Bisbee daily review., 1910-12-31

thousand league map. and billion dol
 lar assets. has rendered another ac- counting.
 Of the income account figures
 the most striking, as regards the | c7rporat.on's prospects were a gain of i2 per cent in gross and 15 per
 cent in net earnings from operation. l Gross reached the record level of sl35.00o.0G0 and net of 47,o0o. GOO. ] After payments of per cent on ! it's S272 e90.63I stock, Southern Pac- 1 fife bowed out the i2 n nths' circuit
 on June 30.191O retaining as its
 benefit of the acquaintance a round S1s.000O00. This s1S.O0O.009 years income included s4.590.00O extra diyi
 dend on s1,53o,O00 Wells. Fargo stock
 that has since been sold. IL never
 can happen again. Part of the eapi-
 tai with which Southern Pacific
 earned fhe remaining Sl3,5eO. eco
 surp us was proceeds of sale If $S1.- 0Oo 900 bonds convertible into stock ,, at $lSo per share. or the equivalent
 of se2 2.Coo,o00 more of stock. Less
 Wells. Fargo dividend the years
 surplus for dividend was equal to II per cent cn outstanding stock. plus equivalent of the convertible
 bonds. This is not an outrageous re turn
 Reverting 10 prospects. Southern
 Pacific gross should soon be CT wd- ing s2go.00O.o0O year. Much in
 creased tonnage will be developed
 by branch lines into new terr tory. and with the growth of population
 and industry, there will be the con comitant increase of fh Il haul busi
 ness with it's comparatively higher return than that yielded by trans continental traffic. This will go far toward offseting any further reduc-
 tions in transccRtiaehtsl rates. The probability is that. when the flame of rate agitation Is a little older and less urid 1t will be discovered that net earnings increase has clung ia rly close tl gross increase.
 With due respect to income. it is the a'ance sheet that sets forth the extent of empire of Americas first billion dollar railroad corporation. a
 detinctiou by the way which is contributed by the property and mt the outstanding securities side Of the
 balance sheet
 Among the balance sheet chalgeg- during the year that which has
 premier interest fer the investing market .s the reduction of cash on hand from s32.l90.997 to SLEPT 222. Demand loans and time reposits in- creased s5,5s7.376, but even so it is obvi us that Southern Pacific will take advantage of favorable in yestment market to dispose of an additional issue of bonds. As noted here when the company's report is sued. this new financing is likely to take the form of lateral is sue, as on June 30, the company had in it's treasury s1s5,190, ,637 of unp edged stocks and s29 736 300 un- pledged bonds of other companies ss2, ,I25.50o of which were recently released by sat sfacjion and dis charge of the Southern Pacific 2-5 year m1rtgage.
 Second in importance only in the matter of the immediacy Of it's per tent are the company's lands, car ried among it's sl,664, ,il9.Ss0 assets at valuation of s1,90s,95o. As heretofore stated, Southern Pac fic's oil lands al ne. included in the 13,- S7s 9s2 acres owned have salue reliably estimated at over s15e. .00o.- ao0. Government suits to recover a poriicn of these lancs are confined 10 6ie00 acres valued at $10,000, ,00U patented within the past six years. patents to the rema nder having been secured prior to that time. The pat ents ntain clausk declaring them 10 be incontesdble after the lapse of six years
 Another item of interest is South srn Pacif'c's advances of $f2. .103.- 94S to electric lines in Ca ifornia- southern Pacific owns control If the traction system of Los Angeles, a half interest in the Pacific Electric Co. and substantial interest in the Los Angeles Interurbsn Co. corpora tioEs with a net cf electric lines in southern Californ;a
 Advances for construction of Southern Pacific of Mexico lines amounted on June 90 to $s5. .s65. .6oz. with aS2 miles If a total of 1493 miles to be built before May 1s14. The western coast of Mexico aong wh'ch these lines run. z stf'l very sparsely settled. and Mir. Harrimsn ! is said tn have regretted this ven ture after he had personally visited the territory. ssowever. Mexico is gradually emergiAf from the 1gricul tural to the manufactures stsge. . frnnef ~rrunf-on .hfr1. tn ,fwn~~ sk