Newark evening star and Newark advertiser. [volume] (Newark, N.J.) 1909-1916, 1914-04-02
PUBLIC SERVICE
REPORT SHOWS
PROSPEROUS YEAR
Net Earnings of Corporation
Are 81 ,685, ,o4o-$1, 100000
Paid in Dividends.
OVER 100000 is
EXPENDED FOR TAXES
Great Increases Shown in All
Departments in Past
Decade.

the Public Service Corporation, today
. issued the fifth annual report of the
corporation and its subsidiary rail-
way, gas and electric companies. The
report gives statistics bearing on the
financial condition and operating ac-
tivities of the corporation.
The gross earnings of leased and
controlled companies for the year
we're 1880. 1861; the operating eX-
penses and taxes. $1S,9S5, ,772.43; amor
tization charges, $1,63s, 'S4.S4. The cor
poration derived an income from Sc
surities pledged and from miscellan-
eous sources amounting to 81, 30S S73. 80
1t paid as bond interest and rentals
Of leased and controlled companies
Sl.91l, l,316.0S and as fixed charges an
additional SS,05S, 1867
The net earnings of the corporation
We're Sl,685, ,940.63. From this dividends
of approximately $1.500,00O were paid.
Prosperous Year.
In referring to the financial state
ment. Mr.. McCarter says that the cor
poration had a prosperous year and
that the net surplus, after paying div
idends, was approximately SlS6,00O.
The surplus was calculated only after
q totai of 1888 1884 had been set
aside for amortization purposes. This
latter amount was much larger than
had ever been so set aside before
one Of the points emphasized in the
report has to do with the action of
the Public Utility Commission, in or
dering d reduction in the price of gas
and the failure of the reduced rate to
prompt and abnormal increase in
sales, When the case was argued be-
fore the commission il was contended
by the advocates of lower rates that
the company would benefit by a much
larger consumption Of gas and would
thus recoup what 1t would lose in rev.
enue by the cut OF ten cents per thou
sand cubic feet Here Is the way ii
mas worked out, as Mr.. McCarter re-
ports it:
''rhe gas sales of the Gas Com
pany Increased 622, ,290,6 652 cubic feet,
gain of 6.4S per cent, but ewing to
the reduction in rate imposed by the
Public Utility Commission, and re-
ferred to in last years port, Shich
took effect in the Passaie division
February |, and in the other divisions
: RI ne, TIE G. Company May l., Ihe rsesNssnus
from. riie sale of gas for the year de-
creased $125, ,92g.4i AS for many years
past the increase in the send out
vi gas has averaged Z per cent, or
upwards. and as this year, with the
reduced rate In effect throughout
nearly all the period, 1t increased only
5.46 per cent, complete denial is
apparently furnished to those who
insisted that the reduction in the
Price of gas would be accompanied
by an abnormal increase in the guam
tity used. Such is not the fact
IPiIrt bpr m, the rRuDrt refers tD the
litigation growing out of the Passaic
gas rate fight and confidence is eX-
pressed that the court will recognize
the company's contention that fran
chise values must be considered in
tire making of rates.
Space is given to a brief descrip-
ton of the combination street rail-
way terminal and office building
which is to be erected in Newark,
aud which undertaking S character
ized as the most comprehensive i'm
provement in the company's history.
The cost is given as $4,000 900, and it
Is promised that the construction
work will be pushed rapidly. Mem
ton is also made of the new electric
power station at Burlington and of
other structures built during the
year.
Big Business Increase.
Increases in business during the
year are noted in the report, it being
shown that the railway operating
revenue grew 90 per cent. and the
revenue from electro sales 1913 per
cent over the figures for the previous
year. The revenue from electric sales
averaged less than six cents per Kill
owatt hour.
As an instance of how the corpora
tons business has grown in the last
decade stat sites of its railway traffic
may be given. In 1904 Public Service
cars carried an average of 5SS, 526 pas
sengers a day. In 1913 the number
of passengers had increased to /, ,107,-
976 passengers day. Similar in
creases also are noted in the commo-
dities furnished by the other depart
ments of the corporation The gas
department, for instance, sold 5,120,-
S14 cubic feet of gas in 1904 and TO-,
221 ,097 cubic feet n 1913.
For the first time in the corpora
tion's history It's tax bill exceeded
g, 000, 900, the exact sum being $2,062-
PSI 80, or s1S9, ,96359 more than was
paid as taxes in 1872 1t is also
pointed out in the report that the
corporation carried $2S, 209. 751 of fire
Insurance which meant premium of
s10S.253. For welfare work, which in
cludes sick benefits. insurance and
pensions paid by the company, there
was spent s65, AT 96. and the en-
ployers' liability act cost $56,320,9S
more. The report deals al some
length with the wage increase for
motormen and conductors which went
Iat