The Daily Missoulian., 1910-10-13
DISCUSSION \ CAUSED
BY REPORT
ANNUAL STATEMENT OF CHI.
cAGo, MILWAUKEE 4 ST.
PAUL CAUSES COMMENT.

The Christian Science Monitor Sltes
the following statement as to the an
nual report made by the Chicago, Nit
waukcc a. st Paul railway:
There appears To be marked diver
sity of opinion throughout Wall street
with regard to the annual report of the
Chicago. Milwaukee & ST. Paul Rail-
way company. which was made public
last Friday, While many are inclined
to review the results OF the last fiscal
period favorabiy. others are to he found
who maintain that the management
exertcd every possible energy to pre-
sent Its exceptionally favorable show.
ing indicated for II months.
1t will be recalled that the income
account recorded earnings available
for dividends equal to Il trifle more
than per cent of the total ontstand-
ing capitalization Of the company.
while after deduction of preferred
stock dividends there was still bal
ance equal 70 over = per cent Or the
outstanding common stock. This
amount, however IL mot available for
the Junior issue. as, after per cent
,hns been paid on both preferred and
common stocks. the two Issues share
pro ra.a.
IL IN 10 be recalled that the com
rany during the last fiscal period re-
ceived $T5000O from the Milwaukee
Land company. representing years
dividends by that organization. There
was also included IN .'other Income
year and Il half's interest on the chi
cngo, Milwaukee n Puget Sound bonds
that are now held In the treasury of
The st. paul, although the actual
amount paid by the Puget Sound dur
Ing the II months ended June SO last
was but 1866, ,6s7. Prior ~ the com
menccmcnt Of operations by the Puget
Sound line, interest on these bonds
had been credited 10 construction &C
count, the same as was the case with
dit earnings or that company up TO the
beginning OF August, 1908.
Therefore, Ii III argued that were but
one years allowance for interest on
the bonds included In the income nc
count for the fiscal year ended June
40 last and hut one years dividends
from the land company. the st. Paul
would have earned little more than
per cent on It's preferred and common
stock outstanding.
Other critics of tho report are more
inclined To take a favorable view OF
the outcome of operations by the COM
pany for the last fiscal year and main
tain that the showing IL an exceptional
oue. especially as the company passed
through one of the worst winters In
its history, which entailed the outlay
of n large amount of money for snow
removal and repairs Resulting from
bioekadcs etc. while the strike oil coal
minor,, In Illinois absorbed another
81 .00D, 900 for coal which the company
would not have spent otherwise Inc
same interests are cheerful with re-
spect to the future outlook Tor the
company, AZ the crop situation along
It's lines bids fair to he much more
favorable than had been expected u
few weeks before threshing was be-
gun. 1t was said that wheat was
yielding much larger number ol
bushels per acre than was expected
and that the berry IL hard and plump
The outlook for future operations oi
the puget Sound line is said, by those
la
favorable. Tho total report showed
that the total mileage of that company
on June 30 last was In the neignbor-
hood of 1881 miles. At the present
time. hiwever. the total mileage IL 2,D2a
miles and numerous other branches
and feeders are In the course ol
construction. In fact. II IL strongly
intlmated that the Puget Sound com
pany will declare n dividend on IL
siOOO 900 stock outstanding which u
held In the treasury Of the st. Paul
Allowing this ns fact. II IL argued
that tie company Will experience llttl.
difficulty during the current flsea
year IN earnings and maintaining ~
present per cent rate 81 diyihehn
on the common stock.
The balance sheet Of the st. Pan
showed that on June 30 last the com
pany had outstanding bills pasahla
amounting to $t.6000D0, representini
temporary loans. but 1t u understood
TINT this amount will be- paid off an.
completely wiped out on September u
next.
Up TO the present time S32,ooo,oo ha'
BgHU FNhElNtu ,BS Wiz 49, sN1'
stallments on the $4,000, 900 Paris loan
In October the company VIII receive III
additional installment OF ss,oDpppv am
in November the balance, whlcn VII
complete the transaction. II IL calea
lated that by the first of AoSemhel
the bonds will be printed and shipped
to the Paris bankers The delay II
printing these bonds Is said TO nas'
been caused by the difficulty In OBJ
tanning the proper form Of bond, TO
eether with the fact that 1t was neees
eary to print each bond In English ans
French.
November /, the Chicago, milwaukee
a, puget Sound Railroad company WI
begin It's through passenger sersle
To the pacific coast, il is SAID ina
this service would have been stafle'
some time ago had 1t not been Tor III
fact that the company was unapie \
secure the proper number of cars 10
the purpose. Although It mas Dee
stated on numerous occasions liiat VI
management did not contemplate III
handling of very big passenger tfai