The Bennington evening banner. (Bennington, Vt.) 19??-1961, 1917-08-17

over the same months of 1918, which
was the banner year prior to 1916
and an increase of 4s.7 per cent,
over the same months OF 1911.
Operating expenses were S1.11S.,
100000, 1916, and an increase Of 4S.7
per cent, over the same months in
| 1916; S232,00Q,000, or 26 per cent,
over the same months in 1913: and
90 per cent. over the same months
! of 1915. Taxes paid in these months
amounted to $71,7S0,OOO. This was
an increase of $9,900,000 or 16 per
cent. over the same months OF 1916;
OF 80 l-2 per cent over the same
months in 1913, and of So per cent,
over the same mbnths of 1911
| While the increase in total earn
ings over 1916 was $156,0OO,000, the
increase in operating expenses and
taxes together was $lSl $4,000. In
consequence, in spite OF the much
larger business handled, the railways
in these months received $25,9OO,O 900
less operating income, The propor-
ton Of total earnings required TO pay
operating expenses and taxes shows
a sharp increase.
In the first months of 1916 it took
" II per cent. of each dollar of total
earnings to pay expenses and taxes
while in the same months of 1917 IL
took II per cent The bulk of the
increase in total earnings is being de.
rived, of course, from the handling
Of freight. Freight earnings in the
first five months OF the year were oy-
er $g70O0,O0O greater than in the
same months OF 1916 and about $780,
100000 greater than in the same
months of 1913
"The month of May was a record.
breaker in numerous ways. The total
earnings of $S45,773,079 were greater
than those ever made in single
month before in the history of Amer
lean railways. The record was prev
iously held by October. 1916, but
earnings in May were S7470 900
greater than in October. 1916. The
operating expenses incurred in May
also broke all previous records for a
single month. They amounted to
$23S,GS2 600, which was about $9,5O0,-
900 more than they were last March,
In which they reached the previous
high record. IL is notable fact,
however, that while both operating
revenues and operating expenses
broke all records in May. the record
for net operating income was very
far from broken Not operating in.
come in May was s92079,0O0. There
were five individual months in 1916,
three in 1915 and one in 1912 when 1t
exceeded this amount, In October,
1916, with total earnings $7.400,OOO
less than in May, 1917, the railways
had not operating income S22,000,0O0
greater than in May. These figures
show in striking manner how much
faster relatively increases in operat.
ing expenses and taxes have been
occurring than increases in total earn
lngs. Reports to the railroads war
board show that in May, 1916. rail
ways having 173,105 miles of line
handled 29,522,S70, 109 ton miles of
freight, or Is per cent. more than in
May. 1916. This undoubtedly is the
largest freight traffic ever carried.
THE railways of the three large
territories, East. West and South.
have benefited in widely differing de-
grees by the increases in total earn
ings. The eastern lines had an in.
crease OF S50.70O,OO0. or 10 per cent.
in total earnings. in the first five
months Of 1917 as compared with the
same months of 1916, but the in
creases in their operating expenses
and taxes were so large that their
net operating income declined S44,.
100000, or % per cent. The southern
lines with an increase OF 1872 per
cent In total earnings had an in
crease of 2.6 per cent. In net operat.
ing income. and the western lines
with an increase of las per cent. in
total earnings had an increase of 9.6
per cent. in net operating income.
at is truism of railway econo-
mics that railway on which main
tenance expenses are large compared
with transportation expenses is in a
healthy condition. while one on which
maintenance expenses are large com
pared with transportation expenses
is in a healthy condition, while one
on which transportation expenses are
large compared with maintenance ex
penses probably is not IN a healthy
conditfoo