Evening star., 1915-01-25
SOUTHERN RAILWAY CO.
EARNINGS ARE BETTER
Lost Heavily Last Fall Because Of
the Limited Cotton
Movement.
Washington Railway Common Only
Active Local Stock-Pennsylvania
Systems Economy-Notes.
BY I. A. FLEMING.

BY I. A. FLEMING.
Earnings of the Southern Railwa
Company are beginning to show som
Improvement, not in largely increase
gross earnings, but in a gradual dimin
ishing of the decreases winch nav
been sustained by this great cotton
carrying road. The month OF Dece"
her. usually a record month for goo
earnings. proved the heaviest loser
the fiscal year to date. the fun loss II
gross earnings in that month oeihs
s1.36S,96l.
The first half of January showed
gross decrease of 100000 as compared
with January of last year, out ther'
was a comparative reduction IN I'M
decrease as compared with the Sam
period of December last OF slso'ooo.
Cotton is moving more freely nov
over the roads in the south' ana .n'
Southern Railway Company receives
not only much the largest tonnage "
any cotton carrier, but also the lonses,
hauls; hence the Improvement IN tns
movement of the staple to the seapor
towns and factories and mills gives
promise of better earnings.
October. November and December
usually the three best months OF ths
wear in the cotton forwarding move
ment. found the export trade IN 'hs
product almost at standstill.
In the fiscal year 1914 passenger
traffic was rather better maintained
than the freight movement. but OF laee
travel has been falling of heavily ane
returns from passengers IN Novemoei Sa
creased 10 per cent; freight returns oe'
creased II per cent
Like other railroad managers. in theil
efforts to save the officials OF the
Vow W
the pruning knife without stint, saving
50 per cent of the gross decreases II
revenues by reductions In operating
expenses.
From now on the earnings are expected
to show less decrease until the turn comes
the other way, with the advance 1T
freight rates and the continued intro
duction of economies
Pennsylvania Savings.
The Pennsylvania Railroad Company
has entered on a program that will
probably mean the sale Of all property
not actually needed in the operation OF
the system. Retrenchment further in
cludes the closing of ticket offices in
number of cities, commencing with New
York and the establishment of union
ticket Offices. where all roads are repre-
sented.
This means a very large annual saving
in rentals, and it ia understood that other
roads are inclined to adopt this economic
measure.
Commercial Agents.
J. p. Morgan Co. declare that the
statement that they are fiscal agents
Of the English government is without
foundation. although they admit being
commercial agents. In this capacity
they purchase and pay for supplies
bought on this side of the Atlantic fol-
shipment to London and other English
ports.
Henry P Davidson. member Of the
FIRM, who returned Saturday from Lon
don. whittier he had gone with Sir
George Paish and Basil B. Blackett
British treasury officials, two months
ago. refused to make any statement OF
Importance on his work on the other
side, other than to reiterate that his
firm had been appointed commercial
agents of Great Britain and in no way
fiscal agents..
Local Stock Market.
4 little more activity was noticed OF
the local stock exchange today. bu
trade continues very narrow, despite
the ease of money and the publication
of satisfactory annual reports of some
of the leading utility corporations.
Railway preferred was the only stocl
showing any movement of Importance
siXty-one shares being sold at 81 an(
s41s. generally at the inside price.
Bonds were slow. showing no sympa
thy with the continued activity in tht
bond markets of other cities Potomac
Electric Consolidated SIS were active tt
the extent of $1,000 face value at s9as
Bid prices on a number of issues were
slightly reduced.
No Recommendations.
The second conference OF the gov
ernors of the federal reserve banks, in
session in this city during the closing
days of last week. did not make any
recommendations as to the operation OF
the system.
Informal discussions covering re-
,ised regulations on commercial paper
and the matter of check collection were
decided, at meeting held late Sat
urday. not TO take action on the item
of organization expenses until Novem.
Der of this year.
Object to Check Collections.
Many OF the smaller banks in anc
out of the federal reserve system are
ODJcCtlHS StItiuOuSiy 10 tNe GeGlOna
banks of the system undertaking the
collection of checks for member banks
The claim is made that these bank,
rake a large share of their annua
profits from exchange on checks, ant
that they would be unable to pa,
dividends il this source of revenue wa.
taken from them.
In like manner the banks in large
cities oppose regional banks collectin.
checks outside of their own territory
as this would curtail the profits o
member banks who Aow handle thes,
collections.
Action by the federal reserve boa r,
may not be taken on the check collec
tion matter for some time.
Mutual Fire Insurance Co,
ne following is the statement of tn,
Mutual Protection Fire Insurance Com
pany of the District for the year 1914
Amount of insurance, sl,15s,5sO
amount of premium notes held by tn,
company. s9S,69S; cash on hand
s21oI.21. invested in notes secured O,
Washington city real estate, s2s,775
losses by fire paid during the year
$1.98S.01, dividends paid to policy
holders during the year, s95393.