Daily Kennebec journal. [microfilm reel] (Augusta, Me.) 1870-1975, 1921-03-19

and men,s all that was wise was al
ready being done.
The Boston & Maine in the last 10
years had spent $52,O0O,OO0 in i'm
proven ants and it must continue on
that rate, to serve the public as it
should It's facilities saved New
England industries from suffering
and has profted materially. These
facilities are now idle and we can
not pay the interest on the cost, but
they are there awaiting the improve
ment in business and the necessity
for their service. Manufacturers de-
pend on profits of good years to tide
over the poor ones, but the railroads
have not been so fortunately placed.
During the last 10 years the Bos-
ton &, Maine has put into tracks DO
600 tons of rail, the difference III
heavier rail alone amounting to 81
100000. Equipment renewals cost
sol 500, 900; one-fifth of the passen-
ger cars are more than 80 and one
half more than 20 years old. To re-
Mace wooden with steel cars would
cost s5O,OOOOO0. The road has over
1900 bridges. They have cost in the
past 10 years about $5,OOO,OoO. sarety
devices are expensive. Electrlc
headlights have cost 100000, and an
animal operating expense of $30,Ooo.
SIGNALING and interlocking by cleo
tricity costs heavily.
The Boston & Names property IN
vestment on Oct. 81, 1919 was SZ4o.-
5o4 sol. Capitalization on Dec. IL
1920 amounted to 1923, S46,S5o OF Sc
curities outstanding in hands OF inc
nublic. Interest varies from l.
- ner cent, with 6 per cent. pald
IN the s4O.OOOOO0 received from the
government in the past two years.
Canital stock, first preferred, Soo'-
7SS. preferred, $3,149,oOo: COM
mon. s39, 5O5.390; dividends II
earned, on preferred 5.24 to Jan. L.
1924 and 655 thereafter; on common
7 ner cent. from 1900 to 1907 when
radnced to 6, then to 5 IL in l9lI'
4 ner cent. in 1912 and 3 in 1910
s;nce when none has been paid.
The deficit in 1914 was $2,O44.742,
reduced to 1884, 462 in 1915. The
surplus in 1916. after paying all fixed
charges, was $4,065,6 91. the largest
in history of road. 1t went into re-
ceiyer's hands in August, 1910
caused by difficulty of refunding the
coating debt. 1t terminated Dec. l.
1919 by reorganization.
The average surplus for three
wears prior to Federal control was
60 O74O34. During the Federal con-
troll had there been no government
guarantee the annual deficit "ouio
have been over $5,5O0,0OO. In 19Zo.
had it not been for eight months OF
government guarantee, it would nave
been over S17,OO0.0O0.
president Eustis said that the de-
felt of the Boston & Maine railroad
was 100000 per month.
"what effect would the increase
have on the industries along the
Iine?" asked Mr.. Weheler.
81 think that the industries reel
that they could go on for this tenn
porary period without much dlfn-
Guilty." replied Mr.. Hustus.
''The motor truck transportation
has certainly hurt the business OF the
Boston & Maine" replied Mr.. Hustus,
in response to a question by Ex-Con-
gresham Gurnsey of Dover, mem
Der of the committee.
"One of our directors, for instance,
has recently started a. motor truck
line from his factory in Lowell to
Boston," said Mr.. Hustus.
In reply to question by Ex-Attor-
ney General William r. Pattangall of
Augusta, a member of the commit
tee, Mr.. Hobbs. recalled, said that the
increase asked would not extend later |
than Feb. %, 1922.
81 have a client who had car load
of automobiles shipped from Cleve-
land, Ohio. to Gardner. and then
shipped from Gardiner to Waterville |
and the rate from Gardiner to Water