The Washington times., 1924-02-06
n ALL INCOMES
INCREASE IN
1928
Reports Show Cutting Down
Of Expenses and Increase
Of Net Income.
BY W.. 8. COUSINS.
Copyright, 1924, by Cosmopolitan
News EArvica !

News Service.)
NEW YORK, Feb. 6.-The best
dose Of financial tonic the sick"
railroads Of the country have had
since the end of the war was self
administered in 1923, The surgical
end Of the process removed a num-
Der Of the encumbrances which
have burdened the roads, while the
medical end furnished more and
better diet, In the form Of full car
loadings and heavier traffic from
sections which had been backward
in industrial developments.
Reports coming to hand daily
from these traffic lines. record the
cutting down Of overhead expenses
and the increasing Of net income,
even though gross income has not
uniformly increased. 1t is encour-
aging to recount the specific &C.
complishments of a number Of rail-
road systems which have returned
little or nothing to their stock
holders in recent years:
b. & o. Strong.
Baltimore and Ohio, placed on O
s per cent dividend basis last year,
earned 1858 per cent on its COM
mon stock in 1923 against 1.42 per
cent in 1922.
Chicago, Milwaukee and st. Paul
covered it's entire operating charges
and bond interest with surplus Of
z cents a share on its common
stock. In the previous year it
earned only II per cent of its
charges, and in 1921 it covered AZ
per cent Of its operating expense.
In addition, the road has expended
$40, 600, 900 for equipment, and Pres
ident Harry e. Byram looks for a
continuation Of the upward trend.
Seaboard Air Line returned 1923
per cent on its common stock last
year against a deficit Of Is per
cent Of its operating charges in
1922. The company will pay in
terest on it's adjustment bonds, and
have something left for the surplus
fund.
New York, New Haven and Hart.
ford would have pulled completely
out Of the deficit column last year
but for the extremely severe winter
weather during the first three
months Of 1923. The road covered
81 per cent Of net charges, against
II per cent in 1922. s.
Chicago & Alton, in receivership,
and with a long period Of default In
some Of it's outstanding bonds,
showed a net increase of 2.19 per
cent on its common stock, against
nothing in 1922.
Wabash distinguished itself in the
latter part Of the year, adding to its
net income, and closed the year with
earnings of about SO a share on COM
mon stock, compared to slight de-
ficit in 1922. It is probable that the
preferred stock will be placed on a
dividend basis this year.
Make Good Showing.
st. Louis & San Francisco, and st.
Louis Southwestern are two Western
lines which are expected to join the
dividend class this year. Contrasted
with nominal earnings Of about rs
cents a share in 1922, the Frisco
lines last year earned 1913 cents a
share, after allowing for 6 per cent
on the preferred stock-which divi-
dend, however, has not been paid
and Is not cumulative.
Missouri, Kansas and Texas reor-
ganization, the mine months baby
Of the Southwest, showed a net in.
come Of about dollar a share.
Henry Ruhlender, chairman Of the
board Of directors, said today that
katy" had come within $61, 900 Of
earning the interest twice over on
it's adjustment bonds, despite the
big washout in Oklahoma, which
cost the company 100000. The
Katy lines spent $4,000, 900 more for
equipment in 1923 than in 1922. At
the end Of the year cars needing
heavy repairs numbered 97-10 of
the whole, and and bad order cars
were only 6 ITO Of the whole.
Southern Railway, with dividend
possibilities, raised its net earnings
from 4.S5 per cent to 1910 per cent;
500 Lines, from 2.7S to 5.04; Texas
Pacific, from 1.39 to $50: Western
Maryland, from 1.01 to 4.20; Ann
Arbor, from lis to SIS; Buffalo,
Rochestra and Pittsburgh, from
nothing to 1888 per cent; Chicago
and Eastern Illinois, from nothing
to LA per cent; Lehigh Valley,
from nothing to 1924, and Kansas
FSi%1y Co1IfhoVsVo from 1 40 IN Q Ga