The Washington herald. [volume] (Washington, D.C.) 1906-1939, 1915-03-02

reasonable. decreases IN wages and other burdens
which seriously enlarge railroad expenses should
not be imposed By legislation, or through awards
Il Governmental bodies unless the ability of the
railroads to Jay the same under the rate schedule,
then in effect is clearly apparent. or unless the III
trrstste Commerce CCmmEsiOn Is prepared -
approve Of increases in the rate sche,iuhs that
will enable the railroads to meet the same ultholt
iml aTment OF their cletiit or efficiency.
Weak railroads aro aulonS tho greatest obstacle
to business enterprise and commerce. and ;he
country will Aaye too many weak railroads unks
constructive and equitable policy of public resi-
stiun is practied, not a palliative. but as a
permanent public and busincs' Necessity.
The railroads still bIricncd with the needles,
expenditure required To comply with the so-Callei
Fu Crew Laws, which actually Extra Crew
Laws The principal requirements Of these Laws.
which vary somewhat i'll the different Statss are
in substance that every freight train Of more than
thirty must have a second brakeman in addI
ton to the regular crew II engineInan. fireman.
conductor, one regular brakeman and haSInan
every Passenger train having four more claches-
this term covering Pullman and dining car as well
and one baggage car must have an extra brakeman
in addition to the regular fun consisting Of en-
sineman. fireman. conductor. baggassmsn an"
brakeman. this not To include traln porters and
Pullman employees; every train composed Of four Of
more passenger. mail, or express cars, empty or
loaded, must have a crew Of engineman, fireman,
conductor and two brakemen, even though No pas
ssngerI are carried
IL II law iLdS
81 10000 per TO the Operating Expenses
u the Pennsy lvania System East and West 4
Pittsburgh. and this enforced expenditure is pure
ecunomic waste. because it does not increase the
safety or efficiency of operation. This amount
could have ben spent 10 far greater advantage
in the impTuy eInent Of roadway and equipment.
and in giving increased employment, from which
the public and employees would have received real
benefits. Arbitrary laws requiring additional men
trains without regard 10 the necessity for their
srryicrs. imTse a direct and unnecessary burden
on the Iublir and the COMPANY. Such law tend
10 weaken the working discipline. and from the
standpoint If the cmpioyes not only impair the
ability Of the Company to continue t. pay the
present. rates Of to that great body Of cII.-
pIoyes whose activities are needed. but also 10
delay promotion.
Your COMPANY has therefore. Joined with other
railroads in appealing to the public for their 90
operation in securing the reIesl Of this unwise and
Wasjeful legislation. The Management request the
stOC. and hDndhOlders and the empiuyes, IN their
own interest. 10 SUI port this movement.
TRAFFIC.
The tonnage decreased I2.S3 per cent and the ton
mage mileage decreased l.67 per cent. due to the
general restriction Of business. but freight train
mileage also reduced 1875 per cent. The redrc
ton in passenger business is reflected in the de
of % I-.r cent in the number OF passengers
ia per cent in passenger mileage. but passenger
train mileage also reduced L.3 per cent. The
net per ton mile shows slight increase.
but the net revenue per passenger mile shows
large decrease.
CAPITAL STOCK AND FUNDED DEBT.
The capital stock was increased $3.50. through
the conversion nt that amount Of receipts issued
under the stock allotment q 1913
The Funded Debt and Equipment Trust oh
legations show a net decrease Of S .Gs9 S793J.
II will be recalled that at the last annual meet
ing the stockholders approved II the creation by the
Board Of Directors Of a General Mortgage - that
the Company might have a broad basis for flu
ture financing This mortgage has not yet been
recorded and bonds be issued for any
purpose Hereunder without the prior consent OF
the stockholders. which has not 70 far been re
questsd. The Company will refund Ssj.s7 900 OF
Convertible Bonds maturing October lst. 1915. and
other maturing obligations and II must also
provide other necessary corporate purposes such
as additions and EASements to its railroad and
equipment. Since the close Of the it there
fore sold Sl9 90 11 Consolidated Mortgage IA
Bonds hearing date February lst. 1915. realizing
price slightly in Of par. satisfactory result
under existing cunditOrs Including the issue 70
Gently made the total amount d bonds outstaHd-
ing under the Consolidated Mortgage il almpS,
SOOG0CU which is the maxim amount thai
can at any one time BE- issued and outstanding.
In view Of the creation Of the new General Mort
gage it is deemed advisable that hereafter the
Consolidated Mortgage should Re closed, and no
further issues of bonds made Hereunder.
This issue II Consolidated Mortgage Bonds was
made under the authority conferred by the stock
holders IN March. 1903. when an increase Of the
bonded indebtedness authorized 10 the az
greyate amount Il So GO tor the purpose OF
meeting the Company's requirements in 1873 and
1910. As such requirements were met through
an Issue Of Capital Stock. only Sfe.0O,Go Of the
authorization then made has been utilized that
the Company is sill T0ssessed Of authority 20 in
crease the Indebtedness the extent Il 81 90 900.
The latter amount will not lie sufficient to meet
the balance oi the refundiIg and other require
ments for 1915. above stated. and the stock
holders pursuant 10 notice duly given will at the
annual meeting BE- requested 70 cnsent
TO an increase Of the Indebtedness to the extent
of 100000 - that with the pre-cIsting au-
thoriZatirn the Company may Ia possessed Of
authority increase its Indebtedness TO the extent
Of 81 ooGc', and the Board d Directors desire au-
thOrIty make such increase through the Issue
Of bonds secured either by the issue OF other Oh
legations Of the Company in such fOrn al SUI
times. and on such terms and conditions as snsL
he deemed to be most advantageous. hut not IN
excess Of 81 10000.
ROAD AND EQUIPMENT.
The following statement of Improvement work
carried on ty yOu CDmpany during the past year
is an evidence that while every effort WAS. mace
to enforce economics IN me creations ot yo1r
YOUR COMPANY drsuing :" stimulate traffic. 10
Encourage business sctirity and take ADVANTAGE Of
lUwrr Tricrs continued fairly active improvement
program throughout the year.
Tie work the ImprVIement of the passenger
AZ result the fve-tfack reinforced concrrtc and
stone arch bridge OF the Connecting Railway over
To Paramount PARK has hsen o9T,pt.tet and Iiaerd
in Operation and the old doIhie track fridge It
finished with ihe exception 81 rernodeling the pasn
ger station For the exrcnditure made for this and
other work along the Connecting RAILWAY. your
COMPANY will Dc repaid through The issue u secUr
ities Of the C7Hnecting RAILWAY COmrsny.
The elertrihCaii1n of the Main Line from Brad
Street station PHILADELPHIA, TO, PaoT is Progressing
traffic The work from PaGli TO West Philadelphia
il almost completed. including the sIb-stati0ns.
and the remaining section of the eeCTifCation into
Rroad Street Station Is being actively prosecuted.
The new beam light signals IN operation BE-
tween Ovcrbgook ard Paon. Satisfactory Tro-
grtSs has also teen made in squipTinS the steel !
cars many Of which in the present steam
s--ryiCe with electric motors and apparatus, for !
which these cars were originally designed. II ia I
Therefore CNT-S'fCd to operate the main line sub
,:rlSu pasasn-rr trains by electricity about June
lSt. 1915.
II is hoTed that in 1915 financial conditions will 1
permit the extension Of elGcuifcation to North !
BY order of