Atlanta Georgian. [volume] (Atlanta, Ga.) 1912-1939, 1914-01-18
COMMISSION
SHOWS VAST.
REVENUE Of
s IA TE ROAD
Report Says W, & A, Is Best Pay
ing in Georgia. N, C, 4 St, l.,
Present Lessee, Operating at
Half Million Profit Yearly.
Net Earnings Of Property, Shown
at $731,469.33, Less Rental
Paid State Of $420,0l2,00,
Leaves Revenue $31t457.33.

The Georgia Railroad Commission,
having in mind the forthcoming ex-
pfration OF the present lease OF the
Western and Atlantic Railroad. has
given out some most interesting and,
in parts, astonishing figures in con-
nectton with the business Of that road
under It's present lease contract to
Louis Railroad
The figures submitted by the com
mission show conclusively, 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
dat 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
portance and significance at this time.
The commission says,
ne w tSltTU anu AtIdnllC Ran
road belongs TO the state of Georgia;
II runs from Atlanta to Chattanooga,
distance OF 1858 miles, and Is leased
to the Nashville, Chattanooga and St
Louis Railroad for S420,012 per an
uum.
The present lease expires Decem-
Der 81, 1919
The Louisville and Nashville Rail
road owns II 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 ct
owah, Tenn, from Cartersville TO At
lania, and for trains through Knox
vile, 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 operati ton
and use of all the property leased to
II by the State for the year ended
June 80. 1913, was s3,374.9lO.79
Deducting this latter sum from
the gross receipts from the leased
property leaves net earnings OF the
same property OF $73l 46933, which 3
per cent net on $l4.629,3S6
From the net earnings Of the prop
erty, 1871, 1898, the rental paid the
State. s420,012, leaves net profit
from the lease to the lessee Of S31l,-
1878.
The value OF the road Ia the pres
ent lessee, the Nashville. Chattanooga
and st. Louis Railroad, which is con o.
trolled by the Louisville and Nash
Vile Railroad, is not. however. meas
ured solely by the net dollars that the
lessee receives Its value is Largely
enhanced because the property under
ease control is "A most valuable link
In a great railway system This Is
shown by the following facts.
The Atlantic Coast Line Railroad
vast Eastern sea board system owns
81 per cent Of the Louisville and
Nashville Railroad. a vast Wcstcrn
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 tho Coast
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 u
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
81. .
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
s420,0l2. The lessee received as REM
ais for a portion Of this property
which It sublet and from trackag,
rights total Of Sl30,T40S3. which left
only s2ss,27l17 due the state TO 5e
earned in railway operations
The present lease began on Decem
her 81, 1890, since when and 10 June
30. 1918. a period OF 20 l-2 years. the
total receipts from railway operations
have been S50.259 1901. operating *
penses sS4.ss9.3S71S, leaving the ne:
earnings from railway operations
$3.50, 4os29
During the same period he lessee
has paid 10 the State as rental Sg.45f.-
1886 lis total expenditures for "a
ditiuns. hetterments and improve
ments have been SS13.s9S4I
The operating revenue Of 5000.
ls0la, as reported for the past %
wears. does not include revenue from
rental Of property not used for rail-
way purposes, nor do the net earn
pgs from railway operations. Sis
o4O3.2S include such rentals. these
entails should be added 10 the above
Diotals tu ascertain toe entire revenue
IIom al prorert leased to the
essee."