The Washington times., 1928-11-22
OCTOBER RAIL
EARNINGS
GAIN
BY HARRY GUSACK
Financial EDITOR

The net operating incomes OF
many railroads for the month OF
October will reach new high marks,
according to monthly reports OF
statistics and revenues already
filed with the Interstate Commerce
Commission
The Erie railroad reported income
Of $685., ,673 from freight revenue
IA compared with sS,2O4.56S for the
same month last year. Passenger
revenue amounted to $S22,3S1 as
compared with $s63,S15 in October,
1927.
Gross revenues of the Delaware
and Hudson Company for October
which are estimated at approximate
II $4,070, 900 were the largest the
railroad has shown in any month
since November. 1925. incidentally,
October marked the first month
that gross revenues have shown an
Increase over the corresponding
month in the preceding year since
February, 1927. Net railway opefat.
ing income. expected to be about
1900 900. is, with the exception OF
June. the largest reported in any
month since September a year ago.
Had it not been for the fact that
taxes were substantially greater
this October, net operating income
would have surpassed that or any
month since the fell of 1926.
on the basis of the above estimates
cross revenues increased approx.
natelv 100000 over the $S,771. .104
reported a year ago and net operat-
lnr income is about $27 900 greater
than the $S7S .645 of October, 1927.
Increase in gross earnings Of Oc-
kober was the result of sharp
ttimulation OF anthracite shipments
during the month and marked i'm.
nrovement In traffic received from
connections. The total loaded cars
handled by the road in the four
weeks ended October 81. numbered
Al .63S. compared with 73,969 in that
period a year ago. This is an in
crease of 1868 cars, or 10.4 per cent.
OF the total increase in carloadings,
those originating on the D. 4 I'll.
lines accounted for 1923 cars and re-
ceipts from connections 3,840 cars.
Increase in originating traffic was
due entirely to the gain in anthra-
cite shipments. These loadings in
creased 4,750 cars, OF % per cent,
over the total of 1881 cars hauled
III the four-week period last year.
The Missouri Kansas Texas Lines
will show an increase of better than
10 per cent in revenues for October
over the 1859 Of a year ago.
Revenues for the first two weeks
of November were showing an even
larger increase than In October and
II seems possible that it will close
this month with aggregate gross
FOR the first IL months equal to or
better than that of a year ago. Up
10 the end OF September gross was
81 ,O66, 30s behind 1927 period.
The road made an excellent operat-
Ing showing in October. Transporta-
ton expense ratio was about l per
cent below the 28.6S per cent report "a
q year ago, despite the loss OF round
" 500, 900 or Is per cent in passen-
ger receipts. With an increase of
something more than 100000 in ag-
gregate gross. transportation ex-
TSenses were up less than 500, 900.
Due to having completed heavy main
tenance work earlier in the year.
these expenditures are now running
slightly lower and were around wa
900 less last month compared with
q year ago.
These savings resulted in an op-
Grating ratio OF about 81 per cent
compared with SO per cent in 1921
which, coupled with smaller interest
requirements because of further con-
version of adjustment bonds into
preferred stock, resulted in net in
come of between $950,000 and $1,000
900 compared with $695.440 in oc-
tober. 1927, and $sS2,795 in 1926.
With October estimated net income
for the first 10 months is in the
neiehborhood Of S., ,80O,o 600. against
1892 ,031 in 1927 and $4,646,So5 in
1926 period.