Evening star., 1925-05-10
PROSPECTS ARE NOV FAVORABLE
FOR LOCAL TRACTION MERGER
Majority of Ral,Uay Common Stock and LARGE Hold.
ings Of Capital Traction acquired b>
North American Co.

tant changes in the official roster Iuu.
some time.
| 1t is probably fact that, aside from
| the holdings of representatives of the
| North American Co, not more than
| 5000 shares are centered in any one
| interest.
This ownership by North American
| interests furthers the belief in the
| ultimate merger of the two traction
| companies.
Electricity Main Product.
/ Sale of electricity, current and
power, is the main source Of both
gross and net income of the North
American Co, will be shown by
| figures from the 1924 report. Trans
! portation earnings are not as i'm
portant, furnishing a much smaller
percentage of both gross and net re-
turns.
Moreover, the severe competition
| that street railways are meeting in
, these automobile days seems to have
| put this branch of the public bust
ness on the defensive, so much SO
that they are actually engaging in
| the bus business themselves
Nor is there the slightest posi-
bility of restricting the use of the all
tomobile, despite the awful toll of
human life exacted
Plants of the North American Co.
are located largely in and around
| Chicago, Cleveland and Milwaukee,
Last year 65.19 per cent of its gross
earnings and 1921 per cent of its net
income We're from electric lighting
power adm hea ting service: 1884 per
cent of gross and 1887 per cent of
net from gas. 1167 gross and 373
net from COAL and 1.1S per cent gross
and 2.l6 per cent net accredited to
/ miscellaneous. Aside from its CON
| trolled properties the company has
substantial investments in Other.
companies. chiefly in Detroit Edison
| and local companies.
It's capital stock consists of s29,-
OS5,75O per cent preferred and s29.-
| 236,589 common stock, while it holds
IN its treasury s234, ,O74 of securi-
ties OF other corpora tions, or did at
the close of 1924.
| In 1910 it had 45,243 customers for
current and in 1924 644,43o, indicating
| It's rapid absorption of territory no
less than the enormous growth in the
consumption of electricity. while gas
! customers also increased from 1895
| TO 59,425, showing the slower but none
the less steady growth in the users of
gas.
/ Growth i'm Five Years.
! The last five years has marked III,
greatest growth in the manufacture
ana sale of electricity. This is ais,
| true of gas, for, while it's days as an
| iiiumlnant are fast passing il has
| become the cooking fuel of all cities
| OF any Importance to a larger degree
| than ever.
The years 1919-1924, inclusive. have
| Witnessed a growth of $23S,S73 900 in
the assets of the North American co.
s4S'63,41S in the business of subsidi-
7 ary corporations, S13,797. 900 in the
| company's balance for depreciation.
reserves, dividends and surplus: g.
| on,ooo IN dividends, S13.015, ,46O in sur
! pius account after writing off book
! values of securities to the amount of
! s4,i05, 900. Reserves at the end of tba
| nScal year have increased s31, ,sS7 .OO0
| Eiectrlc capacity has increased by
649.49O kilowatt, hours.
Annual Report Just Issued.
| The annual report of the company
| Tor the year ended March 31 is an.
| pended:
Gross Gro ss1 .s3o.o1o s77.sS4io7y
- and taxes " 3O9I4 O5s % so.-.,s
Int, pfd: divs. of
subs. etc 14,247.4e5 1a.a42.54s
balance -sIe.761 1852 S16.671, 1872
Reserve for depre-
clation ........ 7.9SO,O75 7342 6o6
Nel income -olo.1S1,3S7 S9.329 2S6
Preferred dividends 494 $50 I 1AA 20,
Common cash divi- '"i
conn1e, uenns .;co,, AL. ...... 1.206.s9I
uends 2.SS5,47O Q46 ofo
Surplus S6.4OO.967 5.O3l 3I4