The Churchill county standard. (Fallon, Nev.) 1908-1920, 1911-04-05
EARNINGS OF THE RAILROADS
Figures Showing How The Rail-
roads Operating In The
West Are Faring.

Tabulations of the gross and net
earnings for 1910 of 237, 554 miles, en-
bracing practically all the railroad mile
age of the United States, have been
completed and the figures tell the story
of investors shyness regarding rail
roads investments. There was a sub
stantial increase in the gross earnings
of the road in 1910. 1t amounted to
$3.50, 900, 900, or 81 per cent, but the
increase expense absorbed so much of
this gain that the increase of net earn
ings was but SIS, 100000 This was an
amount insufficient to pay the increase
in taxes which were not included in the
figures. Despite the increased expense
of operation it was necessary for the
railroads to extend their lines and
make Improvements, on which they
should have earned some profit for the
additional investment.
The full significance of the present
disinclination of capital to invest in
railroad securities, however, does not
appear in a consideration of the years
business as a whole. Very few Of the
wage advances. which figured so ex-
tensively to the increase in operating
expenses, were in effect before July.
A few we're operative in April but
others went into effect much later in
the year and some of them not until
the beginning of the present year. By
without the additional expense en-
tailed by the higher wage scale and
other increases which accompanied it,
the roads saved enough out of the
sl7s, 0i4, 8l2 increase in gross earnings
TO show an increase of S33, ,433, 1856 in
net earnings. While gross earnings
for the last half of the year increased
S57, 533, 971 over those of the same
period in 1909, nearly all of the salts
factory increase which net earnings
showed in the first half of the year
was swallowed in increased expenses.
This left net earnings showing a de-
crese of $2S, 425, 244 and pulling down
the average of the preceding six months
to such an extent that gain of more
than $3.50, 900, 600 in gross earnings for
the year shrank to comparatively in
tsignihoanr gain Of e5, coo, GOO In. the-aet.
1t required the combined efforts of
all the railroads of the United States
to make this gam in net earnings, and
yet it is insufficient to pay for one
tenth of the new railroad work that
was under construction in Oregon and
Washington alone. The new year has
brought no changes for the better.
Returns are not available for 225, 900
miles of railroad and the figures are,
il anything, more discouraging to capi-
tai than those which preceded them.
Gross earnings on these roads show
an increase in January of 1882, 454,
and for the same month there was a
decrease of 81, 1888, S39 in net earnings.
Hartman roads alone have under way
or in contemplation projects involv-
ing the expenditure of nearly 500, )
900. 900. For that reason the jan
uary figures on some of the properties
of these two great systems are in
teresting.
The Southern Pacific showed a de-
crease in net earnings of $6S2, COS;
the Union Pacific Jared better, with
decrease of S221, 600; the Great
Northern showed a decrease of $598,
07O; the Northern Pacific, by cutting
down $25O,90 on way and mainten-
ance expenses and $50, 1000 on equip
ment, scratched through with an in
crease of 1924, ,979 These figures,
which are taken from the Interstate
Commerce Commission reports. offer
ample reason for the distrust which
capital is showing toward railroad in
yestments.