Atlanta Georgian. [volume] (Atlanta, Ga.) 1912-1939, 1914-01-18
COMMISSION
SHOWS VAST.
REVENUE Of
ST A TE ROAD
Report Says W, & A. Is Best Pay
ing in Georgia. NJ, C. & St. l.,
Present Lessee, Operating at
Half Million Profit Yearly
Net Earnings of Property, Shown
at $73L469.33, Less Rental
Paid State of S420,Ol2,0O,
Leaves Revenue $3ll,457,33.

lcdNco nCNClluo WIZ ~ wv
The Georgia Railroad Commission,
having in mind the forthcoming eN-
piration Of the present lease of the
Western and Atlantic Railroad, has
given out some most interesting and,
In parts. astonishing figures in con
nection 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 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
nat- footedly states as much.
With the matter OF releasing the
road now being considered by a Leg
lsIative 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:
The Western and Atlantic Rail-
road belongs to the State of Georgia;
1t runs from Atlanta to Chattanooga,
distance OF 1886 s miles, and Is leased
to the Nashville, Chattanooga and St
Louis Railroad for $420,012 per an
nun.
The present lease expires Deem
Der 27, 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 Eft
owah, Tenn, from Cartersville to At
lanta, 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 operation
and use OF all the property leased to
1t by the State for the year ended
June 80 1913, was $3,374,91079.
"DeductinR this latter sum from
the gross receipts from the leased
property leaves net earnings OF the
same property OF s7S1, 469.SS. which a
per cent net on Sl4,629,3 1856
From the net earnings Of the prop
erty, S7Sl 1928, the rental paid the
State, S420,0l2, leaves a net proHI
from the lease TO the lessee OF S3lt,-
$3.50.
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
ured solely by the net dollars that the
lessee receives. Its value is Largely
enhanced because the property under
lease control is a most valuable link
In a great railway system This i
shown by the following facts:
The Atlantic Coast Line Railroad
vast Eastern seaboard system, own,
81 per cent OF the Louisville ant
Nashville Railroad, a vast Westerr
and gulf system; the Louisville ant
Nashville and the Atlantic Coast Lin,
are the Joint lessees OF the Georgia
Railroad from Atlanta to Augusta
where il connects with the Goa 81
Line, and perhaps the third best rail.
road in Georgia; the Louisville am
Nashville and the Atlantic Coast Lin,
control the majority stock or the At
4HUld anu west itlnt ana w hSteTn n
Alabama, from Atlanta 70 Montgom
cry. the Atlanta and West Point Rail
road being perhaps the second bes
railroad line In Georgia. the LOUIS
Vile and Nashville, in turn, owns :,
per cent OF the stock OF the Nashville
Chattanooga and ST. Louis Railroad
the lessee az the Western and Allan
tic, the best pay.ng railroad line IN
Georgia. and tho connecting link be
! aNsilfA NJ Na.h,sFn
and the Nashville Chattanooga an,
St. Louis system and the Georgia an,
the Atlanta and West Point roads
and the great Coast Line system a
Augusta.
The total rental paid the State f.
the year for all OF its property wa
s420.0l2 The lessee received as REM
ais for portion OF this propert,
which Il subiet and from trackag
rights total OF Sl207ioS3 which let
only S2Sg.27ll7 due the State TO =
earned In railway operations
The present lease began on Deem
Der q 1880. since when and TO Jun
80 1918, a period OF ELF years, tn
total receipts from railway operation
have been S512sq 1901. operating *
perses S3493s2S1iS, leaving the ne
earnings from railway operation
sl5320 4032e
During the same period .he Jesse
has paid 10 the State as rental $9.45i.
7S626 is total expenditures for al
ditions, betterments AMI improve
ments have been SSl3S9S4l
The operating revenue az $50. 25l.
T9011. as reported for the past >
years. does not include revenue fror
rental OF properly not used for rail
way purposes nor do the net earn
ings from railway operations SIS.
320,4o3 20 include such rentals thas
rentals should be- added TO the abov
totals 60 ascertain the entire revenu
from gu property leased 10 IN
iessee,"