The Birmingham age-herald., 1924-08-17
PANAMA CANALS 7DECENNIAL

fife ten years ago on, August 15, 1914. The initial energy responsible for this enterprise is credited to Theodore Roose- welt. Undoubtedly he advanced by a number of years the enjoyment of a commercial facility which is monthly growing in service to the whole world, and not least of all to the United States. For time there were those who doubted whether the canal tolls would ever repay the cost of construction. Now it is es- tablished beyond doubt that they will do much more than that.
 The revenue for the fiscal year end- ing June 30, 1923, amounted to more than seventeen and a half million dol- lars. The operating expenses were a little over four million dollars, leaving a balance of over thirteen million dollars to apply to accrued interest and sinking fund. The United States pays the gov ernment of Panama an annual considera- tion of two hundred and fifty thousand dollars for its relinquishment of title to the canal strip. The. total cost of the canal including grants is put at $375,- 100000. The interest on the bonds is about twelve millions annually. Thus the total annual charge against the canal is about sixteen and half millions. The traffic of 1922-23 therefore leaves sur- plus to apply to the sinking fund. The revenue for the fiscal year ending June 30, 1924, is placed at approximately twenty-four million dollars. Thus for the past fiscal year the surplus for sinking fund and applying to past deficits is more than seven and a half million dollars, after deducting rental to Panama, inter est on bonds and cost of operation.
 This is most encouraging showing, and one that completely justifies the un- dertaking from financial point of view, without taking into account the iEnmeas- urable benefit of the canal to the com merce of the world. It is altogether likely that the showing for the current fiscal year will be still more gratifying, and that within the next fifteen years the entire cost of the project will be re- turned to the treasury of the United States. After that there is expectation of reduction in tolls so marked as greatly to stimulate the use of the canal. Indeed, there are those who have already calculated the period within which the canal with its present dimensions will be inadequate to care for the tonnage off, fered. There are two plans for meeting this emergency. One contemplates the. doubling of the width of the canal with corresponding expansion in the lock ca pacity The other presents strong req sons for both widening the channel and cutting it down to sea-level, thus elim- mating the locks, much of the cost of operation and considerable loss of time by steamers in transit. Either plan will justify its cost and will be soon paid for by the steadily increasing tolls. It is probable that the sea-level construction has the most enthusiastic support of en- gineers.
 There is no doubt that the Panama Canal has been of immeasurable benefit to the tonnage of Gulf ports and to the producing territories served by these ports Alabama has profited by the serv- ice, and no part of Alabama more than the mineral district around Birmingham, which finds the canal a most expeditions and inexpensive routing for goods sold on the Pacific coast or in the Orient. The port of Mobile enjoys an enviable proximity to the canal, and steamship lines are already established there by reason of that proximity.It It is altogether probable that the expansion of produc- ton in Alabama and other sections served by the carriers contributory to Mobile and the development of demand for our goods in markets beyond the canal will cause the steamship lines greatly to null tiply, or to expand their service, within the next decade. The equipment of the port of Mobile to handle this tonnage ex- peditiously is another powerful influence tending to the same end. The Panama Canal is Alabama's shortcut to extensive markets in which she has for some prod ucts virtual monopoly due primarily to her strategic location and commercial en- dowments. The, success of the canal is full of meaning to Alabama.