The Washington times., 1917-03-06
GENERAL REMARKS
REVENUES.


Your Company carried an unprecedented vol
ume Of traffic on its lines. resulting from Q
continuance Of the European War. and from
the further expansion OF general business
throughout the country, which produced an IN
crease of II per cent in the tota! OPeratne
Revenues compared with 1915. The Freighi
Rsvenue Increased II per cent; Passenger
Revenues increased Is per cent: and EXPIRES;
Revenue Increased "a per cent, due In a large
MEASURE TO defnurrage charges paid Tor the
unrea sonable detention Of cars by consignees
and shippers. but the Company's freight rev.
enuAs would have been greater had the carS
NOT been so delayed. and the Hire OF Equip
ment payments would have been lower.
EXPENSES.
The total OperatIng Expenses increased II
per cent compared with 1915; Maintenance OF
Way and Structure Expenses increasing II per
cent: Maintenance Of Equipment - per cent.
and TTansportatlon II per cent. To the same
underlying ca.fses can be attributed the In
crease IN all Of these expenses. namely. great
er traffic and substantial increases In the cosi
OF material, supplies and labor.
TAXES
ss,u..Ialr attention is directed to the Taxes.
which iacrea SD 10 per cent, due principaly
20 an increase in Federal Income Tax from
/ nor cent TO per cent, and to larger reve-
nues This Item Of expense Is one over which
the management has no control and the IN
crea - TI29 per cent. In the last ten yearSl
shows no sign of abatement. Taxes now re-
uuire IL cents out Of every dollar OF net oper-
ating revenue, compared with ceht zen
years ago It is significant that over two
fhIrds oG the Increase in Operating Revenues
was absorbed by increased expenses and taxes
THE time seems close when taxpayers must for
their own protection demand that all govern
mental expenditures be fully reviewed before
being authorized so that some reas0nRb bic
limit NAV be placed on the constantly IN
creasing Federal. state and Municipal e1pend-
Itures for non-productive projects.
FINAL RESULTS
-rh. Ne, Income for 1916 amounted to tS7.-
27S JOI II an Increase Of 80. Sl. so compared
,rith the previous year. Against this vere
charged The appropriations TO the Sinking and
Other Reserve Funds. Cash Dividends agEre-
gatInR six per cent. on your Capital STOCK
lines owned and leased. leaving a balance Of
81 95s 5Sl g. which was transferred to the
credit OF Profit and Loss Account.
RATES
rh. aDoeal by your Company from the order
NJ the Public Service Commission OF Pennsyl-
yanIa reducing certain anthracite coal rates,
Is still pending in the Common Pleas Court
- nsunhIn County; and the proposed advance
in Intrastate passenger rates In the State OF
Now Jersey which Is part OF the general
plan suggested In 1914 by the lhterstate Ioili-
merce Commission as means Tor procurins
aSdt,IonAI revenue Is still suspended by the
pubIIc Utilities Commission OF that state.
The necessity for higher rates Is daily be-
coming more evident, for while the results
Tor the first eight months OF 1916 showed a
satisfactory increase, yet since then the net
returns have shown marked reduction Qua
"a higher costs Your Company, to avoid con
Css,Ion and to handle the traffic economically
and promptly, has expended. and Is now ex'
pending large amounts or capital upon which
return must be earned IL mas nsde aaJuSt-
the servIce and enable them to meet the high
er living costs; and Is paying extraordinary
inersaSes In the prices OF materials and sup