway management as /,
any other business" Sar Thomo
said, "and some leakages that ough
10; be stopped, but the railroads ~
doing everything in their power 10 in
crease efficiency and economy nh
nave Deen more successful in this ,rt
spect than almost any other line
industry. We have spent about 500
vQo,ooo on the Canadian Pacific in III,
iast eight years on such Improvement.
out these require o constant inyes,
ment OF fresh capital before they en-,
oe brought about, and the rates nms
oe suincient TO pay a return on tn,
capital required to make such ece
Monies possible. The same tendenc.
toward increases in operating es
oenses has been noticeable on ON
lines. as in the United States, althous,
ouf net revenues have not yet. bee;
feauced TO the same extent"
IN the ,company's annual repor;
speclhc reference was made 10 til.
land grant funds, as follows: 9Th.
sales OF agricultural land during IN
year aggregated 975, 900 acres, for sl4
ioS'S64.SS, being an average of Sis
per acre. Included in this area wer.
l4o,42l acres OF irrigated land whici
Drought an average of $26.59 her acre
20 mat the average price OF the ba
ance was $12.7S per acre" NIost ;
thls revenue. to the company 10,
comes from Alberta and British r
.umbia. the great irrigation proiec
near Calgary being Of the magnitijd,
20 cost SS.5O0,0OO. 1t will proyiiI.
water for irrigation purposes 70
t,lVO,0O0 acres. All of this work IN
oeen possible through the constant re
tusal Of the, company to Increase III
capital stock beyond the actual ems,
Investments, and at this time the raj
way and equipment is appraised !,
$Sf .226,265.S1,, in addition to wh,c:s
me company has steamships of vain
" SlSS, 460, 1918. securities valued
$o9,o76,971.12, together. with cash /,
Aand amounting to s46,165, S17 O5, an
over $lO,OO0,000 invested In govern
tnent securities. The total assets n
me company We're reported at $52G
!ao,2S9.4S, in addition to which m,
company owns 1853, 722 acres of Ian,
IN the prairie provinces of Wester,
canada, and 4,474,O94 acres in BritlsI
Columbia u u. T5fs u = " - 't ~
The, showing made by the Canadiai
eaeifc hasdbeen regarded as likely II
prove embarrassing to American rail
oads Tor the, reason that the companS
aus quite as much line through apri
cultural regions as any road in IN;
L United States op1 ~ fI,a -.