The Morning Tulsa daily world. [volume] (Tulsa, Okla.) 1919-1927, 1922-01-02
STREET RAILWAY
OUTLOOK HOPEFUL
American Electric Presi-
dent Says SO in His
Annual Statement
FUTURE IS PROMISING
Public and Railways Are
Coming to Better
Understanding

NEW YORK. Jan. 2.--Condtions
ia the electric railway Industry OF
the United States inspire hope for
and confidence In It's future sue
cess" Robert I. Todd, president OF
the American Electric Railway as.
soriation, declared in an Official
statement he Issued today.
Conflrmatory Of ais declaration.
Mr. Todd presented figures showing
that receiverBhips for 1921 were
greatly decreased as compared with
|. those in 1920; that receipts during
Atne first six months of the year
Hshowed substantial increases: that
the decreases OF later months were
less than the decreases In most line =
of business; that the long anticipat-
ed drop in wages and material costs
is at hand although both OF these
!tcms still are approximately double
what they were in 1914; and that
there is a gradual increasing better
ment in the relationships between
the public and the electric railways.
Railway Conditions.
Mr.. Todd's statement In full fol-
lows:
Conditions I'm the electric railway
industry OF the United states inspire
hope and confidence In it's future
success. Only nine companies went
into receivership during the year
They represented 770 miles OF track
and capitalization of $4,l40,0 900.
During 1920 16 companies. with 992
miles of track and total capitali-
zation of s25,3l3,G55, went into re-
ceiverships, while in 1919 as com
panies with capitalization OF
sts221 ,259,354 failed
1T also Is encouraging to note
that companies operating I'll miles
Of track were reorganized durine
the year. Hence, the net additional
miles of track in receiversihp fol
1921 is 21l miles.
Receipts in recent months have
fallen, as they have In virtually al
other lines OF business. Reviewing
the industry as a whole, electric
railways certainly are holding theil
own. Totals for 72 representative
lines of the United States show G
slight increase in passenger reve
nue. during the first six months o.
this year over the same period o.
1920. During the following fouj
months there were steady decrease:
OF from 4 to per cent. The las
available report on these figures. fol
for October. shows u slight increase
over September.
Curtailing Expenses.
I'm spite of the falling off in re
ceipts and traffic during recen
months, however. the companie
have been successful in curtailinl
expenses to such an extent tina
there has been an increase in ne
revenues and n corresponding I'm
provement in the operating ratio.
"The falling off in passenge
traffic has been largely offset by
reduction in car miles operated.
This is a very healthy sign in
dicative OF the ability Of manage
ment to readjust itself to lowe
price level. 1t augurs well for tn
essential security and soundness
electric railway investments.
Recognition of the fact that I
the roads were to survive, wage
would have to decrease, has beer
general The average wage nov
paid on the S5 leading lines Of tn
country. however. is 94.10 per cen
higher than the average wage pal
on the same lines in 1914.
Equipment costs, which more
than doubled during the war, ar
off slightly from the peak reache
last year. ANefuEe tbstS on ltplt e
sentative material used by all road
now is 112 per cent higher than
was in 1914
Necessity for the maintenance G
rate of return which will be ampl
to keep pace with these and othe
4 operating costs, and to help car
\ for great deficits piled up durin
y the war IL being generally recoE
nized by regulatory bodies, and III
riding public. In 5S5 of the leadin
cities fares of from to 10 cents al
operative. The largest group {
cities. 167, have 7-cent fare. III
next largest. 1871. have a 10-cer
fare. other groups are cen
cash fare, six; eight cents cash far
IS: cents fare, l cent transf5
charge, 26; I cents zones, 4; cent
,jty zone, cent charge for ride
outside. one; 6 cents city zone,
cents outside zones. 2 cents transft
charge. 10; 6 cent zones, four;
cents zones, average length tw
miles. one; cents cash fare, TO-
two 5.cent zones, two. : cents elf