Richmond times-dispatch. [volume] (Richmond, Va.) 1914-current, 1915-10-18

N.
drcds of passengers speaking no
Chinese have for years had these oper-
ations carried on without difficulty.
The reason. of course. WAS that this
large percentage of the vessers com
plcment understood English sufficiently
we'll for all these varied purposes.
NOTHING WHICH REQUIRED
AMERICANS IN FORCE
1T was suggested to- Mr.. Schwerin
that if II former thought on the part
OF the company to alter the vessels
from coal burners to oil burners were
! carried out. very large reduction
. would take place in the hreroom and
! bunker force. This he admitted, shy
! ing, If l recall correctly, such reduc-
ton would be from about eighty to
ninety persons, differing in different
! ships TO perhaps eighteen. am not
so much concerned with the exact
figures, which am not sure Of recall
! ing correctly. as with the fact that
there was very large reduction Of the
hreroom and bunker force possible by
this means. Mr.. Schwerin, however,
| urged that the reduced force would
cost more than the larger one because
| 1t would be composed under the law
OF Americans. drawing larger pay To
. this II was suggested that knew
nothing in the law which required
Americans in this force.
! with very large proportion of
the crew. therefore, already speaking
n good deal of English, and with the
hreroom and bunker force largely re-
duced. there would remain but a COM
parativcly small proportion, namely,
the deck force. with which to deal AS
10 this, 1 suggested that It might
either be possible to instruct that force
or that English speaking Chinese
sailors could be engaged. for example.
in an English port like IIongkonR.
Mr.. Schwerin then showed me n primer
or small printed book intended for
teaching English to Chinese crews.
am advised that they have at times
II not regularly employed instructors
Tor that purpose. l am further and
recently advised that it is possible
through wcll-known sources to procure
English speaking Chinese crews.
Il am unable. therefore, to see, in
view OF this official Interpretation of
the act. how 1t can longer be urged
mat the language clause can have been
'He cause OF the companys withdrawal
The suggestion made to me that,
, while the departments construction
/
force II, ] need not discuss
we may now consider whether there
| may have been any other motive on the
part OF the Pacific Mail Steamship Com
rany for withdrawing from business
1t was heavily ovcrcapitalized, its bal
Hnce sheet for ten years past showing
deficit in profit and loss account
never so small as s1O0oO,ooo, and on
April so. 1918, slightly in excess of
Sll,Ooo,0o0. The income account shows
that, after marking off depreciation
there was a small but decreasing sur
plus In the two fiscal years prior to
April SO, 1907, and thereafter a deficit
Tor the hVe years ending April 80, 1912
ms deficit however. decreased in each
OF THESE hve successive years, and in
the fiscal year ending April 80, 1913.
became surplus OF s204s2 This grew
the following year to surplus of
s3oo,363. and for the fiscal year ending
April 30, 1915, there was surplus OF
s47S,SoA. This is rather more than .
per cent upon the company's capita1
stock and more than per cent upon
the actual cash value of the company's
Investments.
WITHDRANyS WITHOUT
ASKING ANY QUESTIONS
In the year 1897 the company paid
per cent dividends; in 1895, 10 per
cent; in 1899, 3 per cent; none since.
1t may be said to be widely known
that the business of the company since
april 80, 1918, substantially UP to date
has been very prosperous. The depart
ment has been advised of thousands of
| tons of freight left over at the ports
from which the company's vessels
sailed beyond its immediate capacity
to carry. 1t was from this prosperous
business the company withdrew with
out asking any questions.
Turning now to the New York Jour
nal or Commerce for August p, 1915,
there appears statement based upon
the petition asking pcrmi ssion for the
receiver Of the International Mercan'-
tile Marine Company TO purchase Ave
ships from the Pacific Mail Steamship
Company, in which some Interesting
facts appear. That statement says the
Manchuria and Mongolia. each eleven
years old, were each built at a cost OF
S2,6OO,OG0. 1t appears from the income
account OF the Pacific Mail COMPANY
that depreciation had been charged off
upon Its property If we assume that
but per cent annually was charged
OFF from the cost of each of these yes
sells their value would have been re-
cent II, however. following the prac-
ticc of some Of the best-known steam
snip companies. per cent per annum
had boon charged of. then In eleven
years the value would have been re-
duccd by &c per cent. In the former
case the present value OF each shin
would be S1,l70,O00. In the latter case
ii would be sS6G,G67.
The vessels sold for sl.50O.0OO. The
Korea and the Siberia arc said in a
report of the company to have cost
together s3.979.l1i.27. The Korea is
thirteen years old. the Siberia twelve
and one-half years old. Assuming
both as twelve and one-half years old.
their present valuation, taken together
on the basis of 5 per cent annual
depreciation charged. would be 3714
per cent of the above Joint cost or
say $l,a92.172. If the per cent annual
/ depreciation charge were used their
present Joint valuation would BIO 25
per cent OF their joint cost. or Sas4,77S.
/ They sold for 100000.
The China ia twenty-siy yeare ala