The Winslow mail., 1924-01-11
TO
LARGE
sum THIS YEAR

OVkI EEHaV h1EuA
information published in the Rail
way Age indicates that the railways
in 1924 will invest approximately as
much new capital in permanent I'M
provements and equipment as they
did in 1923 if no legislation adverse
to the railway is passed or seriously
threatened by Congress. The signi-
ficance of this information becomes
apparent only when it is realized
that the total investment made in
new facilities in 1923 surpassed those
of any previous years excepting
possibly 1910 and 1911.
Thirty-four railways operating lO9,-
415 miles of line have furnished the
Railway Age the details of their
1924 budgets as far as they have
been made up. These show that
these roads already have definite
plans for making capital expenditures
during the present year, amounting
to $35O,OO0,OOO. Railways having
approximately the same mileage
made estimates aggregating approx
mately the same amount at the be-
ginning of the year 1923.
Capital expenditures made IN
1922 says the Railway Age, Gag
gregated ,076,OOO,OO0. The forecast
for 1924 that capital expenditures
this year will be approximately the
same is based on comparison OF
amounts already authorized and de-
finitely planned for expenditure dur
ing 1924 with similar figures of a
year ago. The most important ad-
verse influence which is tending to
retard the authorization of improve
ment work at this time is the uncer-
tainty regarding the attitude OF
Congress. This condition is causing
hesitation on the part of many ex-
ecutives as is evidenced by articles
from railway executives published
elsewhere in this issue"
In the articles referred to julius
kruttschnitt, chairman Of the South
ern Pacific, says that "unless checked
by the doings of Congress-, capital
expenditures in 1924 will approach
those in 1925" but he adds, "if the
TRANSPORTATION Act is amended to the
extent intended by certain threatened
legislation the expenditures the rail-
fOdQS WILL DC dOAc w AAe@hC " "A.A
very much curtailed because OF the
unwillingness of investors to furnish
money under such conditions"
w. B. Storey, president of the
Santa Fe, says that whether capital
expenditures to increase facilities will
be as large as in 1923 will probably
depend to a considerable degree upon
the attitude shown by Congress"
N. D. Maher, president of the Nor
folk & Western, says that the expen-
ditures of his road twill be close
to the amount spent in 1923 and may
be considerably in excess, depending
upon conditions, but injurious legis-
lation passed by Congress affecting
railways will have a serious effect
upon our expenditures for improve
ment and extension"
The railway executives who contri-
buted to the Railway Ages sympo-
SUM are almost unanimous in ex-
pressing the opinion that the prospect
for railway traffic in 1924 is that
it will be as large and may even
be larger than in 1923.
C. R. Gray president of the Union
Pacific, says, ''if conditions in the
west do not suffer from adverse
effect from the east, my judgment
is that the aggregate volume of traf-
fic in 1924 will closely approximate
that of the year just passed"
w. J. Harahan, president of the
Chesapeake & Ohio, says, 81 feel
that we should have as much traffic
in 1924 as in 1923, perhaps more"
E.. E. Loomisy president of the
| Lehigh Valley, says business pro-
I spects for the railways in 1924, in
my judgment, may be viewed with
optimism"
]. M. Kurn, president of the St.
Louis-San Francisco, believes "there
is no reason why 1924 should not
be an exceptionally good year."
c. H. Markham, president of the
Illinois Central, says "the capital ex-
penditures of the Illinois Central in
1924 will be about as large in 1923
with the exception of expenditures
for equipment. It is inconceivable
that Congress will issue mandate
to the investors of the United States
that it purposes to depart from the
wise principles laid down in the
Transportation Act requiring the In
terstate Commerce Commission in its
rate DECISIONS to give due consider
alton to the transportation needs OF
the country in order to provide the
people of the United States with ade-
quate transportation"
The forecasts of capital expendi-
ture by some of the large systems
in 1924 are as follows: Atchison
Topeka & Santa Fe, $70,000,000;
Pennsylvania, more than $50,000,000;