Atlanta Georgian. [volume] (Atlanta, Ga.) 1912-1939, 1914-01-18
COMMISSION
SHOWS VAST.
REVENUE Of
s 7 A TE ROAD.
Report Says W, & A. Is Best Pay
ing in Georgia; N, C, & St. l.,
Present Lessee, Operating at
Half Million Profit Yearly.
Net Earnings of Property, Shown
at $73l.469.33, Less Rental
Paid State of $420,0l2,00,
Leaves Revenue $3ll,45733.

ICdNCO iiCNCIiuC WIZ - ' ~ -
The Georgia Railroad Commission,
having in mind the forthcoming eX-
piration or the present lease of the
Western and Atlantic Railroad has
given out some most interesting and.
in parts, astonishing figures in con
neotion with the business Of that road
under its present lease contract to
the Nashville. Chattanooga and St
Louis Railroad
The figures submitted by the com
mission show concIusNely. when COM
pared with the figures assembled for
other roads, that the Western and
Atlantic is the best paying railroad
line in Georgia" and the commission
tiat-footedly states as much.
With the matter Of releasing the
road now being considered by a Leg
islative committee. some OF the in
formation given out by the commits
sion is OF vast and far reaching i'm
portanCc and significance at this time.
The commission says
The Western and Atlantic Rail-
road belongs To the State of Georgia;
1t runs from Atlanta TO Chattanooga.
distance Of 1868 miles. and is leased
10 the Nashville. Chattanooga and st
Louis Railroad for S42oOl2 per an
mum.
THE present lease expires Decem-
Der p, 1919
The Louisville and Nashville Rail
road owns Il per cent OF the capital
stock of the Nashville. Chattanooga
and St. Louis Railroad. the lessee
company. The Louisville and Nash
vile has traCkage rights over the
STATE road for its trains. through Eft
owah, Tenn. from Gainesville to At
lanta, and for trains through Knox
vie. Tenn. from Marietta to Atlanta
In addition to leasing its road and the
physical properties actually used in
railway operations the State leases
other valuable properties including
city real estate in Chattanooga, all
Included in the gross rental above
mentioned,
The gross revenue received By the
lessee company from the operation
and use Of all the property leased to
It by the state for the year ended
June so. 1919. was SS.314.ql0.1q
"DeduCting this latter sum from
the gross receipts from the leased
property leaves net earnings of the
same property Of S13l, i69 49, which IS
per cent net on S14.629,SS6.
From the net earnings of the prop
ertY, $73l. f69.S3, the rental paid the
State s420.012, leaves "A net profit
from the lease TO the lessee OF S3ll,-
S57.33.
The value OF the road to the pres
ent lessee, the Nashville. CHATTANOOGA
and st. Louis Railroad. which is CON
trolled by the Louisville and Nash
Vile Railroad, is not, however, meas
nred solely by the net dollars that the
lessee receives Its value is Largely
enhanced because the property under
lease control is most valuable link
IN great railway system. This -
shown by the following facts:
The Atlantic Coast Line Railroad.
vast Eastern seahoard system. owns
81 per cent OF the Louisville and
Nashville Railroad a vast Western
and gulf system: the Louisville an
Nashville and the Atlantic Coast Line
are the joint lessees Of the Georgia
Railroad from Atlanta to Augusta,
where il connects with the Goa st
Line. and perhaps the third best rail
road in Georgia, the Louisville and
Nashville and the Atlantic Coast Line
control the majority stock OF the At
lanta and West Point and Western of
Alabama, from Atlanta to Montgom-
cry, the Atlanta and West Point Rail-
road being perhaps the second best
railroad line in Georgia: the Louis
vile and Nashville. in turn, owns Il
per cent of the stock OF the Nashville
Chattanooga and St Louis Railroad
the lessee OF the Western and Allan
tic, the best paying railroad line in
Georgia. and the connecting link be-
tween the Louisville and Nashville
and the Nashville. Chattanooga and
St. Louis system and the Georgia and
the Atlanta and West Point roads
and the great Coast Line system al
Augusta.
The total rental paid the state for
the year for all of its property was
s+20.0l2, The lessee received as rent
ais for a portion Of this property
which II sublet, and from trackagt
rights a total of $3.50. 740.s3 which let
only S2S9,2T117 due the State TO be
earned in railway operations
During the same period the lessee
has paid to the state as rental s9.451..
1896. It's total expenditures FOR ad-
ditions, bettermentS and improve
ments have been sS13,S9S4l
~She present lease began on Decem
Der -, 1890, since when and to Jun,
so. 1918. a period Of % IL years tn,
total receipts from railway operations
have been S502b9. 1901. operating AK
penses $34e59.3SI1S, leaving the ne:
earnings from railway operations
3ib.320403.2
The operating revenue OF $50 g54.
79011 as reported for the past -
years. does not include revenue from
rental Of property not used for rail-
way purposes, nor do the net earn
!. lrEs from railway operations. SIS
'2o to32S.' include such rentals. those
rentals should he added 10 tho above
'ctals TO ascertain the entire revenue
Tom all property leased 10 the
lessee