The news scimitar. (Memphis, Tenn.) 1907-1926, 1919-11-04
STREET RAILWAY
FINANCES SHOWN
TO Be IMPROVED
Report of Receivers Shows
All Obligations Paid and
That Company Is Prosper
GUS Under Six-Cent Fare.

The Memphis Street railfay Is doing
very well financially, with its G.cent
fare, II anyone should ask you.
Business has Increased so rapidly this
year, as compared with last, In fact,
that with the old scent fare, the COM
pany would have made enough money
to pay all costs Of operation, to pay all
interest on its bonds and short time
notes, and to leave small surplus 20
be laid aside for sinking fund require
ments and possibly small balance to
be used for the payment Of dividends
TO stockholders.
=, These facts, at least, are indicated in
the quarterly report of the receivers,
which is filed in the federal court,
The report gives gross receipts from
opera ton from July |, so Sept 90, dur
ing which period the scent fare was IN
eflect), as $7SS. l72.69.
Using the figures OF 90 Der cent
increase in fares, and the receivers
statements that the actual increase
shown by receipts has been about 10
per cent little arithmetic dlscloses
that the income from passengers on a
5-cent fare would have given gross OPP
Grating receipts Of $6As.S26.
The operating expense during the
SAME thRee months Is given In the re-
port as H2S,i96. Deductions for pay
lnent Of interest on bonds, for taxes
nnd for slulitnK FUND requirements, ars
plaead a. fiee f2s lea Yas6l the rep, II
three months OF $9T,tI0.
II the estimate above. on 5-cent
fare basis, Is approximately correct, tho
receivers would have had handsome
net corporate Income, on n 5-cent fare.
The report shows In the table giving
the total results Of operation since the
reCeivership began, which was Jan. 20,
this year, that the gross operating In
come has been $1,000, 600 the gross OPP
Grating expense $l093.3 h2, and the net
operating income, 1881 Ob9,
II is also stated that the interest on
which the company defaulted last Jan
uary, which caused the receivership,
has been paid, the interest due In July
has been paid. and all interest on short
term notes In bank has also been met
and that both state and county taxes
have been paid In short, all ohliga-
lions of the company have been met,
and there was a balance In bank OF
$246,36 on Sept. 90.
A note in the general balance sheet,
submitted with the report, shows that
the companys total resources. includ-
ing property and franchises" bonds,
sinking fund. etc. amounted on that
date to. Sl6,99i,T 4b.
Included In the amount Ia the sum OF
1882, 1890, listed as coupon and divi-
dend deposits"
All of which shows that the receiv-
ers, Frank s, Elgin and T II. Tutwiler.
have managed the properties well, and
that apparently the companys finances
are In such splendid condition that II
may not be long before the properties
can be taken out of the receiyership.
The appraisal Of the properties has
not been completed, however, and the
question of the continuation Of the g.
cent fare will not be decided by the
state utilities commission until the, re-
port Of the appraisers Is made, which
will not be for at least 30 days,
Obviously, the owners Of the propeftF
will not be likely to ask that the re-
ownership be ended until the fare ques-
ton rs settled,